Why Gambling Product Bans, and Regulations are Important to Watch

Written By Michael Whitlatch

KSA bans LCS products in the Netherlands

Licensed game operators have been waiting for the new Minister of Legal Protection, Mr. Francis Weerwind, to announce a new strategy to provide more protections in the gambling industry and reduce vulnerability among Dutch citizens.

KSA, the Dutch gambling authority, has ordered a Malta-based online casino group to immediately comply with its jurisdiction and cease and withdraw its Dutch market activities. KSA issued a cease-and-desist order for any gaming websites that violate the KOA Act. KSA warned that they would sanction LCS Limited €55,000 per week. The Netherlands agrees with KSA’s decision to take restrictions on brands with Dutch customers.

Licenced by the Malta gambling authority, LCS Ltd operates the online casino portfolio of Sven Play, Lapilanders, and Sons of Slots. As the warning read, KSA established that LCS Limited offers games of chance to Dutch consumers through one website. The board of directors of the Gaming Authority have instructed LCS Limited to stop offering games of chance for which no license has been granted under the Gambling Act.

The KOA Act rules allow LCS Limited to appeal the order by KSA.

KSA’s enforcement actions found a major boost when the KOA Regime was introduced 1 October 2021. With Chairman Rene Jansen at the helm, the penalties for unlicensed operators became much tougher.

Internet Gaming Growth Globally

Low-cost mobile apps and digital payment methods have improved the online gambling market for players and operators. There is also a large cross-section of gambling websites, increased registration of players and trends in favorable laws that provide opportunity for both casino operators and players in the future.

The recent growth has been driven by access to abundant opportunities due to higher disposable income, the high frequency of gambling websites increasing registration, rising popularity of online digital payments, an increase in available smartphones with improved internet connectivity.

Challenges from global recession, government limits on addiction recovery rates, demographic changes, security issues all threaten the expansion of the industry going forward.

What Does This Mean?

In the case of the KSA placing orders of cease-and-desist, Chairman Jansen getting tougher on operators; these are steps that empower any future actions from any government or gambling commission. The precedent-setting will become the trend, and ultimately there will be an even bigger shift towards grey and black market casino operations. Even though on the surface, the actions, fines, and new regulations that are happening in a number of countries, will make gambling safer, but ultimately it is a culling of gambling operators, affiliates, and ultimately the fulfillment of a cash grab from governments.