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Gibraltar Regulatory Authority
Gibraltar is one of the most renowned gambling jurisdictions in the world. Although small, the country issues casino licenses for some of the biggest online gambling sites in the British Overseas Territory. Gibraltar is a hub for international casinos. However, residents cannot access online gambling services.
Nonetheless, the unique licensing system is available to any company that wants to serve the international markets. And why not? After all, the regulatory framework is robust and offers tax advantages. Read our casino guides and discover how the Gibraltar operating license works in this post!
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Main Info About Gibraltar Gambling Commission
The Gibraltar Gambling Commission (GCC) was established in 2005 by enacting the Gibraltar Gambling Act 2005. Based on our experience, its main responsibility is to oversee all forms of gambling activity within the country, ensuring fairness, transparency, and player protection.
Fairness
The GGC provides a technical framework for operating casino software and random number generators. For instance, all operators must sanction regular audits to prevent biased outcomes. Gibraltar licensed casinos also submit software to independent auditors like iTech labs or eCOGRA for testing and certification. With this, the commission ensures players have an equal chance of winning.
Besides reviewing RGNs, the commission conducts regular audits to verify an operator’s game operates according to standards. Unfair practices lead to sanctions, fines, or license revocation. Meanwhile, the GGC provides a formal dispute resolution process for players who believe they have been treated unfairly.
The body investigates disputes and sometimes appoints an ombudsperson to guarantee fairness. It also prevents underage gambling and monitors marketing practices to ensure they are not misleading or cause players to gamble irresponsibly.
Transparency
Licensed operators meet stringent reporting criteria, especially concerning transparency. Companies provide periodic reports about their revenues, payouts, and financial dealings. The GGC reviews the reports and confirms if the companies are operating responsibly. It also sanctions online casinos Gibraltar that breach anti-money laundering and social responsibility obligations.
Our research shows that all operators must state their terms & conditions clearly. The aim is to make it accessible to players and prevent misunderstandings. The terms must provide sufficient information on how games work, wagering requirements, bonus rules, and payouts. Lastly, the GGC keeps a public register of all licensed Gibraltar casinos, allowing players to verify the status of any operator.
Customer Protection
Operators must keep player funds in a separate bank account from operational funds. This practice guarantees fund protection in case the casino runs into financial problems. At the same time, operators must provide responsible gambling tools, such as deposit limits, reality check questions, or self-exclusion, to help players manage their gambling habits.
On the other hand, the commission implements strict anti-money laundering and anti-fraud policies. Casinos must adopt advanced systems to monitor large or unusual transactions and report to the GGC. Prompt reporting protects the operator and player from financial crimes, whether knowingly or not.
Lastly, the Gibraltar Gambling Commission compels operators to follow data protection laws, especially the General Data Protection Regulation (GDPR) for EU companies. Strict adherence ensures online casinos Gibraltar protect customer data by encrypting, storing, and not misusing them.
Gibraltar Licensing Requirements
There are two categories of gambling licenses issued by the Gibraltar Gambling Commission: B2B and B2C. However, there are different versions of the two. We’ll explore them in detail later.
Despite the availability of different licenses, they are incredibly rare to obtain. The reason is that only companies with impeccable reputations, experience, and business plans are recognized. Based on our observations, below are the requirements for B2B and B2C licenses:
- A comprehensive business plan that shows the company’s objective, target markets, growth strategies, financial projections, and operational structure.
- Projected economic contribution, including job creation, tax contribution, and overall benefit to Gibraltar.
- The office and directors of the company must be located in Gibraltar.
- Impeccable reputation of directors and shareholders that is determined through the fit and proper test.
- Robust AML and crime prevention measures, including KYC protocols and reporting suspicious activities.
- A license in a jurisdiction other than Gibraltar.
- Gibraltar bank accounts.
- Fully paid $100,000 license fee for B2C and $85,000 for B2B.
How to Acquire a Gibraltar Gaming License
Acquiring a Gibraltar license is a rigorous process that requires extensive research. After trying out this product, our team discovered that the procedure is in four stages, and recipients must spend 14 to 90 days to complete all steps. Prospective license holders must pass the following:
- The procedure for registering a company in Gibraltar.
- Appoint a regional authorized company with a place of permanent registration or passport of jurisdiction.
- Create a business and investment plan.
- Inspect the equipment for the business.
- Obtain permission from Gibraltar officials.
- Collect and submit crucial documents for obtaining the license.
Drawing on our own experience, here is an outline of the steps required to acquire a Gibraltar online casinos license:
Market Research
Investigate the online gambling industry, including foreign and local market conditions, trends, and potential customer base. This way, you’ll identify if the tax advantages, regulatory advantages, and reputation of Gibraltar align with your needs. Also, familiarize yourself with the jurisdiction’s regulations, most importantly, the Gibraltar Gambling Act 2005. Others include AML compliance, player protection, and responsible gambling.
Choose Location
The next step is to select Gibraltar as the location for your business. The jurisdiction offers a favorable tax regime with low corporate taxes, access to skilled labor, and friendly regulation. Having a physical office is mandatory. It demonstrates the company’s commitment to Gibraltar, including hiring local staff for key compliance roles.
Business Registration
Incorporate your business as a legal entity in Gibraltar. Choose a name, submit incorporation documents, and appoint secretaries and directors. Proceed and pay the registration fees. Open a bank account in Gibraltar for processing transactions and to comply with financial regulations.
Apply for License
Submit a license application to the Gibraltar Gambling Commission and pay the license fee (More information on this later). Include a business plan that explains the casino’s compliance measures, growth strategy, and operations. Likewise, submit documents on AML and KYC procedures, data protection, and responsible gambling strategies.
Not only this, but also financial statements showing the company’s ability to sustain the casino. According to our experience, the licensing authority will conduct a background check on all the key stakeholders and eliminate individuals with negative reputations or criminal histories.
Technical Requirements
Test your Random Number Generator (RGN) and games for fairness and compliance with the commission’s technical standards. Afterward, your online casino will be subjected to regular audits to guarantee continued compliance with regulations.
License Approval
Thanks to our practical knowledge, we know that the commission will approve your license if it meets all criteria and passes the due diligence check. With this, the casino can operate legally in international markets. That said, the operator must continually provide financial and operational reports to the licensing authority.
Which Casinos Have the Gibraltar Regulatory Authority License?
The Gibraltar Regulatory Agency licenses around thirty casinos. As a result of our tests, we determined that the gambling sites follow strict regulatory standards. With this, they ensure a high-quality, secure gaming experience for players. Based on our online casino reviews, popular gambling sites with the Gibraltar license are:
- 888 Casino
- William Hill
- Bet 365
- Betfair
- Bet Victor
- Red Bet
- 32 Red
- Unibet
- Roxy Palace
- Mansion
- Ladbrokes
- Foxy
- Bwin
- EuroGrand Casino
- Gala Casino
Gibraltar Gambling License Types
As we explained earlier, Gibraltar has two licenses – B2B and B2C. As a result of using this product, we discovered that the two are further subdivided into six, two of which are for land-based Gibraltar casinos. They are:
- Remote Gaming B2C Operator (online casino)
- Remote Betting B2C Operator (online bookmakers and organizations)
- Other Remote B2C Gambling Products (betting intermediaries)
- Gambling B2B Support Services
- Non-remote B2C Gaming Operator (land-based casinos)
- Non-remote B2C Betting Operator (land-based bookmaker)
The B2C (Business-to-Customer) License
This type of license is offered to casino operators who want to offer gambling services. The permit is for actual gaming products.
- The remote gambling licenses cover Gibraltar online casinos, poker rooms, bingo sites, sportsbooks, and lotteries.
- The remote betting license is for operators offering sports betting services. Companies with the permit allow players to bet on different sports events, including live bets.
- Operators with other remote gambling licenses offer online lottery games, ticket sales, and draws, or multiple game activities, such as casino, poker, and bingo, under one umbrella license.
The B2B (Business-to-Business) License
The gaming supplier B2B license is for businesses that provide gambling services to other operators instead of customers. Unlike the B2C license, this permit covers payment processing, software development, and similar services. For companies that develop or supply gaming software, the license ensures the casino or sportsbook complies with Gibraltar regulatory standards. It extends to random number generators and software.
Businesses that provide financial services, such as handling payments, deposits, withdrawals, and other services, apply for the gaming supplier license. It covers payment processing, fraud prevention, and secure financial transactions for B2C operators. There is also an affiliate marketing license for companies that act as marketing agencies for online gambling services.
B2B licenses are for businesses supporting gambling operators with payment processing, affiliate marketing, or gaming software development. It applies to games, RGN technology, and payment processing solutions. In contrast, the B2C license is for operators offering gambling services to players. It applies to slot games, live dealers, poker, lottery, or sports betting markets.
Gibraltar Gambling License Cost
A Gibraltar gambling license is for five years. Unlike other jurisdictions, which are only available for a year, this saves time and renewal costs. The application fee for B2C and B2C licenses is $30,000. Afterwards, operators pay an annual fee. Companies pay $100,000 for Remote Gaming B2C Operator, Remote Betting B2C Operator, and Other Remote B2C Gambling Products.
For betting and gaming, operators with an annual gross gambling yield of over $300m within that vertical pay $200,000 for the license. On the other hand, companies making over $20m but not up to $300m pay $100,000. Lastly, operators with a gross gambling yield of less than $20m pay only $50,000. The same $50,000 fee applies to affiliate marketing service providers.
In contrast, Gambling B2B Support Services pay $85,000. Plus, 1% payment of the revenue it makes from operations. The amount must be at least $85,000 or higher than $425,000 per year. Companies that offer more than one gambling vertical pay an extra $15,000.
A tier-three license for casinos in Gibraltar with less than $200,000 in sales costs $20,000. Likewise, a tier-two license with an annual fee of $50,000 allows sales of up to $550,000. Any company above these thresholds applies for the tier-one permit, which costs $85,000.
As our tests have shown, Gibraltar does not issue a traditional gambling license. The cost varies depending on factors like business size and location. Hence, we recommend consulting a lawyer or business advisor for an accurate estimate of startup costs.
Player Protection With Gibraltar Licenses
Our analysis of this product revealed that the Gibraltar license offers player protection for both online and brick-and-mortar Gibraltar casinos. Here is how it works:
Brick-and-mortar casinos:
- Gamblers interact with staff and games in a controlled environment where security or fairness-related issues are promptly resolved.
- The Gibraltar Gambling Division inspects operators to ensure they comply with AML measures, game fairness, and responsible gambling practices.
- Gibraltar casinos verify the age and identity of players to prevent underage gambling.
- Gamblers engage management directly for conflict resolution.
Digital casinos:
- Gamblers are not present physically. Hence, enforcing player protection is more challenging. Nonetheless, operators must comply with responsible gaming measures like deposit limits or self-exclusion.
- No real-time intervention compared to land-based casinos and players accessing gaming from outside the country makes it difficult to enforce a universal standard of player protection.
- Casinos in Gibraltar with inadequate security measures are prone to fraud or identity theft.
Our research has shown that due to the reasons above, the Gibraltar Gambling Division will consider adopting stricter requirements for online operators in the future. These potential improvements could include the implementation of advanced monitoring tools to detect problem gambling behavior or suspicious activities, stricter ID verification processes, faster dispute resolution procedures, and improved regulations surrounding the advertisement of bonuses.
How to Get the Gibraltar Gambling License
Obtaining a Gibraltar gambling license involves the following process:
- Company registration: The process starts with registering the company in Gibraltar and appointing local directors to manage operations.
- Business plan submission: A detailed business plan is required, outlining the company’s operations, target markets, business models, and risk management strategies.
- Financial proof: Applicants must provide proof of sufficient capital and submit detailed financial statements to demonstrate financial stability.
- Application fee: A $10,000 application fee must be paid as part of the licensing process.
- Regulatory compliance: The company must comply with the Gibraltar Gambling Act 2005, including implementing anti-money laundering (AML) measures and responsible gambling practices.
- Third-party audits: Independent audits of software, platforms, and games are conducted to ensure fairness and transparency.
- Cybersecurity measures: Adequate cybersecurity measures must be implemented to protect player data.
- Background checks and site visits: The Gibraltar Gambling Division may conduct background checks or site visits to verify the company’s operations and integrity.
- License application submission: Once all the necessary steps are completed and the company is registered, the license application can be submitted.
- Ongoing compliance: After the license is issued, the company must provide regular financial reports and undergo audits to maintain regulatory compliance.
Pros and Cons of Operating an Online Casino in Gibraltar
The Gibraltar license is among the best worldwide. Nonetheless, after experimenting with it, our team discovered it has some disadvantages. Explore the benefits and drawbacks of holding the permit below:
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The gambling tax is only 0.15% of the company’s revenue, and there is no VAT
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License requirements are not as stringent as other providers, such as MGA
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Strong regulatory oversight attracts more players
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Access to the European markets
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Operators must establish a physical presence in Gibraltar
Gibraltar Gambling Commission Contacts
Use the information in the table to reach the Gibraltar Gambling Commission for further information on issuing and administering gambling licenses:
Official Name | Gibraltar Gambling Commission |
Founding Date | 2005 |
Website | https://www.gibraltar.gov.gi/finance-gaming-and-regulations/remote-gambling |
Email: | [email protected] |
Phone Number | +350 20064142 |
Address | Block 9, Suite 912, Europort, Gibraltar |
Online Casinos in Gibraltar – FAQs
Can I gamble online legally in Gibraltar?
Yes, you can. Although residents cannot access locally licensed digital casinos, visitors play at Gibraltar casinos approved by the gambling division.
What is the minimum gambling age for Gibraltar casinos?
The age is 18 years for online and land-based casinos. It applies to all gambling forms, including casino games, lottery services, and sports betting.
What are the benefits of Gibraltar online casinos?
Thanks to the country’s strict regulatory frameworks, top online casinos Gibraltar are reputable, secure, and have strong player protection. They also enjoy low gaming tax, international reach, and offer high-quality gaming.
How much can you win in Gibraltar online casinos?
There is no legal limit to how much you can win, especially in progressive jackpot games. Since there is no tax on winnings, the amount depends on your stake and the games you play.
What payment methods are available at casinos in Gibraltar?
They include credit/debit/prepaid cards, bank transfers, e-wallets, and cryptocurrencies.