Top Gambling Licenses: List of Best iGaming License Jurisdictions

When it comes to gambling regulations, governments in various jurisdictions try to run a tight ship. Due to the sensitive nature of online gambling, most jurisdictions where gambling is legal require gambling platform operators to have a gambling license and adhere to strict regulations. Gambling licenses generate money for the authorities but also help to protect players and operators from criminal activities. 

Obtaining the appropriate gambling license is one of the first essential steps for anyone looking to embark on casino software development. In this post, we will provide an overview of the top gambling licenses in the world and provide a comprehensive guide for choosing a gambling license. 

• Online gaming companies are required to obtain licenses to ensure legal compliance and establish credibility in any market in which they operate. 
• Some of the top gambling jurisdictions to obtain a license include Curacao, Malta, Isle of Man, Kahnawake, Gibraltar, and the UK, with each option offering varying levels of regulatory oversight and licensing requirements. 
• To select the most suitable online gambling license for their business, operators should consider factors such as target markets, licensing costs, regulatory reputation, application requirements, and gaming tax obligations. 

What Is an Online Gambling License?

An online gambling license is a legal permit issued by a licensing authority in a jurisdiction that allows gaming operators to run an online casino or sportsbook platform. A gambling license is a legal and ethical requirement for online gambling operations in most jurisdictions. It gives governments oversight over the industry and ensures that businesses operating in the online gambling industry follow stringent standards. These standards safeguard the interest of players by promoting fair play, and responsible gambling. An online gambling license also prevents criminal activities such as money laundering and terrorism financing that may be perpetuated through the casino industry. 

Governing authorities all over the world offer licenses to cover various forms of gambling license. While some jurisdictions have universal licenses that cover all activities, others only provide licenses for specific forms of gambling. For instance, an online casino license only allows an operator to offer online casino games while a sports betting license permits the operator to run a sportsbook. 

The requirements for obtaining a license, cost, and process vary from one jurisdiction to the other and are generally determined by the local gambling laws. Also, while some licenses are only recognized locally, other licenses are popular even in international markets.  

Top Online Gambling Jurisdictions

The international iGaming regulatory and licensing landscape has several regulatory bodies. Each jurisdiction has different rules and licensing requirements. There may also be some benefits to choosing certain licenses over others. Here are some of the top gaming licenses favored by gaming companies:  

• Curacao gaming license
• Tobique gaming license
• Anjouan gaming license
• Malta gaming license
• Isle of Man gambling license
• Kahnawake gaming license
• Alderney gambling license
• Gibraltar gaming licence
• UK gaming license

Curacao Gaming License

Curacao is one of the oldest and most popular iGaming licensing jurisdictions in the world. The Dutch Caribbean island is a leading provider of online gaming accreditation for all kinds of online gambling activities.

Currently, Curacao issues B2B licenses for service providers that serve other businesses in the iGaming games such as game providers, and a B2C license for those interacting directly with players.

Part of the appeal of getting a Curacao license is its broad international appeal. A Curacao license is widely recognized in various international markets. The licensing system is pretty straightforward and the Government of Curacao offers favorable gaming tax benefits to license holders. 

To obtain a Curacao gaming license, operators are required to register a company on the island, apply to the Curacao Gaming Control Board, and meet anti-money laundering and anti-terrorist financing regulations. Operators looking to get a new Curacao license may need to budget an estimated minimum of EUR 55,000. A license has a five-year validity. 

Tobique Gaming License

The Tobique gaming license is a top online gambling license issued by the government of Tobique, a First Nation reserve in Canada. This international online gambling license is administered by the Tobique Gaming Commission. 

The Tobique gambling license is a relatively new gambling license. It was established by the Tobique Gaming Act of 2023 but has shown significant promise for startups and entrepreneurs, especially in terms of ease of application and competitive tax rates.  

The biggest appeal of the Tobique gaming license is its affordability. It is one of the cheapest gambling licenses at the moment. Applicants only have to pay €36,000 for the first year, then €16,000 for renewal. The streamlined licensing process is also quick and efficient. Operators can get a license within four weeks of sending in their application. A license is valid for a period of one year. 

Anjouan Gaming License

The Anjouan Gaming license is a gambling license issued by the licensing authority of the autonomous island of Anjouan (The Anjouan Betting and Gaming Commission). The license permits companies to conduct online gambling activities legally on the island and in various international jurisdictions. 

An Anjouan license is fast gaining popularity due to how easy to obtain it is. It takes 3 to 4 weeks or less to process this license and obtain a permit. The Gaming Commission issues just one type of license, a universal license that covers a wide range of online gaming activities: from casinos to sports betting and other activities related to online gambling. This license allows operators to provide different online gambling services under a single permit. 

In addition to being easier and faster to obtain, this license is also cost-effective. It costs approximately EUR 17,000 to obtain an Anjouan license, which is significantly lower compared to licenses issued by other regulatory authorities. 

Malta Gaming License

Malta is arguably the most popular destination for iGaming licensing in the world. An online gambling license issued by the Malta Gaming Authority is considered the gold standard in the industry. This is due to the stringent regulatory requirements that guides the online gambling sector in this jurisdiction. An MGA gambling license cost is between €80,000 – €100,000 and processing time for this international gambling license can take 6 to 12 months on average. 

Despite the high cost and strict regulatory requirements for obtaining this license, it is still a top choice for large companies looking to gain international recognition. Malta is also part of the EU, and a license issued by the Malta Gaming Authority gives online gambling companies access to the EU market. 

Malta stands out as a premier jurisdiction for regulated gambling worldwide. While obtaining a gaming license in Malta involves stringent regulatory requirements and higher costs compared to Curaçao or the Isle of Man, it remains an excellent choice for major companies looking to establish a presence in the European Union. Beyond global credibility and industry recognition, operators licensed by the Malta Gaming Authority (MGA) benefit from advantageous tax policies and strong operational support.

Isle of Man Gaming License

The Isle of Man online gambling license is a globally recognized license issued by the Isle of Man Gambling Supervision Commission (GSC). This license authorizes operators to offer their services to punters on the British Isle and to a global audience, with extensive geographic reach. It is a Tier 1 regulatory jurisdiction with robust licensing regulations. 

An Isle of Man Gambling license is accepted across many countries due to the jurisdiction’s reputation for high security and player protection standards. This license is also preferred by many online gambling companies because they get to enjoy low corporate taxes and zero taxes on their gambling profits. 

The Isle of Man Gambling Supervision Commission (GSC) issues separate B2B and B2C licenses as well as a Network Services License which allows an operator to provide both B2B and B2C services within the jurisdiction’s legal framework. 

Kahnawake Gaming License

A license issued by the Kahnawake Mohawk Territory is one of the most prestigious licenses in the world. This First Nations reserve has been regulating online gambling for the past two decades and now has a reputation in the international market as a highly respected gambling jurisdiction.

The Kahnawake Gaming Commission (KGC) is responsible for issuing licenses for both online games and land-based casinos, with different licensing categories for casinos, sports betting platforms, and live dealer casinos. So far, up to 250 online gambling sites have been licensed by this gaming authority. 

Companies that wish to register under a Kahnawake license will get a simple, inexpensive licensing process and enjoy zero income tax. The KGC prioritizes player protection and it is considered one of the strictest international licences in terms of compliance and best iGaming practices. 

Alderney Gaming License

An Alderney online gambling license is a permit issued by the Channel Island of Alderney, which is a  British Crown dependency with independent political and legislative systems. The license is issued by the Alderney Gambling Control Commission and is considered one of the most prestigious casino licenses in the world. 

The Alderney Gambling Control Commission was established in May 2000 and has maintained high regulatory standards with its extensive regulatory framework. An Alderney license is issued to companies that have established a physical presence in Alderney. International companies are issued associate certificates which gives them pretty much the same status as license holders. 

Both types of license holders get to enjoy reasonable licensing fees, with no gaming duties or taxes. Foreign-based companies with valid licenses from other jurisdictions also have the option of applying for a temporary license, which allows them to organize gambling activities in Alderney for a limited period. 

Gibraltar Gambling License

Gibraltar is a popular gambling jurisdiction, especially for operators looking to venture into the European market. A Gibraltar License is issued by the Gibraltar Gambling Commission. Although license holders get to enjoy a significant international reputation and zero tax, Gibraltar has some of the toughest regulatory standards. 

A Gibraltar gaming license is only issued to companies with an impeccable reputation and industry experience. Operators applying for this license are also expected to show a realistic business plan with measures to ensure compliance with anti-money laundry and responsible gaming requirements. Due to these stringent requirements, a Gibraltar is often very difficult to obtain

UK Gaming License

A UK gaming license is arguably the biggest iGaming license in the world since it serves one of the biggest markets in the online gambling industry. The license is issued by the United Kingdom Gambling Commission (UKGC), an independent body that operates as the UK’s gambling regulator based on the UK Gambling Act of 2005. 

Any company seeking to provide real money gambling services to punters in the UK is required to obtain an operating license. However, a UKGC license is also recognized across many international markets. The UK Gambling Commission is known for promoting responsible gambling and its strict stance on consumer protection thanks to a robust regulatory framework. Consequently, a UKGC license instantly enhances an operator’s credibility and trustworthiness.

The United Kingdom is one of the few jurisdictions where operators are required to pay taxes. However, the actual licensing fees are quite flexible, as they depend on the operator’s gambling yield or revenue. For instance, an operator that makes less than £550k yearly will only pay an application fee of £4,224 and an annual fee of £4,199. 

Who Needs a Gambling License?

For anyone trying to figure out how to start an online casino business of any kind, you need to know if a gambling license is required or not. In most countries that permit legal gambling, a gambling license is a requirement for any business that intends to participate in real money gambling activities one way or another.

The specific companies that need to obtain a license depend on the law in that region. For instance, while some jurisdictions require raffle and sweepstakes operators to obtain a license, others do not. In most locations, you need to get a gambling license if you fall into any of these categories: 

• Online Gaming Companies: Any company that offers the general public the opportunity to wager on games of chance with the goal of winning real money is generally regarded as an online gambling operator. This includes online casinos offering slots and table games (such as blackjack, roulette, etc), live casino operators, and lottery and sports betting. Such businesses (whether operating online or offline) are required to have an online casino license. 
• iGaming Software Providers: Service providers that build or supply software products that connect game developers to operators may or may not need to obtain a license. If the provider offers an aggregator platform or white-label solutions, a license is usually required. However, companies providing back-end tools like CRM systems, data analytics, or fraud prevention software do not necessarily need a gambling license, unless they directly facilitate betting transactions.
• Payment Gateway Providers: Companies that facilitate deposits and withdrawals on online gambling platforms may also need to obtain a gambling license. Since their interactions with the general public relate to gambling activities, they’re expected to comply with the legal and regulatory standards that guide the industry, especially in the area of fraud and money laundering detection. 
• Affiliate Marketing Companies: Marketing companies that promote real-money gambling services may be required to obtain a license in certain jurisdictions, such as the UK and Sweden. These agencies must comply with the marketing and advertising guidelines laid down by regulatory authorities in their target markets. However, in many regions, affiliate marketing companies do not need a gambling license but must still adhere to responsible gambling and compliance regulations.

Note that the answer to how to secure a gambling license and requirements may vary for each of these operators. Some jurisdictions may also provide exceptions for some organizations or include other service providers not listed here. 

Importance of Licensing for Online Gambling Operators

On the surface, an online gambling license mainly benefits the jurisdictions (by providing a source of revenue) and players (by protecting their interests). However, it also comes with many advantages for operators. Some of the reasons why you should consider obtaining a gambling license include: 

• Legal Compliance: Obtaining a license allows you to legally run your business in a target jurisdiction. In many countries, only a licensed operator is allowed to provide gambling services to the general public even if gambling is legally allowed. 
• Access International Markets: Some licenses are internationally recognized and obtaining them allows you to render your services in many countries all over the world. Many countries that have legalized gambling but have no local regulatory body often require operators to have an internationally-recognized license such as the MGA or UKGC license. 
• Partnerships: Every successful gambling business has to build partnerships with third parties, from payment service providers to traditional banks and game suppliers. Such a partnership requires trust and credibility. Most local and international banks will not even allow you to open an account with them unless you’re licensed by a recognized regulatory body. Official app stores may also require you to get a license before your casino or sportsbook app can be listed. 
• Credibility and Authenticity: A gambling license from a recognized regulatory body is the biggest proof that a casino business can be trusted by players. Gamblers are more likely to play games in your casino when they can see proof that your platform is safe, fair, and secure. 

Types of Gaming Licenses

Licensing bodies across various jurisdictions typically offer multiple gaming licenses to cover different kinds of online gambling activities. In any instance, the type of license to apply for depends on the nature of your gambling business, your target audience, and the type of betting options you intend to offer players. Here’s an overview of the most common types of gaming licenses available. 

Fixed-cost License 

Jurisdictions that issue a fixed-cost gambling license require operators to pay a fixed fee to obtain their gambling license. The fee to pay is fixed for all operators and does not depend on their revenue or the volume of gambling activities they’re involved in. With this system, operators will always know how much they need to pay to maintain their licenses. The gambling regulatory authority also gets to generate stable revenue regardless of the operator’s profits or losses. 

Gross-based Licenses

With this system, the fees paid by license holders depend on operators’ gross gambling revenue. This is the difference between the total amount wagered by punters and the winnings paid out by the operator. The fees to be paid to the regulatory body are typically calculated as a percentage of the operator’s earnings. This means the revenue that will be generated by the regulatory body depends on the performance of the operator’s business. 

B2B License 

A B2B license is a type of gambling license issued to operators whose products or services are directed to other businesses within the gaming industry. Examples of operators that apply for this type of license include software providers, payment processors, platform developers, affiliate marketers, and so on. 

B2C Licenses

A B2C license is issued directly to operators that interact with end-consumers directly. They offer online gambling services in the form of casino sites poker rooms, sportsbooks, and other gambling service providers that serve individual players directly. Holders of a B2C online casino license are expected to comply with consumer protection and fair gaming practices.

Licenses Based on Permitted Solutions 

In some jurisdictions, licenses are issued based on the specific solutions that the operator provides. In this case, the operator is not allowed to offer any services outside the ones covered by their license. For instance, an operator with a casino license can only provide casino games like slots and table games. Similarly, a sports betting license focuses on bets placed on sporting events.  

Choosing the Right Jurisdiction

To help you understand the major differences between the licenses for different jurisdictions, the table below compares them in terms of cost, license validity, processing period, and other factors. 

Factors to Consider When Selecting a Jurisdiction

There is nothing like an ultimate gambling license that is perfect for every use case. Every jurisdiction license varies in terms of the markets it covers, the gambling operations it allows, cost, and taxation requirements among other factors. So how do you select the most suitable iGaming license for you? Here are some of the important factors to consider when selecting a gambling license: 

• Your Target Market: The country (or countries) you intend to operate will have a list of approved gambling licenses. Consider this in selecting the jurisdiction to get a license from. 
• Type of Gambling Operation: Only a few jurisdictions offer universal licenses that cover every possible use case. For others, you have to check if they offer a license that covers the gambling operation that you intend to run. 
• Application Eligibility: The eligibility requirements for a gambling license vary from one jurisdiction to the other. For instance, some jurisdictions require operators to be present physically within the country while others only need them to register as a recognized business entity. Some locations also set a minimum capital limit that operators must meet before they can register. 
• Licensing Cost: Consider the total cost of the application. This typically includes the application fee, licensing fee, renewal, and so on. You should also consider how long the license will be valid as this determines when you’ll need to renew your payment. 
• Jurisdiction Reputation: Some gambling licenses are recognized across several international markets. The credibility of the licensing body may also have some impact on the reputation of your business reputation and player trust. 
• Licensing Process and Requirements: Finally, consider the jurisdiction’s requirements for obtaining and maintaining a gambling license. Some regulatory bodies have more stringent rules compared to others. While this gives them a reputation boost, it can make the licensing process trickier to navigate. 

Conclusion

As this guide shows, a gambling license is a major requirement for anyone looking to venture into the iGaming development. The benefits of obtaining a license also make it a potentially valuable strategic investment in your online gambling business. Before you proceed with iGaming development, you need to take an in-depth look at the different licensing jurisdictions and select the most suitable one for your needs.

Partnering with a software development company with in-depth knowledge of the industry such as CrustLab will also make it easier to navigate the process of licensing your iGaming business. Contact us to discuss the licensing requirements and other details of your project.