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Compliance Updates

EGBA Pitches ‘Online Gambling 2.0’ To European Commission

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EGBA Pitches ‘Online Gambling 2.0’ To European Commission
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The European Commission’s guidelines on consumer protection for online gambling have failed to achieve their primary objective and should be replaced with new attempts at harmonisation, the European Gaming and Betting Association (EGBA) has told European lawmakers.

 

Commission Recommendation 2014/478/EU was designed to establish a high bar of minimum consumer protection standards across Europe. However, varying national interests and the recommendation’s voluntary nature have seen it unable to achieve its primary aim, said researcher Dr Margaret Carran and the EGBA at an event held at the European Parliament on Tuesday.

The trade group said it wants to encourage a “high level of consumer protection” across Europe and see national gambling authorities provided with a “coherent cooperation framework”, something it believes the commission’s recommendation has failed to achieve.

Other aims include having the compliance of national gambling regulations with EU law “fully enforced” and for regulated online operators to be able to offer their services “without undue administrative burdens”.

The European Commission controversially announced in December 2017 that it was dropping all online gambling enforcement cases, leaving key decisions about compliance with EU law to the national courts.

As of now, the EGBA is calling on the commission to “urgently” review the implementation of its recommendation, according to a manifesto entitled “An EU framework for Online Gambling 2.0″.

“If we think they [the European Commission] wanted to achieve harmonisation, the recommendation has not done so. State-to-state regulations are extremely divergent. Even if regulation appears to be similar, in detail they are still very different,” said Carran.

She added that although the recommendation has produced some positive results, it has been unsuccessful in its “nudges” to encourage member states to enforce it.

Discussing the report with GamblingCompliance, Carran said: “This issue of inconsistency must be highlighted for both the consumer and operators.

“As of now there is no consensus on what the regulatory balance should be. Some countries might see enforcement issues such as advertising as beneficial to their state, but others do not.”

“There are various issues in creating a European consensus, but this is what is required in order to create consistent regulation across gambling markets,” she said.

Despite the recommendation being voluntary, Belgium went so far as to launch a legal challenge to block it, highlighting the difficulty of establishing any regulations that would be enforceable across the EU.

However, as recently as last month, Belgian Gaming Commission director Peter Naessens was chosen as the head of a CEN standardisation project that would introduce similar voluntary guidelines for online gambling reporting.

The project is seen by the EGBA and other trade groups as another method of pushing the European Commission towards harmonisation, with an eye towards European elections and a new commission next year.

However, Carran said she does not believe that “voluntarily there is any chance” of achieving continental consistency in online gambling regulation.

As it stands, consumer protection still varies greatly from state to state in Europe. Even fundamental issues such as minimum gambling age have not yet been agreed across the continent.

“We are experiencing a digital revolution. Online gaming companies have extra responsibility for players and consumers, especially for the population of problem gamblers,” said Jesper Kärrbrink, the CEO of Mr Green, also speaking at the event in Brussels.

“We need corporate leadership and regulations that reflect the digital world we are living in. We are one of the few industries that are asking for more regulation, our customers should have more protection than other consumers. This is not the case today,” he said.

Maris Bonello, head of player sustainability, research and integrity for Kindred Group, echoed Karrbrink’s sentiment, claiming a “practical level playing field for online gambling regulation is needed”.

The call for more regulation did not go unheard, garnering a response from European commissioner for justice Vera Jourova.

“It’s not very often to hear we want more regulation, but we have to do smart and proportionate regulation. We do not want to over regulate. But, online must not become a jungle,” said Jourova.

However, she was reluctant to commit to the introduction of additional European online gambling regulation, instead insisting that countries should simply apply existing laws, as the “rules are still relevant”.

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Compliance Updates

MGA Issues First ESG Code Approval Seals to Licensees

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The Malta Gaming Authority (MGA) has awarded its first-ever ESG (Environmental, Social and Governance) Code Approval Seals to licensees in the online gaming sector, marking a milestone in the Authority’s commitment to promoting responsible and sustainable industry practices.

This initiative follows the launch of the voluntary ESG Code of Good Practice last year, which invited licensees to submit their ESG disclosure returns. The Code, which covers 19 topics categorised under Environmental, Social and Governance pillars, offers a strategic roadmap for online gaming companies to streamline their reporting efforts.

Following the first annual reporting cycle, 14 gaming operators have been awarded the ESG Code Approval Seal. The Code supports two levels of reporting: Tier 1, which establishes foundational ESG standards, and Tier 2, which represents a more aspirational approach.

Seals are valid for one year, with flexibility for renewal in the subsequent reporting period, allowing operators to advance or adapt their reporting tier year by year.

“We believe this initiative will significantly enhance the industry’s reputation and sustainability credentials,” MGA CEO Charles Mizzi said.

“By integrating ESG considerations into their operations, gaming companies not only contribute to the wellbeing of society and the environment but also strengthen the trust and confidence that consumers, investors, and regulators have in the industry. This initiative sends a clear message: sustainability, in the broadest sense of the word, is integral to the future of the gaming sector.”

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Compliance Updates

Turkish Football Federation to Penalise Clubs Promoting Illegal Betting

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The Turkish Football Federation (TFF) has introduced new regulations to crack down on illegal betting advertisements in professional football.

According to the TFF, clubs found violating the new rules will face fines and, in case of repeated offenses, the deduction of points.

Under the updated guidelines, any club in the Turkish Super League involved in unauthorised betting promotions will face a tiered penalty system.

The first violation will result in a fine of 2 million Turkish Liras (around $58,000), and the second offense will incur a 5 million lira fine and a third violation will see the fine increased to 10 million liras. For subsequent breaches, clubs will be fined 10 million liras for each offense, along with a three-point deduction from their league standings.

“It is forbidden to promote or advertise betting organizations not licensed by competent authorities. This includes any media, billboards and other equipment used within stadium,” the TFF stated.

The TFF emphasised that the ban also applies to entities affiliated with these betting organisations, including those involved in promoting and advertising activities in a way that suggests endorsement of illegal betting.

The global scale of the illegal betting market is staggering, with the United Nations Office on Drugs and Crime estimating its worth at $1.8 trillion. In Türkiye alone, the sector is projected to exceed 100 billion liras, according to the Financial Crimes Investigation Board.

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Compliance Updates

Aviatrix lands in the Netherlands

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Aviatrix lands in the Netherlands
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Aviatrix, the award-winning crash game, has received its certification in the Netherlands, meaning Dutch players can enjoy the popular title for the first time.

The certification in the Netherlands opens up yet another important regulated market for Aviatrix, which was recently named ‘Game of the Year’ at the EGR Operator Awards 2024.

Gross gaming revenue in the Netherlands hit €1.39 billion in 2023, and is expected to continue to grow over the coming years.

Dutch operators will now be able to capture this growth via Aviatrix’s innovative title, which is proving hugely popular in regulated markets worldwide.

Anastasia Rimskaya, Chief Account Officer at Aviatrix, said: “The Netherlands has been on our radar for some time, so this is a big day for us here at Aviatrix. We can’t wait to see Dutch players enjoying the title, and we will be working closely with some very special partners in the Netherlands to ensure this game is widely available very soon.”

Part of what makes Aviatrix so successful is the constant updates to the game, which keeps it fresh and exciting for players.

This has included a full redesign with new, 3D assets, as well as a first-of-its-kind free bets function via in-game promo codes.

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