Hidden beneath the glamorous exterior, operating a gaming website can be very cumbersome and difficult to manage. There are many tasks an operator needs to handle such as complying with laws and regulations, managing cross-currency transactions, and maintaining an excellent PR reputation. Add the marketing element and running a gaming site proves to be an extremely complex and daunting task. Having a good collaboration with a licensing authority can help sort through the complexities of running an online gaming website.

The role of a licensing authority is to provide a framework that regulates online gaming and enforces legal guidelines. They help gaming sites sort through all the laws and minute details that are crucial to their operation. However, the degree of how effectively a licensing authority actually performs their role can vary from jurisdiction to jurisdiction.

Let’s take a look at how various gaming websites are regulated as well as a deeper look into the role of the licensing authority. The criteria and guidelines for obtaining and maintaining a gaming license can be complicated and knowing the ins and outs can be very helpful for operators of casino, sport betting, and lottery sites alike.

How do Licensing Authorities work?

Licensing authorities are government organizations tasked with the creation of a legal framework and the enforcement of regulations in the online gaming industry. They hold the legal power to authorize and license online gaming operators.

They are a regulatory body that governs all gaming activities in their jurisdiction and ensure that licensing standards are enforced. With a deep knowledge of legislation and regulations in the gaming sector, the licensing authority can assist gaming sites with the demanding tasks of running their operations.

Many countries have established licensing authorities that regulate gambling for the resulting economic benefits. One of the main incentives for legalizing gambling and setting up a gaming authority is the generated income and economic boost it generates. Additional reasons include the desire to develop gaming software or the protection of players. Some may be involved in Anti Money Laundering (AML) regulations which are designed to inhibit income derived through criminal activity.

Licensing authorities are often based in countries with limited resources or those looking to improve their economic status. Curacao, Malta, and Antigua are a few examples of countries that have established gaming authorities to license and regulate local and online gaming. Obtaining a license from an authorized government body allows gaming sites to legally offer their services to many gambling markets around the globe.

Choosing a Licensing Authority

When opening a new gaming site, it’s important to find a licensing authority that suits a business’ individual needs. The operator needs to take into account their company’s specific requirements, budget, branding, and time restraints. Plus, the right licensing authority can help operators navigate through the much diverse and ever increasing gaming regulations. The list of demands is long and the licensing authority can be very useful in walking a new company through the process.

Choosing a reputable authority can be key to building a trustworthy presence. Players look for sites that have a highly regarded gaming license to ensure a safe gaming environment. The more trusted authorities guarantee the fair gaming practices as well as the auditing and vetting of their licensees. In short, you can estimate a site’s quality by the country that authorizes their license.

If you operate a gaming site without a legal license you are taking a huge risk for your business and for your players as well. If you haven’t yet set up a legal gaming operation take this opportunity and learn the information on how to acquire a gaming license, it will be well worth it in the long run.

Michael Dewan
Michael Dewan is head of PR at GBO International Financial Services LTD . GBO is becoming a world leader in providing corporate services for international companies. These services include assistance with: incorporation of companies, opening business bank accounts, licensing, payment solutions, nominee services and more.