How will new online casinos react to the future licensing market?
Elen StelmakhIn today's rapidly changing digital world, gambling is one of the industries that has undergone significant changes in recent years. With the upcoming licensing market, new online casinos will be forced to adapt and innovate in order to remain competitive and meet the expectations of both regulators and players.
In this article, we look at how new online casinos are preparing for this new era and how it will affect the Finnish gambling system, gaming and the industry in general.
The current state of the Finnish gambling system
Gambling in Finland has traditionally been under strict state control, with Veikkaus having a monopoly over the provision of gambling services. This model has allowed gambling revenues to be channelled back to society, thus supporting various social and cultural projects.
With the proliferation of international online casinos and EU pressure for a more open market environment, the Finnish gambling system has faced increasing criticism and demands for reform. This has prompted discussions on dismantling the monopoly and moving to a licence-based system that would allow more operators to offer gambling in the Finnish market.
The range of games offered by the monopoly and the stakes that Veikkaus accepts are significantly lower compared to international online casinos.
Under the current gambling regime, Finnish casino players can therefore gamble abroad perfectly legally and only targeted marketing of online casinos to mainland Finland is illegal. This is why many Finns choose new online casinos on the international market.
How new online casinos see the future gambling licence
New online casinos see the future gambling licence as an opportunity to expand their operations in the Finnish market legally and responsibly. The licensing market is expected to bring with it increased competition, innovation, improved customer service and more attractive gaming experiences for players.
However, obtaining a licence requires online casinos to emphasise responsible gaming, offer fair gaming conditions and prevent fraud, which will subject them to a new level of regulation and supervision. This means that those who are able to meet these requirements see the new licensing market as a significant opportunity.
Many online casinos are looking forward to the new gambling licence regulations, as overly strict conditions will influence the decision whether or not to apply for a licence.
Marketing under a gambling licence
The new online casinos that will be granted a gaming licence will also be entitled to market their games in mainland Finland, which is a big change from the current situation. Currently, marketing is illegal.
Athletes and sports clubs are waiting in the wings for new sponsorship money and the same applies to new online casinos in terms of visibility.
Many licensing markets have shown how sponsorship money starts to flow into sports when the market opens up. In Sweden, for example, major league football and ice hockey have found a new main sponsor from the world of online casinos, and many individual sportsmen and women represent a betting site or online casino.
The impact of the end of the monopoly on online gambling
The possible end of the monopoly would open up the Finnish gambling scene to new domestic and international players, which would likely lead to a more diverse range of game offerings and better player benefits.
This would increase competition in the sector, which in turn could force incumbents such as Veikkaus to reform and improve their own offerings in order to remain competitive. The abolition of the monopoly could also improve the quality and safety of the games, as the strict requirements imposed by licensing would be complied with by all operators.
For Finnish players who want to play on domestic sites, the advent of a licence is a positive development. Players who have always been interested in a better choice of games but have not dared to play abroad will hopefully in the future have the same experience that international sites currently offer.
Time will tell, but casino bonuses will also be part of the gambling licence. Currently, the monopoly sites do not offer bonuses at all.
Predictions for the future gambling licence
The future gambling licence in Finland is setting a new framework for the whole industry. According to the government programme, the new licensing regime will be introduced by 1 January 2026 at the latest, which will mark a significant change in Finland's gambling policy. There are several key elements of this change that will affect both operators and players.
Restrictions on casino bonuses
One major change concerns casino bonuses. The model is likely to take inspiration from Sweden, where casino bonuses are strictly limited. This may mean that bonuses offered to new players are limited to a certain amount, or that the number of ongoing bonus offers is restricted. The aim is to discourage excessive temptation to gamble and to encourage responsible gambling.
Marketing restrictions
The marketing provisions will be relatively strict, with particular attention being paid to sports sponsorship. The question is to what extent sport sponsorship will be allowed and how it will affect both sports organisations and gambling companies. These restrictions seek to strike a balance between marketing freedom and player protection, while avoiding the negative effects of excessive gambling advertising.
Taxation
A relatively strict approach to taxation is expected. The level of taxation will be set at a level that is sufficiently attractive to new entrants while ensuring that the state benefits financially from the sector. However, an excessively high level of taxation could undermine the attractiveness of the licence and even encourage the growth of the black market, which is a key concern in the design of the new system.
Tools for responsible gambling
Particular attention will be paid to the tools for responsible gambling. For example, Sweden's "Spelpaus" and the UK's "GamStop" are systems that allow players to self-exclude themselves from all sites of licensed providers. A similar system may be introduced in Finland to help players manage their gambling more effectively and prevent gambling addiction. The introduction of such a centralised self-exclusion system would be an important step in promoting responsible gambling.
Conclusions
The future gambling licence in Finland will bring significant changes. Strict regulations on bonuses, marketing, taxation and responsible gambling tools will create a new environment in which player protection and responsible gambling are at the heart of the game. While challenging, these changes also offer opportunities for innovation and development towards a more open, fair and responsible gambling culture in Finland.
Elen Stelmakh is a creative individual dedicated to advancing gaming culture through articles and visual design. As a full-time EGamersWorld author and designer for a gaming website, Elen not only creates content but also infuses it with energy and creativity.