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22/03/2023

Online Casinos in the Netherlands: Preparing for Player Limits

The Netherlands is no longer a “grey market” for the online gambling sector. Many multinational businesses have leaped at the chance to compete for the profitable Dutch market. However, CasinoScout.nl and other Dutch online casino industry experts fear that with the new laws on player limits, a new grey market may be opening up. 

Opening the Dutch Market

The Remote Gambling Act states that as of April 2021, online casinos are permitted in the Netherlands (Wet Kansspelen op afstand, Koa). Operators are required to have a license from the Netherlands Gaming Authority (Kansspelautoriteit or Ksa).

The Dutch online gambling sector officially launched in October 2021. Before 2021 offering casino games online was illegal. Land-based casino games were offered by the so-called “Speeljallen” and by the Dutch government-owned casino chain.

The Netherlands Gaming Authority has already given an operational license to 24 companies. All casino operators in the nation are subject to extra regulations, including recruitment, advertising, and responsible gambling procedures under the Act.

Why the Laws Changed

The main issue with the former monopolistic arrangement, and the basis for all the behind-the-scenes litigation, was that it violated all EU (European Union) rules. 

According to the EU, if an EU member doesn’t allow an online gambling firm established in another EU nation to get a local license, the government cannot ban these websites, and they also cannot prosecute or sanction these companies for admitting players from that country.

Since the Netherlands is a member of the EU, the gambling regulations of the EU and the Netherlands apply. The Netherlands' online gambling industry is now EU-compliant. This is a result of recent improvements. 

The Netherlands government is thinking about making maximum deposit restrictions for online casino players mandatory. According to NOGA (Netherlands Online Gambling Association) and CasinoScout.nl, such tightening measures as player restrictions might be implemented as early as the end of 2023. 

This is to safeguard customers from overspending. Dutch politicians have previously banned gambling advertising and promotions, mainly because they were showcasing role models like sports stars and other celebrities.

2023 Online Casino Player Limits

The Dutch consumer protection legislation is generally in line with those of many other European countries, but the present lack of spending limitations may leave a gap in the Netherlands' consumer protection policy. 

To address this, it’s expected that the Dutch government will introduce draft legislation that will establish a maximum deposit ceiling. Then it follows Belgium's lead, where players can request limit hikes if they can show they have the necessary financial means. The precise amount of the deposit limit, and whether it'll be a daily, weekly, or monthly sum, has yet to be determined.

What Do Player Limits Entail?

While online gambling was just recently legalized in the Netherlands, there are presently no deposit limitations. In the Netherlands, it’s now mandated by legislation that these boundaries be filled in freely by participants. 

As for compulsory player limitations, three ideas are currently being studied. These are:

  • Overarching Constraints

  • Strict Upper Limits

  • Framing Behavioural Science

According to experts like René Janssen and CasinoScout.nl Senior Editor Fabian Neidig, overarching constraints aren’t practical. This is because privacy hurdles impede the successful application of these limits. The government is investigating the consequences of upper limits per provider. They're intending to guide gamblers to make smarter choices in the future through fixed values.

What Are Other Countries Doing in Terms of Player Limits?

Most nations have set voluntary or mandated playing limitations by law. These restrictions often apply to deposit and loss limits. The maximum amount is constrained by rules governing daily, weekly, or monthly restrictions. Plus, half of the nations have a required monetary cap. 

Several nations demand that casino operators contact and investigate patrons whose loss limits exceed a predetermined sum. Overall, there are significant differences across the nations. It’s based on the laws governing the duty of care and inquiry. Plus, the establishment of voluntary or mandated playing limitations.

A Detrimental Rise in the Grey Market

While all the above regulations have been implemented or proposed, it’s in the best interest of safeguarding consumers. So, it’s likely that they could only make room for a new ‘grey market’ in the Dutch gambling industry. 

The limitations imposed on Dutch online casinos could lead players to join unlicensed online casinos. This is due to the fact that there are no limitations at these establishments. Consumers may see the positives in these unlicensed casinos because they don't have player limits and limited KYC (Know Your Customer) requirements. Plus, they may offer bigger bonuses.

About CasinoScout.nl

CasinoScout.nl is your guide to the Netherlands' online gambling industry. The purpose of CasinoScout.nl is to provide visitors with a comprehensive overview of all online casinos available in the Netherlands. This includes information on their licenses, bonuses, security, wagering requirements, and game selections.

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