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Online Casinos in Sweden Suffer from New Limits

6 October 2020, 14:43
Votes: 1

In the middle of the summer, Sweden implemented new rules that limited the weekly deposits and bonus offers in online casinos. It led to the downfall of the sales rates by approximately 30%. Simultaneously, the Swedish government started a vast "cleaning" campaign concerning online casinos as they were considered one of the ways to money laundering.

Online Casinos in Sweden Suffer from New Limits

It is not breaking news about casinos that European countries are implementing limits in the gambling sector. People switched their attention to online casinos since the world turned to remote working and entertainment due to lockdown. It was also facilitated by the inability to bet on the sporting events that stopped for a few months minimum.

On July 2, Sweden introduced new limits for online casino gaming, which were a maximum of €477 (SEK 5K) for weekly depositing, while bonus offers were also decreased to about €9.5K (SEK 100K) level.

The result was almost immediate. In August, market leaders reported an approximate 30% downfall in sales rates. For instance, Comeon Group stated a 29.6% decrease (from about €11.3M in June to €7.9M in August). Another 28.7% drop was mentioned by the Kindred Group as its sales changed from €9.6M to €6.8M during the summer months. One more trendy result was reported by LeoVegas, as its 29.6% decline led to sales changes from €7M in June to €5.4M in August.

Sports betting didn't suffer so much

At the same time, the situation with sports betting was not so difficult. For example, Bet365 experienced only a 6% drop from €6.5M in June to €6.1M in August. The positive tendency was faced by state-owned ATG operator, which is focused on horse racing that was not stopped even during the pandemic. The company has reported a 22.2% increase in August, which is €49.8M compared to €40.8M in June; the year-over-year growth is also crucial and is 20.2% compared to August 2019.

It's important to note that Sweden has also begun a vast campaign against money laundering facilities that operate in the country. The government knows that punters have turned their attention to other online gambling venues, which are often related to illegal activity and protection-absence practices. Since the beginning of the year, Sweden has blocked 48 suchlike companies and continues security measures in this direction.

Read more: What are the differences between online casino software providers?

Read more: How do Bitcoin casino sites help to protect private information?

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