The Dutch gambling regulator, Kansspelautoriteit (KSA), has recently enforced a weekly penalty payment order against Gamusoft for conducting operations within the Netherlands without the necessary license. Additionally, KSA has issued a warning to the licensed operator 711 regarding its advertising practices, specifically for promoting content on a website associated with homework for primary school students.
On April 18, KSA clarified that the penalty imposed on Gamusoft pertains to its website, csgofast.com, which facilitates betting on the esports title Counter Strike: Global Offensive. It has been determined that the site was illegally offering online gambling services in the Netherlands, as Gamusoft does not possess a valid local gambling license. Investigations revealed that Dutch players were able to register accounts, deposit funds, and participate in gambling activities. KSA noted a lack of technical measures to restrict access from players in the Netherlands.
In response to these findings, KSA has mandated that Gamusoft immediately cease all operations within the country. Should the company fail to comply, it will incur a penalty of €280,000 (£240,671/$322,840) per week, potentially culminating in a total fine of up to €840,000. The regulator remarked, “With a penalty payment order, illegal offers are often quickly put a stop to. Providers may be fined for the period during which the illegal offer was available.”
In a separate incident, KSA addressed an advertising breach involving 711, a locally licensed operator of games of chance. The regulator responded to a complaint from a parent, who noted seeing an advertisement from 711 on a website that provides homework assistance for primary school students. Such advertising is strictly prohibited, as operators are not allowed to target vulnerable groups, including minors.
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KSA explained that the advertisement in question was disseminated by an external partner, which placed ads on various websites, including those that cater to younger audiences. Although 711 acknowledged the breach following its own internal investigation and implemented measures to prevent similar occurrences in the future, it failed to report the incident to KSA, contrary to its licensing obligations.
As a result of this oversight, KSA chose to issue a warning to 711, factoring in the company’s proactive steps. However, the regulator emphasized the importance of timely communication, stressing that all licensees must promptly inform KSA of any such incidents, even when internal investigations are underway. KSA cautioned, “This form of advertising is considered by KSA to be very harmful and therefore a serious violation. Taking action against such advertisements and taking extra care to protect minors and young adults will be a priority for KSA in 2025.”
