Clear rule of the Gaming Authority regarding online gambling

Since the approval by the Senate of the new bill of Minister Dekker regarding the new Act on Remote Gaming, the applications of companies who want to qualify for a license to offer online gambling are pouring in.

Already more than 175 applications and that while the policy rules still had to be made. Today, Friday, July 12, 2019, a draft policy rule was published by the Kansspelautoriteit, also known as KSA.

KSA: Two years not focused on the Netherlands

In this policy rule, the Kansspelautoriteit has stated that an applicant for a license must have refrained from offering an offer aimed at Dutch consumers for two years prior to the date of submission of an application for a gaming license. In addition to this draft policy rule, applicants are also subjected to a Bibob test. This is all to test the reliability of the license applicant, so that consumers will soon be able to play at a reliable online casino.

Besides the two-year abstinence from the Dutch market and the Bibob test, there are other requirements. Those requirements mainly relate to business operations, addiction prevention and finances.

Criteria for licensing

The Postema motion, which was simultaneously adopted by the Senate, states which criteria are considered in an application:

  • Did the provider use the Dutch language?
  • Did the website(s) on which the games of chance were offered contain one or more features from which it could be inferred that they were aimed at the Netherlands?
  • Was there a website with the extension .nl?
  • Did the provider use payment methods that are exclusively or largely used by Dutch people? For example, iDeal.
  • Did the provider advertise on TV, radio or in printed media, aimed at the Dutch market?
  • Did the provider use one or more domain names with typical terms referring to the Netherlands in combination with gambling indications? Clogs, windmills and the like.

If an applicant is guilty of any of the above criteria, in principle he will not be issued a licence. The Games of Chance Authority looks back over a period of two years prior to the date of submission of the application.

Safety above all

The purpose of the Remote Gambling Act is to create a reliable, consumer safe environment for online gambling. By turning a blind eye and applying the criteria of the Postema motion, a number of existing online casinos have the opportunity to apply for and receive a license. Thus, the KSA and thus the government expects to start the market stable and reliable. It is expected that the rules will be tightened considerably towards 2021.

Target date January 1, 2021

At the moment the KSA is busy giving hands and feet to the total licensing process. The Remote Gaming Act is currently being developed into lower regulations by the Ministry of Justice and Security. As soon as these are ready, the expectation is that the KSA can make the final licensing conditions. The wish of all parties is that the applications can officially be submitted from 1 July 2020. If that can be achieved, it is expected that the online gambling market will open on January 1, 2021.