I mean, an argument whose answer is “make all gambling” illegal - which is what we’re talking about here - clearly is founded on “all gambling is bad”.

Personally I’d agree with you about heavily curtailing, or even banning, advertising and sponsorship. And putting in place restrictions on amount wagered, loss limits, mandatory self exclusion registers etc. But all that is regulation, not an outright ban. (I’m not even particularly against a state monopoly tbh.)