Malta's Gaming Regulations and Licensing Requirements for 2024: Essential Facts You Should Be Aware Of
In the heart of the Mediterranean, Malta has carved out a reputation as a leading global gambling hub. The iGaming sector contributes significantly to the country's economy, accounting for around 12% of its GDP, and this growth is driven by a favourable regulatory framework, attractive tax benefits, and a strategic location.
Favorable Regulatory Framework
Malta has established a pioneering and robust legal and regulatory environment tailored specifically for the iGaming industry. The Malta Gaming Authority (MGA) offers clear licenses and regulations, creating a secure and reliable framework that attracts operators worldwide.
Tax Benefits and Economic Impact
The iGaming sector significantly contributes to Malta's economy. Malta provides attractive tax incentives and a business-friendly environment that helps iGaming companies increase profitability.
Technological Infrastructure
Malta boasts high-quality telecommunications, advanced data centers, and excellent internet connectivity due to its strategic geographic location between Europe, Africa, and the Middle East. This infrastructure supports seamless and secure online gambling operations.
Strategic Position as a Gateway
Its Mediterranean location positions Malta as an ideal gateway for reaching European, African, and Middle Eastern markets, making it convenient for operators targeting these regions.
Innovation and Crypto Adoption
Malta is at the forefront of crypto-friendly regulations and blockchain technology innovation, making it a pioneer in crypto casinos. This forward-thinking approach attracts crypto gambling operators and players seeking advanced features like faster transactions, privacy, and provably fair gaming.
Stable Political Climate and Government Support
The country's political stability and government commitment to fostering entrepreneurship and innovation further strengthen its attractiveness as a hub for online gambling businesses.
Thriving Affiliate Marketing Ecosystem
Affiliate marketing generates about 30% of Malta’s online gaming revenue, reflecting a robust ecosystem that supports business growth through partnerships and promotional efforts.
Regulatory Requirements
The MGA deals with the prevention and detection of criminal activities conducted in the gaming sector. Staff training, risk assessment, screening for persons on sanctions lists, transaction monitoring, and appointing a Money Laundering Reporting Officer (MLRO) are all regulatory requirements.
All gaming companies in Malta must obtain a gaming license from the MGA. The application process includes a fitness and properness check, technical areas, administrative areas, and regulatory compatibility. The gaming licenses issued by the MGA are valid for 10 years and can be renewed as long as the company complies with regulations.
Ongoing monitoring of customer behavior and recordkeeping are required. Reporting suspicious activity is a regulatory obligation, with suspicious activity reports and records to be submitted to the MGA. The MGA oversees land-based and remote gaming, monitors companies, provides approvals and certifications, and revokes licenses.
Penalties for breaches range from 10,000 to 500,000 euros, with the maximum penalty being five years of imprisonment.
The MGA provides licenses for games of chance, fixed-odds betting, peer-to-peer games, sports betting, and issues a "Recognition Notice" to licensed entities from other EU/EEA Member States.
Statista projects that the online gambling market in Malta will reach a revenue of $331.4 million in 2024, solidifying Malta's role as a leading gambling hub globally.
[1] InvestMalta (2021). iGaming in Malta. Retrieved from https://www.investmalta.com/industry/igaming/ [2] Malta Gaming Authority (2021). About Us. Retrieved from https://www.mga.org.mt/about-us/ [3] Malta Gaming Authority (2021). Malta's iGaming Landscape. Retrieved from https://www.mga.org.mt/about-us/malta-igaming-landscape/
Engaging in casino games within Malta's thriving iGaming ecosystem is further facilitated by an extensive array of options, given the wide range of casino games available.
The Maltese regulatory environment, marked by the Malta Gaming Authority's (MGA) rigorous and supportive approach, ensures a secure and reliable atmosphere for operators offering casino-and-gambling services, thereby attracting casino-games enthusiasts worldwide.
