Online Casino Licences


Nearly everyone plays on online casinos these days. From the store clerk to the funny guy next door. We all do it. This is no surprise as online casinos are one of the best and fun ways to spend time on the internet. But aside all the fun and games, it’s a big business. Really big these days, the lowest estimates set the worth of the entire online casino business around $50 billion. And with these kinds of sums being thrown around every year, there are rules, regulations and legislation in place to prevent fraudulent activities. And to uphold the interests of the people gambling on the online casino. These regulations are usually set by legislative authorities, who give out licences to the people and business who wish to conduct gambling activities legally.

Regulations make the online casinos a safe bet (no pun intended) for those of us who love to hit the tables and spin the slots a round or two every once in a while. In a safe world, there are rules and regulations to keep everything nice and calm, so we can all have as much fun as we like on the casinos or the highway! Casino licences are issued to the casinos that abide the rule of law and the very strict regulations they’ve been given. And it is the license that tells us gamblers, that this casino is lawful and will behave within the set restrictions, so basically it is safe and trustworthy

Why to play on a Licensed Online Casino

Online Casinos take licensing really seriously, as it is a sign of excellence in the eyes of a customer, if you see a casino without a license you simply turn around and head back to where you came from. There is also boatloads of money and personal information of the clientele, with these sort of concerns hanging over your head. Is this casino safe? Will this casino pay out my winnings? These are usual concerns voiced by gamblers worldwide. Most of us gamblers feel a lot safer when playing on a licensed casino, as this means that the methods of encryption for our personal and financial information are in good shape. A license also means that the casino will pay out, as there is no hope for the casino to keep on operating if they run in to unlawful activities. If the regulatory authority catches wind of this, it’s game over for the casino.

In the world of online casinos there are many many licences a casino can apply for. The strictest, some say safest of these are the licenses of the UKGC (United Kingdom Gambling Commission) and the MGA (Malta Gaming Authority). Some countries have outlawed online gambling and others where the legislation is unclear regarding the subject. In these cases the responsibility moves to the player. He or She has to decide and find out themselves if the site they use for gambling is credible. A task that would usually fall on the shoulders of a regulatory body.

Taxes

No gambling related activities can be taxed, since they are not a constant source of income. Neither do they generate from employment or other viable source. Gambling is not considered a business in Canada, as most of us don’t make a living off our winnings just yet. When playing on a licensed casino, you also know that they are paying their taxes according to the rule of law. Since you personally don’t need to pay taxes you might as well make sure that you’re playing on a casino that does. On the other hand, if you find yourself playing on a casino without a license, you don’t know if they pay their taxes, or if they’ll even pay you. Who knows, your hard earned money might even end up in the hands of international criminals. To make sure you always play on a casino that’s trustworthy and has no illegal connections we recommend you pick one of our trusted partners. We only showcase the very best casinos on Casino Shaman, and one of the building blocks of a great casino is that they are strict and truly follow the rules and regulations set by their respective authorities

Benefits

Online casinos have been a thing since the early 90’s. And during this time we’ve seen casinos come and go. Back in the beginning there was no regulations or no rules at all. It was the wild west, all sorts of conmen took to scam the gamblers who sought to play online. The positive was, that you could really play from anywhere you like. A person residing in Vancouver could play on a casino based in Minsk, Byelorussia, all you needed was an internet connection.

After some time, governments decided to start regulating this business and bring the online gambling community under the safety of the rule of law. This has lead to the appearance of gambling commissions, regulatory bodies that take care of the casinos and the gamblers. These commissions have started to offer gaming licenses to any type of gambling sites. As a player, you want to rest assured that you’re given truly random odd’s and that you wont get scammed. The licensing system has made this possible. You will get your fair games, fast payouts, and the peace of mind when you know your financial and personal information is kept safely, when playing on a licensed casino. Not all gambling licenses are the same though. A casino operating under Costa Rican license might not be as trustworthy as a casino operating within the rules of the Malta Gaming Authority. So when feeling like hitting the slots, make sure the casino holds the proper licensing, for us Canadians that would be the Kahnawake license.

Malta Gambling License (MGA)

Malta is an island located in the Mediterranean, south Sicily and part of the EU and the Commonwealth of nations. With just shy of half a Million inhabitants you might first think it to be a small wasteland. But Malta is arguably the most important online gambling jurisdiction in the world. It has granted licenses to most of the European online gaming sites and has been doing so since the year 2000 through the Malta Gaming Authority (MGA). It has developed and created very specific and strict policies and procedures for online gambling activities.

The “Remote Gambling Regulations” were completely restructured in 2004 and nowadays consists of 4 different types of gambling licenses:

Class 1 license: This type of license is for operators providing online casino games, games of chance, and games that apply random number generators.
Class 2 license: The class 2 license is for online sportsbooks.
Class 3 license: for advertisers and promotion companies that operate from the island of Malta.
Class 4 license: Is dedicated for businesses that host and manage online gambling operations but are not themselves operators.
All companies looking to license their gambling sites, pay an initial licensing fee of approximately €2500 along with other fees. Licenses have a validity period of 5 years at a time, and the tax for these operations is 0.5% of the turnover.
It wasn’t until the year 2007 that Malta finally made it to the UK’s approved list of jurisdictions that match and/or surpass England’s high level of gaming regulations. This resulted in many companies with British gaming interests to settle in Malta.

Curacao Gambling License

In the beginning of the millenium, the regulation of online gambling companies was decentralized from the Curacao Gaming Control Board. This lead to the rapid expansion of the online casino industry on the tropical island. Even though the industry has seen some decline on the island, there are still numerous licenses active on the island.

The advantage of the Curacao license is the possibility to acquire sub licenses to the license, for example a business might hold a casino license and begin to acquire sub licenses for poker and lotteries.

Responsible Gambling in Curacao

In 2014, Curacao agreed to take necessary steps to enforce FATF recommendations, and agreed to undergo evaluations to assess their compliance of Curacaoan casinos with FATF membership criteria. (FATF is the Financial Action Task Force, a world wide anti money laundering, anti terrorist financing and anti fraud organisation) Casinos within the Curacao license took notice of these notifications and have since gained more and more legitimacy, as these criteria upped their reputation in customer support and player protection. This has been a nasty sting in the reputation of Curacao casinos for a long time. The local government has also sought out to improve the quality and legality of Curacaoan casinos for a long time now. Since 2014, gambling in Curacao has been in compliance with the highest international standards imposed by the FATF. The Gaming control board has also imposed a compliance factor regarding both the casinos and the players of these notifications. This means that the online casinos are now required to offer their customers some standards in customer service and player protection. The wild jungle that used to be Curacao casinos has now been long forgotten, as these days the level of these gambling platforms is closing in on the standards in Europe and Canada.

Kahnawake, the homegrown Commission

The Kahnawake Gaming Commission is a regulatory body that licenses casinos, poker rooms and sportsbooks (and land based poker rooms within the Mohawk Territory of Kahnawake).

The Kahnawake Gaming Commission was founded in 1996 and has since given out and upheld hundreds of licences, or as they themselves call them “Client Provider Authorizations” to online casinos. The requirements for acquiring a Kahnawakean license are quite simple. The applicant must make sure that; Only persons that are suitable and permitted to operate within online gambling establishments take part in the operations. That all games are provenly fair and the results for the player are truly randomised. That all those who win are paid out their winnings, and that their deposits are kept safely with the utmost respect and legality.

The Kahnawake jurisdiction is quite a pricey one for those seeking to acquire it, the application fee is CAD$25,000 and that’s just the beginning. There is a testing deposit of CAD$15,000 and an operational extra fee of CAD$10,000 for the first year. And adding to these fees, there is also a CAD$5,000 extra fee for all key members in the operation.