Gamlinked August 2024
By Thadeus Geodfrey
Welcome to Gamlinked, our newsletter covering everything about gambling. As always, we are your leading platform for gaming news and insights. As we project the global gambling market to top $200 billion by the end of the year, we bring you the latest stories, ensuring you don’t miss out. So, what’s in the headlines?
Gamlinked this August, the gambling industry is experiencing transformative changes worldwide. The GGL in Germany has appointed a new chair, Reiner Moser, a significant development. Top online casinos are to become legal in Brazil, and the Finnish government-backed monopoly, Veikkaus, has a new VP. Elsewhere, Softswiss Game Aggregator has launched crash gaming tournaments. In partnerships, news is coming in from Mexico and Sweden as more solutions come up to improve gaming. Last but not least, New Zealand’s SkyCity temporarily closes. Welcome to the run!
GGL Appoints New Chairman in Germany
Gambling Insider reporter Ciaran McLoughlin reports that Reiner Moser is now officially the Chair of GGL. He took this role on 1 July 2024, moving from his previous position as Head of Department for the Ministry of the Interior, Digitisation, and Local Government of Baden-Württemberg.
Moser succeeds Udo Götze, who served as Chair for the past year. The GGL, or Joint Gambling Authority of the German States, has overseen Germany’s cross-border gambling market for 18 months.
Reflecting on his tenure, Götze praised the agency’s achievements. He stated that GGL worked closely with states to create a solid foundation for regulating the rapidly developing digital market. But he acknowledged the challenges his successor will face.
GGL focuses on responsible gambling, preventing addiction, and protecting vulnerable groups. But, overseeing legal operators to ensure compliance is difficult. Under Udo Götze, GGL struggled with enforcing court decisions to block illegal online casinos and betting sites.
In the lead-up to Euro 2024, the GGL, in collaboration with Federal Drug Commissioner Burkhard Blienert, warned about illegal minimum bet sportsbooks and betting. Preventing unregulated sites from operating is an ongoing task.
Moser expressed confidence in GGL’s future. He believes the agency is well-equipped to tackle these challenges. He is optimistic about the future and values the strong relationships between states and the Board of Directors.
Is Reiner Moser, the former Baden-Württemberg official, up to the task at Germany’s gambling regulator? Well, only time will tell.
Brazilian Bill to legalize Online Casinos moving through Senate
On 20 June 2024, Brazil’s Justice and Citizenship Commission (CCJ) approved PL 2,234/2022, a bill that aims to legalise online gambling. The bill legalises casinos, bingo, jogo de bicho, and betting on horseracing. The bill voted with a narrow vote of 14 to 12 and now advances to the Senate for further debate. The vote follows earlier approval by Brazil’s Chamber of Deputies, marking a pivotal moment in the country’s gaming legislation.
Senator Irajá, speaking at the CCJ meeting, described the bill as a “great opportunity” for Brazil.
“We can no longer lose this great opportunity that other competing countries have already understood,” he remarked.
He argued that this regulation harnesses gambling’s economic potential and could help Brazilian society. The benefits, he said, included jobs, income, and taxes. These benefits would help fund the county’s most essential needs, like health, education, social services, and infrastructure.
So, we expect new Brazilian online casinos to sprout in the country. The proposed legislation outlines detailed regulations for various types of gambling. Let’s break it down:
1) Casinos
- Location Restrictions: Casinos are to be at tourist centres or integrated leisure resorts and hotels with at least 100 rooms. Subject to river-length conditions, casinos could also be available on boats or ships with at least 50 rooms.
- State Limits: Each state and the Federal District can have one casino, with São Paulo allowed up to three and selected other states allowed up to two.
- Capital Requirement: Operators must have a least paid-up share capital of US$18.4 million.
2) Bingo
Bingo would be legal in various formats, including card, electronic, and video. The bill allows one bingo house per municipality, with larger cities, permitted one for every 150,000 inhabitants. Bingo houses would have a least paid-up share capital of R$10 million and operate under 25-year licenses, subject to renewal.
3) Horseracing
The bill permits one legal racing entity per 700,000 residents. However, in Roraima, the Ministry of Agriculture must approve it.
The bill also introduces measures for player protection. It includes a self-exclusion programme called the National Registry of Prohibited Persons (Renapro). This mandates venues to check if a player is registered as vulnerable. Additionally, it proposes the National Policy for the Protection of Players and Bettors. The goal is to ensure fair gambling practices and prevent compulsive behaviour.
Gambling offences are also punished. Tampering with games or advertising unlicensed games could land you in prison for up to seven years.
President Luiz Inácio Lula da Silva approved Bill 3,626/2023 in December, legalising sports betting and gaming. This new move is part of Brazil’s broader effort to regulate its gaming industry. Following Brazil has accelerated its regulatory framework.
Currently, the law is in stage three, under the Regulatory Policy of the Prizes and Betting Secretariat (SPA). The agency is setting technical and security requirements for online gaming operators. If all proceeds as planned, sports betting and gaming could be fully legalized in Brazil in less than a month.
So, Brazil will soon have a regulated gambling industry with low-deposit casinos in brazil. These changes are likely to bring more online casinos. But which casinos with a minimum deposit are you waiting for to begin operation in the country?
Veikkaus welcomes new VP of Sports Betting in Finland
On 7 July 2024, Finland’s state-owned betting agency, Veikkaus Oy, has a “significant striker” signing, Andreas Reimblad. The former Director of Sportsbook at Kindred Group, a European online gambling company, is now the Vice President of Sports Betting for the Finnish regulator.
Veikkaus Oy is the only gambling service provider in Finland on the mainland. It was formed in 2017 after the government merged three gambling agencies, Veikkaus, Fintoto, and Finland’s Slot Machine Association. In the Åland Islands, this role is held by Ålands Penningautomatförening (PAF).
Jarkko Nordlund, EVP of Sports Betting and Online Gaming at Veikkaus, praised Reimblad’s expertise. He said Andreas brings international expertise in the betting business, operations, and development. Further, Nordlund mentioned Andreas’s experience in continuously improving the player experience.
“It’s great to have an international professional to strengthen Veikkaus’ business,” Nordlund closed.
He said he was excited to be part of Veikkaus’ journey.
“The potential for Veikkaus to enter the global stage aligns well with my experience across various markets,” Reimblad said. “I’m eager to contribute my knowledge to this exciting journey.”
He further praised Veikkaus, recognizing its high reputation in the industry. As the only operator, Veikkaus enjoys massive support in the country. Nonetheless, there have been calls to democratize the market among operators and suppliers. A call that, in September 2022, its CEO, Olli Sarekoski, supported. He argued the agency had no capacity to meet the Finns’ gambling needs.
For the record, at least 60% of online gambling in Finland is in unregulated markets. This growing concern has pushed the country to start measures to allow other operators. So, Reimblad’s appointment comes as Finland prepares for significant gambling market reforms. The government published a draft proposal to re-regulate gambling. This aims to open the country’s online market and end the existing monopoly.
Last month, the country began its regulatory shift with the first draft of the new Finnish Gambling Act. It’s undergoing consultation but provides a thorough overview of what to expect. Chances are, Veikkaus will only enjoy its monopoly up to 2026. After that, it will be divided into two entities. One will continue to run a monopoly for lottery and land-based gaming, while the other will compete in the online market.
The draft bill outlines plans for the market launch. The consultation period ends in mid-August 2024. A final draft will be submitted for parliamentary approval in the spring session of 2025. If approved, operators can start applying for licences in the first quarter of 2026.
These proposed reforms will create a more competitive market. Veikkaus is positioning itself to adapt to these changes. With this perspective in mind, it’s obvious why Veikkaus referred to Reimblad as a “significant striker.” His being the VP of Sports Betting strategically positions the company for the restructured market.
While you might have thought this would disadvantage Reimblad, he argues the timing of his transition feels perfect.
Reimblad started his new role at Veikkaus on 1 July 2024. He spent over a decade at Kindred Group, including three and a half years as Director of Sportsbook and various development roles. He also briefly worked at IGT as a Product Manager for betting and bingo before returning to Kindred.
As Finland moves towards a more open gambling market, we wait to see how these changes impact Veikkaus and the broader industry. Meanwhile, do you think Andreas Reimblad could turn Veikkaus to a world-class minimum bet sportsbook?
Softswiss Game Aggregator launches crash gaming tournaments
SOFTSWISS announced that its Crash gambling feature went live on July 4, 2024. This new addition is part of the Game Aggregator platform and aims to enhance tournament options. The company says this development allows operators to create a wider range of tournament options for players.
The integration of crash games allows operators to offer more diverse tournaments. Research by SOFTSWISS shows that adding crash games can boost player spending by an average of 4.23% during tournaments and up to 9.01% after them.
Crash games are very popular at casino sites in Latin America, and there is a growing interest in such games in South Africa.
While commenting on the move, the head of SOFTSWISS Game Aggregator praised it.
She said, “We have added crash games to our tournaments to follow trends in gamification and social interaction.”
She added that crash games, which have been known for their social features, can now be made social and engaging with tournaments. Combining crash games with slots and live games improves the player experience and boosts casino performance.
In October, SOFTSWISS will release insights into online casino player behaviour in Europe, Latin America, and Asia. Recently, they appointed Formula One legend Rubens Barrichello as their Non-Executive Director in Latin America.
Octoplay and NetBet partner to offer new games in Mexico
NetBet Mexico and Octoplay have struck a new deal to offer Octoplay’s games to NetBet Mexico customers. The agreement was made public on July 4, 2024.
Octoplay, which started in 2022, has quickly become a notable player in the iGaming industry. Their popular slots, including Lollicat, Eternal Clash, and Shaolin Panda Chaos Reels, will now be available on NetBet Mexico’s platform.
Claudia Georgevici, PR Manager at NetBet Mexico, commented, “Selective partnering is crucial for us. Octoplay, though new, has proven its ability to create exciting games. We’re excited for our players to enjoy their innovative titles.”
NetBet Mexico offers a wide range of games, including slots, table games, and live games.
Octoplay, founded in October 2022, focuses on developing top-notch online casino games through its proprietary RGS platform. Their goal is to set new standards in player enjoyment, emphasising fun over other game aspects.
SkyCity closes for 5 days after agreement with DIA
SkyCity Entertainment Group has announced a planned five-day closure of its Auckland casino. The closure is set to take place from Monday, September 9, to Friday, September 13, 2024. This temporary shutdown comes after an agreement with New Zealand’s Department of Internal Affairs.
The closure only affects the casino. SkyCity’s associated businesses, including hotels, attractions, restaurants, and bars, will be operational. Businesswise, the closure will cost the casino approximately $1 million per day.
SkyCity’s CEO, Jason Walbridge, acknowledged its mistake in this closure.
“The closure is the result of failings on the part of SkyCity, for which we have accepted responsibility,’ he said. “We failed to meet the standards expected of us in this case.”
He added that while the company has made progress in risk management, there is still work to be done. Walbridge committed that the company values its customers and will uphold the obligation of its casino licence.
In terms of employee welfare, he said the company will ensure that all staff members are rostered and paid as usual during the closure period. The company has stated that it is focused on maintaining staff support and managing the impact of the shutdown on its workforce.
Notably, this will be the first “voluntary” casino closure in New Zealand’s history. As for us here, we continue following the story to see how SkyCity will address the regulatory concerns.
Swish and Zimpler partner to transform Sweden’s payment solutions
Instant payment provider Zimpler and the popular Swedish payments app Swish have teamed up.
This “technical partnership” expands Zimpler’s ability to support both large and small transactions. Swish’s transaction capabilities will now support Zimpler’s account-to-account payment service. But, key Nordic banking partners will provide the necessary infrastructure for smooth integrations.
Swish, launched in 2012 by Sweden’s largest banks, is now the country’s most trusted casino payment method for small transactions. The challenge has been its inability to handle larger transactions.
The partnership with Zimpler aims to overcome these challenges. So the partnership opens up its space for businesses handling larger amounts, expanding its customer base.
Zimpler’s “smart routing platform” will guide users to the best payment method for each transaction. This will reduce errors and boost conversion rates.
Zimpler CEO Johan Strand could hold back his joy.
“Our partnership with Swish allows us to offer a comprehensive payment solution,” he said. “This addresses the needs of both small and large transactions.”
Strand said this partnership would significantly improve efficiency and satisfaction. He further explained that the collaboration ensures Zimpler merchants offer their customers a frictionless payment experience.
Zimpler, also founded in 2012, connects companies with over 350 million customer bank accounts in 25 markets.
Urban Höglund, CEO of Swish, also praised the move. He stated that Swish’s 8.5 million users will now access strengthened, seamless, fast, instant, reliable, and secure payments. He added that Swish aims to enhance efficiency for both merchants and their customers.
Combining Zimpler’s smart routing with Swish’s trusted service ensures seamless user experiences. It reduces errors and boosts conversion rates for Swedish businesses. This combination effectively handles both small and large transactions. Recently, Zimpler partnered with European Playtech Payabl. This new partnership offers merchants the online banking option to pay by instant bank transfer at checkout.
Closing Remark
Unlike our Gamlinked July 2024 edition, which focused on protection, August seems to be peaceful but brings significant global shifts. Germany and Finland have restructured their regulatory leadership, and online casinos are soon legal in Brazil. Innovations continue with Softswiss Game Aggregator launching crash gaming tournaments. Also, new partnerships in Mexico and Sweden aim to improve gaming solutions. On the downside, New Zealand’s SkyCity is temporarily closing.
What an exciting month it’s been! Stay tuned to Gamlinked for the latest updates and insights. We’re keeping a close eye on these stories and more as they unfold. Whether you’re spinning the reels or placing sports bets, make sure to hit that subscribe button. We’ll keep you in the loop with all the must-know news and trends. Don’t miss out!
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