- Dutch gaming regulator Kansspelautoriteit passes first stage of legalizing the industry
- Responsible gambling to play a major role in the overall
- Bad actor rule will probably apply after a potential legalization
The Kansspelautoriteit Closer to Legalizing iGaming in the Netherlands
The Dutch gaming regulator the Kansspelautoriteit (KSA) is known for its proclivity to issue severe penalties on operators that have been coloring around the lines of a non-existent and yet somewhat sternly applied code – the “bad actor” rule.
While the KSA has been bickering with some of the most respected brands in iGaming, including William Hill, the body hasn’t overlooked its main responsibility – coming up with a framework that will bind all iGaming operators.
The KSA has embarked on an ambitious quest that encompassed several cities including Amsterdam, Eindhoven, Utrecht and Zwolle. The KSA spoke to numerous health experts, game providers, and iGaming businesses – both local and from abroad.
The upshot is the conditional approval for a legalized iGaming industry, but the KSA is still reluctant to share too much information about how any future framework would work. As a result, gaming providers should exercise caution and take the developments moving forward with a grain of salt.
It’s All About Being Open in Dutch iGaming
The KSA will insist that any business planning on launching operations in the Netherlands will have to be upfront about the chance of the customers actually winning, backing everything with statistical data. All chances for a potential win would be displayed in a clear and concise matter and non-for-profit gambling help lines will be established.
In addition, the regulator will insist that special measures are taken to limit any opportunity for players to develop addictive behavior. There will be special measures for oversights designed to control players aged between 18 and 23.
None of this is of course carved in stone and it’s a preliminary overview of what a legalized gambling industry in the country might look like. A lot more will need to be done before the KSA is satisfied with a final draft for a legal framework.
One specific thing that needs to be addressed is the “bad actor” rule which is certainly upheld in fullest by the KSA. The rule basically wants to ban any operator that has been offering gambling products without a proper license – an impossibility given the unregulated status of iGaming.
It seems likely that the bad actor provision will apply in full force even after the KSA has regulated the market, something that will give a competitive edge to some brands and cut other off a new and potentially vibrant market altogether.
Apart from William Hill, the KSA has fined Casumo and Casino.com in 2019 so far, slapping them with up to $450,000 in fines.