This week was marked by significant regulatory and business developments, with several events being concluded or confirmed. Here's a summary of the most important updates in our news bulletin. New York's Attorney General, Letitia James, issued cease-and-desist letters to 26 entities operating under the social and sweepstakes casino model. These entities have been informed that they are in violation of local laws and must immediately cease operations and leave the state. This action is the latest in a series of regulatory measures targeting the sector, which faces increased scrutiny in regions like Louisiana. Additionally, Maine's gambling regulator issued a warning this week, advising consumers to avoid these websites, as they are illegal and pose risks to personal and financial information.
Business & finance
FanDuel has announced a $0.50 surcharge on every wager placed by sports fans using its platform in Illinois, becoming the first company to do so. This move might be extended to other states where taxes are particularly high. Interestingly, DraftKings initially proposed a similar surcharge but withdrew the idea due to customer feedback. However, following a recent tax increase in Illinois, DraftKings has confirmed it will also implement its own surcharge, following in FanDuel's footsteps. Hacksaw Gaming has announced plans to proceed with an Initial Public Offering (IPO) on NASDAQ Stockholm, targeting mainly local investors and international institutional backers. If preliminary plans go as expected, the company aims to finalize the listing by the end of the month. Entain has confirmed that Dean Shannon, its executive for Australia and New Zealand, will be leaving the company. Shannon is expected to step down at the end of the month, officially concluding his tenure on June 30, 2025. Allwyn reported another strong quarter, with first-quarter revenue showing growth. The company's adjusted EBITDA for this period reached €363.2 million. I'm very pleased to report a strong start to 2025, with our growth strategies maintaining the positive momentum from our record performance in 2024, said CEO Robert Chvatal. On a high note, Betfred has celebrated its largest jackpot win to date, awarding a staggering £11,498,211.89 to a player who placed a £1.50 wager. The life-changing prize was won on Mega Moolah, a leading progressive jackpot game owned by Games Global.
Responsible gambling
In the United Kingdom, the Advertising Standards Authority has investigated two advertisements by Ladbrokes that aired on TV and Video on Demand platforms. These ads promoted Ladbucks, a unique token offering complimentary services like free spins and bets to gamblers. The watchdog determined that these advertisements violated the BCAP Code and CAP Code, noting that Ladbucks closely resembled popular in-game currencies like V-bucks from Fortnite and Robux from Roblox, making them potentially appealing to children. Meanwhile, in Sweden, actions were taken against two Twitch streamers who allegedly promoted unlicensed and unregulated gambling products to their followers within the country. The Swedish gambling regulator, Spelinspektionen, ordered the cessation of these promotional activities. The influencers complied, though this was not their first encounter with the regulator. A statement on the watchdog’s website confirmed, The influencers subject to supervision have ceased marketing illegal gambling following the intervention of the Swedish Gambling Authority.
Laws and regulations
Brazil has opted not to proceed with a contentious financial transactions tax law. Instead, the country has addressed its fiscal shortfall by raising taxes on sports gambling. This change will increase the effective tax rate to 18%. Industry experts have warned that this could impact their ability to offer competitive products in a market that is constantly evolving. Notably, Brazil's regulated iGaming and sports betting markets started operating in January 2025.
The voice of the industry
Find the complete list of winners here. Ivan Kurochkin, Head of the Consulting Department at 4H Agency, has thoroughly examined the current regulatory environment in Curacao, including the introduction of local independent test labs. He provides an overview of the industry’s potential future. You can read Kurochkin’s full opinion piece here.
