From Bonuses to Spelpaus: How Swedish Regulation Reshaped Online Gaming in the Country

The Swedish gambling market has long been a thriving and popular part of our entertainment industry. However, with the introduction of the new Gambling Act in 2019, the market underwent a radical change. This regulation was part of the government’s efforts to strengthen consumer protection, reduce gambling addiction and limit the influence of foreign operators on the Swedish gambling market.

The change in the law was accompanied by strict bonus restrictions and tools such as Spelpaus. This has affected how both gambling companies and players act. Below is an overview of how these measures have changed the landscape for online gambling in Sweden.

Background to the Swedish Gambling Act

Before the new law came into force, the Swedish gambling market was largely unregulated. Foreign gambling companies had free access to the market and could attract Swedish players with generous bonuses and promotions. However, this freedom led to increased concerns about gambling addiction and lack of consumer protection.

The government therefore chose to act by creating a gambling law that would both protect players and put pressure on unlicensed operators. With the new law in place, all gambling companies that want to operate in Sweden must now have a Swedish gambling license. This means that the gambling companies that have the license must now follow strict rules when it comes to responsible gambling and ensuring that players are protected against gambling abuse.

Bonus restrictions have not gone unnoticed

One of the most controversial parts of the Swedish gambling law is the regulation of bonuses. Previously, players could receive several bonuses and other offers to attract them back to online casinos and sports betting websites. With the new law, however, bonuses are strictly limited to a single welcome bonus per player. This means that when a player registers with a licensed gambling operator, they can receive an initial bonus as a welcome gift, but no more. The purpose of this restriction is to reduce the risk of players being attracted to gamble uninhibitedly due to recurring offers.

The impact of these restrictions has been noticeable, both for gambling operators and for players. Many companies have reported lower revenues, as the strict bonus policy has reduced their ability to market themselves in the same way as before. Players have also expressed mixed feelings about this – some appreciate the regulation and feel less exposed to enticing marketing, while others miss the lucrative offers.

Players have adapted to the bonus restrictions

While bonus restrictions have reduced excessive gambling, they have also led to an increased demand for casinos without a Swedish license, or “casinon utan svensk licens” as they are called in Sweden. Some players are turning to these casinos because they offer more bonuses and fewer restrictions.This has become a major challenge for the Swedish state.These gambling companies fall outside the scope of the law and can therefore attract players without offering them the same consumer protection.Despite this, many players have adapted to the new rules and appreciate that gambling companies in Sweden now have a greater focus on responsible gambling.

The introduction of self-exlusion has led to a growing gray market

One of the most powerful tools in the Swedish gambling law is Spelpaus. It is a service that allows players to suspend themselves from all gambling on licensed online casinos and sports betting websites. Spelpaus is an important part of the government’s strategy to combat gambling addiction and protect vulnerable groups.

By signing up to this service, a player can suspend all gambling for a certain period. This means that no licensed company can offer them gambling during the time the suspension is active.

Since its launch, Spelpaus has had a major impact on the gambling habits of Swedes. According to statistics from the Swedish Gambling Authority, tens of thousands of players have chosen to suspend their gambling. Many also feel that the service has helped them regain control over their gambling. At the same time, there are those who believe that the tool is too strict and that it does not allow for a flexible suspension. Regardless of opinion, it is clear that Spelpaus has helped to change the view of gambling addiction and gambling habits in the country.

Casinos without a Swedish license operate in a growing gray market

With the new regulations, we Swedes have also heard more and more about casinos without a Swedish license. These casinos often market themselves as having more bonuses and fewer restrictions than their Swedish-licensed competitors. This can be appealing to players who want more flexibility and more bonuses.

That said, there are also risks associated with playing at casinos that are not licensed in Sweden. Since these companies are not under the supervision of the Swedish Gambling Authority, they do not offer the same protections and tools as the licensed gambling sites. This means that players risk losing both their money and their consumer protection.

Advantages and disadvantages of the Swedish gambling law

To summarize, here are some of the main advantages and disadvantages of the Swedish Gambling Act:

Pros:

• Strengthened consumer protection.
• Reduced gambling addiction.
• Possibility of suspension via Spelpaus.

Explanation:

One of the main benefits of the Swedish Gambling Act is that it strengthens consumer protection By requiring all gambling companies that want to operate in Sweden to have a Swedish license, the Swedish Gambling Authority can monitor and regulate the activities of gambling companies.

This gives Swedish players peace of mind in the knowledge that they are playing on sites that follow strict rules on both security and responsible gaming. Should a player end up in a dispute with a licensed gambling company, there are also greater opportunities for redress and protection, compared to foreign online casinos without a license in Sweden.

Cons:

• Fewer bonuses for players to take advantage of.
• Increased demand for unlicensed casinos in Sweden.
• The state potentially loses tax revenue.

Explanation:

Despite the many advantages, there are also challenges and drawbacks to the Swedish gambling law. One of the main drawbacks is that the stricter regulation of bonuses has made it less attractive for some players to play at Swedish casinos.

Many players appreciate being able to take advantage of recurring bonuses and offers. When these opportunities are restricted, it has created an increased demand for gambling at gambling companies that operate on the gray market without a license in Sweden. These casinos usually have more bonuses and promotions, so they attract players who want a more flexible gaming experience.

Comparison between casinos with Swedish license and without

The table below summarizes some of the main advantages and disadvantages of the Swedish gambling law. In short, it provides a clearer overview of how the law both protects and restricts Swedish players and gambling companies.

As you can see, the Swedish Gambling Act has both positive and negative effects on the gambling market in Sweden. On the one hand, it strengthens consumer protection and reduces the risk of gambling addiction, but at the same time it creates challenges in the form of competition from unlicensed casinos and leads to reduced revenues for Swedish gambling companies.

Summary and outlook

The Swedish Gambling Act has undoubtedly changed the landscape for online gambling in Sweden. With bonus restrictions and tools such as Spelpaus, the government has succeeded in reducing the risk of gambling addiction and strengthening consumer protection. At the same time, challenges remain, especially in the form of unlicensed casinos attracting players with more bonuses and fewer restrictions.

The future of the Swedish gambling market will likely be characterized by further adjustments. However, it is clear that players and companies have adopted a new approach to responsible gambling in Sweden.