Why Are so Many Gambling Operators Based in Malta?
Back in 2002, online gambling came to the scene and took the world by surprise! While the majority of the legal world was unprepared for these significant changes, Malta, a member of the European Union, saw this great opportunity and offered comprehensive licences to online casino operators. With this new licence, any online casino that’s operating out of Malta can get accessed by the entire European market.
These days, the competition between online casinos is forcing them to make interesting offers, such as online casino bonus codes 2019, in order to entice users to visit their site. It’s a well-known fact that Malta is a tax haven for many industries, and online casino operators enjoy a small 0.5% tax rate on their business. The second important fact is that EU laws state that you need to pay income taxes in only one EU country, and Malta is the best choice for that.
What Kind of Licences Can Casino Operators Apply For?
An online casino can apply for the Class 1 License which governs remote gaming, like casino games or online lotteries. The Class 2 License governs remote betting, most often sports betting. The Class 3 Licence governs remote gaming such as Poker Rooms, and last but not least, the Class 4 License governs hosting and managing gambling software (B2B gambling software providers are required to have this license).
Who Regulates Online Casinos?
Online casinos are regulated by the Lotteries and Gaming Authorities (LGA). In order for a casino to obtain a license, they must be fully compliant with many rules set by the license issuers. When it comes to Malta and Malta Gaming Authority, their license is one of the most reputable licenses in the world.
Any casino that has the LGA stamp is guaranteed to be fair and work according to the rules. About 25% of all online operators all around the world have a Malta license.
What Does the Future Hold For Malta’s Online Gambling Industry?
In short, the future looks bright. Due to Britain leaving the European Union, Gibraltar, Isle of Man, Guernsey and Alderney will lose the EU market; and we’re currently seeing an exodus of online gambling companies (both operators and software providers) from these locations and their migration to Malta.
Malta is one of the key players in the online casino industry when it comes to the reputation of its license, and it seems that the things are unlikely to change any time soon. A whopping 12% of Malta’s GDP is gambling-related, and the Maltese government is doing their best to keep it that way.
Not everything is trouble-free in the future; with more and more countries in the EU writing their own laws for online gambling, we might see Malta dethroned if other EU members choose to regulate their own online gambling practices instead of putting their trust in Malta. The Czech Republic and Poland are putting their laws in order after a lot of procrastination, while Ireland might become the next online casino operator’s destination and a serious competitor to Malta.