Wednesday, December 11, 2024

Dutch Regulator Sanctions Winbet for Offering Illegal Gambling Services


Kansspelautoriteit (KSA), the Netherlands’ Gaming Authority, has issued a sanction against Winbet N.V. for operating illegal gambling services in the country without a license. According to Dutch law, offering games of chance without authorization is forbidden, and the KSA is actively working to enforce these regulations. Winbet will face a substantial financial penalty if it fails to stop its unauthorized activities.

Winbet Freely Accepted Dutch Customers

According to the KSA’s investigation, Winbet facilitated illegal gaming through websites like galaxyspins.com, winnercasino1.bet, superb1.bet, and doctorspins.com. The regulator has imposed a penalty payment of €280,000 ($302,500) per week, which can accumulate up to a maximum of €840,000 ($907,600) if the violations do not cease.

The KSA discovered that none of the websites had the necessary technical restrictions to prevent Dutch users from registering accounts, depositing funds, and participating in illegal gambling activities. This lack of compliance with Dutch regulations is a significant violation, as all gambling operators wishing to offer their services legally must obtain a license.

The KSA Remains Vigilant Against Illegal Gambling

Despite efforts to crack down on illegal operators, unlicensed gambling remains a persistent issue in the Netherlands. Recent reports indicated that while 95% of all gaming accounts are with regulated operators, the remaining 5% of players who use illegal platforms still spend disproportionately high amounts. This data has raised significant concern from industry representatives who advocated for more balanced regulations.

The KSA has been ramping up its efforts to combat illegal operators targeting Dutch gamblers. Just days before the sanction against Winbet, the regulator also fined another operator, BlockDance BV. The company allowed Dutch nationals to gamble on its websites, bc.game and bcgame.lu, without proper licensing. Like Winbet, BlockDance received a similar penalty structure: €280,000 per week if it doesn’t comply, up to a maximum of €840,000.

An order under penalty is often enough to quickly stop illegal offers. Providers can also be fined for the period during which illegal offers were available.

KSA statement

Growing concerns about gambling’s social impact have led some legislators to consider severe measures like an all-out ban on iGaming and gambling advertisements. However, industry representatives warn that overly strict regulations can have the opposite effect, driving customers away from legal offerings and towards the black market, where they will have almost nonexistent customer protections.

Despite ongoing debates on how to best handle the Dutch gambling sector, the KSA remains committed to ensuring that the online gambling market in the Netherlands remains regulated and that players have adequate protection from unlicensed operators. The regulator remains vigilant against illegal gambling offerings in the country.



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