France is home to the City of Love, champagne, and the Eiffel Tower.  It’s also home to some of the strictest online gambling regulations in the European Union (EU).  While other member countries have taken advantage of the autonomy to regulate their own iGaming industries, France has rigid regulations against online casinos.  

However, legislation to legalize online casinos has been proposed and France’s online gaming market could see them as early as mid-2025.  With the potential for a new iGaming market on the horizon, it’s important for consumers and businesses alike to learn what changes could be coming to France.

France’s Current iGaming System

The EU allows member states to set their own gaming restrictions.  Some countries, like Spain and the United Kingdom, allow online gaming with licensing requirements, while others, like Finland and Poland, have a state-owned monopoly on their iGaming markets.  

Only two countries in the EU ban online casinos: Cyprus and France.  In France, online gambling isn’t technically illegal, but online casinos are.  Only online sports betting, including horse races and poker, are permissible.  

In December 2023, the European Gaming and Betting Association (EGBA) called on France to legalize online casinos amidst concerns over black market gambling sites.  A study by l’Autorité Nationale des Jeux (ANJ), the country’s gambling authority, estimated France’s illegal online gambling market to be worth up to £1.5 billion annually.  The ANJ has attempted to regulate offshore and black market online gambling sites, but legalizing virtual casinos would give the agency stronger enforcement and regulation powers.  

Proposal to Legalize Online Casinos

France’s current administration has seen that it would be a mistake to waste the opportunity to tap into the European iGaming market with the potential economic boost that it could bring.  While physical casinos are rallying against the proposal to legalize online counterparts due to fears of lost revenue, proponents of the change are quick to point out that there’s already a strong online gambling market in France.

While in-person casinos may be afraid of income lost to online casinos, the French government isn’t, as their legalization is expected to be a large source of revenue.  The current proposal has online operators facing a 55.6% tax rate on their gross gaming revenue (GGR).  

What the Legalization of Online Casinos Would Mean for Operators

France’s proposed tax rate for online casino operators would be one of the highest in the EU, but this shouldn’t dissuade them from entering the market.  The proposed legislation was informed by iGaming success stories from the EU and represents the potential to drive economic growth in a booming market.  

The EU’s devolvement of online gambling regulations to member states may also intimidate operators, as all states have different licensing and operating requirements.  Some states, like Bulgaria and Ireland, have no official licensing requirement but operators must obtain a license from another EU country.  Others, like Italy and Portugal, must obtain licenses from local authorities.

Have a Partner with Integrity

Experienced partners, like Integrity, a division of Aristotle, are here for your iGaming needs as you prepare to enter new markets.  With our waterfall approach to identity verification, KYC and AML compliance, and verification, you can take care knowing that you will Louvre our services.  Product offerings include: 

• Integrity IDV-Direct: A web-based platform to verify the identity of online visitors across our database of 3.4 billion citizens across 135 countries allows you to quickly and efficiently. The platform is available through a single API allowing for an “integrate once, use anywhere” approach and is combined with several external gateways to deliver a best-of-class verification solution that leverages global data.  
• Integrity AutoDoc and Integrity Document: We offer both automatic and manual document verification options to ensure that you’re compliant with local regulations and have a solution that fits your verification needs.  Our partners and agents are ready to help and are tested regularly to find potential fraud in document review and identity verification.
• Integrity AML: Check consumer information against SSN dead rolls, OFAC, DFAT, UK HM Treasury, DEA, LEIE, Interpol, and numbers of other global financial watch lists. Integrity also checks for Politically Exposed Persons (PEP) that may need to be tracked and provides a real-time flag and access to PEP information in the back office to determine true hits or false positives.

How can Integrity help you address expanding into new marketplaces and ensure your compliance with local regulations? Click the “FREE DEMO” button in the upper right corner and a representative will suggest the proper solution to meet your needs.