Dutch Gambling Authority Redefines Bonuses, Immediate Enforcement Impact

The Dutch Gambling Authority (KSA), has undertaken a thorough investigation to redefine the terms covering bonuses in the online gambling sector, especially focusing on the concept of 'bonus based on loss.' This clarification aims to bring greater transparency and adherence to the Dutch Gambling Act.

Immediate Enforcement

The revised report, effective immediately, tags all forms of bonuses based on loss as incompatible with Dutch regulations. The KSA asserts its authority to handle and monitor these bonuses to ensure compliance within the gambling industry.

Cashback bonuses, a dominant feature in online casinos, operate on a loss-based model, where players get back a part of their losses after gaming sessions.

However, this feature will not be available in the Netherlands moving forward. This includes features such as bonuses, due to potential risks and increased gambling behavior were crucial.

The KSA, acting on its investigative conclusions, has administered a legal notice to a license holder found offering cashback bonuses. Simultaneously, two other approval holders received letters from the regulator, outlining its stance on various bonus structures, especially those compensating for losses in ways beyond direct cashback.

Regulatory Vigilance

These regulatory measures underscore the KSA's promise to maintain a secure and responsible online gambling environment. By clarifying and enforcing the definitions of bonuses, the authority aims to mitigate potential risks associated with certain promotional practices and foster a safer gambling environment in the Netherlands.

With regard to these loss-based incentives, KSA Chairman René Jansen stated: "This encourages excessive participation. Players bet higher, take more risks and play more often. At the KSA, the interests of players are central. A safe gambling market and the prevention of gambling problems are high on our agenda. To protect players even better, we immediately clarify the definition as a basis for strict supervision. Any bonus that is in any way linked to a loss is prohibited."

Source:

''KSA investigation prompts stricter measures on loss-based bonuses'', gamblinginsider.com, February 2, 3034.