How Finland Became an Online Casino Powerhouse
Author:
Muhammad Gregory
The focus of the iGaming world is usually on the larger markets, where the most important developments take place. Most news outlets are quick to jump at the chance to report on the rapidly developing US gambling scene or some major change to UK regulations. Yet few people paid attention as Finland became a hot spot for online gambling. Join us as we explore the gaming industry in the country and learn how Finland became an online casino powerhouse.
How Finland became an online casino powerhouse. ?Pexels/Pixabay
Veikkaus – A Government-Run Gambling Industry
Finland’s gambling scene is a strange case by any metric. Officially, the state monopoly is the only approved entity to offer gambling products. Both the retail and online sectors are operated by the state-owned company Veikkaus. This corporation runs all of the land-based venues in Finland.
Veikkaus manages over 10,000 slot machines and dozens of arcade games. Furthermore, this company is also responsible for one of the few full-fledged land-based casinos in Finland. The Casino Helsinki offers more than 300 slots, 20+ table games, and a poker room.
When it comes to online gambling, the Veikkaus site is the only government-approved option in the country. It features just about every popular kind of online gaming, including sports betting, a casino, a poker room, lotto, and bingo.
The Role of Veikkaus in Finnish Society
The Veikkaus project was designed to generate additional revenue for social programmes and other worthwhile purposes. It is operated for profit, with the proceeds going to various causes. So far, it has done an excellent job at financing numerous welfare initiatives.
The success behind the monopoly is due to several factors. In general, FI residents are receptive to placing bets at online casinos in Finland. More than 40% of the total gambling revenue in the country are from Internet casino sites in Finland. The government has even incentivised players to gamble online.
According to Veikkaus, more than 700,000 weekly players take part in some form of online gambling. In total, Veikkaus serves more than 2 million customers in total. This is a significant portion of the Finnish population. Therefore, it is clear that Finnish online casinos fans are positively predisposed towards the idea of Internet gaming.
Non-Government Online Casino in Finland
Despite the presence of a government monopoly, Finnish players have access to a wide range of casino sites. Finland does not license or regulate these operators, but it does tolerate their presence in the country’s virtual space.
As a result, the numerous offshore casino sites have become quite popular among the local player base. There are hundreds of international operators looking to attract Finnish players. Most offer as good a product as the Veikkaus platform, and some even surpass it in terms of quality.
Finnish players are not restricted from visiting alternative casino sites. Couple this with the small number of land-based casinos, and you have a recipe for a booming online gambling market. In fact, this situation is reminiscent of Canada, where the government does not regulate online gambling, but players are free to place bets with any international operator.
FI Players’ Love for Online Casinos
Finns, in general, have a passion for gambling. More than 2,000,000 Finnish players engage in some form of gambling. That is more than 35% of the total population, which is an astounding figure. Furthermore, Finnish players are also quite adept at utilising online casinos.
The interest in online casinos Finland has shown is no doubt impressive. But it is not without negative consequences. Veikkaus reports that 3.3% of the popular suffers from problem gambling to some degree. This is further aggravated by the government promoting the industry.
To combat this, Veikkaus stopped offering bonuses and introduced strict checks. The responsible gambling tools available at the platform allow customers to limit their playtime, deposit amounts, and more. Moreover, in December 2021, the Finnish government implemented some reforms to the gambling industry. It is set to restrict advertising and utilise additional safeguards.
Player Interest in Offshore Online Casinos
Now that we understand the legal situation behind the online casinos Finland has access to, let’s look at why international operators are gaining steam. It is clear that the Veikkaus platform is not suitable for all players in the country. While it can certainly stand toe to toe with many of the top international operators, it does not have the capacity to satisfy everyone.
Online gambling is incredibly diverse, catering to many different kinds of players. It is impossible for a single platform to meet the needs of everyone. Therefore, it is no surprise that FI gamblers look for alternative Finnish online casinos.
As mentioned previously, a big share of the Finnish population are active online gamblers. More than 700,000 individuals visit Veikkaus weekly. It makes sense that some of them would look for other online casinos.
What’s more, non-Veikkaus Finnish casino sites have certain advantages. For one, there are bonus offers, which new and returning players can claim. Moreover, international online casinos in Finland also host games not available on the government-run platform. Live dealer games are completely absent, while slots titles can appear limited by global standards.
Future of Casino Sites in Finland
The Finnish government has had a spat with the EU over the state monopoly for a long time. The EU stimulates competition and free markets, which is not in line with the notion behind Veikkaus. A state-run monopoly restricts the scene, limiting any potential development of the industry and the number of casino sites.
If the EU had its way, international operators would be more than willing to enter the Finnish online casino’ scene. We have no doubt that major platforms in Europe would be keen on offering Finns a premium gambling experience.
Of course, to achieve this, Finland would have to give its grip on the market and set up a regulatory framework for private companies. However, acquiring licences would be a formality for many of the major online casinos operating in Finland. They are already operational and actively looking to acquire players.
We will pay close attention to any development in the Finnish gaming market. Given a proper regulatory framework and its already booming infrastructure, Finland could prove as one of the great successes of online gambling. There is an established player base and proven user demand for these kinds of products. All that’s required is for the government to release its stranglehold.
Unfortunately, that outcome does not appear likely in the near future. Following a proposed revision of the Lottery Act, the Finnish government looks to protect its Veikkaus monopoly. Restrictions are planned for offshore Finnish casino sites.
Popular Questions
If you have any questions regarding the online casino situation, please refer to the FAQ below. We look to include the most pressing questions and to provide worthwhile and informative answers.
Are online casinos in Finland legal?
Offshore online casinos are not regulated by the Finnish government. They are generally in a legal gray area. All sanction online gambling takes place on the Veikkaus state monopoly platform. It offers all major forms of gaming, including a casino, sports betting, poker, bingo, and more.
How many Finnish gamblers play at casino sites?
FI player interest in online casinos is high. Official Veikkaus statistics show that more than 2 million players have used the platform, with 700,000 of those being weekly players. There is little information about the usage of offshore gambling sites.
Are there non-government Finnish casino sites?
Finns' interest in offshore sites is a known fact. Many major international operators accept Finnish gamblers, even if these companies are not technically approved by law. Right now, they are relying on the government's inaction towards the unregulated market in Finland.
How does the Veikkaus company function?
The role of the Veikkaus state monopoly is to provide safe and fair gambling products to FI residents. It's a for-profit company, but the generated revenue goes towards funding welfare programmes and government initiatives. Its purpose is to help the Finnish population.
What is the future of casino sites in Finland?
Currently, the government is working on revising the Lottery Act. By the looks of it, the future of FI casino sites may be grim. Representatives have discussed limiting player access to offshore platforms. If this were to pass, then Finnish gamblers would be left with Veikkaus as the only viable online option.
