Sweden bans 3 gambling operators: Are regulators doing enough?

Stringent regulations across a host of regulated iGaming markets worldwide can make it challenging for operators to launch and conduct their business in these markets.

However, it is essential that player safety comes first and that both operators and regulators are protecting those who gamble.

But just how effective are gambling authorities? Do they uphold their regulations? What are the consequences for operators who fail to comply?

We’ve examined a few cases below to determine whether gambling authorities truly protect players.

Operator bans in Sweden

Spelinspektionen (Swedish Gambling Authority) has recently taken action against operators for illegal activity. As a result, three companies can no longer accept bets.

EOD Code SRL, Igloo Ventures SRL, and MIBS NV have all been banned due to illegal marketing practices. All three are unlicensed in Sweden but were found to target Swedish players through banners on affiliate sites and social media platforms such as Instagram and Twitch.

The National Audit Office had previously condemned Spelinspektionen for failing to keep up with their inspections and follow-ups. The recent bans demonstrate the authority's improvement in enforcement.

What is the significance of the ban?

The ban proves that Spelinspektionen takes player safety very seriously and is making improvements in upholding regulations.

Even the presence of gambling adverts alone can encourage people to gamble, so marketing to Swedish players despite not holding a licence from the authority is unacceptable.

Gambling at sites that do not hold a licence is incredibly risky for players. This may result in your winnings not being paid out, playing under unfair terms and conditions, and your personal data being leaked.

Playing at unlicensed casinos means you will not be protected by regulatory authorities and their regulations.

United Kingdom Gambling Commission promotions ban & wagering cap

Starting in December 2025, UKGC-licensed operators will no longer be able to offer mixed product promotions. This means that combined casino and sportsbook offers will be banned.

Another pivotal change will see a 10x wagering cap on all bonuses introduced. The standard wagering requirements are between 30x and 40x the bonus and/or deposit amount. However, they can be set as high as 60x or even higher.

High wagering requirements can be misleading. Casinos will focus on promoting significant bonus funds for players, often burying the playthrough restrictions in the terms and conditions.

As a result, players may not end up with any winnings at all because they’ve had to wager the funds a significant number of times. It also extends the gambling session, which could encourage harmful play.

What is the significance of the ban?

It should create more transparent bonus offers for players. A 10x wagering cap means users will be more likely to receive winnings when using bonuses, thus creating fairer and more realistic terms.

The ban on cross-promotional activities will also make bonus offerings more transparent for users. However, it may reduce operators' bonus revenues. This is in line with safer gambling recommendations.

It is encouraging that regulatory authorities continue implementing measures that better protect players.

Credit Card bans in the U.S.

The UKGC prohibited depositing using credit cards at gambling sites in April 2020. This is not a new regulation for authorities, but not all have the same limits in place.

When sports betting was legalised across 13 U.S. states in March 2020, it did not impose a ban on credit cards.

The Illinois Gaming Board (IGB) has now proposed new rules to ban credit cards for sports betting deposits. This would follow Massachusetts, Iowa, and Tennessee, which have already banned the use of credit cards for gambling deposits.

Pennsylvania also introduced a bill that prohibited the use of credit cards to fund gambling accounts last year.

What is the significance of the ban?

Credit card deposits encourage problem gambling behaviours as players are using money that they don’t have. This can have detrimental effects, increasing debts.

Regulators have been effective in implementing bans. For example, the Iowa Racing and Gaming Commission has a track record of handing out fines to operators that accept credit cards. In 2022, BetMGM and Elite Hospitality were both fined $60,000 for credit card violations.

It’s encouraging to see that other regulatory boards across the U.S., such as the IGB, are also banning credit cards. This will help protect players from accumulating excessive debts and reduce the chances of spending outside their means.

Effectiveness of regulators summarised

The most recent bans imposed in Sweden are encouraging, and it is clear that authorities are clamping down on illegal activity.

Moreover, with the continued regulatory changes in the UK, it is good to see that authorities are introducing new measures regarding consumer safety and responsible gambling.

While credit card bans aren’t a new legislative change, it’s promising to see that more gaming boards are prohibiting their use for deposits. Not only that, but they are enforcing these regulations with fines, particularly on major operators such as BetMGM.

The hope is that more innovative changes can be implemented worldwide and that other regulatory authorities will follow rules like those set by the UKGC regarding cross-promotion and wagering caps.

This will not only protect the longevity of the gambling industry due to greater safety and transparency but also continue to foster healthier relationships between users and gambling.