Over the last few years, crypto casinos have replaced traditional gambling sites. This has brought a paradigm shift in the gambling industry. Crypto casino sites made it possible for folks to place their wagers without visiting the casinos.
But that was not always the case in the Netherlands. Things changed in 2019 when the government improved its betting and gambling act. The new gambling laws made it easy for foreign companies to apply for licenses.
For more details on how the crypto casino sites have evolved over the last few years, please read on…
The History Of Crypto Casinos In The Netherlands
Did you know that the Netherlands was the last European nation to legalize bitcoin casinos? Well, bitcoin casinos were illegal in the Netherlands for years until 2019. In fact, their strict laws made it impossible for crypto casino sites to invest in the country.
The only casino in the country was a state-owned firm. So, the European Commission forced them to enact new gambling laws in 2019.
These new laws made it easier for other bitcoin casinos to apply for a Dutch license. But these crypto casino sites have to follow some strict regulations to get a license.
Which Government Body Governs Gambling?
An independent government body known as the Kansspelautoriteit (KSA) currently governs gambling in the Netherlands. KSA has helped regulate the Dutch betting and gambling industry for the last few years. They have helped transform the crypto casinos in Netherlands.
The KSA has played a key role in helping the Dutch catch up with the other European nations. Their main objectives include:
- Dealing with criminality and illegality
- Prevent gambling addiction
- Protect gamblers from scrupulous crypto casino sites
- Supervise the crypto casino sites
- Regulate the crypto casinos in Netherlands
Generally, KSA issues license to crypto casino sites and other betting companies. The other forms of crypto games under KSA include online lotteries, bingo sites, and bookmakers.
What Are The New Bitcoin Casinos Regulations?
The government approved the new Dutch gambling laws on February 20, 2019. These changes allowed foreign and local casinos to operate in the Netherlands. But first, they had to apply for a Dutch gaming license through the KSA.
Unfortunately, changes can take time to take effect. Even though the government enacted the laws in 2019, it took about two years for the first crypto casino sites to start operating.
The laws had a huge impact on various sectors of online gambling. In fact, the new laws affected all the crypto games that fall under the “Wet Kansspelenop Afstand” (KOA).
Some popular crypto games that fall under KOA include:
The current Betting and Gambling Act doesn’t provide the exact definition of poker. But only the state-owned casino can organize commercial land-based poker games. In fact, slot machine arcades don’t offer poker games.
The Supreme Court determined that poker is a game of chance in 1998. But several rulings by lower courts handling have stipulated that it is a game of skills. So, poker falls under the scope of the BGA and not the remote gambling regime.
Horse And Sports Betting
Other than sports betting, the only other legal form of betting in the Netherlands is horse betting. The BGA stipulates that land-based horse betting providers’ must have semi-permanent licenses.
Sports betting can also be provided on a semi-permanent exclusive license. The government uses gambling revenue to fund the public health and sports sectors. Some restrictions for sports betting include the following:
- Players can take a maximum of 7,800 bets on different sports annually.
- Folks cannot stake over €1,000 per bet.
- The Netherlands also has weekly deposit limits for e-commerce participation. Folks under 24 years old can deposit a maximum of €100. Players over 24 years can deposit a maximum of €1,000.
Despite being a popular sport, license holders can’t bet on races organized in the Netherlands. They are also restricted from betting on international events organized by local license holders.
Horse-racing bets can be placed in betting cafés, offices, crypto casino sites, and slot machine arcades. Unlike sports betting, the government has placed a cap on the amount you can bet on the horse race.
- The government has placed a cap on all single bets at €250.
- The stake on multiple bets is at €1,000.
The only single owner of casino games license is Holland Casino. Currently, there are 14 Holland casino branches all over the country for gamblers. Some popular live casino games in the Netherlands include baccarat, blackjack, and roulette.
According to the BGA, the government has regulated several aspects of slot machines. This includes the revised national regime and remote gambling regulatory regime for licenses.
Fortunately, the slot machine sector is the only part of gambling with no cap. But, you need a license to have over one slot machine on your premises.
The government awards these licenses to establishments with no illegal gambling activity. They offer these licenses to places that were established for slot machines. But most importantly, they should only be open to players over 18 years of age.
To curb illegal gambling, the government created a board that examines these machines. Remember, operating an unapproved machine is illegal. The slot machines get approved on the following basis only:
- Average cash that can be lost and won over a certain period
- Game process
- Games played
- Player protection
- Exclusion of minors
The state lottery is subject to an exclusive license that’s awarded for a certain period. But the law stipulates that 60% of the stakes must be returned to the players as gifts. And breaking this law can result in hefty fines.
Another popular lottery in the Netherlands is the instant lottery. The instant lottery is a unique game where the company sets the prizes before selling the tickets. For the state lottery, the state requires that the firm only does 69 draws annually.
The tickets can be sold online and in some retail stores. Plus, the prize money should never exceed €30.
The lotto organizing companies can only hold 483 games annually. Plus, the maximum stake per player is €30.
Other Sectors Affected By The New Gambling Laws
The gambling laws prevent players from using casinos with no Dutch license. They do this by licensing all the gambling businesses. KSA also blocks wager payments from illegal casinos.
Financial service providers can’t transfer payments between players.
These new laws have made it difficult for players to gamble using foreign crypto casinos. For instance, famous payment providers like Skrill and Neteller are restricted in the Netherlands.
It’s a known fact that you must be over 18 to take part in sports betting and casino games. But, in the Netherlands, only players over 24 can access casino promotions and bonuses.
The licensee has a right to ask for your driving license, national ID, or passport to confirm your age. Some casinos confirm your details via cash transfer through companies like Klarna. Other popular cash-transferring companies include IDEAL and Trustly.
Remember, allowing players below 18 years old to use your site can result in penalties. And in the worst-case scenario, the gambling license gets revoked. In fact, several international companies have been penalized for that in the past.
Another part of the industry affected by the new laws was advertisements. Generally, gambling adverts have different rules and must be aired at a certain time.
Gambling companies must meet certain requirements for their adverts to air on TV. Some of these requirements include the following:
- Always includes understandable betting bonuses and promotions in the advert.
- All the models in the advert have to be over 25 years old.
- The advert is not directed at vulnerable individuals in society.
- These adverts should never air on TV between 6 am and 7 pm.
There are several requirements firms must fulfill, but these are the most important. You can find more requirements for crypto casinos in the Netherlands on KSA’s official website.
Another controversial topic in online gambling and casinos is taxes. There is still a debate on whether a player should pay taxes on their winnings or stake.
In the Netherlands, gamblers have to pay taxes on sports betting and casino winnings. But the taxable net winnings must exceed €449 per month. These players have to pay a hefty rate of 29% of their net winnings.
The government calculates the net winnings on a monthly basis. Plus, crypto casinos in the Netherlands withhold the tax per winning and submit them to the government.
The Future Of Crypto Casinos In Netherlands
Until 2021, the Netherlands was the only European state with no bitcoin casinos. But the decree by the European Commission forced the government to create new laws. The change saw several bitcoin casinos apply for their Dutch licenses.
So, we foresee the government trying to catch up with the other nations. They may remove some restrictions and caps.
Several crypto casinos in the Netherlands claim that the KSA is quite forceful when enforcing the law.KSA fined one of the companies about €531,250 for introducing some illegal games.
The industry considers it high, especially compared to other nations. Nonetheless, the major players are hoping things will change.
Why Are Bitcoin Casinos Popular In The Netherlands?
Bitcoins are accepted worldwide, and the Netherlands is no exception. In fact, they were used in several Dutch industries except for the gambling sector for years. So the population had already embraced it even before they legalized bitcoin casinos.
Everything changed with the enactment of the new gambling laws. Since then, cryptocurrencies have helped revolutionize this industry thanks to their many benefits. Some of these benefits include:
Cryptocurrencies Are Decentralized Currency
Being a decentralized currency means that it can be used worldwide. Financial institutions don’t regularize cryptocurrencies. This means that there are no bank fees or a verification processes for bitcoin casinos.
Bitcoins Are Reliable
Unlike some payment methods, bitcoin transactions are affordable and fast. These transactions don’t go through the tedious verification process. Therefore, these transactions can be quite fast.
Since you won’t be dealing with banks, you will never have to worry about bank fees. Plus, the fact that you can access your funds anytime is a bonus.
Several Promotions And Bonuses
The gambling and betting industry is quite competitive. Therefore, firms are always looking for something to give them a competitive edge. And in most cases, it’s always bonuses and promotions.
Crypto casino sites offer several promotions and bonuses to help them compete. After all, the market is still new, and the competition is quite tight. So crypto casinos in the Netherlands are doing everything possible to establish their dominance. This means several promotions, bonuses, and loyalty programs for the players.
These benefits have played a key role in popularizing crypto casinos in the Netherlands. Plus, with the new laws, folks can place their wagers 24/7, but make sure you don’t exceed the weekly caps.
Is Online Gambling Legal In The Netherlands?
Online gambling is legal, but that was not the case before 2019. The enactment of the Dutch gambling laws changed everything. The new laws allowed foreign bitcoin casinos to apply for a license.
Who Has The Dutch Casino License?
Currently, Belgian and international firms are the main key players in the industry. The Belgian operators already had clients in the country before 2019. Therefore, they took advantage of the new laws and got a Dutch gambling license.
|🏆 Best Crypto Casino||Bets.io|