The French, Italian, Portuguese and Spanish online gambling regulatory authorities have just entered into an agreement (2017-07-06) aiming at setting the implementation and control conditions of online poker offers subject to liquidity sharing (I) as well as at organizing an information exchanges and cooperation procedure (II), in accordance with European and local legislations regarding data protection and prevention of fraudulent and criminal activities. Is this next regime a source of inspiration for crowdfunding in Europe ? (III)
I) Implementation and control conditions (art. 3)
Liquidity sharing may be conditioned upon the issuance of a prior authorization or to any other procedure. It only concern stakes placed by players registered on authorized operators’ web sites.
II) Information exchanges and cooperation procedure
In order to prevent of fraudulent and criminal activities, regulation authorities should exchange information including relevant data (ID of the operator, ID and pseudonym of the player, date and time, opening and demands related to player accounts, financial movements…) related to the course of the games on international tables, without charging any additional cost (art. 5/8).
Cooperation can be refused in some cases: the request is likely to infringe the sovereignty or the public order of the state of the requested authority; likely to affect the course of proceedings against a licensed online poker operator; and if the authority does not hold or is not entitled to communicate the information.
Procedure is described at article 7. Exchanges could be spontaneous or upon request of another authority. Exchange of personal data forms a particular case: the requesting authority shall justify in the request that this transmission does not exceed the object and scope of the agreement.
III) Source of inspiration for crowdfunding in Europe ?
Following the US example, several countries have adopted specific regulations on crowdfunding. The matter remains today purely national as the EU Commission has not decided yet to initiate regulations at the EU level. Hence, the market is fragmented and does not reach the threshold of profitability in most EU countries (with the exception of UK). Sharing the "liquidities" of crowdfunding investments between EU countries with similar regulations could be a solution. To be followed !