Mandatory use of player IDs in Danish land-based sports betting establishments begins on October 1st, 2023
In a significant move towards enhancing gambling regulation and player protection, Denmark has implemented a Player ID system, effective from October 1, 2023. This system, aimed at preventing money laundering, ensuring better player protection, and reducing underage gambling, has been in development for approximately three years [1][2].
The Player ID system mandates the verification of players' identities, ages, and residences, often including government-issued ID checks and continuous risk monitoring to detect unusual betting patterns or financial transactions [1][2]. This comprehensive approach helps prevent the use of illicit funds in gambling, thereby combating money laundering. It also allows operators to identify vulnerable players who might be at risk of gambling-related harms, enabling timely interventions and support, thus fostering safer gambling practices [1].
By verifying ages robustly, the system is effective in preventing underage gambling, ensuring that only legally eligible individuals can participate. Ongoing due diligence further strengthens this by continuously assessing risk profiles and flagging irregularities or behaviours linked to underage users or other compliance issues [2].
The Player ID can be either virtual or physical, as decided by the gambling providers. Notably, the system is connected to the ROFUS system, enabling players to set spending limits and self-exclude across providers [2]. This connection offers better player protection and supports the fight against problem gambling.
The Player ID system applies to both digital and land-based gambling in Denmark. The main argument for its introduction is the risk of minors, under 18, gaining access to land-based gambling [3]. The system's effectiveness in preventing money laundering and ensuring better player protection regarding risky gambling behaviour can only be evaluated through statistical data collection [4].
The Danish Gambling Authority, Spillemyndigheden, has taken a tough stance this year, ordering the blocking of various illegal online providers and announcing the fight against match-fixing [5]. The Player ID system is expected to provide more security for players, as the betting slip cannot be lost, and it is also expected to offer better player protection through its connection to the ROFUS system [6].
In summary, Denmark’s Player ID system integrates comprehensive KYC (Know Your Customer) and AML (Anti-Money Laundering) measures tailored for gambling operators, resulting in enhanced regulatory compliance, improved player safety, and reduction of underage and illegal gambling activities [1][2].
References: 1. Denmark to Introduce Player ID System for Gambling 2. Denmark's Player ID System: What You Need to Know 3. Player ID System for Gambling in Denmark 4. Evaluating the Effectiveness of Denmark's Player ID System 5. Spillemyndigheden Takes Tough Stance Against Illegal Gambling Providers 6. Player ID System to Offer Better Player Protection in Denmark
Online casinos in Germany and other international websites might follow the gambling trends set by Denmark's Player ID system, as it successfully combines casino-and-gambling regulations with sports-betting regulations, ensuring a safer and more secure experience for all its users. This system, integrated with the ROFUS system, allows for spending limits, self-exclusion, and improved identification of vulnerable players across different gambling providers, fostering a proactive approach towards sports-betting-related harms.
