_860x500_9cb.png "How a casino license affects traffic")
For a long time online casinos and bookmakers were in the shadows, avoiding prosecution from the legislation. However, the situation has changed dramatically, and now more and more countries are starting to issue licenses for online gambling. This raises the question: which way to choose - to work with licensed casinos or with unlicensed operators? In this article, we will look at the main pros and cons of a gambling license for affiliates involved in gambling affiliate marketing.
The Caribbean is home to this tiny island, which offers various benefits such as zero taxes on casino profits, fast processing times (usually 1.5-2 months) and minimal operating costs. For those who own an online casino, Curaçao is an ideal place to locate computing power (server). A significant portion of Curaçao's budget is made up of the Internet gambling industry, so its casino taxation system proves to be very lucrative; companies only have to pay 2% corporate tax and can obtain the desired general license costing no more than $150,000, which allows them to provide all types of services. of games.
Types of Curacao licenses:
Regardless of the website, the validation process is consistent. Go to the bottom of the page and you will see a selection of license verification icons; clicking on them will take you to the open license page.
Canada is known for its liberal approach to gambling regulation. The Kahnawake Gaming Commission was established in 1996 and is responsible for issuing licenses for online casinos. It offers a total of four categories of licenses. Those who want to provide interactive betting services (i.e., web casinos) in the country must obtain a customer provider permit, which requires an initial license fee of $40,000, a technical software inspection fee of $15,000, and an annual license renewal fee of $10,000.
Malta's gambling authority issues two different licenses - b2b and b2c - for a period of five years. Operators who receive one of these licenses from the Maltese regulator are included in the UK gambling authority's white list, which allows online casinos to provide their services to UK citizens. Casino operators must comply with certain conditions such as filing financial documents, securing customer data and developing responsible gambling policies.
The licensing procedure consists of several stages: the council reviews the application within 3-4 weeks, after which the online casino receives a preliminary permit for 6 months. Then, depending on the results of the intensive examination, a gaming license is issued, which is valid for 5 years. According to the new tax rules that came into force on January 1, 2018, online casinos holding a "b2c - type 1 gaming services" permit (slot machines, table games, games with live dealers) pay an annual taxation at a rate of 0.55% to 1.25% (depending on income). If the annual income is below €3,000,000, they have to pay 1.25%, up to €4,500,000 - 1%, up to €5,000,000 - 0.85%, up to €7,500,000 - 0.70% and finally up to €10,000,000 - 0.
To obtain a Gibraltar authorization, the owner of an online gambling house must demonstrate financial strength, present a strategy and be willing to carry out financial transactions (payment of winnings, management of players' credit card information) only through banks located in Gibraltar. Licensees pay 1% of gross revenue, but not less than £85,000 per year.
One of the largest gambling regulatory bodies on the planet, the UK Gambling Commission requires applicants to provide a number of data to obtain a license. These include a business plan, proof of financial stability and security, criminal background checks and other information. In addition, remote casino license holders are required to pay taxes ranging from 15% to 50% of their total revenue. In addition, they must pay a permit fee that has increased by 55% as of October 1, 2021.
The Alderney Gambling Control Commission was established in May 2000 to monitor all forms of gambling in Alderney and ensure that online betting activities remain legal and pose no risk to vulnerable groups. When applying, applicants need to provide the relevant documents and make initial deposits for internal control checks. These amounts range from £5,000 to £10,000. The cost of a Category 1 online gambling license is £17,500; the renewal fee is £35,000. Please note that these figures may vary depending on gross revenue, previous licenses or other aspects.
In addition to the regions discussed, online casino owners can obtain authorization from the Gambling Commission of the United Kingdom, Alderney, Macau, Belgium, Denmark, the Isle of Man and some other countries. Obtaining such a license will allow the gambling operator to operate within the legal framework and attract customers in full transparency, safe financial transactions and fair play. Acquisition of a license is converted into user loyalty. A gambler in a licensed casino is sure that any spin on slots or any round of blackjack is subject to an impartial random number generator; everything depends on luck, where there is no room for deception or manipulation in the settings of gaming software.
Casinos with a license provide players with a number of advantages that make them preferred by webmasters. Firstly, having a license guarantees the integrity of the game and the payment of winnings to players. Casinos with a license offer only verified open source games that are not controlled by moderators in any way. This means that the owners of the company have no opportunity to tweak the slot machines in their favor and cheat players. All slots work on the same script for everyone, which ensures equal chances of winning for all players.
Secondly, the main advantage of licensed casinos is the guarantee of paying out winnings. Casinos without a license can refuse to pay winnings for any far-fetched reason, block the account or simply steal money from it. While casinos with a license are obliged to pay out winnings, otherwise they are penalized. Regulators also check casino operations, which eliminates the possibility of fraud and depriving players of honest winnings.
Despite the many advantages, licensed casinos have disadvantages to consider. One of the main disadvantages is the limited winnings. All slots at licensed casinos are set up in such a way that every player has a chance of winning. This means that the total prize pool is shared between all players, and it becomes quite difficult to win a large amount. Wagering as 100% of the invested amount in licensed casinos is already considered a good result. While many players are used to tear down jackpots, where the amount of winnings is dozens of times higher than the initial deposit. Thus, solid winnings in licensed casinos are rare.
Another disadvantage is the need to pay huge sums for a license to the state, as well as to pay other taxes and maintain dozens or hundreds of employees. This significantly increases the casino's costs and affects the chance of winning players. After all, the casino always strives to be on the plus side, so if one player won, it means another player lost. As a result, winnings in licensed casinos are usually low.
In addition, licensed casinos may require the player to provide personal documents to withdraw winnings, such as passport photos, TINs and a photo of the person with the bank card. This can cause some inconvenience and restrictions for players who do not want to disclose their personal information.
If you decide to work with licensed casinos, it is recommended to choose reliable and trusted operators. Study player reviews, read the terms and conditions and rules of the casino, and make sure that the casino has the appropriate license from the regulator. It is also recommended to follow the news and changes in legislation to stay up to date with the latest requirements and rules of the game.
In the end, choosing between licensed and unlicensed casinos depends on the goals and preferences of the affiliates. Licensed casinos offer more guarantees of fair play, payout of winnings and safety for players. However, they also have their disadvantages such as limited winnings and high license and tax costs. Unlicensed casinos may offer higher winnings, but they also carry risks of insolvency and lack of reliability.
The bottom line is that affiliates should look at all factors and weigh their importance to their business. Regardless of the path chosen, it is important to keep in mind gambling legislation and compliance. This is the only way an affiliates can succeed in this industry.
"Licensed casinos provide more reliability and security for players, but they also have their limitations and disadvantages."
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