Online slots and exchange betting regulated in Spain
Regulator announces opening of the regulation process " first licences could be awarded by end of 2013
Spanish regulatory authority La Dirección General de Ordenación del Juego (DGOJ) has announced the regulation of online slots and exchange betting after a lengthy consultation process.
Earlier this year the regulator revealed that it had entered into discussions with licensed operators, consumer groups and the Spanish government over the possibility of dot.es slots, following a successful launch of the product in Italy last December.
Meanwhile exchange betting, seen as less of a priority for the Spanish market given Betfair’s dominance of the sector, has also been legalised.
The licensing process for both products will begin once the ministerial order is completed outlining the requirements and parameters they must adhere to. These regulations are likely to be published within a few months, and Eduardo Morales-Hermo, a Madrid-based economist and gaming consultant, told eGaming Review both products could go live before the end of the year.
He added that while casino games now account for around 17% of Spanish online GGR, a boost from slots similar to the one seen from the product in Italy could see its contribution grow to between 25-30%. “Slots is certainly the bigger opportunity of the two games and could offer a chance for the local operators to offer locally-branded games customers will recognise from the land-based casinos,” he said.
Exchange betting will come as a boost for Betfair’s strategy of focussing on regulated markets, however the ring fenced dot.es liquidity pool is likely to offer limited financial opportunity.
The operator said in a statement this morning: “A number of procedural steps remain, but this is an important step towards Spanish customers being able to access this innovative sports betting product. A launch of a betting exchange would mean increased investment by Betfair in Spain. Betfair already operates a sports book in Spain under a licence received in July 2012.”
Earlier this year the DGOJ confirmed it invited examples and empirical evidence of best international practices in relation to slots and exchange betting, and that approval was dependent on their ability to meet certain criteria on matters such as the prevention of problem and underage gambling and the protection of player funds.
Spain enacted its egaming regulations in June last 2012, with 53 operators – both local and foreign – securing licences to operate sports betting, poker, casino and/or bingo in the dot.es market.