Looking to set up an online casino? Not sure which jurisdiction to pick or apply for a license in? In this article we will compare two of the most popular- Malta and Curacao.
Curacao iGaming License
Type of License
There are two types of licenses available in Curacao, a Master License and a Sub License. Since 1996 there have only been a total of four master licenses issued and these give the holders the right to grant a sub license to online casinos and gambling sites. As no new Master Licenses are being issued you will need to apply for a Sub License. This type of license covers all games of skill, chance, and wagering as well as service providers, software providers, platform operators, affiliates, marketers and other ancillary service providers.
In order to get a license in Curacao you need to set up an Offshore Company. A Curacao company is recommended. Then this company makes an application for a sub license from one of the four master license holders. You are also required to provide a certificate of no criminal record, copies of passports and utility bills, bank references, professional references from a lawyer or accountant, details of software and software agreements including 3rd party certification of the RNG, proof of domain ownership and a copy of the terms and conditions. Additionally, data relating to the iGaming business transactions with players must be in Curacao
The benefits of obtaining a Curacao gaming license include the fact that an online gambling operation in Curacao is not required to pay any VAT and the tax rate on profit is just 2%. In addition to this, a sub license can be obtained in as little as two weeks and you only need one kind of license for all of your requirements or future plans. Lastly, in terms of the fees for setting up a company and acquiring a Curacao gaming license, it tends to be less than many other jurisdictions- somewhere in the tens of thousands as opposed to hundreds of thousands.
Registering a Curacao company takes between 4-6 weeks, Alternatively we can register an offshore company elsewhere in as little as 1-2 weeks. Obtaining the license takes an additional 1 week with a complete file. Firstly you need to prepare all of the documentation that is required. The application will then be reviewed by the regulator and if everything is in order, the license will be granted and is renewable annually.
Malta iGaming License
Type of License
In 2018 the Malta Gaming Authority simplified the licensing procedure, now offering just two types of license- B2B and B2C. The B2C license still has provisions for the kind of games that are offered but it no longer requires a new license per class of game. A B2C licensee can instead just add on different game types without having to go through the full licensing procedure each time. The validity terms of licenses have also been extended from five to ten years.
In order to apply for a Malta online gambling license, you will need to set up a Malta company. In addition to this all owners of the company that will be applying for the license are required to pass a fit and proper test, provide evidence of no criminal record, provide certified copies of passports and bank references as well as utility bills. Also required is a detailed business plan, details of all gaming software used, and a compliance and software audit. Servers must be hosted in Malta and the company is required to fill various key function compliance roles.
The Malta gaming license is widely respected and the country has a stable economy and political climate. Furthermore it has a highly educated, multilingual workforce and a large pool of local iGaming-experienced individuals. In addition to this, the corporate income rate for businesses can be as low as 5% of the Gross Gaming Revenue and operators are only required to pay tax in Malta on revenue from Maltese customers.
In order to receive a Malta iGaming license, you need to go through a rigorous application process. This commences with a pre-application process with an officer from the Malta Gaming Authority. Once this has been completed and all required information and documents have been gathered, the MGA analyses them along with evaluating whether the applicant is prepared and able to conduct an online gambling business in line with their standards. The application will be considered within three to four weeks and will then grant a temporary gaming license for six months before the long-term license is granted.
Fast Offshore has over two decades of experience in iGaming and corporate services and we are on hand to guide you through picking the optimum jurisdiction for your needs as well as the entire application process. To find out more, contact us today.