‘GlobaliGaming affiliates cease UK operations with Slot Fruity and Coinfalls casinos. Is the UKGC’s rule tightening threatening iGaming?’ (Photo by Marco Bianchetti on Unsplash)
As the UK Gambling Commission tightens up its Gambling Act 2005, GlobaliGaming Affiliates cease UK operations for good as of midnight 31st May 2021! The key reason behind the affiliate program’s exit is out of the firm’s hands. Nektan casinos, which GlobaliGaming provides affiliate programs, are currently under a UKGC license suspension.
In a press release circulated by the firm, the company stated that it is exiting the British iGaming scene because the cost and risk of operating under a framework over-inflated with rules and regs are not worthwhile anymore!
Access to the GlobaliGaming Slot Fruity as well as its Coinfalls affiliate packages will now come to an end. The affiliate provider is unenthusiastic about its decision, which is evident in its well-written statement that also oozes heartfelt frustration without overly venting the firm’s obvious annoyance at the fact that the UK market is becoming an unattainable place to do business. The firm also made a point of the fact that its decision to leave the UK behind was not one it took lightly.
Via the press release circulated on email, GlobaliGaming apologised to its UK affiliates currently signed up with the firm. It also says that the firm tried to find solutions that would allow it to continue offering its lifetime commissions via its Markortech programs, but there was no feasible resolution to the costs issues the firm and casino operators are facing, while if there was an alternative that would allow the program to continue, then it would have!
GlobaliGaming operates in partnership with Mediacle Affiliate Platform (MAP), and it offers lifetime commissions to affiliates that attract signs ups to UK casinos Slot Fruity and Coinfalls. However, its exact words used as the reason for its UK market exit were: ‘recent changes in regulation and various pressures on operators’ it seems there is no coming back from that!
GlobaliGaming’s Connection to Nektan!
Both the Slot Fruity as well as its Coinfalls operate under Nektan, which has come under fire for poor financial management resulting in its UKGC license being suspended. The firm also failed to file financial reports with the London Stock Exchange last year which resulted in Nektan Ltd being kicked off the UK’s FTSE stock market. Therefore, with the two casinos and many other casinos under the Nektan brand now unable to offer services to UK citizens, GlobaliGaming main affiliate program in the UK can no longer operate.
UKGC Market Tinkering: Will More Companies Exit the UK Market?
With a well-established affiliate program ducking out of one of the world’s most heavily regulated iGaming markets, could this be a sign of the future? GlobaliGaming may be the first of many to exit the UK market as new laws being put in place could well be upsetting the balance of the online casino industry. That being said, with the affiliate program hinging very much on the success of Nektan, a company that has clearly flouted UKGC laws, there was perhaps nothing that GlobaliGaming could have done. But, even so, this does not change another topic up for debate which is the current regulatory planned or suggested changes occurring in the UK gambling market. With so much going on, it is creating an air of instability, and here are a few reasons why:
- Max Bets: For starters, there are officials lobbying to reduce the maximum amount British citizens can gamble online. One figure being touted is as low as £100 per month! This an amount that is spilling over from an apparent review of the online sports betting market. However, after a strong backlash from operators, the UKGC was looking to introduce affordability tests as an alternative solution. Yet, it appears putting this idea into action appears to be overly complicated and will probably not come into effect.
- Max Bets On Slots: Already the UK retail sports industry has suffered from max bets of £2 being placed on self-service betting kiosks! Now the are calls to apply the same max limits to online video slots. Currently, max bets are up to £100 or even £500 on some slots, and there is a small market of high roller slot players out there. Either way, this suggestion seems like a pie in the sky idea and is unlikely to come to fruition.
- 5 Seconds Spins: This is something that is already in force in the UK. Each spin on an online slot must last at least 2.5 seconds, which now eliminates the quick spin or fast spin feature from all video slots at UK online casinos. Adding to this, the auto-play feature must be removed. Whether this is something that is affecting affiliates income is not known as there is no data available, but as the UKGC releases its results in the future, we will see if online slots revenue is down in the UK.
Is the UKGC OTT? As a licensing authority, the UKGC has UK player’s best interests at heart which we can vouch for. Its strict licensing protects the UK public from rogue casinos and have to say that it has done a tremendous job of shoring up at the market. However, it needs to be careful how far it goes as its job is also to stimulate the UK gambling market. If we see more firms like GlobaliGaming exiting the industry, then the UKGC may inadvertently limit UK players’ choices which partially defeats the object of its existence!
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