Denmark Legalizes Online Gambling
Denmark has become the latest country to legalize and regulate online gambling. The move comes after numerous complaints from other European countries, which believe Denmark’s current system created a state-owned monopoly. The biggest issue in the complaints filed to the European Commission was that local companies such as Danske Spil were given a huge competition advantage over foreign operators, and this violated European Union agreements.
The new online gambling law puts foreign and local operators on equal footing since they both can file for an online gambling license at the end of 2010. In order to qualify to run online casino games, businesses must fill out the necessary paperwork, and pay a 20% tax on all revenue. Subsequently, foreign companies that still offer online casino games to Denmark residents after January 1st, 2012 without a license will be prosecuted.
With the advent of new online gambling legislation, major online casinos like Party Casino and Europa Casino will have the opportunity to apply for licenses in Denmark. This being said, some people are really excited about the changes, such as Bettson manager Richard Funch as he said, “It will be historic for the Danish gaming industry, which has been profoundly unregulated for ten or 15 years.”
Despite countries like Denmark coming around to the idea of legalizing and regulating online casino games, there are still plenty of other countries out there that have yet to do the same. The United States is a prime example since they have only passed legislation to make it harder for online casinos and poker sites to offer services to their residents, such as the Unlawful Internet Gambling Enforcement Act.
However, many online gambling sites have still found a way around the hurdles that the UIGEA presents.