Result of Dutch Gaming Authority Investigation: Stricter Supervision of Bonuses Based on Loss

February 3, 2024 | Government

THE HAGUE, Netherlands (February 1, 2024) — De Kansspelautoriteit (Ksa) (Dutch Gaming Authority) recently conducted market-wide research into cashback bonuses. The outcome of this research is reason to clarify this definition and from now on to speak of ‘a bonus based on loss’. The new definition will be enforced immediately, because according to the Ksa, all forms of this type of bonus are in conflict with the Gambling Act (Wok).

The cashback bonus is a well-known phenomenon in the world of online casinos. This is a loss-based bonus. In the Netherlands, these bonuses, where you get part of your loss back afterwards, are not allowed. They contribute to taking more risks and lowering the threshold for gambling, for example by playing with higher stakes or more often.

Based on the results of the investigation, the Ksa sent one license holder a formal warning for offering a cashback bonus. The Ksa has sent a letter to two other license holders in which it clarifies its position with regard to bonuses. These involved bonuses in which losses were compensated in some way other than through a cashback.

Ksa clarifies position

The recent research makes it clear that there are many different forms of bonuses linked to losses. In addition to the illegal cashback bonuses, the Ksa discovered bonuses where the provider does not immediately pay out part of the loss, but compensates for the loss in some other way.

Ksa chairman René Jansen:

“This also encourages excessive participation. Players bet higher, take more risks and play more often. With all its consequences. At the Ksa, the interests of players are central. A safe gambling market and the prevention of gambling problems are high on our agenda. To protect players even better, we immediately clarify the definition as a basis for strict supervision. Any bonus that is in any way linked to a loss is prohibited.”

SOURCE: De Kansspelautoriteit (Ksa).

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