Denmark May Ban Affiliate Payments Linked to Player Losses

^{Anders Dorph, Director of the Danish Gambling Authority}

Denmark is discussing a reform of its gambling legislation that could significantly affect the affiliate sector. According to SiGMA News, the Danish government is preparing amendments to the Gambling Act that have triggered a strong reaction from market participants.

The key element of the proposal is a ban on affiliate payments where remuneration is linked to player losses or betting turnover.

The initiative targets the revenue share model, which underpins the business of most Danish gambling affiliates*. The proposed ban would apply not only to new agreements but also to existing contracts. The changes are expected to come into force on 1 January 2027.

Authorities argue that the reform is necessary to strengthen player protection and reduce incentives that may encourage excessive gambling. However, representatives of the affiliate industry note that they have invested in their businesses for years under the regulatory framework established following the market liberalisation in 2012. In their view, cancelling existing agreements without a proper transition period could result in lost revenue and company closures.

In addition, Anders Dorph, Director of the Danish Gambling Authority (Spillemyndigheden), warned that tighter rules could weaken the legal gambling market.

Gambling Park notes that affiliates play an important role in directing players to licensed operators, and the exit of regulated partners could strengthen the position of illegal and foreign platforms that fall outside Danish regulation.

* Affiliates are partners who use their own resources to drive traffic to gambling operators.