Why do online casinos close?

Why do online casinos close?


In our modern world, nothing lasts forever (except for human stupidity, of course, but we will not talk about it). As in any other field of business, new gambling establishments periodically appear in Internet gambling and old portals stop working. Sometimes even popular and prosperous casinos with a huge number of active clients are closed. Why is this happening? What makes the operators fold? And what should the players do if the favorite site announces the completion of the activity? The answers to these and other questions are discussed further in the article. Let’s highlight the main reasons why do online casinos close?

The main reasons why do online casinos close?



The inhabitants imagine the gambling business as an inexhaustible source of easy money. But anyone who knows it from the inside will confirm – Not all casinos are profitable.

The site providing services in the field of gambling can burn for a number of reasons:

  • Competition – To take a place under the sun in the online gambling market is becoming more difficult. Yes, and the old men do not just keep positions, because they are pinched by new portals, luring clients with crazy bonuses and shares. Many operators leave the race, unable to withstand the pressure of competitors.
  • Weak management – Do not think that it’s enough to launch a beautiful site with several hundred slot machines, complimentary bonuses and loyalty program for success. This is a complicated business. To survive in it, we need a team of specialists from different fields of activity. Quite often, very promising projects fail because of one weak link.
  • Lack of advertising – Even the best online casino without a single flaw goes bankrupt without access to the end user. We often run into really high-quality gambling establishments, which are known to a narrow circle of users. Saving on advertising, their owners lose potential customers and, as a result, are often closed.
  • Fraud – The Internet casino is a tidbit for hackers, bonus hunters and other scammers. If the institution does not pay due attention to safety, it risks becoming a victim of burglars. There are cases when small gambling sites are ruined, failing to cope with cheating attacks.
  • Black PR – Competitors do not always act honestly. For example, they can arrange a large-scale campaign in order to wet the reputation of the institution. Negative feedback on all the leading forums, minimum ratings in major rankings and other tricks of black PR people do their job. As a result, the casino remains without clients and is forced to close.
  • Bad Luck – Yes, Ms. Luck can turn away not only from the players. It can also be merciless to gambling operators. Imagine a young institution, which looked well-known high roller. He starts to play at the maximum stakes, very big wins, takes the money and … forever leaves. Such a failure can easily destroy an online casino with a small capital.

Often, bankruptcy occurs for several reasons, but all of them are reduced to a lack of professionalism in the management team.

M & A  (Mergers and Absorption)

 The strong eats the weak not only in the jungle or on the ocean expanses. In the gambling business, the same laws apply. Huge corporations absorb small gambling operators than kill two birds with one stone: they acquire an established business and deprive themselves of a competitor. In such situations, the acquired casino is often closed, and customers are transferred to another institution on advantageous terms.

 Something similar happens when two companies join forces and launch a single gaming portal instead of the two former ones. In such situations, users usually do not lose anything. Moreover, it can bring them additional benefits. It is only necessary to carefully study the new rules and conditions, because they can differ significantly from the old agreement.


 Sometimes online casinos completely change the name, design, list of games, a list of bonuses and an assortment of other services. This may be due to a change of ownership or a desire to start everything from scratch. We recommend to find out what motivations the operator is guided by. Perhaps he has been accused for a long time of fraud, refusal to charge bonuses or cheating with bonuses. In such circumstances, many casinos try to cover tracks by rebranding.

In general, changing the name is not always a bad thing, but be on the alert.

 Fraudulent activities

 Currently, rogue online casinos are much less than ten years ago. Licensing and controlling bodies are gradually establishing order in the industry. Regulators are more sensitive to issuing permits, and governments of different countries pass laws on which gambling establishments should operate on the Internet.

Such activities cause considerable damage to scammers. They lose the credibility of potential and real players, remain without clients and are forced to shut down compromised casinos. Of course, most of these operators run several gambling sites at once and rebrand without problems, in order to cover up the tracks, but sooner or later the truth will surface.

Features of legislation

Sometimes online casinos are closed only in certain countries and regions. This happens if the institution was originally opened in violation of local laws, or when the government tightened the legislation.

Decent gambling portals always return money to customers in such situations.

 Changes in licensing conditions

Regulators of gambling business often increase the cost of licenses. If their cost rises sharply, gambling operators may find it inappropriate to continue operating the casino. Again, honest portals never assign users’ money.



 The best way to avoid getting trapped and to protect yourself from risks is to play in a large online casino with many years of experience, an unblemished reputation and a high level of service. They offer not the most favorable conditions, but you can be sure that they will not be deceived.