Dutch Regulator Fines Chestoption €3.08m as Offshore Gambling Crackdown Intensifies

The Dutch gambling regulator has imposed a €3.082 million fine on Chestoption Sociedad de Responsabilidad Limitada for offering online gambling to players in the Netherlands without the required licence.

The decision, published by the Kansspelautoriteit, adds to a wider enforcement campaign against offshore gambling operators that continue to target Dutch consumers despite not being licensed under the country’s regulated online gambling framework.

The case is particularly significant because it does not involve a single accidental breach or technical oversight. According to the regulator’s decision, Dutch users were able to access gambling websites linked to Chestoption, create accounts, deposit funds and participate in games of chance. The regulator found that the operator had not taken effective technical measures to prevent access from the Netherlands.

Websites Accessible From the Netherlands

The KSA’s investigation began with the website vave.com. On 27 May 2024, the regulator found that the site was accessible from a Dutch IP address. A supervisor was able to create an account using Dutch address details, log in, make a deposit and participate in online gambling.

The regulator also found that virtual slot-machine games were being offered and that users could compete for prizes. The site’s terms and conditions referred to winnings in USDT or equivalent currencies, indicating that crypto-based payment or settlement features were part of the customer environment.

The KSA considered several factors when assessing whether the offer was directed at the Dutch market. These included accessibility from the Netherlands, the ability to register with Dutch details, the absence of effective blocking measures and references that could appeal to Dutch users. The regulator also noted that one website mentioned the Dutch Eredivisie among sports competitions available for betting, creating a connection with the Dutch market.

The investigation later identified further websites linked to the same operator, including vave-luck.com and another redirected domain. The KSA found that these websites also allowed participation from the Netherlands without a licence.

Earlier Order Was Not Enough

The fine follows earlier enforcement action. The KSA had already issued an order requiring Chestoption to stop offering unlicensed games of chance in the Netherlands. After further checks, the regulator found that access remained possible.

On 5 September 2025, the KSA decided to collect penalty payments of €840,000 because Chestoption had allegedly failed to comply with the previous order. The regulator has now also moved forward with the separate administrative fine of €3.082 million.

That sequence is important. It shows the KSA using both corrective and punitive tools. First, it ordered the operator to stop. When the alleged conduct continued, it moved to collect penalty payments and impose a substantial fine.

This reflects a broader regulatory strategy in the Netherlands. The KSA is trying to protect the licensed market by making it more difficult and more expensive for offshore operators to continue targeting Dutch players.

Why the Dutch Market Is Under Pressure

The Netherlands has faced growing concern over channelisation — the extent to which players use licensed operators rather than illegal gambling sites. Recent industry and regulatory reporting has warned that illegal gambling activity remains a serious problem, with some data suggesting that unlicensed operators have captured a significant share of gambling spend.

This creates a difficult policy challenge. The Dutch regulatory model is designed to protect players through licensing, supervision, advertising rules, duty-of-care obligations and safer gambling controls. But if players move to offshore websites, they may lose those protections.

Unlicensed operators can also create unfair competition. Licensed companies face tax, compliance, responsible gambling, reporting and monitoring obligations. Offshore operators that ignore those requirements can offer different limits, bonuses, crypto payment options or fewer restrictions, making them attractive to higher-risk players.

The Chestoption case sits directly within that concern. The regulator’s findings suggest that Dutch users were not simply finding the site by accident. The websites were accessible, accounts could be opened, gambling could take place, and the operator did not block the Netherlands effectively.

Crypto and Cross-Border Enforcement

The case also highlights the challenges created by crypto-enabled and offshore gambling models. When gambling websites operate from outside the Netherlands, use international domains, accept digital assets or rely on complex hosting and redirection structures, enforcement becomes more difficult.

Regulators can issue fines, orders and public warnings, but collecting penalties from offshore entities may be harder than enforcing against locally licensed operators. This is why many regulators are increasingly targeting the wider ecosystem around illegal gambling, including payment providers, affiliates, hosting companies, domain services and advertising channels.

The KSA has already indicated that tackling illegal supply requires more than one-off penalties. Disrupting access, payments and promotion may be just as important as fining the operator itself.

For compliance teams in the gambling sector, this is an important point. Illegal gambling enforcement is no longer only about whether an operator has a licence. It also affects B2B suppliers, affiliates, payment processors and technology providers that may help unlicensed platforms reach players in restricted markets.

Dutch Regulator Sends a Clear Warning

The Chestoption fine sends a direct message to offshore gambling operators: failing to hold a Dutch licence does not remove exposure to Dutch enforcement.

The KSA’s position is that if a website is accessible from the Netherlands, allows Dutch users to register and does not take effective measures to block access, the operator may be treated as offering gambling unlawfully in the Dutch market.

That approach is consistent with the regulator’s wider campaign against illegal online gambling. The Netherlands has already imposed large penalties on offshore operators and continues to warn that illegal gambling undermines both consumer protection and the licensed market.

The fine also shows that simply listing the Netherlands as a restricted country in terms and conditions is not enough. If Dutch players can still access the site, create accounts and gamble, regulators may view the restriction as ineffective.

Lessons for the Wider Industry

The practical lessons are clear. Operators that do not hold a Dutch licence must implement effective geo-blocking and access controls if they do not want to be exposed to Dutch enforcement. Passive wording in terms and conditions is not sufficient.

Affiliates and advertisers also need to be careful. Promoting offshore gambling websites to Dutch consumers may create separate enforcement risk. In a market where regulators are trying to increase channelisation toward licensed operators, advertising and affiliate traffic are likely to remain under close scrutiny.

Payment providers and crypto infrastructure firms should also monitor gambling merchant activity carefully. Where funds are moving to or from unlicensed operators targeting regulated markets, there may be legal, AML and reputational exposure.

For licensed operators, the case is also relevant. It shows that regulators understand the commercial pressure created by offshore competition. However, licensed operators cannot respond by weakening their own controls. Instead, the regulatory direction is toward stronger enforcement against illegal supply and stricter protection standards inside the licensed market.

Enforcement Is Becoming More Aggressive

The Chestoption decision confirms that the Dutch regulator is prepared to escalate. The €3.082 million fine, combined with the earlier €840,000 penalty-payment collection, shows that non-compliance can become progressively more expensive where an operator continues to offer gambling after regulatory intervention.

The wider message is that offshore gambling is becoming a priority enforcement issue across Europe. Regulators are increasingly concerned that illegal operators can undermine consumer protection, weaken licensed markets and expose players to higher financial crime and gambling harm risks.

For the Netherlands, the objective is clear: players should be channelled toward licensed operators subject to Dutch supervision. For offshore operators, the warning is equally clear: if they continue to serve Dutch players without a licence, they may face substantial financial penalties, public enforcement action and increasing disruption of their access to the market.

By fLEXI tEAM