4 Different Types of Online Casino Licenses in 2020
Reliable gambling websites start their business by obtaining online casino licenses. A certificate will allow the owner to provide gambling services such as poker or sports betting legally.
From a consumer’s perspective, having a license will also reinforce the trustworthiness and security of the online casino. It is also a good indicator of the business operations’ transparency. Depending on the source of the license, it may even come with tax rate reduction and other benefits.
Without a proper license, the online platform may have challenges opening a bank account or putting casino games on the website. Software providers have to make a contract with the casino, and that cannot happen without a license. Most banks and financial networks will not make a deal with unlicensed websites, either.
You can usually find information on online casino licenses in the website footer. It is good practice for both novice and experienced players to scroll down always to see this detail.
Around the world, many jurisdictions deliver licenses to online casinos. Each domain has a set of requirements casino owners must meet.
Here, we have come up with the top four authorities that issue online casino licenses.
A small Caribbean island off the coast of Venezuela, Curacao offers zero percent tax on casino profits, making it an ideal option for those starting an online casino. The process takes about 1 to 2 months. Owners are required to place their casino servers within the territory.
Some of their requirements include gaming software’s yearly audits and proof of the reliability of their random number generators.
This small European island has almost 360 gaming licensees on its website. Many consider a Maltese license as prestigious as owners can consequently provide services to British players. Malta offers four classes of online casino licenses, and the cost of obtaining one is much more expensive than Curacao.
This British Overseas territory provides licensing for poker, betting, and online casino websites. Most companies have a difficult time obtaining this license, as all banking transactions must happen solely in Gibraltar. The whole process of getting a certificate may take up to 3 months to complete.
This jurisdiction has two categories of gambling licenses, and they are more costly compared to others. It has a 0.15% taxation rate on gambling revenue.
Casino owners who wish to cater to players from the UK should obtain a remote license from the UK Gambling Commission. By doing so, license holders can promote their services locally. Fees for application and licensing depend on the casino’s annual gross gambling yield. The Gambling Commission has extensive regulations and policies covering all aspects of online gambling.
Aside from the four jurisdictions above, owners can obtain a license from other authorities like Alderney, Isle of Man, Belgium, Denmark, and more.
As a customer, you should also take the chance to know the requirements of each jurisdiction. Doing so will help you decide if you want to do business with a specific platform. Scroll down your favorite gambling website and find out what online casino licenses they have!