The European Commission (EC) has received a detailed proposal from the government of the Republic of Lithuania to recalibrate the nation’s online gambling framework. Drafted by the Gaming Control Authority (LPT) under the aegis of the Ministry of Finance, this plan stipulates new technical standards to which all remote gambling platforms must adhere. Under EU protocols, the amendments now enter a 12-week standstill period for scrutiny and feedback, ensuring alignment with broader European directives on consumer protection, anti-money laundering, and fair competition.
Fortified Technical Mandates
Following extensive reviews of Lithuania’s 2016 Gaming Law, the LPT has introduced reinforced requirements aimed at eliminating illicit operators, fortifying data security, and safeguarding consumer interests. In February 2024, the LPT revised the general provisions of its “requirement for remote gambling devices,” the technical mandate attached to the Gambling Law of Lithuania.(1) The newly proposed rules compel licensed operators to secure ISO/IEC 27001-approved certifications and to validate all software via independent audits.
Key benchmarks include:
Centralised Data Repositories: Operators must host encrypted transaction logs within Lithuanian jurisdiction to ensure data sovereignty and avert privacy breaches.
Biometric Verification: From July 2025, platforms must integrate face-recognition and liveness checks to curb underage and fraudulent registrations, aligning with proposals to raise the legal gambling age from 18 to 21.
Real-Time Payment Blocking: Banks must terminate transactions with unlicensed operators listed on the LPT’s blacklist within 24 hours, with noncompliant financial institutions facing heightened fines.
Expanded Role for Financial Institutions
Lithuania intends to enlist domestic and foreign banks in fighting unregulated gambling. Under the prospective legislation, financial institutions must automatically halt payments to websites flagged by the LPT. This approach resonates with recent amendments through which roughly 1,600 gambling sites have already been blacklisted, underscoring the government’s resolve to combat an illegal market estimated to occupy 15% of Lithuania’s total gambling revenue.
Banks will be obliged to report all gambling-related transactions directly to the LPT, and repeated failure to block proscribed dealings could result in fines of up to €6,000. These provisions echo Lithuania’s broader anti-corruption agenda, emphasising transparency and accountability in both commercial and governmental spheres.
Age Restrictions and Venue Oversight
Lithuania plans to raise the minimum legal age for gambling to 21 starting in July 2025, leaving only national lottery tickets exempt. Additionally, the LPT has directed land-based venues to employ trained staff capable of suspending a player’s gambling privileges for up to 48 hours when signs of reckless behavior are evident. By mandating immediate intervention, the LPT underscores its commitment to rigorous harm reduction, surpassing the more reactive self-exclusion frameworks prevalent elsewhere in the EU.
Proposed Taxation Revisions
A further facet of Lithuania’s modernisation is the intent to elevate its tax rate to 22% of gross gambling revenue on slots, online casinos, and other iGaming offerings. While certain multinational operators might view this as punitive, the proposal—now before the EC—could pave the way for a more systematic approach to compliance and data-sharing throughout the EU. Should Lithuania’s strict oversight prove effective, industry watchers anticipate other member states may adopt comparable enforcement protocols.
Emphasis on AI Monitoring
In tandem with payment blocks and biometric authentication, the Lithuanian GovTech Lab has introduced AI-driven oversight to bolster enforcement. Initiatives include:
AI Crawlers: Automated tools that identify mirror domains seeking to circumvent official blacklists.
Behavioural Alerts: Machine-learning systems that detect high-frequency deposit patterns, triggering a mandatory 48-hour “cooling-off” for at-risk players.
Such technologies reflect Lithuania’s pivot from manual supervision to an automated paradigm that reacts in real time, reshaping how regulators can address unlicensed activity and protect vulnerable users.
Lithuania’s proposal to the European Commission signals a decisive transformation in regulatory philosophy, emphasising cutting-edge surveillance and immediate deterrents over traditional, slower-moving checks. Although operators might incur hefty compliance costs—especially smaller entities—many industry experts predict that uniform standards across EU regulators could eventually streamline cross-border operations and enhance consumer protections.
Over the coming months, the 12-week standstill period provides the EC and member states with an opportunity to evaluate the measures’ congruence with EU law, particularly regarding free movement of services under Article 56 of the Treaty on the Functioning of the European Union. Lithuania’s firm stance on blocking unauthorised operators, boosting security measures, and embedding biometric authentication may stir debate, but it underscores the country’s evolving approach: championing robust oversight while preserving a carefully regulated, technologically fortified gambling ecosystem.