In Denmark, we have long prided ourselves on a gambling market built on responsibility, transparency and consumer protection. For more than a decade, our regulated system has been a model of high channelisation, with nine out of 10 bets placed with licensed operators. That stability is now under severe threat.
New figures from H2 Gambling Capital reveal that the share of illegal gambling has almost doubled in just a few years – from about 14% to nearly 30%. More than every fourth krone wagered by Danish players is today funnelled to unlicensed operators who offer no protection and pay no taxes. This is no longer a marginal problem; it is a systemic crisis.
The rise of unlicensed casinos and games
The drivers of this trend are clear. Offshore crypto casinos have surged in popularity. These platforms attract young men, especially – and even minors – through social media promotions and aggressive affiliate marketing. Unlike licensed operators, they have no MitID verification (Danish digital ID), no loss limits and no responsible gambling safeguards.
Research from Danske Bank confirms the danger: men aged 18 to 24 are now spending more than DKK800 (£93.18) a month on gambling – double the level just a few years ago. This growth is concentrated on foreign, unregulated platforms, not Danish-licensed operators. We are losing our young people to a parallel market with no safety net.
The affiliate and Google loophole
Illegal operators also thrive because our legislation lags behind their marketing tactics. A BetXpert study found that affiliates without Danish licences rank prominently in Google searches for “online casino” and “Danish betting sites,” only to redirect players to illegal providers. These sites cynically use Danish flags, slogans such as “secure Danish casinos,” and even links to StopSpillet.dk (Stop Gambling) to create an illusion of legality.
The Gambling Authority can block unlicensed operators’ websites, but not the affiliate sites that channel traffic to them. That is a gaping hole in enforcement. Google has taken steps to cooperate, but its actions are reactive and only remove content after reports are filed.
Meanwhile, in Norway and the Netherlands, affiliates can be sanctioned directly, and banks are obliged to block payments to illegal operators. Denmark risks falling behind if we do not equip our authorities with the same tools.
Sweden shows the way
Another glaring loophole is that, under Danish law, it is technically legal for an operator to accept bets from Danish players without a licence – as long as the operator does not specifically target Denmark with Danish-language sites or advertising. The assumption seems to be that if an operator “only” uses English, Danes will not play. But of course Danes speak English – and unlicensed companies exploit this fact.
Sweden is facing the same problem, but a government report has recently recommended to close the loophole. Instead of asking whether an operator is actively marketing towards Sweden, the new approach assesses whether Swedish consumers can actually participate. If they can, a licence is required. So, 1–0 to Sweden. The question is: when will Denmark follow?
A call for political action
The political debate has, until now, been dominated by discussions around advertising from licensed operators. But the true danger lies in the explosive growth of the illegal market. If nearly a third of all gambling takes place outside our regulated framework, consumer protection becomes meaningless.
Several concrete steps are urgently needed:
- Payment blocking: Danish banks, led by Danske Bank, already support mandatory blocks on payments to unlicensed sites. This must be legislated.
- Affiliate accountability: The law should be clarified to ensure that affiliates and influencers promoting illegal gambling can be sanctioned.
- Close the loophole: Like Sweden, Denmark should require a licence not only when operators market to Danes, but whenever Danish players can participate.
- Proactive enforcement: Cooperation with platforms like Google must be supplemented with real sanctioning powers.
Protecting the future
The fight against illegal gambling is not about protecting revenue – it is about protecting players. Without intervention, we risk losing an entire generation to unregulated platforms that prey on their vulnerabilities.
The strength of Denmark’s system has always been its balance: allowing adults to gamble in a safe, regulated environment while minimising harm and keeping crime out of the market. That balance is now tipping. If we fail to act, we will end up with the worst of both worlds: aggressive advertising from unlicensed operators on one side, and a collapsing regulatory system on the other.
Other countries have shown that strong measures work. Denmark must now follow suit. Our lawmakers have a responsibility to ensure that consumer protection is not just a slogan, but a reality backed by effective enforcement.
The message is clear: this is the moment to take the fight to the illegal market – and win back control of gambling in Denmark.
Morten Ronde is a Danish-licensed attorney with over 20 years of experience in the gambling industry, having worked as a regulator, legal adviser and industry advocate.
Morten is the managing partner of Nordic Legal, a boutique law firm specialising in gambling regulation, licensing and compliance, with offices in Copenhagen, Stockholm and Helsinki. He advises gambling operators, game software suppliers and policymakers across the Nordics and beyond.
In addition to his legal practice, he leads public affairs efforts as the head of Spillebranchen (the Danish Online Gambling Association), working to shape responsible gambling policies and industry best practices in Denmark and Europe.
The post Denmark is losing ground in the fight against illegal gambling first appeared on EGR Intel.
Nordic Legal managing partner Morten Ronde lays out how the Danish authorities can prevent the scale tipping in favour of the black market
The post Denmark is losing ground in the fight against illegal gambling first appeared on EGR Intel.