The gambling industry is becoming more and more popular every year. In 2020, despite the global economic crisis, the industry showed an unprecedented growth spurt: in the first month of the pandemic alone, the number of online bets increased by 3%.
In gambling market is rapidly becoming the digital segment, and many countries have tightened their industry control policy and set new work requirements for operators.
Specialists of 2WinPower
will provide you with information on the nuances of the updated legal regulation and tell you everything about how to buy online casino projects in 2021
and run a transparent and legal business.
The development of online casino software solutions is a complex process that requires vast knowledge and solid financial investment.
To independently launch a startup from scratch, operators will need to perform the following tasks:
- resolve legal issues (from the registration of a gambling company and opening bank accounts to the acquisition and maintenance of a licence);
- buy turnkey casino software (the product must include payment modules, security programs, and other components to ensure that there are no problems in business dealing);
- develop a website (2WinPower experts recommend entrepreneurs to choose a laconic design and focus on a simple structure and convenient navigation);
- connect the game content (slots, cards, and other turnkey casino solutions must be certified, support mobile access, and guarantee an honest outcome);
- organise the work of the customer service (the website should have several communication channels with the support team, the FAQ section, and detailed rules of the game with a description of the bonus wagering scheme);
- develop a marketing strategy (brand awareness, return on investment, and the success of the entire project depending on the effectiveness of the advertising campaign).
The independent development of an online casino platform is a rather risky and time-consuming process. It will take from 6 months to several years to establish a full-fledged business. However, there are much more efficient ways.
Alternative ways to launch the best turnkey online business from the 2WinPower studio
Online casino script
This is a program code that requires customisation. You buy the basis of a gambling startup and then act as you want: develop the design of a gaming site, purchase a licence, launch a marketing program, etc.
White Label program
You get a ready-made startup for rent, arrange it at your discretion, and start promoting it under your brand. It will be necessary to pay some part of future profits as a fee for using the services
Turnkey online casino
The startup is developed according to your wishes. Another advantage is complete independence from the service provider ― there are no rental charges or deferred payments
Today, almost every country has its rules for controlling the casino business. At the same time, the market situation remains questionable since there is no single regulation program.
Availability of gambling in the world:
- 32 countries prohibit the operation of local uncertified operators but do not control offshore organisations. Having decided to buy the turnkey casino business with a foreign licence, you get an opportunity to provide your services in the markets of Armenia, Greece, Norway, Canada, Sweden, and others.
- 32 countries allow the market access only to locally certified operators. To operate in the UK, France, Netherlands, Austria, etc., the acquisition of an internal licence is required.
- 28 countries prohibit the development of the domestic gambling sector foreign software vendors can work legally. By obtaining an offshore licence, you receive the right to provide services to clients from Australia, Singapore, Japan, Mexico, New Zealand, and other states.
- 93 countries do not take any action to control or restrict the industry. In Argentina, Egypt, Venezuela, Tunisia, Kenya, etc., you can work without completing the mandatory local certification procedure.
Due to the lack of a unified market control system, when choosing a regulator, it is worth paying attention to the following factors:
- Service cost. There are 2 main schemes for the formation of the price of gambling licences in the world: high cost + low tax rate or minimum initial fee + mandatory high taxes and the cost of the annual maintenance.
- Interlinking of the industry with other economic sectors. For example, in Ukraine, the emphasis is made on the growth of the land-based segment, and licences are issued only to those entrepreneurs who are willing to invest in the development of the tourism and hotel business.
- Tax rate. In Belarus, representatives of gambling commerce are exempt from any taxes until 2022. A number of countries do not charge a commission on income received from foreign clients or completely exempt businesses from income taxes.
- The list of requirements for applicants. In Georgia, the government is focused on the development of the tourism sector ― only those operators who have already launched a land-based project in the country's tourism zone can obtain a licence for owning a turnkey casino solution.
- Purpose of the permit. Depending on the jurisdiction's policy, work permits are issued for each of the industry areas separately or jointly. For example, in Curacao, you can get a single licence for all types of gambling activities, while in Malta, bookmakers, online casino operators, and equipment suppliers are certified separately.
- Market coverage. Some countries issue licences that allow you to work only in the local market (for example, the Russian Federation and Belarus). But a gambling project with a Maltese certificate, for example, automatically receives international status.
A gambling permit is one of the main guarantees of the legal status of a casino.
The legalisation of gaming sites gives entrepreneurs the following benefits:
- an opportunity to officially cooperate with banks and other financial institutions;
- building of brand awareness and the company’s reputation;
- legal access to the market (a local or an international one);
- guarantees of legal protection from the government and authorised bodies;
- an opportunity to become partners with the world’s leading casino software vendors;
- simplified taxation;
- an ability to obtain permanent residency on an expedited basis.
If you are interested in how to launch an online casino with the status of an international business project, we recommend that you pay attention to the offers of the following regulators:
This is one of the oldest gambling regulators that began to provide its services back in 1996.
The feature of the local licence ― it is issued for all types of gambling activities and allows you to immediately start working in the international sector. Moreover, operators can buy a full-fledged permit or use the services of intermediaries and work under a sublicence.
The advantages of such a choice:
- affordable price of the service;
- good tax rate (up to 2% of the net annual gain);
- fast registration (up to 6 weeks);
- the offshore zone accepts cryptocurrency payments.
One of the most prestigious jurisdictions in the world that offers 4 types of permits:
- for online casinos with slot games that are based on RNG;
- for organisers of sports betting;
- for poker rooms;
- for organisers of games of skills.
In 2018, the country regulated the certification program and eliminated the mandatory monthly payment for new customers (during the first year of operation).
The regulator has been operating since 1999. Entrepreneurs can obtain 2 types of licences:
- for bookmakers and online casino operators who offer all types of games, except for live content;
- for organisers of broadcasts with live dealers.
The certificate is issued for 6 months. If during this time operators have proven their viability and compliance with the legal regulations of the offshore, the permit will be extended for 5 years.
Holders of the local licence are exempt from corporate tax and additional fees for conducting gambling activities.
This is an offshore zone controlled by Great Britain. The regulator is popular with both beginning entrepreneurs and professional operators who already have permits from other jurisdictions.
The local authority issues 6 types of licences. They are designed to sell different products (from sports betting to land-based casinos) and can be simultaneously used by one agent.
For online casinos and sportsbooks, a record low tax has been set ― 1% but no more than 425 thousand pounds.
The local Gambling Commission began its work in 2001. It offers several types of permits depending on the status of the applicant (B2B, B2C, and other types of companies).
Advantages of the local certification:
- Isle of Man licences allow operators to distribute gambling services in all territories, except for those countries where gambling is strictly prohibited;
- low tax rate of 0.1 to 1.5% on the net annual gain and no commissions for capital increase;
- it is possible to pay for certification services and the maintenance of a licence and accept bets in cryptocurrencies.
Due to the economic crisis and the large-scale growth of the online segment, the governments of many countries have tightened the requirements for casino owners and imposed some restrictions both on the operation of virtual platforms and their promotion.
- a ban on television and radio advertisements during the daytime;
- a ban on making payments with credit funds;
- the presence of daily and monthly limits;
- time restriction ― users can spend a limited amount of time on the gaming site;
- mandatory observance of the principles of social accountability.
The decision to buy a licence is the main but not the only way to avoid problems with the law and provide customers with the most transparent and safe gameplay.
The use of modern digital technologies allows entrepreneurs to:
- optimise the processing tasks of the enterprise as much as possible;
- improve the quality of the response of the support service;
- guarantee a transparent outcome of the game session;
- protect the project’s capital.
One of the most effective, simple, and convenient solutions is to use MD5 cryptographic algorithms to check the outcome of the game session.
It is an interactive and fully automated program based on decentralised technologies that work according to the following algorithm:
- Code generation. The software is launched before the session starts and generates a chain of future sequences. Information is encrypted and transferred for storage to a remote server.
- Data transmission. After the end of the drawings, gamblers use personal digital keys and gain access to the previously generated chain.
- Conformance inspection. The decrypted code is checked against the sequence that appeared during the game. You can do it manually or use independent services.
Casino staff do not have access to the management of programs and the codes generated by the system. Moreover, operators cannot affect the outcome of the drawing or methods that users choose.
In connection with the mass popularisation of gambling, many countries have revised the rules for controlling the activity of casinos and tightened the regulations of their work.
- The acquisition of a gambling licence is the main way to ensure the legality of the iGaming business. You can complete the certification procedure with the help of a local commission to work in a specific market or a foreign offshore zone with the automatic assignment of international status to your gambling platform.
- Due to the pandemic of 2020, the work of online projects and their promotion were limited in several countries. Owners of gaming sites must control daily betting limits, the time that users spend on the platform, and not advertise the casino on TV and radio during the day.
- An effective way to avoid problems with the law is to use technologies of provable fairness of the casino. The most popular and affordable way is the implementation of MD5 cryptographic algorithms into the platform, which makes it possible to check the correspondence of the drawing on any independent resource.
For more information on market trends and updated industry regulations, please contact
specialists of 2WinPower.
We offer an extensive set of tools and services to launch a gambling project in a short time and get a positive response from the audience.
From us, you can order the following services:
When organising an iGaming startup with the help of our studio, you receive comprehensive project administration, prompt technical support, and priority access to the latest market releases.