You might have heard that Finland is introducing payment blocks, but do you already know how they will affect sports betting operators? Well, at least not in a positive way.

The law reform does not treat betting companies with Finnish customers. These companies must either accept the decreasing number of customers or add more payment options to their selection – if those don’t already exist.

The sports betting sites using the pay-and-play style, favored by Finns, will get the hardest hit here, as their entire operations are based on instant bank transfers.

Finns playing in pay-and-play sports betting sites and casinos will need to find new sites to gamble – or these sites will have to add more options to their payment selection, which would kill the basic idea of pay-and-play gaming. All available betting sites for Finnish players can be easily found at Vedonlyontiyhtiot.com.

Who do payment blocks apply to?

Subject to the reform of Finland’s Lotteries Act, payment service providers, i.e., banks in practice, are obligated to place a payment block as of January 1, 2023, to payment transactions related to gambling at online casinos and betting sites of iGaming companies that are on the “blacklist” the Police Board of Finland maintains.

A betting company can end up on the Police Board’s blocklist if the Police Board considers the company is breaching the restrictions set out in the Lottery Act regarding marketing. In practice, this breach refers to advertising directed at Finnish players.

From the beginning of 2023, the payment blocks only apply to deposit transfers, whereas blocking winning withdrawals is prevented by the Finnish constitution.

Experiences with payment blocks in Norway

In addition to Finland, Norway has another gambling monopoly within Europe, i.e., the Norsk Tipping gambling company?has the same monopoly status as Veikkaus in Finland. The payment blocks now coming to Finland were introduced in Norway as early as 2010.

Based on experiences from Norway, payment blocks have not been very useful in limiting gambling abroad. According to 2021 data, the share of foreign gambling in the Norwegian gambling market was more than 60%. Norway’s example shows that the means to retain the monopoly position have not produced concrete results, and Norwegians still actively place bets on foreign betting sites.

Join SiGMA for Malta Week 2022

After the successful completion of the SiGMA Balkans, Toronto and Dubai Summits, SiGMA Group is working diligently on this year’s edition of Malta Week. From the 14th to the 18th of November, the company’s most prominent brands will be brought together under one roof for the?SiGMA Europe Summit, the premier networking opportunity of the year. The Summit at MFCC Ta’Qali is a stellar expression of European innovation in the Gaming, Esports and Emerging Tech sectors, featuring numerous panels and conferences by leading experts. Interested in joining our long list of speakers, exhibitors or sponsors? Please contact?Sophie?to reserve your spot, or visit our?website?for more information.