Malta has been a popular offshore gambling destination for many years, and now it is also a great place to do business. The Malta Gaming Authority (MGA) approved the first casino operator license in 2004. Today there are more than 65 operators licensed by the MGA, with over 300 online gaming sites from which players can choose
Licensees have complete flexibility as they design their games—for example, they need not use traditional slot machines or table games but can instead create new types of games based on player preferences. In addition, operators may offer services that allow players to bet using cryptocurrencies such as Bitcoin. Licensed casinos must comply with all laws and regulations applicable in Malta and around the world where they operate including those related to money laundering and counter terrorism. In addition, they must ensure that players are protected from crime and fraud.
Requirements to become MGA licensees
The Malta Gaming Authority (MGA) has stringent approval requirements. Applicants must demonstrate that they have in place an effective responsible gaming policy and are able to protect players from fraudulent and criminal activity as well as be of good standing and financial stability.
Applicants also must provide a variety of information including:
• Details about the company’s upper and lower management and executive officers
• Details about shareholders and persons holding a 5 percent or greater interest in the company, as well as those controlling its activities
• For any companies located outside Malta, information regarding their directors and beneficial owners
• Documents demonstrating that the applicant is licensed to provide such games/services by local authorities (if applicable)
It takes about a year to get a license from the MGA. The license costs around €32,000.
As an applicant progresses through the licensing process, the MGA performs a detailed assessment of its suitability to hold a license. The assessment is based on proving that applicants have sound business practices in place and are fit to conduct gaming operations responsibly in compliance with applicable laws. This involves documentation related to every Malta Igaming companies application being submitted at every stage of the assessment process.
Why Gambling companies like Malta
Malta offers a quick and effective licensing system, which is very good for the company’s business. The only other quick choices are Curacao or Antigua.
The Maltese government takes its gaming control responsibilities seriously. For one thing it has tightly controlled the proliferation of casinos to one island. It also imposes strict social safeguards that are designed to protect children and teenagers, and it is committed to combating money laundering and terrorism.
The Maltese gaming authority has a lot of control over the companies that it licenses. This will ensure that there is no crime or fraud conducted by these companies
Another reason why Malta is ideal for gambling operators is because of the fact that they can avoid paying tax, which is a huge incentive for the companies.
The Malta Gaming authority is not as strict as other licence providers
The Maltese government likes any company operating out of its country because it means that there is more money coming into the island which helps the economy grow.
This means that in exchange for swift operations, some sort of sacrifice has to be made elsewhere. Unfortunately for players, this sacrifice is regulation. The United Kingdom Gambling Commission is much stricter.
The Maltese government wants to provide a good environment for businesses to set up without too many bureaucratic hurdles being put in their way, so they are not very strict when it comes to regulation.
However the MGA are still strict enough that any crime or fraud will be found out and dealt with. The constant pressure of the European Union for tighter rules means this amount of leeway is lessening over time. This can be seen by the MoneyVal test failure, where the status of the whole country got downgraded to “grey”.
In summary – this is why more Malta licensees keep appearing
Malta is a great place for gambling companies to set up shop because it offers a quick and effective licensing process, as well as strict social safeguards that protect players from fraudulent and criminal activity. However, applicants must also demonstrate that they have in place an effective responsible gaming policy. The Maltese government takes its gaming control responsibilities seriously and is committed to combating money laundering and terrorism.
Malta Gambling companies are therefore becoming MGA licensees by proving that they have sound business practices and are fit to conduct gaming operations responsibly. The assessment is based on providing an effective responsible gaming policy and protecting players from fraudulent or criminal activities. This means that, in exchange for quick operations, some sort of sacrifice has to be made elsewhere: i.e., regulation and strict rules . Although the Maltese government is not as strict as other licence providers, it still enforces enough regulation to ensure crime and fraud are stamped out.