More liberalised market on the cards for Denmark

Expensive licensing and ISP blocking in the works

July 1st promises to be a red letter day for Danish gambling as legislation comes into effect, for the first time legalising and licensing online gambling other than that through state monopoly Danske Spil.

A license is required for poker and casino operations and a separate authority is required for sports betting. Bingo operators have thus far apparently been excluded

The state monopoly, which is already licensed, has been given a six month head start on the market because the new licenses will not be issued until January 2011 (see previous InfoPowa reports). Danske Spil inked an agreement with Party Poker earlier this year that will see it using that company’s poker and casino platform in 2011.

Danish ministers have already been active in warning any unlicensed operator entering the Danish market that harsh measures will be taken that can include compulsory ISP blocks initiated arbitrarily by the Danish authorities and affecting both gambling operations and associated promotional activity.

Licensing costs are high at Euro 140 000 p.a. for each licence, and applicants will have to have a physical Danish presence, along with reporting systems that will satisfy Danish taxation requirements. And the tax level planned is reported to be around 20 percent of gross revenues.

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