
How digital ID is transforming gaming and betting in 2025
The online gaming industry is undergoing a major transformation, driven by evolving legal frameworks, bigger restrictions on advertising,
As we move through 2025, the industry stands at a pivotal moment, shaped by the evolving EU Digital Identity framework and tightening local regulations. In Belgium, recent updates to the Van Hecke Law, such as the ban on player incentives introduced in September 2024 and stricter identity verification requirements that take effect on May 1, are raising the bar for compliance. Online gaming platforms must navigate this shifting landscape while ensuring a secure, privacy-conscious, and seamless player experience.
This blog delves into the key challenges facing online gaming platforms and explores how digital identity solutions can help address them, driving transformation and revolutionising the industry.
What are the biggest challenges facing the gaming industry in Europe in 2025?
Regulatory burdens
Next to regulations like General Data Protection Regulation (GDPR), Anti-money Laundering Directive (AMLD) and Know Your Customer (KYC), online gaming operators in Europe face increasingly complex regulatory challenges that directly impact profitability and market strategies. For example,
Managing cross-border operations in the EU is a complex challenge for gaming operators due to the varying regulations across member states. The eIDAS regulation aims to simplify this by providing a standardised framework for electronic identity verification and cross-border digital services, helping streamline processes such as player verification. However, operators still face the challenge of adapting to each country’s unique regulatory requirements, which can increase costs and hinder scalability.
Zooming in on Belgium, gaming operators face strict gambling advertising regulations, which
Identity verification, login & security
A major issue for online gaming operators is that many players reuse usernames and passwords across multiple platforms, which makes their accounts highly vulnerable to breaches and fraud. Through phishing or exploiting weak or leaked passwords,
Additionally, gaming platforms face challenges with user reactivation, as many dormant players cannot return due to forgotten credentials or outdated account recovery methods. While platforms invest significant resources—often hundreds of euros—into acquiring each new player,
Another critical concern is IBAN verification, which has drawn
Pressure to ensure responsible gambling
A key regulatory challenge for online gambling operators, regulated gaming platforms, and physical casinos is ensuring compliance with
In Belgium, gaming platforms must comply with local laws that emphasise player protection by preventing gambling addiction and minimising harm. Per the Van Hecke Law—an amendment to Belgium's 7 May 1999 gambling law— operators will face
While there isn't a unified law for gaming services or direct equivalent to the Van Hecke Law EU-wide, several EU legislations influence online gaming operations, particularly regarding player protection, advertising, and cross-border compliance.
Market saturation and competition in the gaming sector
The proliferation of online gaming platforms has led to fierce competition and market saturation. An additional challenge comes from state-run entities, which enjoy distinct competitive advantages. In this competitive environment, gaming platforms must adopt new technologies and channels, as well as innovate to differentiate themselves to capture and retain customers. To stay ahead, private operators need to generously invest in alternative ways to attract and retain customers, often by providing enhanced experience, quick and secure payments, reliable customer service, and better security.
What are the key benefits of digital ID in online gaming and betting platforms?
Superior user experience
Re-usable, digital identity platforms streamline the login experience on gaming platforms by eliminating the need for users to remember complex passwords and enabling seamless,
Unlike one-off identity verification or traditional identity and access management solutions, re-usable digital identities allow for persistent, user-friendly authentication across sessions and services. By offering a frictionless way to log in or reactivate dormant accounts, platforms can become the go-to destination for players seeking ease and immediacy. This fosters player loyalty by positioning the platform as a trusted, player-first environment where returning is as effortless as playing.
Digital identity tools also play a critical role in enhancing the payment experience and securing transactions within iGaming platforms, particularly through KYC processes. Research shows that
Boosting revenue
By improving user experience, digital identity tools make it easier to attract both new and returning players with fast and secure
For instance, Betfirst, a Belgian sports betting operator, has integrated itsme® to streamline user
Gaming platforms that use
Regulatory compliance made simple
By constantly adapting to evolving regulations, digital identity solutions offer gaming platforms future-proof compliance. Additionally, by providing scalable, secure, and trusted solutions, digital identity tools make it easier to navigate local regulations, offering a compelling case for investment in markets abroad. For instance,
Additionally, by automating the verification process and securely storing player information, digital identity systems eliminate the risks and costs associated with manually handling sensitive documents, such as IDs or bank statements. This not only reduces the risk of human error and fraud, but also ensures that player data is up-to-date and accessible in real-time, minimising the risk of data breaches.
Secure withdrawals and banking verifications
Traditional banking verification often requires players to provide proof of identity through documents like bank statements or IDs, which is time-consuming, costly, and prone to errors. By integrating secure and seamless
In addition to identity verification, some digital identity tools can support secure data sharing, further enhancing the security and efficiency of financial transactions. Through data sharing, online gaming platforms can leverage verified IBAN access, ensuring that bank account details provided by players are authentic and aligned with their verified identity.
Scaling across international markets and enabling them
Digital identity tools offer gaming and gambling platforms a scalable solution for expanding across multiple markets while maintaining security, compliance, and operational efficiency. For example, itsme® digital identity platform, which is eIDAS-compliant, can verify players’ identities using government-issued ID documents
Beyond regulatory compliance, these platforms also enhance the onboarding experience by enabling instant account activation and significantly reducing user dropout. With conversion times that can average just a few seconds, platforms can quickly turn curious visitors into engaged players.
Moreover, digital identity tools help meet both international standards and the specific needs of smaller markets. For instance, itsme® enables local country managers to comply with market-specific regulations, such as Belgium’s enhanced Van Hecke Law. By offering scalable, secure, and trusted solutions, digital identity tools make it easier to navigate local regulations, offering a compelling case for investment in markets abroad.