A gambling jurisdiction can be a country, territory, or region that has formed a gambling control board to grant online gambling licenses. Some of the most well-known gambling jurisdictions in the world are Gibraltar, UK, Curacao, Malta, Isle of Man, and Alderney. The intent of this article is compare the online gambling licenses granted in Curacao and Malta.
Brief Introduction to Malta and Curacao Gambling Jurisdictions
Curacao grants only one type of online gambling license to software providers and operators, and this license can be used to offer a variety of gaming products and services such as skill-based games, sports betting, poker, bingo, casino, and others.
The government agency that grants online gambling permits in Malta is the Malta Gambling Authority (MGA). Malta has a strong regulatory framework for online gambling, and in 2009, it generated tax revenue of €52.5 million from online gambling.
Curacao-licensed casinos are popular in many EU countries: Norway, Germany, Italy, Denmark. In Sweden MGA-licensed casinos are more popular, because they support the most popular among Swedish casinos players payment method Trusly. Malta license & Spelpaus-free casinos are #1 alternative to local-licensed internet casinos.
MGA: Malta Gambling License – Pros & Cons
- License holders have to comply with tough gambling laws.
- Malta implements all EU directives regarding the prevention of fraud and money laundering.
- Owing to its EU authorization, a Malta gaming license is held in great esteem.
- An operator can apply for two types of licenses, encompassing several varieties of games. A Malta gaming license has to be renewed once in 5 – 10 years.
- Malta charges high license fees and tax rates. Only well-established, financially stable gambling companies can afford to apply for a Malta license.
- Getting hold of a Malta license involves a tough, time-consuming, and complicated procedure.
- Malta’s gambling laws require online sportsbook or casino operators to be based in Malta.
CGA: Curacao Gambling License – Pros & Cons
- Operators can get hold of a Curacao license at a much lower cost. Curacao-licensed operators are, therefore, usually start-ups that cannot afford high licensing fees and tax rates.
- Getting hold of a Curacao license involves a simple, hassles free, and quick procedure.
- The gambling jurisdiction of Curacao offers just one license, which the license holder can use to offer different types of gambling services and products.
- An operator can also function under a sub-license issued by a master license holder.
- Getting hold of a Curacao license is such a simple, hassles free, and low-cost procedure that even operators without a good reputation can easily get hold of one.
- The Curacao Gaming Commission does not get involved in player disputes.
- A number of Curacao gaming licenses you see at online casinos are actually sub-licenses granted by a holder of a master license. It is the master license holder and not the commission that is responsible for holders of sub-licenses.
- Most North American and EU countries impose marketing limitations on operators holding Curacao licenses.
- Casino payment methods are limited at Curacao licensed online casinos.
Getting a Gambling License in Curacao
An operator can obtain a gambling license in Curacao by first establishing a company and then applying for a sub license.
The operator has to furnish documents proving absence of criminal records, copies of utility bills and passports, bank statements, lawyer references, details of agreements with software providers, and domain ownership proof, to mention a few.
The biggest benefit of a Curacao gaming license is that the license holder does not have to pay VAT. They have to pay just 2% tax on their profits.
It takes just two weeks to obtain a sub-license and the entire licensing procedure costs a few tens of thousands. Registering a gambling company in Curacao takes 4 – 6 weeks although operators have the option of registering their company somewhere else in 1 – 2 weeks.
Getting a Gambling License in Malta
A couple of years back, the MGA simplified its licensing procedure, as a result of which it now offers two types of licenses—a B2B license and a B2C license. The latter provides for the game categories that the company wants to offer, but operators don’t have to apply for a different license whenever they want to introduce a new type of game. Instead, they can just add the game categories to their existing license.
The owners of the online gambling company that wants a Malta license have to pass a fitness test, during which the authority will prove beyond doubts that nobody associated with the company has a criminal record. The operator also has to furnish copies of documents such as bank references, passports, business plans, agreements signed with third-party software companies, software audit certificates, and many others. The server of the online casino has to be based in Malta.
A gambling license obtained in Malta is highly respected for a number of reasons such as the strict gambling regulations of the jurisdiction, its stable political and economic environment, its multi-lingual and highly educated workforce, and locals experienced in the online gambling industry. Businesses have a pay a tax of just 5% of their profits in Malta, which is considered affordable by well-established companies although it is much higher than the tax rate in Curacao.
Player Protection at Malta Licensed Online casinos
If you visit the official website of the MGA, you will find an entire section dedicated to responsible gambling, prevention of problem gambling, and player protection. The MGA requires its licensees to offer online gambling management tools such as setting deposit limits, time-out, self-assessment questionnaires, self-exclusion, and others to help customers play within their bankroll limits. Licensees also have to provide complete information about responsible gambling and problem gambling to their customers.
Since Malta has stringent licensing procedure in place, online casinos licensed in Malta maintain the best industry standards regarding game fairness, customer support, and security. If players have complaints, they can approach the MGA, which will resolve the issue at the earliest possible.
Player Protection at Curacao Licensed Online Casinos
To retain and renew their gambling license, online casinos licensed in Curacao are required to implement the best anti-fraud measures. They are also required to warn players against the harmful effects of online gambling and to encourage them to gamble in a responsible manner.
Conclusion – Curacao vs. Malta Gambling License – Which is Better?
Most definitely we would say that the Malta licensed casinos are better. You can rest assured of a safe, secure, and fair gambling environment at a Malta licensed casino.
However, this does not mean that Curacao licensed casinos have to be avoided. There are plenty of top-rated Curacao licensed online casinos in the industry.
It just means that you should be extra careful while signing up at a Curacao licensed online casino because the gambling jurisdiction’s relaxed laws make it easy even for gaming operators who don’t have a good reputation to also get hold of an online gambling license.