Why most gamblers can’t spot unlicensed casinos

Online gambling has been heavily regulated in Sweden since 2019, thanks to the Swedish Gambling Act. However, nearly three-quarters of Swedish gamblers still can’t tell the difference between a licensed and an unlicensed online casino. While the new laws aimed to create a safer and more controlled gambling environment, this confusion leaves many players vulnerable to potential data theft, stolen funds, and an increased risk of gambling-related harm. 

Similar patterns appear in many other countries, raising a pressing question: How can players stay safe if they can’t tell who’s playing by the rules?

Awareness

Data compiled by spelinspektionen in a recent survey served as a wake-up call for both regulators and players alike. Time and time again, gamblers are being warned to stay safe by only playing at regulated casinos. However, it appears this is easier said than done. For instance, only 27% of 18–19-year-olds in Sweden consider licensing when picking a site.

Around the world, flashy websites and big bonuses often give the illusion that a site is trustworthy. But behind the modern design and bright promises, some casinos operate in legal grey areas or skip the rules entirely.

What’s the attraction?

So why do so many players end up on unregulated platforms?

Often, it's not actually by choice. Many players don’t mean to use unlicensed sites, they just can’t tell the difference. This is made clear by the data from the Swedish gambling regulator. These operators mimic legit casinos with slick ads, fake badges, and tempting offers. They exploit loopholes, use foreign languages and currencies, and fly under the radar in weakly regulated markets. In countries like Sweden, where local rules require sites to serve in Swedish and use the national currency, foreign operators skirt the system by simply switching languages, and players are none the wiser.

Know the risks

Unlicensed casinos may look the part, but they operate outside the law. That means no required payout rates, no third-party audits, no responsible gambling tools, and no legal protection if something goes wrong. While some players knowingly use unlicenced sites to avoid restrictions, many are unaware of the real risks until it's too late.

Watch out for fake sites

Just because a casino looks legit doesn’t mean it is. Unlicensed sites often copy the design, badges, and seals of real operators. While most licensed sites display their regulator’s badge or license number (e.g., from the UK Gambling Commission, MGA, or Spelinspektionen), these signs are not always obvious. The average player isn’t trained to inspect URLs, verify licenses, or cross-reference operators on regulator databases.

Education and enforcement

Regulators around the world have a tough job, especially with cross-border enforcement and legal loopholes. To combat this, real education needs to be provided by gambling regulators and governments. Players should also have access to simple ways to check if a site is legit. At the same time, legal casinos should compete with better products and not just rest on simply following the rules.

How to spot a licensed casino

Whether you're in Sweden, the UK, Canada, or anywhere else, here’s how you can protect yourself from unlicensed operators:

• Check for a license number from a recognised regulator (e.g., MGA, UKGC, Spelinspektionen, KSA).

• Verify the site on the regulator’s official website or license registry.

• A site aimed at your country should support your native language and local payment options.

• Look for responsible gambling tools (deposit limits, self-exclusion, reality checks).

• Avoid casinos that ask for unusual verification documents or offer bonuses that seem too good to be true.

• If a site isn’t accessible after using national self-exclusion tools, it may be unlicensed.

Know who you’re gambling with

The problem of illegal casinos isn’t just a Swedish issue, it’s a global one. As more gamblers move online, the responsibility for safe play is shared between governments, operators, and players themselves. Trusted and licensed casinos offer the closest thing to a fair playing field, but they can’t protect players who don’t even know the rules. The first step? Knowing who you’re really gambling with.