September 7, 2026

By Javier Wullich, Senior Business Development & Product Manager at Plusmo

iGaming industry: How SMS messaging and real-time verification strengthen security and the user experience

The iGaming industry continues to expand steadily across different regions worldwide. According to estimates from Grand View Research, Latin America’s online gambling market is expected to generate $16.2 billion in revenue by 2033, up from $7.2 billion in 2025. This represents a compound annual growth rate (CAGR) of 10.7% between 2026 and 2033.

In this context, SMS continues to play a relevant role, particularly for communications related to verification, authentication, and certain commercial messages, especially where restrictions on other channels may limit their use. Its application is focused on improving deliverability and route stability, while optimizing routing according to the specific characteristics of each market.

This is an industry where finding reliable providers can be challenging, as many countries have regulations that restrict certain types of communications. For this reason, it is critical to work with specialized SMS routes for online casino and betting content that comply with local regulations and mobile operator requirements.

Online Gambling Market in Latin America

(Source: Grand View Research)

SMS for iGaming

iGaming companies typically prioritize markets where several factors converge: a large base of digital users, high smartphone penetration, growth in online betting, and regulatory environments that are still evolving to accommodate the industry. In these markets, access to direct or highly stable routes is particularly important for operators.

Latin America combines strong growth potential, an evolving regulatory landscape, and widespread mobile usage. Across the region, SMS can be used for promotional communications—always through authorized routes and with prior user consent—as well as for re-engagement campaigns and other types of user interactions.

Europe, meanwhile, is one of the world’s leading iGaming markets and has more mature regulatory frameworks. In countries such as the United Kingdom, direct marketing communications via SMS are subject to specific consent requirements, reinforcing the importance of using the channel in a targeted manner and in compliance with applicable regulations.

Security and fraud prevention in iGaming

In countries such as the United States, the United Kingdom, Australia, and Canada, iGaming is highly regulated. Among other requirements, operators must have mechanisms in place to verify users’ age and restrict access when eligibility requirements are not met.

Across all markets, companies in this industry must also implement fraud-prevention measures. Verifying that users are who they claim to be can help reduce the risks of fraud, identity theft, impersonation, and unauthorized transactions. To address this need, mobile identity APIs can be particularly useful, both for fraud prevention and for optimizing onboarding and engagement across the iGaming ecosystem.

For the iGaming industry, Plusmo offers a multifaceted value proposition. First, it provides high-quality, stable SMS routes that are specialized and tailored to the regulatory and operational requirements of each market. It also delivers RCS campaigns designed to improve conversion and the user experience. Finally, Plusmo offers mobile identity fraud prevention solutions aimed at reducing payment-related risks, strengthening identity verification processes, and supporting compliance with market-specific access requirements.

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