The Netherlands Gambling Authority, known as de Kansspelautoriteit (KSA), has recently issued formal warnings to three gambling operators for breaching new sponsorship regulations that came into force on 1 July. Under these regulations, gambling sponsorship in television programs and events is banned, with an exception for sports sponsorship, which will only be allowed until 1 July 2025. However, even within sports, companies must ensure that vulnerable groups, such as minors and young adults, are not targeted by their sponsorship activities.
Incident Reports: Sponsorship Violations
The KSA highlighted three recent incidents where gambling companies fell short of compliance:
- Expired Event Sponsorship
After a sponsorship deal expired, a national event organiser continued displaying the gambling operator’s logo beyond the 1 July deadline. The operator swiftly responded to the KSA’s warning and removed all branded materials from the event. - Exposure to Minors at a Sporting Event
In another case, a major sporting event sponsored by a gambling company inadvertently exposed its branding to children and young adults participating in pre-event activities. The KSA reminded operators to take responsibility for ensuring their advertisements do not reach vulnerable groups. - Gambling-Branded Merchandise for Children
In the third incident, an online sports shop was found selling gambling-branded T-shirts, including sizes for children, as part of a sponsorship deal with a popular athlete. Upon receiving the KSA’s notification, the operator removed its logo from children’s sizes to prevent exposure to young audiences.
Ensuring Compliance with Third-Party Partnerships
The KSA emphasized that gambling companies must actively manage third-party sponsorship activities and maintain strict oversight to ensure regulatory compliance. The authority warned that further violations could lead to more severe penalties, urging companies to establish clear guidelines with their partners about the display and distribution of sponsorship materials.
Enforcement on Illegal Gambling: NetX and Winbet Fined
In a separate enforcement action, the KSA imposed significant penalties on two companies, NetX Betting Limited and Winbet, for operating illegal gambling services accessible to Dutch residents.
NetX: Repeat Offender
NetX Betting Limited was fined €675,000 for allowing illegal online gambling on two websites, pferdewetten.de and betbird.com, without any measures to block Dutch users. This is a repeated offense for NetX, highlighting the KSA’s commitment to cracking down on illegal providers.
Winbet Faces Weekly Penalties
Similarly, Winbet faced fines of €280,000 per week, with a maximum penalty cap of €840,000, after a KSA investigation revealed illegal gambling activities on four websites. Despite regulations, Dutch users could freely create accounts, deposit funds, and gamble on these platforms.
Global Gambling Industry Fines in 2024
With recent fines, global penalties for gambling regulation violations have topped $103.1 million in 2024. Australia currently leads in enforcement, contributing nearly $55 million in fines to the global total.
The Netherlands’ gambling landscape is undergoing a significant transformation as the Kansspelautoriteit (KSA), the country’s gaming authority, ramps up efforts to protect players. In a move welcomed by the online gambling sector, the KSA has launched a specialized unit called Duty of Care Online, aimed at intensifying scrutiny of online operators’ responsible gaming practices.
This development comes on the heels of a revealing probe conducted in September, which exposed considerable inconsistencies in how ten online gambling providers interpreted their duty of care responsibilities. Reacting to these findings, the KSA has broadened its Responsible Gaming policy, expanding its oversight of online operators.
New Unit to Spearhead Enhanced Oversight
The Duty of Care Online unit is set to conduct extensive investigations into providers showing notable discrepancies in control data and respond to player-reported issues. This team will be tasked with ensuring compliance with updated duty of care and policy regulations designed to better identify and mitigate gambling addiction risks.
KSA Chair Michel Groothuizen underscored the significance of this initiative, stating, “Our annual plan and the Supervisory Agenda 2024 clearly prioritize duty of care compliance. This new unit strengthens our supervisory capabilities and aligns with our ‘playing safe’ mission.”
Brick-and-Mortar Venues Also Under the Microscope
The KSA’s efforts extend beyond the digital realm. Recent inspections of 20 gaming halls across the Netherlands revealed that while most establishments recognized their duty of care, there was room for improvement in implementation. The authority noted that many venues were aware of regular players’ circumstances and behaviors but lacked effective intervention strategies.
Upcoming Protective Measures
New player protection measures will be introduced in October, including monthly deposit caps of €300 for players aged 18-24 and €700 for those over 24. The KSA plans to use its findings to enhance duty of care practices in gaming halls nationwide.
Areas identified for improvement include establishing maximum playing times at 24-hour arcades and enhancing monitoring of excessive gaming behaviors. The KSA has communicated specific improvement points to inspected gaming halls and plans to issue comprehensive guidance to all permit holders later this year.
Industry Response
The online gambling industry has expressed support for these initiatives, acknowledging the crucial role of robust player protection measures. Under Michel Groothuizen’s leadership, the KSA is set to make substantial progress in safeguarding players across both online and land-based gambling platforms.
As these changes unfold, the Dutch gambling landscape is poised for a safer, more responsible future, balancing the industry’s growth with enhanced player protection.
Certification and Market Expansion
EvenBet Gaming, a prominent online gaming provider, has recently expanded its operational reach to the Netherlands after acquiring a critical certification from the Dutch Gaming Authority, Kansspelautoriteit (KSA). This certification, following a rigorous technical assessment by BMM Testlabs, permits EvenBet to offer its poker and card games to regulated operators within the Dutch market. This development allows licensed operators to incorporate EvenBet’s gaming solutions and a customer relationship management (CRM) system to efficiently manage poker tables and clientele.
Leadership Perspectives
Dmitry Starostenkov, CEO of EvenBet Gaming, expressed his enthusiasm about this milestone, stating, “Receiving a Dutch certification marks a significant moment in EvenBet’s history. It underscores our commitment to operating within stringent regulatory frameworks to deliver a superior gaming experience to players. This expansion is a testament to our broad commercial strategy and our delight in joining a market that has limited but dedicated game development providers.”
Regulatory Adjustments in the Netherlands
Concurrently, the Dutch gambling sector is experiencing shifts in regulatory practices. René Jansen, the outgoing chairman of KSA, announced during his final speech at the Gaming in Holland Conference in Amsterdam, the introduction of a new Online Duty of Care Department. This temporary unit will be dedicated to ensuring online gambling operators adhere to their responsibilities towards players, with new staff being recruited to support this initiative starting September 1st.
The creation of this department is a direct response to incidents of excessive gambling, demonstrating that some operators have fallen short in their duty of care. The department aims to enforce compliance through various measures such as warning letters, fines, and more stringent penalties.
Concerns and Future Challenges
During his address, Jansen also voiced concerns about potential increases in gambling tax and restrictive advertising policies. He argued that such changes could drive consumers towards unlicensed operators, increasing the risk associated with online gambling. Furthermore, Jansen highlighted the challenges of ensuring that online gambling advertisements reach an appropriate audience, citing the current regulation that aims for 95% of such ads to target individuals aged 24 and above.
Looking ahead, Jansen cautioned operators to maintain ethical practices, especially during high-profile sporting events like Euro 2024 and the Paris Olympics, underscoring the regulator’s focus on rapid intervention to curb any regulatory breaches.
Conclusion
As EvenBet Gaming steps into the Dutch market, it joins a dynamic landscape of regulatory changes and challenges. The company’s ability to navigate these complexities will be crucial in leveraging its new certification to achieve sustainable growth and enhance the gaming experience for Dutch players.
