Tag Archive : Fees

Greece’s proposed licensing fees “out of line” according to IBIA report

The International Betting Integrity Association (IBIA) has criticised the Greek Government’s plans to set a 35% gross gaming revenue (GGR) tax rate for operators and proposals to introduce high licensing fees.

While the IBIA welcomed the Government’s decision to update its online gambling regulations, which was submitted to the European Commission in January, it has a number of concerns regarding the proportionality, effectiveness and reasoning behind some proposals.

Under particular scrutiny was the high GGR tax rate imposed on operators, which the IBIA said is particularly high and will act as a deterrent for operators applying for licenses, directly impacting consumer activity in the regulated market.

The IBIA added the proposed online betting license fee of €3m ($3.26m) for seven years is extortionate compared to the rest of the European market, where annual fees range from £2,200 (£2,734) to £19,333 in the UK.

The IBIA report said: “The approach proposed by the Greek authorities in relation to licensing fees is out of line with international norms.

“IBIA does not believe the burdensome licensing fee proposed and high taxation in Greece will prove successful in attracting operators or maximising the consumers channelling to that market.

“There is a clear danger many consumers will continue to be attracted to betting products in other more fiscally advantageous markets, negating Greek regulatory markets.”

The IBIA also mentioned its concerns about “discriminatory” player age restrictions, with 21 the minimum age for online gambling in Greece.

It urged the European Commission to request Greece reduce the online gambling age to 18 to be consistent with other EU countries, saying the current age restrictions raise EU competition law concerns, favouring OPAP products which can be accessed by customers aged 18.

Coinbase Adopts Bitcoin Batching to Reduce Network Load and Transaction Fees

A few of the major problems that users face while transacting on cryptocurrency exchange are high network fees and slow transaction speed. Cryptocurrency exchanges with large trading volumes often have too much load on their network due to which these sorts of challenges arise. However, major crypto exchange Coinbase has announced a move that is a potential solution.

Through a blog post published yesterday, the San Francisco based exchange has announced that it will batch multiple bitcoin transactions together, instead of putting through individual transactions.

The Coinbase Solution
In the blog post, Coinbase product manager Eli Haims commented, “We anticipate that this will reduce our load on the Bitcoin network by more than 50%, and the network fees our customers pay will automatically be reduced by an equivalent amount when sending.”

Coinbase confirmed that the batching procedure is already in place. It also said that there will be a slight delay in the broadcasting of transactions to the network, However, Coinbase clarified that the process will not affect the users’ transaction confirmation time.

How will Batching help?
Traders and users often end up paying high transaction fees while there is congestion in the network due to a high number of transaction requests. Batching will reduce the number of individual transactions that the nodes need to process at once. This will comprehensive increase transaction speeds and reduce transaction fees.

How does the cryptocurrency scenario look at the moment?
The outbreak of the Coronavirus has taken a major hit on the global economy. It has also affected the cryptocurrency space. A large number of investors, users and traders are liquidating their holdings, thus leading to an increase in the average transaction fees. Major cryptocurrencies have also lost value in the last couple of weeks. It would be interesting to note how the crypto world recovers after this major set back.