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Writer's pictureChloe Mattar

The Different Types of Gaming License and Key Considerations To Acquire One

Updated: May 6, 2024

Introduction





The world of online gaming is a booming industry, attracting players and businesses alike. But for businesses venturing into the exciting realm of e-gaming, navigating the legal landscape is crucial. Here's where e-gaming licenses come into play. E-Gaming licenses represent a different kind of competition – the race to operate legally and securely within a regulated market. This blog delves into the complexities of e-gaming licenses, exploring the various types available, the factors to consider when choosing the right one, and the significant benefits they offer. Whether you're a seasoned gaming entrepreneur or a budding startup, understanding e-gaming licenses is essential for ensuring your online gaming venture thrives within a legitimate and trustworthy framework. 


Types of E-gaming Licenses


There are several ways to categorize e-gaming licenses, depending on the specific focus:


  • Based on the Character of Activity:

  • Land-based: Permits for physical gambling establishments like casinos.

  • Online (iGaming License): Licenses for online gambling platforms offering games like slots, poker, or sports betting.


  • Based on the Type of Activity:

  • B2B (Business-to-Business): Licenses for companies providing services or products to other online gambling businesses (e.g., payment processing).

  • B2C (Business-to-Consumer): Issued for businesses offering online gambling services directly to players (e.g., online casinos).

  • White Label License: Allows entities to lease a fully supported online gambling platform, rebrand it, and sell it as their own.


  • Based on the Type of Games:

  • Poker: Ensures fair play and integrity in player interactions for online poker platforms.

  • Lottery and Bingo: Addresses chance-based games, ensuring fairness in draws and gameplay.

  • Casino: Covers online platforms offering various casino-type games like roulette, blackjack, and slots, and ensures compliance and integrity within that setting.

  • Betting: Regulates wagering activities on sports events, esports (in some regions), races, or other outcomes, addressing responsible practices and player protection.


  • By Territory Coverage:

  • International: Licenses from jurisdictions like Curacao, Malta, or Gibraltar, providing authorization for operations across multiple countries (depending on specific regulations).

  • Local: Permits for online gambling businesses within specific countries like Germany, Austria, or the Czech Republic.


  • Based on the Arrangement:

  • Master License: Standard authorization for operating an online gambling business.

  • Sub-license: Permits secondary licensing under an existing license holder.


Importance of E-gaming Licenses


  • Legality and Reputation: Obtaining a license signifies your commitment to fair play, responsible gambling practices, and adherence to regulations, fostering trust with players and authorities.

  • Access to Markets: Some jurisdictions require e-gaming licenses for businesses to operate within their borders.

  • Financial Advantages: Licenses can open doors to payment processing services and partnerships with established companies in the online gambling industry.


Choosing the Right E-gaming License


The specific license you need depends on factors like: 

  • The type of online gaming activity you offer (gambling vs. non-gambling), 

  • Your target audience (global vs. specific country), and 

  • Your budget (licensing fees can vary). 

  • Consulting with legal professionals specializing in e-gaming law is recommended to navigate the complexities and select the most suitable license for your business needs.


Conclusion


Obtaining an e-gaming license is more than just a legal formality; it's a passport to success in the online gaming world. It signifies your commitment to fair play, responsible practices, and industry best practices. With the right e-gaming license in hand, you can unlock doors to new markets, establish trust with players, and build a flourishing online gaming business. So, before you embark on your e-gaming journey, equip yourself with the knowledge of navigating the licensing landscape.



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