Discover More about Gambling Licenses
Online gambling became first available to the general public in 1994 when Lichtenstein’s International Lottery tickets went on sale online. With the rise of internet popularity, gambling on the web became more common, too, and it soon became obvious that online gambling needs to be regulated legally. Today, every gambling website must possess a legal license. A license is a valid proof that an online casino is legitimate and the payouts are guaranteed. Most often, this activity is regulated by official bodies.
Benefits of Gaming Licenses
Anyone considering launching an online gambling product must get a gambling license. For services offering any kind of online gambling, it is a must to be both registered and compliant with at least one jurisdiction.
Here are the main reasons to acquire a license:
- it allows buying software from leading developers;
- it gives access to the top online casino games;
- it allows for customizing reliable payment systems on the website;
- it is proof of running an honest and legal business in various jurisdictions;
- it helps build trust with the audience;
- it allows taking advantage of zero tax or low tax rates in some offshore licensing jurisdictions;
- there is a chance to benefit from lucrative advertising deals;
- it prevents the risk of an online casino being shut down, arrested, or prosecuted for illegal operating.
Popular Gambling Jurisdictions
To keep the industry transparent, every gambling jurisdiction has developed a set of rules and regulations supported by law. These rules and restrictions vary from jurisdiction to jurisdiction and may include, for example, the casino’s liability to have an RNG certification, conduct a policy that prevents gambling addiction, and display a logo showcasing the type of license granted.
Each country and jurisdiction has its requirements for acquiring a gambling license. There are several jurisdictions that are the most popular among online casinos. Let’s look at them closer:
- The United Kingdom. The UK Gambling Commission is the biggest and most known iGaming regulator globally. It regulates gambling in the UK, issues licenses, and prevents money laundering, ensuring safe and fair gambling activities. This regulatory body has the strictest rules and standards for licensing.
- Belgium. This country has the Gaming Commission (GC), which has been protecting gamblers in the country since 1999. It provides advice to the Government and Parliament about gaming and betting, grants gaming licenses, ensures proactive management, and monitors gambling websites in the country.
- Gibraltar. The official regulatory body here is the Gibraltar Regulatory Authority. It issues licenses, ensures the casinos provide winnings payouts, and checks if they adhere to user and data protection rules.
- Denmark. The Danish Gambling Authority is an independent agency working under the Danish Ministry of Taxation. The DGA is responsible for regulating a fair gambling market in the country and protecting players from unfair and illegal gambling.
- Costa Rica. This country has no body that issues gambling licenses to online casinos. For this reason, most Costa Rican online casinos acquire a data processing license and operate under the guise of call centers. Gambling operators from this country must register with the Costa Rican Ministry of Commerce, Industry, and Economy to get a data processing license.
- Curacao. The main regulator in this country is Curacao eGaming. This authority is responsible for issuing licenses, checking the casinos’ software for fairness, ensuring their safety and randomness, and checking the casinos’ legal and financial documentation.
- Malta. The Malta Gaming Authority has been there since 2001 to monitor and control all gambling activities in the country. The MGA issues licenses, controls the game fairness, and ensures the gamblers’ safety.
- The Isle of Man. The Isle of Man Gambling Supervision Commission was established in 1962 to license and regulate all land-based and online gambling operators. This regulatory body issues licenses, ensures industry fairness, checks whether the minors are protected, and online casinos pay the winnings.