Netherland fines BlackDance over illegal online gambling

Anchal Verma October 22, 2024

The Netherlands gambling regulator, De Kansspelautoriteit (KSA), has issued a warning to BlockDance B.V. for operating illegal online gambling in the country. The regulator has said if company fails to cease its activities it will face a penalty of up to €840,000.
The KSA found BlockDance was running games of chance through two websites, bc.game and bcgame.lu, without a valid licence.

Illegal gambling activities in the Netherlands

KSA’s investigation revealed that BlockDance has been illegally operating gambling services in Netherlands which allows Dutch consumers to gamble on its platforms.
The regulator said, this is classed as illegal and it could take further action.
BlockDance has been running games of chance across two websites that is bc.game and bcgame.lu without the relevant licence. After this the operator blocked players from accessing the sites in the Netherlands.
Even after blocking the initial access from the players in the Netherlands, KSA said Dutch players were still able to create an account, make deposits and play games of chance on these websites. Effective technical measures were not implemented by the company to prevent participation from the Netherlands.

Financial penalty on BlockDance

If BlockDance does not adhere with KSA’s order to stop its illegal activities, it will face financial penalties. The Dutch Gaming Authority has set a weekly fine of €280,000, with the potential for the total amount to reach €840,000.
BlockDance has been given four weeks to stop its operations in the Netherlands. KSA said, “The Netherlands has a regulated gambling market to better protect players. We therefore take tough action against illegal offers. With a penalty payment order, illegal offers are often quickly stopped. Providers can also be fined for the period in which the illegal offer was available.”

Growing black market gambling

This case comes amid growing concerns over the rise of black market gambling in the Netherlands. The Netherlands Online Gambling Association (NOGA) and Licensed Dutch Online Gambling Providers (VNLOK) have called for strict monitoring and enforcement of illegal gambling operations.
KSA data suggested that online gambling channelisation in the Netherlands is at 95 percent, this translates that most Dutch consumers use licensed platforms. However, further analysis of player spending and revenue decodes that the actual rate might be around 87 percent. This gap suggests that many players are still using unlicensed, illegal websites.