Stake.com Declared Illegal in Lagos and 24 Nigerian States
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Stake.com has been declared an unlawful gambling operator in Lagos and 24 other Nigerian states following a joint decision by the Lagos State Lotteries and Gaming Authority (LSLGA) and the Federation of State Gaming Regulators of Nigeria (FSGRN).
The regulators said Stake.com does not hold a licence from LSLGA or any of the 24 FSGRN member states. They also accused the operator of failing to register its activities, declare its operations and remit applicable gaming taxes and levies despite receiving at least 10 formal compliance notices over the past two years.
The announcement comes during Africa Safer Gambling Week, which runs from September 7 to 11, adding a strong consumer-protection dimension to the regulatory action.
Stake.com Accused of Operating Without State Licences
According to LSLGA and FSGRN, Stake.com has been providing gambling services in Nigeria without the state licences required under the country’s regulatory framework.
The authorities said the operator failed to respond adequately to repeated compliance notices issued over the previous two years. Regulators also cited alleged failures to pay applicable gaming taxes and levies.
The decision applies to Lagos as well as the other 24 states represented by FSGRN, effectively putting Stake.com on notice across a significant part of Nigeria’s regulated gambling market.
Regulators Cite 2024 Supreme Court Ruling
The Nigerian regulators based their position partly on a landmark Supreme Court ruling delivered in November 2024.
In Attorney-General of Lagos State & Ors v. Attorney-General of the Federation & Ors (SC/1/2008), the Supreme Court affirmed the constitutional authority of Nigerian states to regulate lotteries, betting and gaming.
LSLGA and FSGRN said the ruling means gambling operators cannot legally provide gaming services within a state without obtaining the relevant state licence.
The regulators therefore argue that an operator cannot rely on its status or licensing arrangements outside individual Nigerian states to offer services to local players.
Enforcement Could Extend Beyond Stake
The regulatory action is not limited to Stake.com itself.
LSLGA and FSGRN said enforcement measures could also target the company’s directors and third parties that facilitate its operations. These include payment companies, financial institutions, advertising platforms and influencers.
Banks, fintech companies, media organisations and digital advertising platforms have been urged to conduct appropriate regulatory due diligence and stop supporting unlicensed gambling activity.
The regulators also called on Nigerian consumers to stop wagering through Stake.com and use operators holding the appropriate local licences.
Safer Gambling Week Adds Consumer Protection Focus
The declaration comes as regulators and industry organisations across Africa are using Africa Safer Gambling Week to promote responsible gambling and stronger player protections.
The campaign, running from September 7 to 11, focuses on issues including age verification, financial and time limits, self-exclusion and other tools designed to reduce gambling-related harm.
LSLGA has specifically highlighted the importance of preventing underage gambling, encouraging operators to strengthen age-verification procedures and parents and communities to help limit minors’ access to gambling services.
The Stake.com action therefore arrives at a time when African regulators are placing greater emphasis on both market legality and consumer protection.
Nigeria Tightens Its Approach to Unlicensed Gambling
The move against Stake.com reflects a broader effort by Nigerian authorities to strengthen control over online gambling.
Nigeria’s rapidly expanding digital betting market has created challenges for regulators, particularly when operators can reach consumers online without maintaining a conventional physical presence in a particular state.
For state regulators, licensing is not only a source of tax revenue but also a mechanism for enforcing responsible gambling requirements and protecting consumers.
The Stake.com case demonstrates that authorities are increasingly prepared to extend enforcement beyond operators themselves and examine the wider network of businesses that supports unlicensed gambling activity.
What Happens Next?
LSLGA and FSGRN have not limited their announcement to a warning. They said appropriate enforcement action is being taken against Stake.com and other parties found to be facilitating its operations.
The practical impact on Nigerian customers and payment channels will depend on how those measures are implemented.
For Stake.com, however, the declaration represents a significant regulatory challenge in one of Africa’s largest betting markets. The operator now faces coordinated action from state regulators across Lagos and 24 other jurisdictions, while authorities continue to push for a more controlled and responsible gambling environment.
Source: https://www.igamingtoday.com/fsgrn-and-lagos-state-declare-stake-com-illegal-in-nigeria-as-africa-launches-safer-gambling-week/
