Established gambling regulatory agencies in Malta, Curacao, and the UK grant licenses to online gaming providers.
The Malta Gaming Authority is responsible for issuing a Malta Gaming License (MGA). Malta is regarded as a trustworthy location for online gaming, and the MGA is renowned for its stringent rules.
The Curacao Internet Gaming Association issues a Curacao Gaming License (CIGA). Due to its low taxes and permissive regulations, Curacao is a favorite location for online gambling enterprises.
The UK Gambling Commission grants a UK gaming license (UKGC). One of the strictest and most reputable regulatory frameworks for gaming is thought to exist in the UK.
It’s crucial to remember that every licensing jurisdiction has its unique set of rules and requirements that operators must comply with to obtain and maintain a license.
Costs of the gaming licensing and company formation
Depending on the jurisdiction and the type of license being applied for, different fees may be associated with getting a gambling license. Comparatively speaking to Curacao, Malta and the UK typically have greater license acquisition expenses.
Malta: The price to obtain a Malta gaming license there might range from €5,000 to €30,000, depending on the kind of license needed and the services that must be provided. Value-added tax (VAT) rates in Malta are 18% and 35%, respectively.
Curacao: An online gambling company can choose this more economically because a Curacao gaming license can be obtained for as little as a few thousand dollars. 2% corporation tax and 0% VAT are the respective rates in Curacao.
UK: Depending on the type of license and the services needed, the price to obtain a UK gaming license can range from £5,000 to £100,000 The corporate tax rate in the UK is 19%, and the VAT rate is 20%.
Due to their rigorous restrictions and well-established regulatory organizations, Malta and the UK are typically regarded as more credible countries for online gambling. Due to its low taxes and minimal laws, Curacao is viewed as a less trustworthy nation.
It’s vital to note that players and partners consider the reputation of the jurisdiction where a company holds its license when deciding whether to do business with an operator. A license issued in Malta or the UK is valued higher than a license from Curacao.
The time it takes to obtain a gambling license can vary depending on the jurisdiction and the type of license being applied for.
Malta: The process of obtaining a Malta Gaming License can take several months, as the Malta Gaming Authority (MGA) conducts a thorough review of the operator’s business plan, financials, and compliance procedures. Once the MGA is satisfied that the operator meets all the necessary requirements, it will issue the license.
UK: Obtaining a UK gaming license can take many months while the operator’s business plan, finances, and compliance policies are carefully examined by the UK Gambling Commission (UKGC). The license will be granted if the UKGC is confident that the operator satisfies all conditions.
Operators must comply with stringent compliance criteria in all three jurisdictions in order to keep their licenses. These standards cover frequent financial and compliance audits as well as steps to stop fraud, money laundering, and underage gaming.
Operators are advised to obtain expert assistance to manage the licensing procedure and compliance requirements because they can be challenging and time-consuming.
Curacao: The process of obtaining a Curacao Gaming License is generally quicker than Malta, as the Curacao Internet Gaming Association (CIGA) has a more streamlined application process. The process can take a couple of weeks to a few months, depending on the complexity of the application.