Gambling operators in Spain have agreed to a new voluntary code of conduct on advertising in a bid to avoid tougher, mandatory rules which could be imposed by the government. Taking effect from January 2020, the regulator has approved the new rules but it’s too early to tell whether the tough coalition government will think they’ve gone far enough.
The advertising legislation was created by online betting trade association in Spain, JDigital and has been given the green light for launch on 15 January 2020 by regulator, Dirección General de Ordenación del Juego (DGOJ).
Adopting a responsible approach
The new code of conduct largely mimics the legislation in other country which calls upon betting firms to take a responsible approach when considering their advertising campaigns. This includes not showing images of anyone who appears to be under 25, refraining from celebrity endorsements with a large youth fanbase and not using any professional athletes to promote gambling. The message of responsible gambling must also be prominent in any type of advertisement.
Other limitations include a restriction on the number of bonus offers which are made but they don’t go as far as restrictions in place in other countries. For example, in the UK there is a “whistle to whistle” block on advertising which prevents any promotional ads being shown during competitive events.
Some of the members of the Jdigital online betting group include Bet365, The Stars Group and GVC Holdings together with local operators such as R Franco and Luckia. The operators will be hoping that the new code will pacify a government which had previously threatened a tough clampdown on all gambling ads in a move backed by the country’s ombudsman.
New coalition government
Elections last week couldn’t produce an outright majority in government so a coalition has been struck up between the PSOE ruling party and UP, the party that campaigns against austerity. The UP has been particularly vocal in its opposition of gambling and given the chance would restrict operators in any way possible.
However, UP have had their own recent scandals. During their election campaign they showed an individual who claimed his life had been ruined by bookmakers and betting, and was now destitute. Super-sleuths soon tracked down the man online after he uploaded a video from his recent skiing holiday, throwing doubt on the “testimony” that he had provided about the damage done by gambling.
November 19, 2019
Online Gambling Delayed by Six Months in the Netherlands
The Netherlands has announced that the planned launch of online gambling in the country is being put back by six months. The new date for the anticipated start will now be 1 July 2021 to give the country enough time to pass and vet applications from operators.
According to the Sander Dekker, Minister of Justice and Security, the reason for the delay is due to the proposed changes made to Remote Gambling Act which means it won’t come into force until 1 January 2021. As this is six months later than originally expected, the secondary legislation around licensing has been delayed by the same length of time.
Verification process
The regulator in the Netherlands, Kansspelautoriteit (KSA), had previously announced that no gambling company would be able to apply for a licence under the new legislation until it has been formally enacted. It also said that it needs six months to process and check any applications. As the release date for the Remote Gambling Act has been pushed back by six months, the regulator has insisted that the launch date for operational play is delayed too.
Part of this process will include checking that each operator has a robust age-verification system in place. The minister said that underage gamblers had in the past been able to access state-run sports betting without a problem and he was concerned that the issue may be repeated with other online betting.
The Nederlandse Loterij has since upgraded its processes to block younger gamblers and Dekker said they expect other gambling operators to do the same, or else face sanctions.
A pro-gambling government
It wasn’t all negative news for the gambling industry however as Dekker insisted that preventing gambling advertisements was not on the government’s agenda. Some legislators had been renewing their calls for a total ban but the minister said that was not an “objective of the current Dutch gambling policy”.
Dekker said there was evidence that restricting gambling advertisements could have a negative impact on those who play, as it would remove the ability to channel individuals towards locally licensed sites which are robustly checked and supervised. Without the ability to monitor, implement and drive responsible gambling initiatives in the same way, this could lead to more problem gambling .
The minister admitted that they may consider tightening existing gambling rules in certain areas. The legislation they may toughen up includes introducing a time limit on advertising through certain types of media, stopping behaviour targeting and restricting credits for free play or other bonus offers. Celebrity endorsements are also likely to be overhauled, particularly those who may have a strong appeal to younger players.
According to the Sander Dekker, Minister of Justice and Security, the reason for the delay is due to the proposed changes made to Remote Gambling Act which means it won’t come into force until 1 January 2021. As this is six months later than originally expected, the secondary legislation around licensing has been delayed by the same length of time.
Verification process
The regulator in the Netherlands, Kansspelautoriteit (KSA), had previously announced that no gambling company would be able to apply for a licence under the new legislation until it has been formally enacted. It also said that it needs six months to process and check any applications. As the release date for the Remote Gambling Act has been pushed back by six months, the regulator has insisted that the launch date for operational play is delayed too.
Part of this process will include checking that each operator has a robust age-verification system in place. The minister said that underage gamblers had in the past been able to access state-run sports betting without a problem and he was concerned that the issue may be repeated with other online betting.
The Nederlandse Loterij has since upgraded its processes to block younger gamblers and Dekker said they expect other gambling operators to do the same, or else face sanctions.
A pro-gambling government
It wasn’t all negative news for the gambling industry however as Dekker insisted that preventing gambling advertisements was not on the government’s agenda. Some legislators had been renewing their calls for a total ban but the minister said that was not an “objective of the current Dutch gambling policy”.
Dekker said there was evidence that restricting gambling advertisements could have a negative impact on those who play, as it would remove the ability to channel individuals towards locally licensed sites which are robustly checked and supervised. Without the ability to monitor, implement and drive responsible gambling initiatives in the same way, this could lead to more problem gambling .
The minister admitted that they may consider tightening existing gambling rules in certain areas. The legislation they may toughen up includes introducing a time limit on advertising through certain types of media, stopping behaviour targeting and restricting credits for free play or other bonus offers. Celebrity endorsements are also likely to be overhauled, particularly those who may have a strong appeal to younger players.
November 14, 2019
Australian Regulator Goes To War With Illegal Operators
Australian Media Regulator the ACMA will instruct Internet providers to block overseas illegal online gambling operators to protect what it says are vulnerable gamblers.
Since the 2015 interactive review by then premier Barry O’Farell some 65 online operators that were serving the Australian market have left however some are still operating and have been named such as, FairGo Casino and Emu Casino that operate out of a Curacao license.
The AMCA say that Aussie gamblers spend upwards of $400 million a year on these illegal sites which works out to be a loss of around $100 million in loss of taxes to the government.
Not only this say the AMCA but most do not pay out on big wins or a small proportion of it. The Chairwoman of the AMCA Nerida O’Loughlin said, “We have been targeting illegal gambling services we know are active in the Australian market through complaints received and monitoring. But we expect that list of sites will grow as we investigate more,” Ms O’Loughlin said.
“The ability to have ISPs block illegal websites will be a valuable additional weapon in the ACMA’s arsenal in the fight against illegal online gambling.” She went on to say, “Customers had also experienced illegal operators continuing to withdraw funds from their bank account without authorisation.”
“If you have funds deposited with an illegal gambling site, you should withdraw those funds now.
“Public education is also crucial in deterring Australians from using these sites, given many illegal offshore gambling websites target Australians by using Australian themes and images, such as the Australian flag and native animals,” Ms O’Loughlin finished by saying.
Since the 2015 interactive review by then premier Barry O’Farell some 65 online operators that were serving the Australian market have left however some are still operating and have been named such as, FairGo Casino and Emu Casino that operate out of a Curacao license.
The AMCA say that Aussie gamblers spend upwards of $400 million a year on these illegal sites which works out to be a loss of around $100 million in loss of taxes to the government.
Not only this say the AMCA but most do not pay out on big wins or a small proportion of it. The Chairwoman of the AMCA Nerida O’Loughlin said, “We have been targeting illegal gambling services we know are active in the Australian market through complaints received and monitoring. But we expect that list of sites will grow as we investigate more,” Ms O’Loughlin said.
“The ability to have ISPs block illegal websites will be a valuable additional weapon in the ACMA’s arsenal in the fight against illegal online gambling.” She went on to say, “Customers had also experienced illegal operators continuing to withdraw funds from their bank account without authorisation.”
“If you have funds deposited with an illegal gambling site, you should withdraw those funds now.
“Public education is also crucial in deterring Australians from using these sites, given many illegal offshore gambling websites target Australians by using Australian themes and images, such as the Australian flag and native animals,” Ms O’Loughlin finished by saying.
November 13, 2019
Latvian Consumers Warned by Regulator Over Rogue Lotteries
The Latvian gambling regulator has issued a warning to customers about sham lotteries operating in the country. The Lotteries and Gambling Supervisory Inspection (IAUI) has cautioned any customer who is considering taking part to fully check out the operator online before parting with any cash.
Many of these rogue operators contact customers to claim they have winnings to pay out, and the Latvian regulator is keen to prevent unsuspecting individuals from handing over sensitive information.
Red flags to look out for
The IAUI has admitted that it is very hard to spot a fake lottery operator for certain as many do an excellent job as masquerading as the real deal. However by exercising caution and being watchful the regulator believes that it’s possible to avoid falling into their trap.
Before buying tickets, Latvian consumers should research the company to see if there is any evidence that they are running a legitimate lottery. No money should be handed over if there is no proof that the lottery operate is genuine with a proven track record.
It’s not just the purchase of the tickets that is a problem however as many rogue lottery providers are contacting consumers to tell them of a “win”. The IAUI said any email about a win for a lottery that players don’t remember entering should be viewed with extreme caution.
Fraudsters commonly make contact by telephone as well as by email. The lucky “winner” will be asked to cover the costs of opening an account and transferring the winnings. They are usually also told that they’ll need to pay tax on their windfall.
The regulator said that when contact is made through a public email server such as hotmail and gmail, there is a much higher risk that the email could be a fake. Other tell-tale signs include spelling or grammatical mistakes in the Latvian language; this suggests that a bot is responsible the correspondence and is once again, a scam.
Any individual who has taken part in a lottery and believes that the communication could be genuine should look for confirmation in the details provided. In cases where the winner is legitimate, the operator should provide the name of the individual and the winning ticket number in its response. The player can then check this information against their own ticket to verify the authenticity.
IAUI warned that no reputable lottery would ask for taxes or any other form of payment in order to pay out the winnings. Therefore any company that does should be treated as potentially suspicious.
Many of these rogue operators contact customers to claim they have winnings to pay out, and the Latvian regulator is keen to prevent unsuspecting individuals from handing over sensitive information.
Red flags to look out for
The IAUI has admitted that it is very hard to spot a fake lottery operator for certain as many do an excellent job as masquerading as the real deal. However by exercising caution and being watchful the regulator believes that it’s possible to avoid falling into their trap.
Before buying tickets, Latvian consumers should research the company to see if there is any evidence that they are running a legitimate lottery. No money should be handed over if there is no proof that the lottery operate is genuine with a proven track record.
It’s not just the purchase of the tickets that is a problem however as many rogue lottery providers are contacting consumers to tell them of a “win”. The IAUI said any email about a win for a lottery that players don’t remember entering should be viewed with extreme caution.
Fraudsters commonly make contact by telephone as well as by email. The lucky “winner” will be asked to cover the costs of opening an account and transferring the winnings. They are usually also told that they’ll need to pay tax on their windfall.
The regulator said that when contact is made through a public email server such as hotmail and gmail, there is a much higher risk that the email could be a fake. Other tell-tale signs include spelling or grammatical mistakes in the Latvian language; this suggests that a bot is responsible the correspondence and is once again, a scam.
Any individual who has taken part in a lottery and believes that the communication could be genuine should look for confirmation in the details provided. In cases where the winner is legitimate, the operator should provide the name of the individual and the winning ticket number in its response. The player can then check this information against their own ticket to verify the authenticity.
IAUI warned that no reputable lottery would ask for taxes or any other form of payment in order to pay out the winnings. Therefore any company that does should be treated as potentially suspicious.
Dutch Regulator Says New Online Licences Almost Ready
The gambling regulator in the Netherlands, the Kansspelautoriteit (KSA) has announced that once the legislation comes into force applicants will be able to obtain their licence. The Netherlands Remote Gambling Act was passed earlier this year and the body has provided more information about what will be required to obtain a licence to operate.
A regulated gambling market is planned for launch in January 2021, just over one year away, but some of the legislation is expected to come into force from next summer.
A change for the Netherlands
The decision from the Dutch senate to approve online gambling means that there will be four difference licences available for purchase. These include casino games where the player is up against the operator (such as table games and slots), online poker and other peer-to-peer casino games, sporting events betting and horse racing and trotting betting.
Anyone wishing to apply for an online licence in any of these areas will have to complete the application in Dutch and pay the fee which is non-refundable. Each application costs €45,000 and if a licence is not granted, this fee will not be returned.
Raft of requirements
It may seem a fairly straightforward matter to obtain the licence but it is not just about proving the operator’s identity. The KSA has a long list of robust requirements that it expects every operator to meet if it wants to offer its services to the Dutch market.
These are wide-ranging and including aspects of Dutch consumer law as well as global legislation on gambling and good practice.
Each operator must demonstrate that it will follow tight rules on checking the identity of customers and have a strict policy which helps to enforce the prevention of fraud. They must agree to work closely with the KSA to prevent match-fixing or corruption within sport and its marketing campaign must be vetted by the regulator in advance.
The KSA also announced that it will be utilising advanced technology so it can be connected to operators at all times. This will take the form of a Control Database which every operator must be linked with. This connection will enable the KSA to check digital data at any time and satisfy itself that rules are being properly adhered to.
With such a long list of requirements to qualify for a licence, the KSA has said it will be running workshops to help operators make sure they’re meeting all the conditions before applying.
A regulated gambling market is planned for launch in January 2021, just over one year away, but some of the legislation is expected to come into force from next summer.
A change for the Netherlands
The decision from the Dutch senate to approve online gambling means that there will be four difference licences available for purchase. These include casino games where the player is up against the operator (such as table games and slots), online poker and other peer-to-peer casino games, sporting events betting and horse racing and trotting betting.
Anyone wishing to apply for an online licence in any of these areas will have to complete the application in Dutch and pay the fee which is non-refundable. Each application costs €45,000 and if a licence is not granted, this fee will not be returned.
Raft of requirements
It may seem a fairly straightforward matter to obtain the licence but it is not just about proving the operator’s identity. The KSA has a long list of robust requirements that it expects every operator to meet if it wants to offer its services to the Dutch market.
These are wide-ranging and including aspects of Dutch consumer law as well as global legislation on gambling and good practice.
Each operator must demonstrate that it will follow tight rules on checking the identity of customers and have a strict policy which helps to enforce the prevention of fraud. They must agree to work closely with the KSA to prevent match-fixing or corruption within sport and its marketing campaign must be vetted by the regulator in advance.
The KSA also announced that it will be utilising advanced technology so it can be connected to operators at all times. This will take the form of a Control Database which every operator must be linked with. This connection will enable the KSA to check digital data at any time and satisfy itself that rules are being properly adhered to.
With such a long list of requirements to qualify for a licence, the KSA has said it will be running workshops to help operators make sure they’re meeting all the conditions before applying.
November 11, 2019
Sports Betting in the US Predicted to Explode by 2025
Sports betting in the USA is only just taking a foothold now but experts believe that in the next five years it’s going to become seriously big business. Projections from gambling experts and industry investors have suggested that by 2025 the industry could be worth as much as $8 billion.
A ruling by the Supreme Court in May 2018 paved the way for individual states to start bringing in their own laws on betting and many have chosen to do so, legalising gambling as a result.
Growing number taking part
Each state is free to make up its own legislation on the subject of gambling, and an increasing number are choosing to rip up the old rules and introduce new, more lenient legislation which permits controlled betting. In little more than a year, 14 states have already introduced sports betting and many more are considering following suit.
At the NYC Sports Betting Investor Summit which took place this week, it was estimated that a minimum of 10 new gambling operators could join the market in the coming years, boosting opportunities for customers to bet.
At present the market is worth around $833 but this figure is expected to rocket in the next few years, hitting $7-8 billion by 2025. Previous estimates released suggested revenue of $5 billion by 2025, so it’s clear that the market is continuing to expand even faster than previous expected.
Caution required
Although there are clear and multiple opportunities presenting themselves within the US sports betting market, investors were quick to warn that not every operator will succeed. Huge costs relating to the acquisition and retention of customers will eat into profits and this along with intense competition could mean that many simply don’t survive.
Another hurdle that many panellists would continue to present a problem was the difficulty with crediting funds to accounts. Credit card companies in the US refuse to allow gambling transactions and this has hampered the ability of some to be able to bet. Approximately 30% of betting transactions in the US are financed from credit cards compared to 80% of bets in Europe. This could be changing in Europe however, as many countries are exploring whether a ban on credit cards in casinos would be appropriate and helpful in combating gambling addiction.
A ruling by the Supreme Court in May 2018 paved the way for individual states to start bringing in their own laws on betting and many have chosen to do so, legalising gambling as a result.
Growing number taking part
Each state is free to make up its own legislation on the subject of gambling, and an increasing number are choosing to rip up the old rules and introduce new, more lenient legislation which permits controlled betting. In little more than a year, 14 states have already introduced sports betting and many more are considering following suit.
At the NYC Sports Betting Investor Summit which took place this week, it was estimated that a minimum of 10 new gambling operators could join the market in the coming years, boosting opportunities for customers to bet.
At present the market is worth around $833 but this figure is expected to rocket in the next few years, hitting $7-8 billion by 2025. Previous estimates released suggested revenue of $5 billion by 2025, so it’s clear that the market is continuing to expand even faster than previous expected.
Caution required
Although there are clear and multiple opportunities presenting themselves within the US sports betting market, investors were quick to warn that not every operator will succeed. Huge costs relating to the acquisition and retention of customers will eat into profits and this along with intense competition could mean that many simply don’t survive.
Another hurdle that many panellists would continue to present a problem was the difficulty with crediting funds to accounts. Credit card companies in the US refuse to allow gambling transactions and this has hampered the ability of some to be able to bet. Approximately 30% of betting transactions in the US are financed from credit cards compared to 80% of bets in Europe. This could be changing in Europe however, as many countries are exploring whether a ban on credit cards in casinos would be appropriate and helpful in combating gambling addiction.
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