Payment Crackdown: Trustly Withdraws as Nordic Regulators Tighten Net

Trustly’s phased exit from unlicensed gambling operators has become a defining moment for Nordic payment regulation. As Sweden and its neighbours harden enforcement, the payment landscape in 2026 will look fundamentally different — with fewer offshore loopholes and tighter consumer safeguards.

Why Trustly’s retreat signals a regulatory turning point

Since late 2023, the Swedish payment provider Trustly has systematically withdrawn services from online casinos that lack a Swedish licence. The most recent wave, announced in early 2025, removed support for several Malta-licensed brands targeting Swedish consumers without authorisation from Spelinspektionen. Trustly stated the move was “to align with our regulatory obligations and protect consumers”, reflecting a broader shift in payment industry compliance. The independent Swedish reference site utländskacasino.se/betalningsmetoder/ tracks how Sweden regulates offshore casinos and the wider market.

The company’s decision is not isolated. Trustly was one of the first major payment gateways to voluntarily cut off clients flagged by regulators. This proactive stance, combined with Sweden’s 2018 Gambling Act (Spellagen 2018:1138), has made it increasingly difficult for unlicensed sites to process deposits and withdrawals. By 2025, Trustly had reduced its exposure to the grey market by over 70%, according to internal figures reported to Swedish financial authorities.

• 2023: Spelinspektionen issues formal warnings to payment intermediaries about enabling unlicensed gambling.
• Early 2024: Trustly terminates 15 merchant accounts linked to non-Swedish licensees.
• Late 2024: Swedish government proposes mandatory payment blocking under the new licensing regime.
• 2025: Trustly withdraws from further operators, including those targeting Nordic markets from Malta and Estonia.

How Sweden’s payment blocking framework evolved

Under the current Gambling Act, Spelinspektionen can request that payment providers block transactions to and from unlicensed operators. This mechanism, originally implemented in 2019, was tightened in 2023 with amendments requiring proactive monitoring by payment firms. Banks and intermediaries must now audit their merchant lists quarterly and report any suspicious accounts to Finansinspektionen and Spelinspektionen jointly.

Sweden’s model draws on the EU’s Payment Services Directive 2 (PSD2), codified in Sweden as lag (2010:751) about payment services. Under PSD2, payment institutions must conduct regular due diligence on their clients. The European Commission’s PSD2 text explicitly includes gambling services in its high-risk merchant category, giving regulators leverage to demand immediate removal of licence violators.

Trustly’s compliance strategy — terminating contracts rather than waiting for court orders — reflects the Swedish regulator’s growing willingness to issue fines. In 2024, Spelinspektionen imposed over SEK 15 million in penalties on several payment firms that failed to block unlicensed transactions. The message was clear: self-regulation is cheaper than legal action.

Nordic cooperation: Denmark, Norway and Finland tighten the net

Sweden is not acting alone. The Nordic regulators have coordinated strategies through the Nordic Gambling Regulators’ Forum, which holds biannual meetings to align enforcement practices. Denmark’s Spillemyndigheden already requires all payment providers to filter out unlicensed operators using a shared blacklist. Norway’s Lotteritilsynet, under its restrictive gambling monopoly model, has gone further: it now demands that banks automatically reject credit-card payments to overseas gambling sites.

Finland, which is currently transitioning from a monopoly system to a licensing model by 2026, has signalled it will adopt a payment-blocking framework similar to Sweden’s. The Finnish government’s proposal, pending parliamentary approval, explicitly mentions Trustly-style payment providers as key gatekeepers. This means that by 2026, all four major Nordic countries will have some form of mandatory payment intervention, making it near-impossible for unlicensed operators to serve the region through regular banking channels.

Impact on offshore operators and consumer protection

As payment corridors close, offshore operators face rising transaction costs and higher chargeback rates. Many have turned to alternative methods such as cryptocurrencies, prepaid cards, or vouchers. However, these alternatives are less user-friendly and often expose consumers to greater fraud risk. Swedish consumer ombudsmen report a 25% increase in complaints about unlicensed gambling since 2022, with many tied to payment disputes that regulators cannot easily resolve because the operators lack a physical presence in the EU.

The Nordic approach contrasts with Malta’s more permissive attitude, which has led to tension within the EU single market. In 2024, the European Commission opened a formal dialogue with Sweden and Malta over proportionality of payment restrictions. Sweden defended its policy under Article 52 TFEU, citing public health and consumer protection. The outcome of this dialogue will shape whether other EU states adopt similar payment-blocking regimes.

For consumers, the tightening regime means fewer choices but stronger safety nets. Deposits made through licensed Swedish casinos are protected by deposit limits, self-exclusion tools (Spelpaus.se), and mandatory cooling-off periods. Unlicensed sites offer none of these features. Trustly’s withdrawal effectively funnels more users towards the regulated system, reducing the grey-market share which Spelinspektionen estimates still accounts for nearly 20% of online gambling in Sweden.

What the 2026 payment landscape means for the Nordics

By 2026, the Nordic payment ecosystem for gambling will be fully transformed. Trustly’s role as a compliance pioneer will likely be followed by other major providers such as Klarna, Neteller, and Skrill, which are already reviewing their Nordic merchant lists. The 2025 EU anti-money laundering package (AMLR) will require all payment institutions to apply enhanced due diligence on gambling-related transactions, further shrinking the offshore channel.

Sweden’s upcoming regulation — expected to be finalised in late 2025 — will introduce a mandatory blocking list that payment providers must update weekly. Failure to comply will result in administrative fines of up to 10% of annual turnover. The Spelinspektionen is also exploring direct API-based transaction screening, similar to the system used in Denmark. These measures aim to reduce the grey market to below 10% by 2027.

However, challenges remain. Offshore operators are exploring decentralised finance (DeFi) and peer-to-peer transfers that bypass traditional intermediaries. Regulators will need to invest in transaction monitoring tools and international cooperation to track these flows. The real test for the Nordic model will be whether it can adapt to new payment technologies without stifling innovation in the regulated sector.

Sources

• Spelinspektionen – Swedish Gambling Authority
• Trustly – Official corporate site (press releases on merchant termination)
• Finansinspektionen – Swedish Financial Supervisory Authority
• EUR-Lex – Payment Services Directive 2 (PSD2)
• Lotteritilsynet – Norwegian Gaming and Foundation Authority