Casino Licenses

Discussion in 'New Casino Affiliates Questions' started by Thomas Andreas, Oct 8, 2018.

  1.  
    Thomas Andreas

    Thomas Andreas Affiliate Guard Dog Member

    Messages:
    78
    Likes Received:
    12
    Joined:
    Aug 7, 2018
    What are considered the top casino licenses and what are consider 2nd and 3rd tier licenses.

    As I understood it Malta is a top license to have but what are the other bad and good ones?
     
  2.  
    BetReels

    BetReels Affiliate Program Representative

    Messages:
    92
    Likes Received:
    60
    Joined:
    Jun 7, 2016
    UK, Malta, Gibraltar are the primary "good ones" while Curacao, Costa Rica are flagged as worthless. That said, casinos can be great or rogue with any license - it really depends on the owners and their cashflow.

    With more and more countries regulating, it won't be long before casinos will need to have a license in every market that offers licenses.
     
  3.  
    Biti

    Biti Affiliate Guard Dog Member

    Messages:
    724
    Likes Received:
    413
    Joined:
    Jul 24, 2015
    I would say that the license of the country you're playing from is the most worth. Licenses have no value outside the countries they're meant for.

    A UK license has no value if you're playing from, let's say, Spain or Hungary.

    If you're playing from a grey or black market country, Malta is the best. Way behind that licenses like Gibraltar. Crap from Curacao and Costa Rica can't even be called a license and is complete worthless.
     
    NDG, Thomas Andreas and BetReels like this.
  4.  
    AussieDave

    AussieDave 18 years & still going!

    Messages:
    3,175
    Likes Received:
    1,722
    Joined:
    Nov 28, 2013
    Costa Rica is less than worthless - it's not even a gaming license. Instead, it's nothing more than a permit to operate a business on Costa Rica soil. It's an identical license given to a Costa Rican Butcher Shop, Baker and Candle Stick Maker etc., etc.

    Edit:
    There's also the Kahnawake Gaming Commission. Once compared to that of holding a Curacao gaming license. Worse, back in circa 2008, it was embroiled in a huge poker scandal scam. When that all fizzled out, Kahnawake employed the service of Micki Oster, a well known and respected veteran of the online gaming industry (I'd known Micki since 2000 and she was rock solid honest). Micki was in charge of player disputes, and did a mighty fine job in her tenure, ruling many times in favour of players.
    (current license holders: gamingcommission.ca/interactiveOp.htm).

    http://www.ottawalife.com/article/h...curity-to-major-player-in-online-gambling?c=9
    The Kahnawake Gaming Commission is well-known to many online gamblers and sports bettors the world over. The independent regulatory body issues licenses to a multitude of top level and lower level online casinos, sportsbooks, and online poker sites. It also regulates their activities, ensuring strict adherence to their code of conduct and practice. The Kahnawake Gaming Commission also oversees a number of brick and mortar poker rooms all situated within their own territory.


    The Kahnawake Gaming Commission was established in 1996, making it one of the oldest online and land-based casino regulatory bodies still operating today. The commission was established after the Kahnawake Gaming Law had been enacted by the Mohawk Council of Kahnawake. Just three years later the council extended their regulatory activities to including interactive (online) gaming in 1999, shortly after the first digital casinos went online in the mid-nineties.

    Footnote: AFAIK, Micki Oster is no longer employed by KGC. As such, I'm not sure who handles player disputes. The last stats on that topic are dated Jan 01 to Dec 31 2015 - gamingcommission.ca/news/pr01252016b.pdf
     
    Last edited: Oct 9, 2018
  5.  
    NDG

    NDG Affiliate Guard Dog Member

    Messages:
    387
    Likes Received:
    237
    Joined:
    Sep 19, 2013
    Malta is probably the best gaming license for players in countries where there is no local licensing of online casinos.
    I would say the casinos that are licensed in their own jurisdiction, like in the UK, US states, Canadian provinces, etc..
    are the 1st tier. The second tier would probably be casinos that are licensed in Malta and the third tier would probably
    be all of the rest with examples like Curacao, Panama, St. Kitts, Comoros and other US-friendly licensing jurisdictions.
     
    Last edited: Oct 11, 2018
    BetReels likes this.
  6.  
    AussieDave

    AussieDave 18 years & still going!

    Messages:
    3,175
    Likes Received:
    1,722
    Joined:
    Nov 28, 2013
    Let me reiterating, Costa Rica does NOT issue interactive gaming licenses. Costa Rica is NOT a licensing jurisdiction.
     
    NDG likes this.
  7.  
    NDG

    NDG Affiliate Guard Dog Member

    Messages:
    387
    Likes Received:
    237
    Joined:
    Sep 19, 2013
    You are right. Costa Rica is just a normal business license. There are no gaming regulations at all.
    There is nothing to protect the players. You are simply gambling at a business within Costa Rica.
    i removed Costa Rica from my previous post in order to avoid any confusion.
     
  8.  
    ARZ

    ARZ Affiliate Guard Dog Member

    Messages:
    112
    Likes Received:
    17
    Joined:
    Jan 18, 2016
    If I would start an online casino, I would surely choose Maltese license. As it was said, it is the best for grey markets, and there is still plenty of them. Local licenses depends on exact jurisdiction conditions.
     
  9.  
    Biti

    Biti Affiliate Guard Dog Member

    Messages:
    724
    Likes Received:
    413
    Joined:
    Jul 24, 2015
    Curacao basically isn't a gambling license either.
     
  10.  
    Zuga

    Zuga Administrator Staff Member

    Messages:
    235
    Likes Received:
    293
    Joined:
    Dec 16, 2011
    I wouldnt call it absolutely worthless but its surely close. Granted there are some good casinos holding Curacao license, but theres lot more shady casinos using it. Especially if we are talking about rogue casinos with fake games. Curacao is their go to licensor.
     
  11.  
    KasinoKing

    KasinoKing Player turned affiliate.

    Messages:
    2,881
    Likes Received:
    1,077
    Joined:
    Aug 10, 2009
    IMPO all licences are almost meaningless: Their are some GREAT casinos with a Curacao license, and there are some CRAP casinos with a UK license.

    OK, so the top ones do offer some player protection, but it does not guarantee that it is a good casino to play at.

    KK
     
    BetReels and Zuga like this.
  12.  
    Thomas Andreas

    Thomas Andreas Affiliate Guard Dog Member

    Messages:
    78
    Likes Received:
    12
    Joined:
    Aug 7, 2018
    Hmm, lets say you have a UK casino (only active in UK market) it wouldn't make any sense then to obtain a Maltese License as well, right?
     
  13.  
    Biti

    Biti Affiliate Guard Dog Member

    Messages:
    724
    Likes Received:
    413
    Joined:
    Jul 24, 2015
    That is true.

    A Maltese license makes just sense if you're operating in black/grey markets or if Malta is your focus market.

    I suppose UK accepts just games of UK licensed software providers, otherwise, other licenses could be useful.
     
  14.  
    betizen

    betizen New Member

    Messages:
    5
    Likes Received:
    2
    Joined:
    Nov 9, 2018
    I have always wonder the practicality of licenses from the players perspective. Do you guys know cases where players went against the license of rouge casinos? Do you know the steps a players who thinks worth the trouble and the legal fee has to make in order to act? Let’s say in the cases of the most prominent licenses, Malta, UK, Curaçao (here in latam at least).
     
  15.  
    Nerdybet

    Nerdybet New Member

    Messages:
    16
    Likes Received:
    4
    Joined:
    Nov 21, 2018
    Back in the day I used to work for a big operator/affiliate based out of Malta. We had a few cases in which players would sue us in domestic court of their respective home countrie(s) to retrieve their money. All European courts ruled in our favor, but usually after lengthy appeals processes. The claimant would typically invoke a "negligence" statute, in which they asserted the casino operator should have prevented the players from depositing more money.

    One famous case (not related to my former employer) involved a Norwegian named Bjarne Baasland. He sued the operators both in domestic and Australian court to retrieve some of the $ 15 million he'd lost. See the link below (you gotta replace the dots)

    abc(dot)net(dot)au/news/2013-09-20/norwegian-gambler-loses-case-against-centrebet/4970062

    The special thing about Malta is that EU rules dictate the free flow of goods and services across the borders of each member state (including EFTA jurisdictions). A gambling operator has no "nexus" in a country unless it operates an office or employs people directly within that jurisdiction. In the case of Mr. Baasland the Norwegian Supreme Court decided that accepting deposits in NOK was enough to create nexus within that country, but I think that's a really far stretch.
     
    betizen likes this.
  16.  
    edgarf76

    edgarf76 Affiliate Guard Dog Member

    Messages:
    770
    Likes Received:
    137
    Joined:
    Oct 10, 2013
    I thought Costa Rica was worthless but Curacao was important?
     
  17.  
    betizen

    betizen New Member

    Messages:
    5
    Likes Received:
    2
    Joined:
    Nov 9, 2018
    That is very interesting. For sure that looks like a very special situation. I am trying to figure out (in order to provide accurate information to my users) why (some) casinos are so touchy about licenses and which ones to use specially in unregulated markets when it’s so damn unlikely that any player will ever first file and then win a case against them.
    Does a player with a fair case against a casino hace a chance supposing he is willing to spend the money and time? If not, what role do you think are licenses really playing nowadays in the industry? It looks to me that is just a formality with no real consequences...
     
  18.  
    Nerdybet

    Nerdybet New Member

    Messages:
    16
    Likes Received:
    4
    Joined:
    Nov 21, 2018
    As other users have pointed out there is a big difference between each license. A Maltese license is the gold standard in my opinion, while Curacao, Costa Rica etc. are basically worthless.

    High grade licenses are crucial to any online casino for 4 main reasons:

    1. No payment processor will accept deposits from black label casinos through Visa, MC etc. Same goes for Neteller, Skrill and other third parties. You'll find exceptions, but they usually get shut down within 6 months to a year,
    2. Governments can (and often will) prosecute you like a dog if you solicit/accept deposits from their residents without proper licensing. The United States is notorious for prosecuting black label operators, and one country I definitely wouldn't f** with.
    3. If an online casino has a license with detailed terms and regulations, they will be shielded from lawsuits such as the one I listed above.
    4. Many game providers (NetEnt, Microgaming etc) will flat out refuse to lease their games to black label casinos that lack proper licensing. As a result you end up with s*** software, which ruins the bottom line.

    It may be unlikely that a player will file suit against a rogue online casino, but legal protection against foreign governments is much more important in my opinion. You don't want to end up like David Carruthers & Co, who were arrested and persecuted in US courts.
     
    betizen likes this.
  19.  
    betizen

    betizen New Member

    Messages:
    5
    Likes Received:
    2
    Joined:
    Nov 9, 2018
    That was a very helpful insight @Nerdybet thanks a lot. Lot to consider when listing casinos in affiliate sites and recommending to players. I see two unfortunate things happening:
    1. There is a dangerous grey area, at least in Latam; many games providers *do not* refuse to operate with casinos with Curacao licenses. There are many cases i could point out. I think if game providers would be willing to be more strict about this, that would be a good bottleneck and a good way to filter casinos out. Of course they do not want to loose some of the profits involved and i do undestand that there might be fair casinos even with those type of licenses.
    2. What gives a general idea of how underdeveloped Latam market is regarding regulations is that many europeans operators disembarking in Latam, are willing to change their licenses for their latam products in order to operate "more freely". Which is shameful in my opinion.
    3. It would be really good for the players perspective if affiliate sites clearly show which casinos are dangerous because of their licenses. Even if the aff. program is good in the short term. It does not always happend. As Seth Godin points out, the long-term is hard for humans.
     

Share This Page