The iGaming market is highly regulated in the interest of consumers. Recently, the Swedish Gaming Authority issued a warning to payment service providers failing to follow consumer the new protection rules.
Spelinspektionen is on the hunt for truant e-banking platforms that work with certain operators that violate the Gaming Act.
Social ills from ignoring regulations
Player risk must be curbed through such illegal activity as money laundering, unfair market competition and social damage.
Entities that carry out financial transactions with unlicensed gaming companies may be committing a serious violation of promoting unlawful gambling in the country, thereby endangering its citizens.
In the words of Patrik Gustavsson, Spelinspektionen’s Head of Operations,
“Payment service providers operating in the gaming market cannot transfer bets or winnings to and from unlicensed gaming companies…”
He reminds us that unregulated gambling has serious consequences for society, for example in form of lost tax revenue and increased vulnerability for problem gamblers.
As part of the attack, Spelinspektionen has banned access to Spelpaus by unlicensed platforms. This is the regulator’s system to opt out of regulated gambling.
The gaming authority is following the re-regulation of the Swedish iGaming market by decreasing revenues of unlicensed operators. It wants to make sure that the majority of income stems from legal sites.
Past actions impact the present
Spelinspektionen has been issuing warnings to gambling companies. Of note, in mid-2019, Betsson and SkillOnNet were penalized with stiff fines. Apparently, they offered too frequent player bonuses like extra spins and free games.
Not long after, the regulator saw fit to jump on AG Communications Ltd and Genesis Global Ltd. The fines for violating bonus regulations topped SEK500,000 and SEK1.7 million, respectively.
Ninja Casino of Global Gaming is one brand that will be allowed back into the Swedish gaming market through Viral Interactive, a subsidiary of Finnplay.
Tobias Fagerlund, its Chief Executive makes it clear that Ninja Casino has enormous value in the local industry.
“It is my belief that Ninjacasino.se is in safe hands with Viral Interactive and Finnplay’s provenly safe and responsible platform, which also places a great deal of emphasis on entertainment and the pleasure of gaming.”