Betting Licensing And Regulation

With the rise of “Internet Betting” since the mid 1990’s, there has been an increasing need to create a framework of regulations that keep order in this growing industry. Fraud and dishonesty needed to be kept at bay and a form of standardization was imperative to ensure the future and reputation the industry. As such, a number of countries and jurisdictions around the world have created their own platforms in order to provide licenses and a regulatory framework for online casinos and operators.

What Is Internet Betting Licensing And Regulating?

The role of these internet betting licensing and regulation organizations is to generally ensure that all internet betting is conducted honestly and fairly, to ensure that the funding, management and operation of internet betting remains free from criminal influence, and to ensure that internet betting is regulated and monitored so that the interests of the young and vulnerable are protected at all times.

As such, internet betting sites and companies who wish to obtain a license from the particular jurisdiction will need to ensure that they meet all the requirements set by the location.

There are number of internet betting regulators out there, most of them operating under the auspices of the government of a specific country. Some jurisdictions, such as Gibraltar and the United Kingdom, provide full licensing and regulation to their licensees, and their standards are considered tough to meet. On the flip side, internet betting sites that carry a license from these jurisdictions are usually considered to be safer and more secure due to the demands for fair play and customer protection compliance on an ongoing basis.

Some jurisdictions, such as Costa Rica, will only go so far as to provide offshore licenses and do not provide any level of active regulation.

On the other side of the barometer, some territories in the world, such as the United States, have passed laws to make the operation of an internet betting company illegal. The Unlawful Internet Gambling Enforcement Act, passed in the United States in 2006, is one of the most controversial pieces of legislation to be found today.

Players considering placing a bet at a legal internet betting site are generally advised to ensure that the casino is properly licensed and regulated through a reputable jurisdiction. An online casino that claims to be ‘legal’ needs to be licensed through one or more jurisdictions.

Examples of internet betting licensing and regulation jurisdictions are provided below:

United Kingdom Betting License And Regulations

Following the introduction of the UK Gambling Act of 2005, the country’s Gambling Commission regulates hundreds of online and land based casinos. The Commission was created to ensure that crime is kept apart from gambling and that all operators follow fair and transparent policies. Issues of underage and problem gambling are also addressed.

The UK Gambling Commission has created a white list of all approved gambling jurisdictions that meet its highest standards, and any operator that is licensed through one of these territories is free to advertise its services or products in the United Kingdom. In general, jurisdictions that fall within the boundaries of the European Economic Area are considered ‘white listed’, and only a few outside the EEA such as Tasmania, the Isle of Man, Antigua and Alderney are included on the white list.

Gibraltar Internet Betting License And Regulating

Gibraltar is considered one of the top licensing and regulation jurisdictions in the world, and its standards match those of the United Kingdom which may be the toughest of them all. A large number of internet betting operators have relocated from the United Kingdom to Gibraltar for tax purposes, and some of the biggest names in the industry, such as Party Gaming, carry licenses from Gibraltar.

Netherlands Antilles Betting Regulations

Operating under the Curacao Gaming Control Board, hundreds of online betting groups are licensed by the jurisdictional domain of the Netherlands Antilles. A number of basic conditions need to be met before the license is issued to gaming operators.

Betting Licenses And Regulations In Malta

One of the largest gaming jurisdictions is Malta, which runs the Lotteries and Gaming Authority of Malta and was the first European Union member state to regulate internet betting. It is believed that the LGA is the closest framework to an international regulation platform in existence today. Since Malta received UK ‘white list’ status, the number of licensees searching for Maltese licensing and regulation has increased significantly.

Kahnawake Internet Betting License/Regulations

Created when the internet betting industry was still in diapers, the Kahnawake Gaming Commission was the first independent regulatory body to form. The Commission operates from Mohawk Indian Territory near Montreal, Canada and has been increasingly inching towards higher standards of regulation for some time. Most recently, the KGC devised a new compliance program, which will have its licensees subjected to standards checks by the industry watchdog group, eCOGRA, in the hope of improving its best industry practices and fair play policies even further.

Alderney Gambling And Betting Licensing

Founded in May 2000, the Alderney Gambling Commission is a non political regulatory body that upholds top international gaming standards, similar to those followed by the United Kingdom. A recent change in Alderney’s e-gambling licensing policy is that a licensee’s advertising needs to comply with the advertising laws of the target market territory.

Antigua and Barbuda Betting Regulations

One of the oldest online jurisdictions to provide licenses to internet betting sites is the twin Caribbean state of Antigua and Barbuda. This jurisdiction continues to update and amend its policies, the last being in 2009 after a major banking scandal threatened the territory’s reputation. Since then, the Directorate of Offshore Gaming has managed to up its standards significantly and now enjoys UK white list status.

Isle of Man Betting License Regulations

With online gambling operations legalized in the country, the Isle of Man is a popular destination for companies seeking to provide legal internet betting services.