KSA issues penalty to unlicensed esports betting operator Gamusoft
In the case of Gamusoft, KSA on 18 April said the penalty order related to its csgofast.com website which allows users to wager on esports title Counter Strike: Global Offensive
According to KSA, the site has been running online gambling in the Netherlands illegally as Gamusoft does not hold a local gambling licence. An investigation found Dutch players could create an account, deposit funds and take part in gambling. KSA added no technical measures have been taken to prevent participation from the Netherlands.
As such, KSA ordered Gamusoft to immediately cease operations in the country. If it does not comply, Gamusoft will face a penalty payment of €280,000 (£240,671/$322,840) a week, up to a maximum of €840,000.
“With a penalty payment order, illegal offers are often quickly put a stop to,” the regulator said. “Providers may be fined for the period during which the illegal offer was available.”
711 blasted over advertising breach
Meanwhile, locally-licensed games of chance operator 711 has been warned over an incident that the regulator said was in breach of advertising rules.
A parent reported seeing an advertising banner from 711 on a website linked to homework assignments from primary schools in the Netherlands. Operators are prohibited from publishing adverts that are aimed at vulnerable groups, including minors.
Detailing the case, KSA said the 711 advertising campaign was published by an external partner. The party in question placed advertising banners on various websites, including sites partly aimed at minors.
711 informed KSA it had already discovered the issue after an internal investigation and had taken measures to prevent recurrence. However, 711 did not report the case to KSA, which it is obliged to do so under its licence requirements.
Ruling on the case, KSA elected to issue a warning, due to 711’s action over the breach. However, it flagged the failure to notify it of the issue, reiterating that all licensees must inform the regulator of such cases even if internal investigations are already underway.
“This form of advertising is considered by KSA to be very harmful and therefore a serious violation,” KSA said. “Taking action against such advertisements and taking extra care to protect minors and young adults will be a priority for KSA in 2025.”