Every year, the gaming industry on the planet breaks records in terms of profits. This is not hindered by increased cash flow controls by government regulators and tax authorities, as well as the adoption of anti-money laundering measures. In 2024, the trend of crypto casinos and blockchain casinos has been added to the growth trend of the online gaming industry.

 

Under all circumstances, a license is associated with the successful development of a gambling project. If you are promoting a multiplayer online game, a bookmaker’s office or an online casino, it is better to think about a license right away. There are several options to consider, depending on your ambitions and abilities. However, in order not to waste time analyzing jurisdictions and choosing, you can use the support of the experts of an Attorneys Association Lawrange. In general terms, we will now describe the process of licensing of gambling projects in 2024.

 

 

What is a gambling license? 

 

A gambling license is a permit that is issued by a regulatory authority and ensures the right to provide a list of online gambling services. The scope of the license can extend to individual regions. For example, sometimes licenses do not grant the right to operate in the territory of the jurisdiction itself.

 

Note! Licenses can be divided into: a) universal – providing the right to work with any online games: bingo, lotteries, sports betting, casinos, and b) special – allowing the right only to a limited list of services.

 

Gambling licenses are issued by the regulatory authorities of the state in accordance with the requirements, which are put forward to the owner of the gambling business. Requirements concern the provision of a business plan, a description of the activities and financial results of the company, accounting and regular auditing, disclosure of information about the ultimate beneficiaries and so on. It is also necessary to provide information regarding the games themselves and the software used to operate the platform.

 

 

Why does a license for online gambling need to be obtained?

 

The first answer that will come from an expert in the field of online gambling, to the question, “Why does a license need to be obtained?”, is: “For reputation.” License availability directly affects the popularity and credibility of the gambling establishment. Even not very experienced players look at the description of the project to find out where the company is registered and what license it operates under.

 

Note! Bonuses and free spins no longer determine the decision to register at the casino. The reviews of other players will have more weight. A sufficient level of safety and reliability is associated with the presence of a license, which for most players is a key factor in choosing a playground.

 

In addition, a gambling license allows you to further develop your business legally:

  1. open trading accounts in payment systems – financial institutions prefer to work with those who have obtained a license;
  2. cooperate with the developers of online games, use content from suppliers from “white lists”;
  3. conduct advertising campaigns to increase traffic;
  4. to build and maintain trusting relationships with gamers, fostering loyalty and encouraging the involvement of new visitors.

 

Important! Black market operators will inevitably face difficulties and problems on their way to business expansion. A bank, a payment system or another financial institution is guided by the results of inspections, conducted by the licensors when issuing a license to the applicant. It is about the absence of a criminal record and links to money laundering. If an online casino is not licensed, most financial institutions will deny transactions.

 

In some jurisdictions, in addition to hindering business development, the lack of a license entails penalties, up to and including jail time for the online casino owner. We are talking about the fact that the operator is accused of organizing illegal gambling activities. You can expect all sorts of consequences: for example, a fine is imposed, the site is blocked or the company’s assets are frozen in the bank.

 

How to get an offshore gambling license?

 

Using the prefix “offshore” in relation to the gambling license is only relative. There is no clear division of jurisdictions, where such permits are issued, into offshore and onshore. The only criteria for the selection of offshore jurisdictions can be considered a lower price for obtaining a license and less stringent requirements for the applicant.

 

Lawrange’s experts suggest that clients should consider such offshore jurisdictions for obtaining a gaming license as:

  • Antigua and Barbuda;
  • Curacao;
  • Alderney;
  • Kahnawake;
  • Isle of Man.

 

The algorithm of obtaining a license includes the following steps:

  1. Getting acquainted with the list of countries where you can get an offshore gambling license, studying the conditions of issuance, comparing the costs, as well as the tax policy pursued by this or that jurisdiction.
  2. Choosing the appropriate variant and collecting necessary documentation in accordance with the licensor’s requirements, concluding an agreement with the provider, and purchasing software.
  3. Registration of the company in the selected jurisdiction, filing an application to the state regulator or licensor for obtaining a license.

 

The package of documents, submitted along with an application for a license, should include a business plan and description of the company’s activity, corporate documentation, information on the business owners, technical documentation, in particular – confirmation of software and hardware certification.

 

 

How to get a European gambling license?

 

If we talk about the differences between the European gambling license and the offshore one, on the one hand, it is a higher cost, but on the other – a higher level of prestige. To obtain such a license, the applicant will have to go a difficult way. But as a result, you can claim solvent clients and generous markets.

 

Note! There are no uniform requirements to the process of applying for a gambling license in Europe. Even if you follow the rules of a particular jurisdiction no one can guarantee that the license will be obtained. Regulators dig deep, examining the history of the company and the persons involved. That is why it is important to enlist the support of experts who already have experience in accompanying the licensing process. Lawrange’s team are such experts.

 

Among the options for European jurisdictions to obtain a gambling license are:

  • Malta;
  • Gibraltar;
  • United Kingdom;
  • Montenegro;
  • Latvia.

 

 

Where to get a gambling license?

 

Costa Rica, Curacao, Malta, the Isle of Man, the Seychelles, Alderney, Antigua and Barbuda, Canavake, Romania, Montenegro, Latvia, the UK – this is only part of a long list of jurisdictions that are on the lips of those who are determined to obtain a gambling license. The choice depends on a number of factors. If we recommend looking at Costa Rica, an unregulated jurisdiction for a newcomer, then Curacao, Malta, or even the UK would be a better fit for a major operator.

 

Together with our partners, we are constantly monitoring changes in legislation and licensing requirements around the planet, so at any moment we have fresh and useful information for online casino operators. At the beginning of our cooperation we offer such a service as a consultation, where we will find out your needs and peculiarities of business. This is followed by the development of the best option in a particular case.

 

Let’s look at the most popular destinations for gambling licenses.

 

 

Curacao

 

Up to 70% of the most famous online casino operators on the planet operate with Curacao licenses. This jurisdiction offers the best combination of affordability requirements and good reputation. A gambling license in Curacao with the support of Attorneys Association Lawrange is a convenient way to the world of big gambling business without too much effort and investment.

 

Note! The main advantage of a gaming license in this jurisdiction is the possibility to deal with any services related to gambling without restrictions (licenses are not divided into classes), as well as to work with clients all over the world. The timeframe for registering a company and obtaining a license is only 45 to 90 days, the cost of the entire package is 23,599 euros.

 

Among the features of Curacao as a gambling jurisdiction:

  • the operation of anti-money laundering and Responsible Gambling regulations – AML standards are monitored by the Gambling Control Board.
  • availability of sub-licenses only, which are issued by general license holders (i.e. payment of fees to both the state treasury and the holder of the main license);
  • income tax for companies registered in the E-zone is 2% until 2026;
  • it is prohibited to register players in three categories: persons under 18 years old, U.S. citizens and residents of all subjects within the Netherlands Antilles.

 

 

Malta

 

Malta Gambling Authority (MGA) is recognized as one of the most prestigious gambling licenses in Europe and the world. Compared to Curacao, it is a more expensive license. We recommend such a license in case you want to enter the prestigious European markets.

 

Registering a company in Malta for a gambling project with the support of Attorneys Association Lawrange gives you the opportunity to reach a high level of confidence among the players. At the same time it is necessary to choose the type of license, which corresponds to the activity. These can be: 1) B2B – for a game or software developer for gaming platform operators; 2) B2C – for an online gambling operator (slots, poker, roulette, lotteries and so on). B2C licenses are divided into 4 sub-types.

 

Among the features of Malta as a gambling jurisdiction:

  • the amount of paid-up share capital depends on the type of license, and must be €100,000 or €40,000;
  • companies with a Maltese gaming license may not accept payments from U.S. citizens and cards of U.S. banks, that is, there is a requirement to work primarily with customers from the EU and CIS countries.

 

 

Gibraltar

 

The regulator in this jurisdiction (Gaming Commission) imposes rather serious requirements on online gambling operators, who wish to obtain a license. In order to provide players with a guaranteed payment of winnings, the regulator scrutinizes the company to ensure honest and bona fide gambling. However, with all this the number of those wishing to obtain a gaming license in this jurisdiction is not decreasing.

 

Note! Both Malta and Gibraltar hold the status of a jurisdiction where players are well protected. Therefore, Gibraltar registration provides a number of advantages in the eyes of potential clients, which is very important for a service operator. 

 

Among the features of Gibraltar as a gambling jurisdiction are:

  • availability of several types of B2B and B2C licenses, in particular – for operators of online casinos, betting platforms, betting shops, land-based casinos and so on;
  • only those companies that have earned a good reputation and have a good financial standing can obtain a license;
  • the commission charges a flat fee of £100,000 for any license valid for five years;
  • affordable tax rate, but subject to conditions – the tax is 1%, but the upper limit is £86,000 and the lower limit is £425,000 per year.

 

 

Conclusions

 

In order to successfully choose a licensing jurisdiction and get a gambling license in the best interest, you should take into account such factors as the size of the license fee and administrative costs, requirements for the applicant, the timing of paperwork, the international reputation of the jurisdiction, the type of gambling activity and so on.

 

In 2024 licensing process necessarily takes into account anti-money laundering requirements, as well as the rules of Responsible Gambling. If you are not confident in your abilities and possibilities to issue a license by yourself, the specialists of Attorneys Association Lawrange are always ready to help you.

 

 

 

 

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