In a ground-breaking decision, Yggdrasil was fined SEK 300,000 by the Swedish Gaming Authority (SGA) for infringing B2B license laws. This indicates a critical turning point for the online gaming industry and increased regulatory scrutiny.
With regard to Yggdrasil, the SGA’s punitive action highlights its steadfast position against licensed companies doing business with unregulated alternatives. In July 2023, B2B licensing requirements were implemented, requiring rigorous adherence to licensing rules with the goal of encouraging operators to enter the regulated market and reducing the prevalence of illegal gaming activities.
Following an extensive investigation in January 2024, the SGA uncovered Yggdrasil’s transgression. The supplier had provided gaming software to an operator lacking a Swedish license, contravening regulatory stipulations. Questions arose regarding Yggdrasil’s association with a black-market entity, as the SGA had previously barred the operator from operating in Sweden since October 2021.
Prompt Action and Regulatory Response
After learning of the infraction, Yggdrasil promptly stopped providing gaming software to unlicensed operators, blaming the breach on a partner retailer’s breach of contract. Even with the company’s quick remedial actions and cooperation, the SGA considered the infraction serious enough to need a formal warning as well as a monetary fine.
The SGA emphasized the seriousness of these infractions and the possibility of license suspension for repeat offenders. Luckily for Yggdrasil, the severity of the punishment was constrained by its flawless record and cooperation. The fine of SEK 300,000, which was determined by taking into account Yggdrasil’s turnover from the previous year, is a clear indication of what happens when regulations are broken.
The post Swedish Gaming Authority Yggdrasil Hit with Fine Over Unlicensed Software Deal appeared first on iGaming.org.