LuckyCrypto ordered to exit Sweden – Legal & compliance
Regulatory Action: Spelinspektionen Orders LuckyCrypto to Cease Operations in Sweden
The Swedish regulatory authority, Spelinspektionen, has mandated that online gaming operator LuckyCrypto withdraw from the Swedish market due to its unlawful targeting of Swedish consumers without the essential gaming license. This decisive action underscores the ongoing efforts by Swedish authorities to maintain regulatory integrity within the online gambling sector.
Following an extensive review of LuckyCrypto’s digital presence, Spelinspektionen identified several violations suggestive of direct marketing efforts aimed at Swedish players. The regulator conducted a thorough inspection of the LuckyCrypto website after receiving credible suspicions regarding the activities of SG International NV, the operator behind LuckyCrypto.
Key findings from Spelinspektionen’s inspection revealed:
- Availability of significant information in Swedish, indicating an intention to engage local users.
- The presence of a Swedish version of the terms and conditions, tailored specifically for Swedish consumers.
- A targeted marketing strategy that explicitly aimed at attracting Swedish clientele.
Moreover, it was noted that there were no preventative measures in place to restrict Swedish customers from registering on the site, further complicating SG International’s compliance standing.
Despite being afforded an opportunity to respond to the findings, SG International, headquartered in Curaçao, failed to provide a rebuttal to the claims made by Spelinspektionen. This lack of response led the regulator to classify LuckyCrypto as one of its illegal operators in the market.
According to Spelinspektionen’s strategic framework for mitigating unlicensed activity, the directive for LuckyCrypto to exit the market represents the initial phase in a structured enforcement process. Operators that do not adhere to compliance mandates may face substantial penalties, and if such measures fail to produce results, the regulator will escalate actions, including involving law enforcement agencies.
This regulatory action follows similar enforcement measures in the sector, including a September order targeting Ease Gaming NV, another operator also based in Curaçao, which was instructed to cease its illegal operations via the Casineia.com platform.
In a related development, in June, the Swedish government announced the termination of proposed regulations that would enable authorities to block all offshore, unlicensed gambling sites irrespective of their explicit targeting of Swedish customers. This policy shift indicates the complexities involved in regulating the rapidly evolving online gambling landscape.
As the gambling industry continues to adapt to regulatory changes, stakeholders must prioritize compliance and remain vigilant against unlawful practices. The actions of Spelinspektionen serve as a critical reminder of the importance of adhering to licensing requirements and maintaining ethical marketing practices within the online gambling environment.
