Denmark Roll Outs New Certification Standards for Gambling Industry Suppliers

The Danish Gambling Authority, Spillemyndigheden, has updated its certification program for the gambling sector to level up safety standards within its borders. While these changes officially kicked in at the beginning of this year, the regulator has given the affected entities a six-month window until July 2025 to meet the new compliance standards.

Based on the new rules, game suppliers have the responsibility of handling their certification processes through supplier licenses. Spillemyndigheden associates this move with the need to boost transparency by ensuring that operators and suppliers fulfill their separate regulatory duties right out of the gate. 

A Glance at the New Certification Responsibilities for Game Suppliers

The greatest highlight of Denmark’s new certification standards is that the updated framework places the certification responsibility directly on game suppliers. Each supplier will now manage their processes, unlike when operators handled compliance reporting for their game suppliers.

The new rules will cover all companies supplying games in Denmark. As a result, any business creating and running games must now secure two certifications: one as a game supplier and another for their B2C operations.

How Will Companies Issue Certification Reports?

According to its newly updated regulatory approach, the Danish gambling watchdog prioritizes clear accountability and responsibility. That’s why certification reports must go directly to the licensed entity, whether it’s for the game supplier or the operator. The covered entities must provide separate reports if a certification caters to multiple companies. This rule applies even if they operate under the same license.

What’s The Transition Period?

Companies have a six-month transition period to prepare for the new rules. They’re expected to review their compliance procedures, determine the necessary certifications, and submit their application during this duration. Spillemyndigheden has made it clear that entities that miss the July 1 deadline could face penalties or operational disruptions.

On top of that, the new regulations recommend that companies set up solid systems for managing and maintaining their respective certifications. This is especially important for businesses with multiple roles because they must ensure they are compliant across all areas of their operations.

The Latest Guidelines from Spillemyndigheden

Spillemyndigheden has released Newsletter 58, a detailed guide on the updated certification system, to assist gaming industry businesses with the new requirements. The newsletter breaks down seven types of certifications and explains which ones apply depending on a company’s structure and operations. It also offers guidance on how often operators must update these certifications. The said certifications are as follows:

• SCP.00 – General requirements
• SCP.01 – Requirements for RNG
• SCP.02 – Requirements for the base platform
• SCP.03 – Information Security Management System
• SCP.04 – Requirements for penetration testing
• SCP.05 – Requirements for vulnerability scanning
• SCP.06 – Change management program
• SCP.07 – Requirements for games

These certifications are intended to ensure companies meet the Danish regulator’s strict standards for transparency and fairness. With the seven new certification standards, the authority seeks to clear up any confusion and improve oversight across the industry.

Spillemyndigheden has warned that failing to comply with the new regulations could lead to penalties or disruptions. The updated framework also advises companies with various roles in the market to set up strong oversight systems to effectively manage the different certification requirements.

Key Changes in the Certification Program

The new certification framework features multiple structural adjustments to improve clarity and compliance for license holders. Thus, operators and suppliers across various platforms must understand that:

1. These new rules introduce three distinct certification categories: land-based betting, online betting, and online casinos. Each sector has its specific set of requirements.
2. The SCP.00.00 General Requirements document now features new definitions, including terms like ‘game supplier,’ ‘license holder,’ and ‘game platform.’ Unlike previously, there’s a clearer understanding of who is accountable for compliance.
3. There are new documents in the picture, such as the SCP.01.00 Requirements for RNG Publication that focus specifically on random number generator (RNG) compliance. 

Furthermore, the SCP.02.00 Requirements for Base Platform document prioritizes player account management. Meanwhile, the game certification process is now split into the three certification requirement versions highlighted above, i.e., land-based gambling, internet betting, and online casinos.

Updates in Testing and Security Standards

The latest updates bring the following adjustments to improve the security of the gambling environment:

• Penetration Testing: Penetration testing has become more stringent, with personnel now required to meet higher qualifications. Only recognized certifications, like CREST accreditation, are accepted for testing organizations, ensuring that assessments are conducted to the highest standard.
• Vulnerability Scanning: The new requirements mandate that personnel handling vulnerability scans hold CRT and CREST CPSA certifications.
• Change Management System: Suppliers no longer need approval from license holders before making system changes. However, they must properly integrate the base and game platforms. This change formalizes existing practices to minimize unnecessary burdens.
• Launch of the Games Register: The Danish Gambling Authority will provide login details to Game supplier applicants to access the Games register. These applicants can use the portal to upload their information and game certificates as part of the application process.

The six-month transition period gives stakeholders time to adjust to the updated program. They can use old certification systems alongside the new ones until July 1, 2025. After that date, all operators must fully comply with the latest certification requirements.

Better, More Robust Regulation Coming for Denmark’s Gambling Market

The New Certification Standards are part of Spillemyndigheden’s broader goal to improve accountability and transparency in the Danish gambling market. Additionally, clarity of responsibilities to operators and suppliers means the regulator can create a better and more transparent environment for everyone involved.

Game suppliers and operators must thus act quickly to comply with the new guidelines as the implementation date gets closer. Additionally, the Danish watchdog has urged businesses to take advantage of the resources in Newsletter 58 and possibly seek professional advice.

No doubt, the updated certification rules mark a turning point for Denmark’s gambling industry, establishing new standards for compliance and clear-cut regulation. These rules are expected to enhance the integrity and fairness of the market for everyone involved as operators adjust accordingly.