Sports Law 2025

DENMARK Law and Practice Contributed by: Frederik Bruhn, Tim Krarup Nielsen, Robert Jønsson and Rasmus Theis Madsen, DAHL Law Firm

tion. The Danish tax authorities have only pro - vided limited guidance on the taxation and VAT obligations related to the issuance and trading of NFTs. So far, they have specifically stated that the creation and sale of NFTs incur tax liability. This also applies to any royalties earned when NFTs are resold. The Danish tax authorities have also stated that remuneration gained from NFTs should be sub - ject to VAT under the Danish VAT Act. However, due to a specific exemption in the VAT Act, this remuneration could be exempted from VAT, pro - vided the respective NFT can qualify as an “artis- tic service” . In this assessment it must be taken into consideration whether the NFT results from an “intellectual effort” and whether its artistic quality is comparable to other exempt services. The tax authorities have noted uncertainty about whether the EU Commission and other member states will share this interpretation, hence their position is taken with certain reservations. Danish tax authorities generally consider any sale of NFTs as speculative. This means that users /customers are subject to taxation when they later sell their NFTs. 10.2 AI AI Regulation in Denmark Denmark follows the broader European regula - tory framework for artificial intelligence (AI), par - ticularly the EU AI Act, which establishes risk- based categories for AI applications. AI used in sports, such as performance ana - lytics, injury prevention, and tactical decision- making, generally falls into the lower-risk cat - egories and is subject to compliance with data protection laws, including the GDPR. Certain use of performance analytics may be seen as high-risk (when AI Act chapter III becomes appli -

cable from 2 August 2025), as this could affect the players’ work relationships. There are cur - rently no AI-specific Danish regulations target - ing sports, but general legal principles on data privacy, intellectual property, and competition law apply. Use of AI in Sports AI has become a critical tool in Danish sports, particularly in: • Performance Analytics: AI-driven tools ana - lyse real-time data from wearables and video footage, offering insights into athlete move - ments, energy expenditure, and injury risks. • Fan Engagement: AI is being used in virtual assistants, personalised content delivery, and predictive analytics to enhance fan experi - ences. • Refereeing and Decision-Making: AI-assisted video review technology is increasingly used to support fair play and reduce human error in officiating. Major Danish sports organisations are investing in AI-driven solutions to optimise player perfor - mance and game strategies, following global trends in sports technology. Opportunities and Risks AI presents significant opportunities: • Enhanced Performance Optimisation: AI enables data-driven coaching and training programmes tailored to individual athletes. • Injury Prevention: Machine learning models can predict injury risks by analysing biome - chanics and physiological data. • Commercialisation: AI-generated content and marketing insights create new revenue streams for clubs and sponsors.

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