Do national regulators enforce rules against entities operating abroad?
The Danish Gambling Act generally applies to all games that are offered or arranged in Denmark. However, games that are solely based on skills are not governed by the Act.
Online games are offered in Denmark if the game provider receives stakes (i.e. payment) from persons in Denmark. This means that a game provider must comply with the Danish Gambling Act even if the game provider is not situated in Denmark as long as the game provider receives stakes from persons in Denmark.
According to the Danish Gambling Act games that involve payment of stakes require a license from the Danish Gambling Authority, unless specifically exempt.
Note: Providing gambling services without a Danish gambling license is illegal and may lead to criminal proceedings.
If a prize promotion is linked to the purchase of certain goods or a service, the payment for that good or service is not considered a stake, if the value of the good or service equals the price paid for the good or service. However, if participation in a prize promotion requires payment of an extra amount besides what is already paid for the good or service, that amount is considered payment of a stake. Likewise, if the price of the good or service is higher than the usual price to finance a prize promotion.
The Danish Marketing Practices Act follows the so-called effect principle meaning that it applies to all prize promotions targeting the Danish market. The Danish Marketing Practices Act thus applies even if the promoter is not based in Denmark.