Spain’s Gaming Authority: A Decade of Regulation and Evolution

Since its inception in 2011, the General Directorate of Gaming Regulation (DGOJ) has become a central figure in Spain’s gaming landscape. Now under the purview of the Ministry of Social Rights, Consumer Affairs, and Agenda 2030, this organization has grown into one of Europe’s most respected regulators. It strives to balance fostering a thriving industry with safeguarding vulnerable consumers. Its influence spans all forms of gaming, from traditional slot machines to modern online betting platforms, creating a regulated environment that aims to ensure integrity and transparency.

From Temporary Project to Regulatory Pillar

Established in March 2011, the DGOJ was initially conceived as a temporary entity. The original plan envisioned it as “the foundation upon which the future National Gaming Commission would be built.” However, a change in government in late 2011 altered this course. The creation of the National Commission for Markets and Competition (CNMC) in 2013 solidified the DGOJ’s role as the permanent body responsible for gaming regulation.

Under the leadership of Mikel Arana since May 2020, the DGOJ has undergone significant transformation. Its budget has increased to €12.4 million in 2023, reflecting the growing importance of its functions in an expanding market. The organizational structure has also evolved, with the elimination of the General Sub-Directorate of Management and Institutional Relations in 2020, its functions distributed among the other sub-directorates.

A Comprehensive Regulatory Arsenal

The DGOJ possesses a wide range of powers that enable it to effectively control the sector. Key powers include:

• Granting and revoking licenses
• Supervising and controlling gaming activities
• Imposing sanctions for non-compliance
• Developing and enforcing technical regulations
• Promoting responsible gaming practices

These powers are exercised through three main bodies: the General Sub-Directorate of Gaming Regulation, the General Sub-Directorate of Gaming Inspection, and the Division of Safe Gaming Control, created more recently to strengthen consumer protection.

Ministerial Affiliation: From Finance to Consumer Affairs

The DGOJ’s ministerial affiliation has undergone significant changes, reflecting the evolving perception of gaming by authorities. Initially under the Ministry of Finance, it became part of the newly created Ministry of Consumer Affairs in 2020, under the General Secretariat of Consumer Affairs and Gaming.

This shift marked a change in regulatory focus, moving from a primarily revenue-driven perspective to one centered on consumer protection. Since November 2023, following a government restructuring, the DGOJ is affiliated with the Ministry of Social Rights, Consumer Affairs, and Agenda 2030, maintaining its dependence on the General Secretariat of Consumer Affairs and Gaming.

This evolution reflects a paradigm shift in the conception of gaming: from being seen primarily as a source of tax revenue to being considered an activity that requires strict regulation to protect consumers, especially the most vulnerable.

Cracking Down on Illegal Gaming

The DGOJ has intensified its actions against illegal operators in recent years. Since 2018, it has blocked over 2,600 websites operating without a license in Spain, imposing fines totaling over €400 million.

In 2023 alone, the DGOJ imposed sanctions worth €81 million on 17 online gaming platforms during the second half of the year, ordering the closure of 10 of them. The highest sanction, of €35 million and a four-year closure, was imposed on the National Organization of Spanish and European Disabled People (ONDEE) for unfair competition with ONCE.

This strict approach has helped keep the illegal market below 3% of the total, an enviable figure in the European context, according to DGOJ representatives.

Priorities and Challenges Ahead

Mikel Arana, Director General of the DGOJ, has highlighted the following priorities for 2025:

• Strengthening consumer protection measures
• Adapting to technological advancements
• Maintaining a balance between regulation and industry viability

“Our goal is to consolidate Spain as the safest jurisdiction in Europe in terms of gaming. We are implementing pioneering measures such as the single player registry and mandatory risk profiles for those under 25, which are positively transforming the gaming experience,” explains Arana.

Among the main challenges, the Director General points to “the constant technological evolution, which forces us to continuously adapt our supervision mechanisms, and the need to maintain a balance between effective regulation and an economically viable sector.”

Operators’ Perspective: Constant Adaptation

Licensed operators in Spain have mixed opinions about the DGOJ’s regulations. On the one hand, they value legal certainty and the fight against illegal competitors; on the other, they consider some measures excessively restrictive and costly to implement.

“Spanish regulation is one of the strictest in Europe, which poses a constant challenge for operators,” says Carlos Martínez, compliance director of a major online operator. “However, we also recognize that these measures have contributed to creating a more mature and sustainable market in the long term.”

Operators particularly highlight the impact of Royal Decree 958/2020 on commercial communications and the more recent Royal Decree 176/2023 on safer gaming environments, which have radically transformed their marketing strategies and player protection protocols.

An International Benchmark

In the European context, the DGOJ has positioned itself as one of the most advanced regulators in terms of player protection, alongside the UK Gambling Commission and the Dutch Kansspelautoriteit. Its comprehensive approach, which combines preventive measures, strict control, and deterrent sanctions, has served as inspiration for other countries developing or updating their regulatory frameworks.

The integration of new technologies, such as cryptocurrencies in Spanish online gaming, represents a new regulatory challenge that the DGOJ is proactively addressing, setting standards that could be adopted by other European regulators.

In conclusion, the DGOJ has evolved from its creation to become a fundamental pillar of the gaming ecosystem in Spain. Its balanced approach, which combines the promotion of an economically viable sector with robust consumer protection, has created a model that serves as an international benchmark. As the market continues to evolve, driven by technological and social changes, the DGOJ’s ability to adapt will be key to maintaining this delicate balance.

Stay ahead of the game in the licensed betting world – get the latest insights at LicensedBettingSites.com.