🇮🇸For operators · Tax, marketing & compliance
Iceland gambling market for operators: state monopoly
Iceland keeps money gambling for six non-profit statutory lotteries. Foreign sites are not blocked, their winnings are taxable income, and advertising them in Icelandic media is fined.
Product by product
No licence is open to a commercial operator: a money lottery or betting can be run only under one of six special statutes.| Product | Status | Licensed by | Tax | Key restriction | Advertising |
|---|---|---|---|---|---|
| Sports betting | State monopoly | Íslenskar getraunir (Act 59/1972) | No gambling tax | Betting on sport without a special statute is prohibited; no other operator can be licensed | No ban on the six holders' own advertising; advertising of unlicensed betting is banned (Media Act art. 37(4); Lottery Act art. 11(1)(b)) |
| Online casino and live casino | Banned | None: cannot be licensed | No gambling tax | No statute grants a licence; operating gambling as a trade is an offence (Penal Code art. 183) | Advertising unlicensed gambling is banned: Media Act art. 37(4), Lottery Act art. 11(1)(b) |
| Poker | Banned | None | No gambling tax | No special statute covers poker; Lottery Act art. 2(2); Penal Code arts 183-184 | As for Online casino and live casino |
| Slots | State monopoly | Íslandsspil (collection boxes) and HHÍ (machines), both land-based | No gambling tax | Up to 650 collection boxes; 18+; payout floor 89%; 300 kr. a game; prize cap 5,000,000 kr.; no online slots licence exists | As for Sports betting |
| Lottery | State monopoly | Íslensk getspá, HHÍ, DAS, SÍBS (six statutory holders in all) | No gambling tax; HHÍ licence fee 20% of net annual profit | Money and number lotteries only under the six statutes; while HHÍ operates no other money lottery may be set up | As for Sports betting |
| Bingo | Limited | Sýslumaður (Lottery Act licence), non-money prizes only | No licence fee per the service page | Public-benefit purpose; EEA-established body; up to 3 licences a year; prize share at least 16.67%; bingo for money has no licence route | Advertising of lotteries not licensed under the Act is an offence (Lottery Act art. 11(1)(b)) |
Decided14 Aug 2025Media Commission decision 2/2025
Can Iceland block or punish foreign betting sites?
Not by an administrative order: no statute gives any authority its own power to block a gambling site, app or payment. The one administrative tool is the Media Commission's power to fine a media provider that carries advertising for unlicensed gambling, up to 10 million kr. On 14 August 2025 it fined Síminn hf. 1,000,000 kr., after fining Sýn hf. the same amount on 24 August 2022, and it treated brands holding Maltese licences as holding no licence under Icelandic law. The Minister of Justice told Althingi on 25 September 2025 that there is no specialised supervision of foreign betting; no bill on gambling is before Althingi.
Media Commission decision 2/2025 ↗Minister's statement, 25 Sep 2025 ↗
Regulator and player protection in Iceland
Regulator
Application authority and enforcement body
Self-exclusion scheme
Operator level only: Getspá/Getraunir play-account closure
How players exclude themselves; what it covers is in the player guide
Mandatory RG controls
No limit imposed on players
Deposit limits or reality checks the law requires operators to offer
Heads-up for operators
2 items · last change 7 Nov 2026
No gambling bill is before the Althing (parliament) and the government's legislative agenda for the 158th session has none (as of 7 November 2026). The Minister of Justice told the Althing on 25 September 2025 that the options are to allow, ban or license online betting or keep the market closed, and announced no bill. A 2023 consultation on anti-money-laundering changes for the collection boxes and HHÍ machines shows no resulting bill.
Minister: online betting options open, no bill
The Minister of Justice set out the options in the Althing; no bill is before the Althing (as of 7 November 2026).
Source: 1
Not yet in force: drafts, laws adopted without a start date, and sections of the law still to be commenced. An item moves to the timeline below on the day it takes effect.
Getting licensed: no online licence route
Why there is no online licence, and what exists instead, are in the licence guide
No private operator can be licensed online. The legal basis, what the law allows instead and what an operator or supplier can do are set out there.Read the licence guide
Gambling tax and fees in Iceland
Detail
No gaming duty or GGR tax applies. HHÍ pays a licence fee of 20% of its net annual profit, capped at 150,000,000 kr.
(Act 13/1973 art. 1). Corporate income tax is 20% for limited companies (Income Tax Act art. 71(1)); public-benefit bodies are exempt (art. 4).
Which foreign licences Iceland accepts
Iceland recognises none of these 8 foreign licences.
Not recognisedMalta (MGA) · United Kingdom (UKGC) · Curaçao (CGB) · Alderney (AGCC) · Kahnawake (KGC) · Anjouan · Isle of Man (GSC) · Gibraltar (GRA)
A foreign licence gives no standing in Iceland. Foreign sites are not blocked; the Minister of Justice said on 25 September 2025 that foreign betting aimed at Icelanders is contrary to law and not supervised.
Bonus rules: welcome bonuses banned
Bonuses bannedInducement ads: Banned
The rules on bonuses are a direct result of the state-monopoly. With no licensed competitive online market, there is no specific legislation governing player promotions. The legal focus is on the general prohibition of unauthorized gambling rather than regulating specific marketing activities.
What the player can claim
- Welcome bonus
- Banned
- VIP schemes
- Banned
- Loyalty schemes
- Banned
- Cashback
- Banned
- Online casino
- Most forms of sports betting
The legality of specific bonus types is a moot point as there is no licensed online casino or sports betting market for private operators.
What the operator can advertise
- Messages ads may not give
- Misleading or deceptive advertising
- Misleading information about the probability of winning
- Suggesting that participation is without risk
- Penalties
Fines or imprisonment for up to six months for operating illegal lottery or gambling activities.
Enforcement against the advertising of foreign gambling services is considered weak, despite the general prohibition.
Advertising: limited
Iceland has a strict state monopoly on gambling, with online casino and poker being illegal. Advertising for foreign gambling operators is explicitly banned, while online sports betting is partially legal under the state monopoly. Any advertising for non-state-sanctioned sportsbooks or online casinos is prohibited, which reflects the country's cautious approach.
| Channel | Status | Vertical & Platform Split (2026) |
|---|---|---|
| Google Search Ads | Banned | Google Ads policy bans gambling ads where illegal, which includes foreign operators in Iceland. Only the state-run lottery/sports betting entity may qualify for highly restricted advertising, requiring specific Google certification and domain ownership, as reinforced by the March 2026 policy update.567 |
| App Store Publishing | Banned | Apple App Review Guideline 5.3 and Google Play's gambling policy prohibit real-money gambling apps unless fully licensed and geo-restricted to legal regions. Due to Iceland's state monopoly and the illegality of online casinos, only apps from state-run lottery or sports betting entities are potentially allowed, subject to strict licensing.89 |
| Google/Apple App Store Ads | Allowed | App Store ads, including promoted listings and Universal App Campaigns, are subject to the same stringent policies as app publishing. Only licensed, state-approved operators may advertise, with strict age targeting and content restrictions, while foreign operator apps and their ads remain prohibited.89 |
| Meta (FB/IG) | Allowed | Meta's advertising policies require prior written permission and proof of a regulator's license for gambling ads. Due to Iceland's ban on foreign gambling advertising and its state monopoly, only state-run entities may obtain permission, with ads subject to strict age targeting and content restrictions.1011 |
| TV & Radio | Restricted | Television and radio advertising of lottery and betting activity that is not licensed in Iceland is banned (Media Act art. 37(4)). Advertising by the licensed holders is not banned; the general rules apply: commercial communications must be recognisable and hidden ones are banned (art. 37(1)-(2)), they must not harm children (art. 38), and advertising inserts are banned in programmes for children under 12 (art. 41(5)).12 |
| Sponsorships | Restricted | No instrument bans or limits sports sponsorship by a licensed holder as such; sponsored audiovisual content must meet the Media Act's general conditions (art. 42). Sponsorship by an unlicensed operator is promotion within the Lottery Act offence (art. 11(1)(b)). Íslenskar getraunir exists by law to fund sport (Act 59/1972).121314 |
| Digital OOH | Restricted | No outdoor-specific gambling rule exists. Outdoor advertising of an unlicensed lottery or betting activity, done intentionally or with gross negligence, is within the Lottery Act offence of advertising or promoting it (art. 11(1)(b)); the general Marketing Act applies to every advertisement (art. 1).1315 |
Channel rules for Iceland reflect each platform's published policy and the sources numbered in each row (listed under Methodology & sources). Verify with the local regulator and your ad-platform account manager before launching.
How Iceland enforces against unlicensed operators
Iceland has no gambling regulator and no power to block websites or payments. The enforcement on record is the Media Commission's: it fines Icelandic media that carry advertising for unlicensed betting (Media Act art. 37(4)). The Minister of Justice said on 25 September 2025 that foreign betting is not supervised.
- Decision 5/2022 (24 August 2022): Sýn hf. fined 1,000,000 kr. for podcast advertising that included unlicensed betting.
- Decision 2/2025 (14 August 2025): Síminn hf. fined 1,000,000 kr. for Rizk advertising.
- Running a lottery or betting without a licence, or advertising an unlicensed lottery run in Iceland or abroad, is an offence (Lottery Act art. 11).
Licensed operators: 6
As of 10 Nov 2026, approximately 6 operators hold an active licence in Iceland. Size your entry against this base before committing capital.
Notable licensed operators
Íslenskar getraunir
Happdrætti Háskóla Íslands (HHÍ)
Íslandsspil
SÍBS
Traps operators hit in Iceland
Specific operational risks that have caught new entrants in this market. Each item is country-specific. Generic gambling-ops issues (KYC, RG tools) are not included unless they have a local twist.
No licence exists for a commercial operator
A lottery played for money may be run only under a special statute (Lottery Act art. 2(2)), and the six statutes name their holders. Running a lottery or betting in Iceland without a licence carries a fine or up to six months, one year if extensive or repeated (art. 11); gambling as a business is a Penal Code offence (art. 183).
Advertising is the enforced line
Icelandic media may not carry commercial communications for unlicensed lottery or betting activity (Media Act art. 37(4)); the Media Commission has fined broadcasters and treated free-play sites and sponsored "clothing lines" as advertising for the real-money brands. Promoting an unlicensed lottery, run here or abroad, is also an offence.
Timeline: rules in force
- 2015
Authorisations extended to 1 January 2034
Act 126/2015 set the end date of the Getspá, HHÍ, DAS and SÍBS authorisations at 1 January 2034.
Source: 21
- 2005
Lottery Act 38/2005
Money lotteries only under a special statute (art. 2(2)); advertising unlicensed lotteries an offence (art. 11).
Source: 18
- 1994
Collection Boxes Act
Act 73/1994 authorises gaming machines ("collection boxes"), run by Íslandsspil.
Source: 22
- 1973
University of Iceland Lottery Act
Act 13/1973 authorises HHÍ's class lottery; the University runs it.
Source: 23
- 1940
Penal Code: gambling as a business an offence
Arts. 183-184 of the General Penal Code 19/1940 punish making gambling or betting a trade.
Source: 19
Operator myths vs reality in Iceland
Common assumptions about gambling licensing that turn out to be wrong in practice.
- MythAn MGA or Curaçao licence allows us to legally accept Icelandic players.
- MythIceland is an unregulated 'grey' market.
- MythSince there's no regulator, there are no advertising rules.
Markets that work like Iceland
Compared on what our records hold for each country: whether online casino, betting, poker and lottery are licensed, state-run or banned, the licensing model, what the operator tax is levied on and its band, how most advertising channels are treated, and how foreign licences are treated. A point we hold for only one of the two countries counts for nothing.
- LuxembourgChecked
Online casino and poker banned; betting limited; state monopoly; most ad channels restricted; foreign licences mostly not recognised.
- IsraelCheckedTunisiaAI overview
Online casino and poker banned; betting limited; lottery licensed; state monopoly; most ad channels restricted.
- UruguayCheckedSingaporeChecked
Online casino and poker banned; betting limited; state monopoly; most ad channels restricted.
Methodology & sources
Our Deep AI Scan took Iceland through all 201 questions of our regulatory checklist, from 84 official documents, read on 7 Nov 2026. Our research team then traced every figure on this page to the document and sentence that states it. The full research report is due to go to our compliance team. Where a fact rests on a press report or a law-firm summary rather than an official document, the page says so.
Documents cited on this page
- 1Althingi: the Minister of Justice's speech in the debate of 25 September 2025
- 2Lotteries Act (No. 26/1986)
- 3University Lottery Code of Ethics
- 4Scam warning from University Lottery
- 5Google Ads Gambling and games policy
- 6Gambling and Games Certification Eligibility Update (March 2026)
- 7Running Gambling Ads on Google in 2026
- 8Apple App Store Review Guidelines - 5.3 Gaming, Gambling, and Lotteries
- 9Fix Apple Gambling App Rejection (Guideline 5.3)
- 10Gambling Advertising - Where Is It Banned and Why?
- 11Regulation of Gambling Advertising in Europe
- 12Lög um fjölmiðla nr. 38/2011 (Media Act)
- 13Lög um happdrætti nr. 38/2005 (Lottery Act)
- 14Lög um getraunir nr. 59/1972 (Íslenskar getraunir)
- 15Markaðssetningarlög nr. 44/2026 (Marketing Act)
- 16Media Commission Decision 5/2022 (24 August 2022)
- 17Media Commission Decision 2/2025 (14 August 2025)
- 18Lottery Act 38/2005 (Lög um happdrætti), Althingi law collection
- 19General Penal Code 19/1940, arts. 183-184
- 20Media Act 38/2011, art. 37
- 21Act 126/2015: authorisations extended to 1 January 2034
- 22Act 73/1994 on collection boxes (Íslandsspil)
- 23Act 13/1973 on the University of Iceland Lottery (HHÍ)
The 10 documents this page relies on most
- Lög um happdrætti nr. 38/2005 (Lottery Act), Lagasafn 158aLaw
- Reglugerð nr. 455/1993 um pappírslaust peningahappdrætti Happdrættis Háskóla Íslands (Gullnáman, Gullregn)Regulator
- Reglugerð nr. 320/2008 um söfnunarkassa (consolidated to 2018; amended by 1035/2024)Regulator
- Reglugerð nr. 1170/2012 fyrir talnagetraunir Íslenskrar getspár (consolidated to 1 Oct 2026)Regulator
- Reglugerð nr. 500/2020 um Happdrætti Háskóla Íslands (consolidated to 1 Jan 2026)Regulator
- Reglugerð nr. 1035/2024 um breytingu á reglugerð 320/2008 (söfnunarkassar), Stjórnartíðindi BRegulator
- Lög um Happdrætti Háskóla Íslands nr. 13/1973, Lagasafn 158aRegulator
- Lög um aðgerðir gegn peningaþvætti og fjármögnun hryðjuverka nr. 140/2018 (AML Act), Lagasafn 158aLaw
- Reglugerð nr. 166/2016 fyrir Íslenskar getraunir (consolidated to 10 Aug 2024)Regulator
- Lög um getraunir nr. 59/1972 (Íslenskar getraunir), Lagasafn 158aRegulator
Also cited on this page
- Ministry of Justice: lotteries and fundraising (the six special-statute lotteries)
- Income Tax Act 90/2003, arts. 7, 30 and 66
- SÁÁ: treatment for gambling problems
84 documents in all. Request the full research report for every source, answer by answer.
Looking for the player guide?
For consumer-facing information about gambling in Iceland (tax on winnings, where to play legally, self-exclusion options), see the Iceland player guide.
Disclaimer. This page reflects the law as we understood it on 10 Nov 2026. Rules change: always check the current position with Ministry of Justice (Dómsmálaráðuneytið); no gambling regulator. We are not a legal adviser.