The EU is stepping up efforts to combat illegal and underage gambling

The gambling industry in Europe is developing rapidly, generating billions of euros in revenue, but at the same time, the shadow segment is growing, which poses a threat to the safety of players, especially minors. Therefore, the European Union is stepping up its efforts to combat illegal gambling and protect children from gambling by introducing new regulatory initiatives, technological solutions, and strengthening cooperation with global IT companies.

One of the EU's priorities in the field of gambling regulation is to protect minors from gambling, in particular through online platforms that are becoming increasingly accessible thanks to digital technologies. The new rules, which may soon become a standard for all EU countries, oblige iGaming organisers to implement full KYC (Know Your Customer) verification systems to prevent children from gambling. Companies must use biometric data, electronic signatures, or verification through government databases to confirm the age of users.

For example, the UK Gambling Commission already requires two-factor verification for online casinos, as virtual chests with random prizes ("loot boxes") popular in video games are recognised as attracting children and encouraging them to play. The EU is introducing a ban on their use for minors, as well as restrictions on microtransactions in games. The new rules also prohibit bloggers and digital influencers from advertising casinos or betting shops on social media if their audience includes minors.

In general, in the future, the EU plans to integrate age verification into a single digital identifier (EU Digital Identity Wallet) that will be used for all online services, from gambling to social media. In the meantime, national governments continue to work on creating a new legal framework and implementing regulatory tools to combat illegal gambling both offline and online.

In particular, the Ministry of National Economy and Finance of Greece, where the gambling market generates significant revenues (over €2 billion in 2024), is introducing an automated, AI-based monitoring system to identify offshore sites offering illegal gambling. The system analyses traffic, domain names, and financial transactions, allowing for the prompt blocking of illegal platforms. The Bank of Greece coordinates efforts with payment systems such as Visa and PayPal to block transactions related to illegal operators. This makes it possible to track financial flows and reduce their profitability.Ukraine is not lagging behind either.

This year, the state-owned PlayCity agency launched a new system to detect and block illegal online casinos. It is also able to find and generate a list of likely mirrors and related domains that casinos create to circumvent restrictions. The system also allows you to: check the legal status of a casino; notify PlayCity about an illegal casino; file complaints against Internet providers if illegal casino sites have already been blocked but are still available; download a database of illegal casino sites.

The development of technology provides new opportunities and carries new risks at the same time. Therefore, only constant systematic work of national regulators with the support of parliamentarians will allow us to effectively counteract illegal gambling.