The term gambling refers to the entire industry of games of chance, both stationary and virtual. In terms of profitability, this market is on par with show business. Transparency Market Research analysts estimate that the gambling niche will be worth $100 million by 2024.
iGaming is a gambling industry that exclusively includes online entertainment in Australian online casino real money 2022: virtual gambling, online casinos, poker rooms. iGaming also includes the following areas.
- Fantasy sports – Virtual games based on real competitions and featuring prototypes of real athletes.
- Binary options trading.
- Digital coins.
- Online betting.
Gambling licensing abroad
The most popular regulators in the gambling industry belong to the jurisdiction.
- United Kingdom
- Gibraltar
- Malta.
These offer a relatively low tax rate, but gambling licensing is an expensive and complicated process. And the requirements for operators are quite strict, and the penalty for violating the regulations is the loss of the license.
United Kingdom
Getting a license from the UK Gambling Commission (UKGC) is a difficult task that requires a lot of time, effort and money. It is very easy to lose it, so gambling industry representatives try to abide by the rules and avoid conflicts with players.
To get a gambling license in the UK, you need 2 documents: the Personal Manager’s License (for companies with 3 or more employees) and the Remote Operating License.
In addition, the following documents must be submitted to the UKGC.
- Annual Financial Plan.
- Proof of availability and sources of funding.
- Registration documents for legal entities or identity card for natural persons.
- Accounts.
- Receipt of payment of the mandatory fee.
Gambling licensing in the UK (issuance of initial license) costs approximately £70,000. Annual renewal costs another £155,000. The tax rate is 15% of the winnings.
Gibraltar
Revenue from online gambling accounts for 25% of the country’s GDP, and the tax rate for gambling and betting operators is only 0.15%.
Here, gambling licensing is carried out for both B2C and B2B. The only difference is the annual license fee – £75,000 versus £100,000.
The regulator conducts an inspection of the operator before granting the license. The applicant must meet the following requirements.
- A license from another country.
- Experience in gambling.
- Impeccable reputation.
- Truthful advertising.
Malta
Malta introduced gambling licensing back in 1998. Now the revenue from this industry accounts for more than 10% of the country’s GDP.
Licenses issued by the MGA (Malta Gambling Commission) are legal in several countries such as Japan, Canada, Austria, Sweden and Finland.
Gambling licensing on the island is not a simple procedure. Before a license is granted, the applicant undergoes a thorough examination that covers everything from his past business activities to his business plan for the near future.
Once the license is obtained, the operator must begin operations within 2 months or risk losing their operating license.
The MGA issues licenses for.
- The development and sale of gaming software.
- Collective online gaming.
- Betting.
- Lotteries, roulettes, etc.
The tax rate on the island is one of the most attractive in the world (only 5% of winnings).
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