The Malta gaming license represents the prestigious grademark of the iGaming industry. Malta Gaming Authority is a widely acclaimed and well-known online casino license provider that opens the doors of the EU for iGaming operators, enabling them to smoothly run and operate their businesses inside the union’s member countries. MGA license is also a good outlet if you are planning to start your online casino through white label solution.
MGA is unrivaled when it comes to legitimacy, prestige, and authority. Nonetheless, such conveniences can’t be received as a handout. There are various requirements and processes that should be satisfied and practiced by licensees. This article will show you how to get a gambling license in Malta, satisfy the requirements, and successfully carry out the application process. Besides, we will also explore the Malta gaming license costs. So, if you are interested, find a comfortable room, fit in the chair, and proceed reading with us. If you want information about other licenses to compare it with the Malta gaming license, we recommend checking our article about How to get a Curacao iGaming License in 2024.
Types of MGA License
Generally, MGA offers B2C and B2B licenses issued to set up, start gambling activities, and produce gambling-related software. Assuming that you are an operator or a new start-upper in the gaming industry, a B2C license is a type that you should be interested in. The B2C licenses can be branched into four various licenses, depending on the type and form of gambling you want to launch. Thus, as an operator, you can choose one or several types of gambling activities.
- The first type of license allows you to develop and launch games of chance where the result depends on the Random Number Generator (RNG). It includes slots, mini-games, and every type of game where the player’s actions do not determine the outcome.
- The second type permits you to develop the games of chance, where the result of a specific event determines the outcome. Thus, it includes sports betting and esports betting.
- The third type grants you the ability to set up the games of chance that produce a profit by commission based on stakes or prizes, namely poker.
- The fourth type authorizes you to develop controlled skill games where the outcome depends on the aggregated statistical performance, such as fantasy sports.
Moreover, it should be noted that per regulations, you don’t need to submit new applications for various licenses separately if you already hold one of them. You are free to add the type of games you want to offer without undergoing the whole application process again.
Step-by-step guide on getting an MGA license
Step 1 – Gather the necessary documents
Collecting and preparing the necessary documentation for an MGA License is a critical step. These documents provide proof of the applicant’s identity, financial stability, operational capability, and compliance with the necessary legal and ethical standards. Below is a checklist of documents you will likely need:
- A police good conduct certificate, no older than three months – Clean criminal record certificates are required for all individuals involved.
- Assigning of various key function roles in the company – operators are required to assign key function roles within their organization. These roles are fundamental to the ongoing operation and regulatory compliance of the gaming business. The description and assignments of these roles must be provided as part of the application documentation.
- Notarized copies of passports – copies of valid passports for all directors, shareholders, and ultimate beneficial owners, as well as any individuals involved in the management and operation of the gaming business.
- Curriculum Vitae (CV) – A detailed CV for each individual involved, showcasing their experience and suitability to run an online gaming business.
- Proof of initial capital – Bank statements or a similar document showing that the applicant possesses the necessary capital to start an online gaming business.
- A scrupulous business plan – this should include a business description, market analysis, and strategy, Marketing plan, competitive analysis, management and organization description, etc.
- Details and characteristics of the used software – Details about the gaming and payment software, including architecture diagrams and explanations of security measures.
The enlisted documents must be presented by every authorized person, shareholder, beneficial owner, director, and ultimate beneficial owner of the online casino. Furthermore, keep in mind that the documents listed above form the basic list. The MGA may ask for additional documentation as part of their application review.
Step 2 – Satisfy the requirements
Acquiring an MGA (Malta Gaming Authority) License involves a comprehensive process. After gathering the documents, you also need to ensure that your gambling business is on the level to satisfy the requirements prescribed by the Malta Gaming Authority. As of 2023, the requirements have expanded to encourage better accountability, greater transparency, and tighter security in the online gaming industry. Below are the key steps and requirements you need to be aware of:
- Operational and Statutory Requirements: You should demonstrate your capability to effectively conduct the proposed gaming operation. This includes meeting the MGA’s requirements relating to the rules of the games, the terms and conditions, and the procedures relating to the registration of players on your Online casino malta.
- Business Entity Registration: You need to set up a Maltese business entity, meaning that your business should be registered under the Maltese jurisdiction.
- Data Protection and Player Safety: Operators are required to have robust systems in place for protecting player data, respecting privacy, and promoting responsible gaming. This includes secure servers, encrypted communications, and adequate measures to combat fraud and money laundering.
- Financial Standing: Your company must demonstrate adequate financial standing and liquidity. The MGA requires a minimum share capital depending on the type of license applied for. You also need to provide financial forecasts for the first three years of operation.
- Compliance with Tax and Anti-Money Laundering Regulations: Your Online Casino Malta must adhere to the tax regulations laid down by the Maltese government and must also demonstrate a commitment to combating money laundering and financing of terrorism activities.
The requirements mentioned above are the main aspects of the application process. The MGA maintains the right to request further information or documentation as part of the process to ensure all licensees maintain a high level of integrity. Thus, if you have further questions or want to acquire additional information about MGA laws, you can leave a message, and our team of lawyers will provide the advice that you need.
Step 3 – Application process
If you can satisfy the aforementioned requirements, then you should start managing the application process. The application process for a Malta online gaming license is quite rigorous and requires a detailed investigation. The main reason for stringent requirements is the high prestige of the Malta Gaming Authority. Proper checks and processes are other elements that build up the credible authority of the license provider. It has various steps and requires a considerable amount of time and support from the experts. The time range of the application process might vary, but usually, it takes 2-3 weeks.
The application process encompasses several steps, which we will investigate in detail. These steps include fit and proper tests, financial and business assessments, due diligence tests, and system and compliance reviews.
Fit and proper test
Applicants must verify that they are qualified and adept to operate an online casino and comply with the stipulations of the Malta gaming license. Fit and proper investigation is a test that evaluates the aforementioned features and ascertains whether the owners of the corporate entity should be licensed. Thus, you must present the necessary strategy that demonstrates your capability of launching and operating an online gambling business.
The fit and proper test includes face-to-face interviews and assessment of your and each involved individual’s career, experience, and competence. The test will also examine whether the involved persons can satisfy the operational and legal requirements set out by the Maltese gaming policy.
In addition, the test also contains enhanced due diligence, which implies that each involved individual must submit documents about their address, identity, and source of funds, and several probity investigations administered with national and international legal agencies.
Financial and business assessment
The MGA will also administer the comprehensive financial analysis of the business plan provided during the application process. Your business plan must be financially practicable and well-grounded.
Bear in mind that the specialists will check every aspect of the plan, including the gaming content, marketing, HR, software specifications, etc. Furthermore, all hosting and servers must be located in Malta as specified by the MGA license requirements.
System and compliance review
System review and compliance audit is the final test that implies the launching and operating of your online casino in a technical environment. Thus, you’ll be invited to go live in a controlled environment and will have 60 days to complete the simulation.
In the course of this period, a qualified system auditor, which is chosen by you and approved by the MGA, must conduct an external system review. The results will be compared to the points stipulated in your business plan. If there is a difference or gap between the proposed plan and the real, live version, then you have to start the entire application process from the beginning.
Moreover, a compliance audit will be performed by the MGA-recognized auditor to check the operation of your Online Casino Malta and review the whole project. If you’ll overcome the detail-oriented checks and tests, you’ll be granted a 10-year license.
License issuance
Once the MGA is satisfied with the results from the system audit, the license will be issued for a period of ten years. The applicant can then go live and start operating. However, the MGA conducts ongoing monitoring and audits throughout the license period to ensure that all operations are compliant with Maltese and EU laws.
It’s important to note that the time frame for approval, after all the necessary documentation is submitted correctly and promptly, typically ranges from 12 to 16 weeks. The process can take longer if there are complications or if the MGA requires additional information.
Malta gaming license cost
Getting an MGA license is quite an expensive venture compared to other offshore licenses. Nonetheless, due to the high reputation and trust established throughout the world, it always pays off.
A Malta gambling license is a preferable option for large, well-established operators who have the necessary skills, experience, and funds to undergo the application process. Nevertheless, it is also suitable for startups with large capital and specific target markets in the EU. You can also check out our article about the Curacao gaming license and decide which one is more suitable for you.
Below, you can see the table showing how much is a gambling license in Malta, but consider that there are other fees, such as incorporation fees, professional service fees, costs associated with system review and audits, opening bank accounts, and incorporating payment options.
| Fee | Cost |
| Application fee for a new license | € 5000 |
| Application fee for a renewal of the license | € 5000 |
| Fixed annual license fee (including the license types 1,2,3) | € 25000 |
| Fixed annual license fee for operators providing only type 4 gambling services | € 10000 |
| System review and compliance audit fee | € 6000 |
Frequently asked questions about Malta gaming license
Games that require a license in order to be included in the gaming library of an operator are the games of chance (slots, mini-games), peer-to-peer games (games like poker), and controlled skill games (fantasy sports).
No, but type 4 approval of the B2C license is a necessary criterion to offer fantasy sports to your clients.
You will probably have to wait for 3-4 months to get approval after you have submitted all the necessary information and applied for a license. The application process itself (considering the system review and financial assessment) might take 2-3 weeks.
Because of the strict and exacting due diligence checks and scrupulous tests, malta online gaming license has gained quite an extensive, global reputation in the iGaming industry among players and operators. By getting an MGA license, you are launching your online casino into the EU market, which is quite wide and massive.
The Malta Gaming License covers any country that does not prohibit online gambling or require a license, including the UK in the European market. Nonetheless, operators with a Malta Gambling License cannot operate in any jurisdiction that has been blacklisted by the Financial Action Task Force (FATF) for money laundering.
The cost of Malta gambling license may vary and change according to your plans about your business and a variety of other factors involved but on average, it will be within the range of €25 000 – 36 000.
Conclusion
Malta online gaming license is your key to the European market, which can easily become the source of steady profits. MGA-equipped online casinos are considered the most reliable, trustworthy, and safe platforms for gambling.
Due to this reason getting an MGA license can be a little complicated task for operators who haven’t had any connection with Malta jurisdiction before. Nevertheless, experienced providers like Upgaming, can help you to overcome the obstacles that lay on the road and clear the way for your success. With our assistance, you’ll receive tailor-made solutions for your Online casino malta, considering the amount of budget and goals that you have for your online gambling company.
