Regulatory updates in Finland and Sweden, EBET to liquidate B2C assets

Starting with Finland, the Ministry of the Interior has published a new draft bill outlining how the monopoly enjoyed by Veikkaus over online casino and sports betting will be broken up in the country.

Regulatory rumbles

The measures that are envisaged as part of the changes include the limitation of gambling advertisements through social media influencers, but crucially – switching to a license-based model, which will allow private companies to compete for a share in the market.

The proposal also contains a section that outlines that Veikkaus is only able to channel 50% of all digital gambling that happens in the country. Veikkaus will remain the de facto monopoly in scratch cards and lottery games, however.

Meanwhile, the Swedish Trade Association for Online Gambling (BOS) and its Secretary-General, Gustaff Hoffstedt, have taken to DN Debatt, one of Sweden’s biggest debate sites, and published a detailed criticism of the government’s measures in re-regulating the gambling market in the country so far.

He lambasted the government for acting high-handedly, citing the latest increase of the gambling rate to 22%, and arguing that the government and regulators have failed to nurture the regulated industry, weighing it down with overreaching and detrimental measures that have empowered the offshore market instead.

Alphabet-owned search engine Google has issued a new update in which it confirmed that it would now allow suppliers of lottery courier services and daily fantasy sports to advertise using the search engine’s advertisement ecosystem in the United States.

Understandably, there will be a set of criteria that need to first be satisfied, such as obtaining a certification by Google, but also holding a license in the jurisdictions covered by the new advertisement rules.

The business scoop

EBET is set to auction off its B2C assets which it bought from Aspire Global several years ago for the sum total of €135m. Karamba, Hopa, BetTarget, GenerationVIP, Dansk777, Scratch2Cash and Griffon Casino are all being sold by Hilco Streambank, which is accepting bids for the auction by July 31.

EBET is also litigating with Aspire Global, arguing that not all the full details surrounding the B2C brands were disclosed when the deal was signed in December 2021.

An ongoing saga that involves DraftKings and popular sports bettor Gadoon "Spanky" Kyrollos has taken a new turn after it was revealed that the anonymous plaintiff who lodged the case against the sports betting company was the lawyer himself – Steven Jacobs.

Jacobs claims to have been assaulted by at least one person connected to Spanky after DraftKings had allegedly leaked his personal information to the sports bettor to whom he supposedly owed money. Spanky has issued a rebuttal in which he claimed that Jacobs was a problem gambler with whom he negotiated an intermediary service whereby Jacobs would bet on Spanky’s behalf.

At one point – and after Jacobs had failed to repay money to Spanky – the bettor suggested that he could get information from DraftKings about what really had happened to money Spanky offered Jacobs to bet with on his behalf (he was bluffing to gauge whether Jacobs had really been truthful).

This and following the alleged assault against Jacobs prompted him to seek legal recourse against DraftKings which he blames for the attack.

Responsible for gambling and casino’s promotions

In the meantime, New South Wales has urged parents to play a more involved role in helping their children steer away from harmful practices such as gambling.

Based on extensive research conducted by GambleAware, the government of NSW said that adults’ personal example and involvement could have a significant impact on whether children are exposed to or get involved with gambling.

A Pennsylvania lawmaker wishes to do more in order to protect vulnerable consumers from seeing gambling-related ads. Senator Wayne Fontana and a number of fellow lawmakers in the Keystone State have urged the local government to inscribe it into the existing gambling framework that self-excluded punters must not be targeted by gambling ads.

Speaking of how casinos advertise, a new study by UNLV’s Harrah College of Hospitality suggests that free play promotions are a bit of a wasted effort for casinos as the amounts offered have diminishing returns. A $5 free play promo could have the same impact on loyalty and hospitality as $15.

However, taking away free-play promos might actually drive 20% of consumers away from the property. Then, there is Casino Guru’s Complaint Resolution Center which has been able to stay at the very front of satisfying player complaints.

The Center has posted a series of milestones this year alone, resolving 2,078 complaints so far into 2024 as of this week and with 867 complaints currently in progress. Casino Guru has been able to recover and return $11,279,425 to players, far eclipsing competitors such as Casinomeister, which has so far returned $1,200,000.

Events and industry chatter

If you are looking forward to big events in the gambling industry, we definitely want to draw your attention to the upcoming iGB Amsterdam which is due to reunite more than 9,000 attendees and take place on July 16-19 at the RAI Amsterdam, the Netherlands.

In the meantime, SBC Summit 2024 has outlined its Sports Betting Zone in some detail for the upcoming September 24-26 at Feira Internacional de Lisboa. The event is due to reunite 25,000 attendees, so make sure you have it on your calendar.

Then, there is our recent conversation with Danuta Janicka-Mierzwa, Deputy Head of Sales at BETCORE. In a detailed op-ed, Janicka-Mierzwa broke down the regulatory climate in Peru and what iGaming operators and suppliers can expect locally.

Not least, we had the chance to catch up with Blask CEO & Co-FounderMax Tesla, who spoke about the launch of the company’s new AI-driven marketing product designed to simplify the data routine and empower C-level executives to make bold decisions.

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