Sweden Closes Down Land-Based Poker and Casinos as Crypto Gambling Grows

Sweden has closed down its physical casinos. It is also launching a physical crackdown on other forms of gaming, such as unlicensed poker.

In 2025, Sweden announced plans to close down its casinos. With land-based gambling at an end, there has been a strict clampdown on cash games. This has brought authorities into conflict with the country's poker community. With long-standing issues related to its online channelisation rates, Sweden may need to relax its stance to prevent people from seeking better offers offshore.

Last year, Sweden's Riksdag made the bold decision to shut down all its land-based casinos. Amidst a backdrop of falling profitability, the country also wanted to bring them into line with more modern reforms, such as the online sector. Sweden has struggled to do this in recent years, with major loopholes in its online gambling legislation. According to the Swedish Gambling Authority (Spelinspektionen), it is its own laws that make this difficult. Intervention can only take place when sites specifically target Swedish customers. This could be through marketing efforts, dedicated customer service or having Swedish language options.

Now, many people are sent online to search for a casino utan svensk licens, literally a casino without a Swedish license. This is for many different factors, but mainly that by being free of legislation, these casinos can offer much more in terms of game selection and bonuses. According to official statistics, the channelisation rate in Sweden is now 85%, meaning only 15% of players are making use of these websites. Added to that is that many are actually licensed, just not by Sweden. They follow rules set out by authorities based in places like Malta and Curacao.  

The government has wasted no time cracking down on illegal operations taking place in physical locations since the closing of casinos. One such incident involved a raid in December, which targeted a €100 buy in poker tournament at the Krukan Club. This involved the use of drones, police tactical units, and a helicopter.

At the venue were around 100 people, though only three were arrested and at locations outside the club. Charges related not just to illegal gambling but also to money laundering. It was a joint effort and involved participation from the Swedish Gambling Authority, the Swedish Enforcement Authority and Europol.

While official statements said players were led out calmly one by one, social media footage has shown a much more chaotic confrontation. The Swedish Poker Association (SvePof) has backed this up, saying it has received several testimonies stating the entry was very forceful and confrontational. SvePof are a non-profit organisation that represents poker players in Sweden. From their statements, players had weapons pointed at them, visitors, including elderly players, were pushed to the ground, and one man was even wounded and bleeding.

It is not illegal for people to play poker in Sweden. However, those organising games must have a valid license. Clubs which offer poker games without a license are touted as social spaces, meaning many have called for a renewal of criteria to prevent the emergence of a grey market.

The last land-based casino is the Casino Cosmopol. A subsidiary of Svenska Spel, it had the only licenses to operate brick-and-mortar casinos in Sweden. All of its profit went to the national treasury of Sweden, at one point providing a huge income stream.

Land-based casinos in Sweden did not have a long history. The first was opened in July 2001, residing in an old railway station. At one point, it had the accolade of being Europe's best casino, but it closed in 2020 due to a lack of profitability. Opened in Sundsvall, Sweden, it is the only one to have ever had three other land-based casinos. These were in Malmo, Gothenburg, and Stockholm.

Svenska Spels 2024 report stated that there had been a decline in revenue due to the implementation of consumer safeguards, such as income checks. This had caused falling profits in the physical casino itself. However, CEO Anna Johnson did add, “We do this because caring for our customers is one of our highest priorities. This negatively affects our revenues and profitability, but it is a conscious choice as we want all our customers to play healthily with us.”

The new rule means that no one will be able to apply for a land-based casino license in Sweden. There have been many voices in opposition to this, and not all have come from the casino operators. The Spelinspektionen, the Swedish gambling authority, warned that banning land-based casinos could fuel a rise in black market gambling, in real locations and at offshore crypto casinos.

Declining physical revenue in casinos is not just confined to Sweden. Similar problems have even been seen in the glitz and glamour of Las Vegas. Yet while many are quick to blame online casinos, it is not always the case. Instead, changes in lifestyles, higher prices for going out and other factors have accounted for these. This is something Sweden should take into account should it wish to reopen physical casinos.