Paf and Meta Join Forces to Combat Unlicensed Gambling Operators in Switzerland

Paf and Meta Join Forces to Combat Unlicensed Gambling Operators in Switzerland

Introduction: A Collaborative Effort to Curb Illegal Gambling

In a groundbreaking move, Åland Islands-based gaming company Paf has partnered with tech giant Meta to tackle the issue of unlicensed gambling operators. This collaboration, announced on October 5, 2026, marks the beginning of a pilot project focused on Switzerland. The initiative aims to create a scalable model for identifying and stopping unlicensed gambling activities on Meta’s platforms, which include Facebook and Instagram.

The Mechanics of the Pilot Project

Sharing Licenses and URLs for Transparency

During the SBC Summit in Lisbon on September 30, Jesper Eliasson, Chief Business Development Officer at Paf, revealed the details of this pilot. Paf will share license documents and URLs of licensed operators with Meta. This information will help Meta distinguish between licensed and unlicensed operators and their affiliates. Although Paf hasn’t disclosed specifics on how Meta will utilize this data, the ultimate goal is to develop a robust model that can be expanded to other markets.

Why Switzerland? Strategic Market Selection

Switzerland was chosen as the initial testing ground due to Paf’s existing partnership with mycasino.ch, operated by Grand Casino Luzern. The site is a market leader in Switzerland’s licensed gambling sector, with annual revenues exceeding €100 million. The Swiss market is particularly challenging due to unlicensed operators systematically bypassing social media controls. Europe’s fragmented licensing system further complicates the identification of the entities behind gambling advertisements, often leading to jurisdictional overlaps.

Challenges in Identifying Unlicensed Operators

Jurisdictional Complexities

Eliasson highlighted the difficulties in spotting unlicensed operators, as licenses can be issued from entirely different jurisdictions. This legal ambiguity makes it challenging to pinpoint the origin of gambling advertisements, thereby allowing unlicensed operators to continue their activities unchecked.

The Role of Regulatory Authorities

Eliasson emphasized the need for regulatory bodies to take more decisive actions. While sharing data and engaging in dialogue with platforms like Meta are essential, these measures alone are insufficient. Paf advocates for supervisory authorities to issue cease and desist letters, cooperate with international regulatory bodies (including those in the U.S.), and have the power to freeze assets of operators unlawfully targeting regulated markets.

Balancing Regulation and Entertainment

Stricter product regulations, which often reduce the entertainment value, are not standalone solutions. Eliasson warned that overly stringent rules could drive players to unregulated platforms, achieving the opposite of the intended effect. Therefore, a balanced approach that ensures compliance without diminishing user experience is crucial.

Concurrent with Paf’s pilot, the Dutch trade association VNLOK has initiated legal proceedings against Meta. On September 28, VNLOK summoned Meta to the Amsterdam District Court over illegal gambling advertisements on Facebook and Instagram. The trade body alleges that Meta is failing to meet its obligations under the EU Digital Services Act and demands better preventive measures against such ads targeting Dutch consumers.

Future Prospects: Scaling Up the Model

Regardless of the pilot’s outcome in Switzerland, Paf is committed to continuing its collaboration with Meta to combat unlicensed operators. The success of this pilot could pave the way for a more comprehensive framework applicable across multiple jurisdictions, ensuring a safer and more regulated online gambling environment.

Conclusion: A Step Towards Safer Gambling

The partnership between Paf and Meta represents a significant step forward in the fight against unlicensed gambling operators. By leveraging technology and regulatory cooperation, this initiative aims to create a scalable model that can be implemented globally. As the pilot progresses, the insights gained will be invaluable in shaping future strategies to protect consumers and uphold the integrity of the gambling industry.