Dutch gambling regulator Kansspelautoriteit (KSA) has warned the Sauber Formula 1 team not to promote the Stake.com brand during the upcoming Dutch Grand Prix as the crypto gaming specialist is not licensed in the country and therefore deemed illegal.
The Dutch Grand Prix will take place this weekend at Circuit Zandvoort near Harrlem in the Netherlands. Sauber, which races under the official name ‘Stake F1 Kick Sauber Team’, is among the teams taking part.
However, advertising rules in the Netherlands mean the team will not be able to use its full name as it is illegal to advertise gambling operators that do not have a gambling licence in the country. As Stake does not hold such a permit, it is deemed an illegal operator.
Ahead of the Grand Prix, KSA is ordering Sauber, as well as race organisers, not to advertise Stake. The Grand Prix officially begins on 23 August with the first round of practice, with the main racing taking place on 25 August.
“Sauber’s Formula 1 team competes in most international races as Stake F1 Team,” KSA said. “Stake is an international gambling provider and main sponsor of the team. Stake does not have a licence from KSA and is therefore not allowed to offer gambling in the Netherlands.”
KSA flags illegal gambling concerns with Stake
Dutch law also requires operators without a licence to take measures to prevent players in the country from gambling. KSA said an example of this is to apply geo-blocks, which will stop players from accessing illegal websites.
KSA said Stake uses such geo-block functions in the Netherlands. However, the regulator said it has still seen instances of Dutch players gaining access to Stake.com.
“We therefore find it undesirable illegal gambling is advertised at a Dutch event with the reach and size of Formula 1, also because the event attracts a lot of attention among vulnerable groups such as minors and young adults,” KSA said.
“KSA therefore urgently requests Sauber and organisers not to drive under the name Stake and not advertise for this provider.”
How will Sauber get around the measures?
The advertising issue is not a new concern for Sauber. The team has faced similar restraints in other countries in terms of carrying the Stake brand.
Qatar, Japan, Saudi Arabia, United Arab Emirates, Singapore, Bahrain and China are among F1 host nations that have some kind of restriction on gambling. Meanwhile, several other countries, including Australia, have strict rules on gambling advertising.
To get around this, Sauber changes its official team name, as well as vehicle livery, race suits and other branding, to meet local requirements. Instead, it races as Kick F1.
Kick is a streaming platform that allows users to view, create and share content. While Kick is owned by Stake, it is not actually a gambling or crypto company, meaning it complies with rules in countries with gambling and advertising restrictions.
As such, Stake F1 will this weekend race as Kick F1 during the Dutch Grand Prix.