South Korea’s illegal gambling market hits 95.9 trillion won as users face criminal charges for illegal sports betting

South Korea’s illegal gambling market is estimated at 95.9 trillion won in 2025, and officials are warning that the liability does not stop at site operators. Anyone using illegal sports betting sites can also face criminal charges, which is the part PSPs, affiliates, and payments teams should pay attention to when they assess exposure in Korea.

1. According to the sixth illegal gambling survey by the Integrated Supervision Commission for Gambling, the illegal gambling market in South Korea reached about 95.9 trillion won in 2025. The online illegal gambling segment accounted for about 68.2 trillion won, or 71.2 percent of the total.
2. Korea Sports Leisure Co. Ltd., the operator entrusted with Sports Toto, the sports promotion lottery issued by the Korea Sports Promotion Foundation (KSPO), urged users to verify official sales channels and recognize the risks of illegal sports gambling. The company said illegal sites often copy names and game formats associated with Sports Toto.
3. In Korea, the lawful sports promotion lottery is Sports Toto. It can be purchased only at designated retail outlets and through the official internet sales site, Betman. Even if a service uses a name or game format similar to Sports Toto, sports betting outside official sales channels can be illegal.
4. Under the National Sports Promotion Act, operators of illegal sports betting sites can face up to seven years in prison or a fine of up to 70 million won. Users who place bets on those sites can face up to five years in prison or a fine of up to 50 million won. Promoting illegal sports betting or brokering and arranging purchases can also bring up to three years in prison or a fine of up to 30 million won.
5. Officials also warned that the harm is not limited to financial losses. The stated risks include personal data leaks, gambling addiction, and criminal penalties. KSPO said reports on illegal site operation, use, and promotion can be filed through the Illegal Sports Toto Reporting Center, where rewards may be paid depending on the report details and handling results.

The practical takeaway for payments teams is straightforward: in Korea, illegal sports betting is not just an operator problem. If a payment flow, onboarding funnel, or affiliate path touches unofficial Sports Toto-style activity, the regulatory and criminal exposure can extend to the user side as well.