MALTA RECOGNITION OF FOREIGN LICENCE

MALTA

Malta’s strategy in i-gaming has been bold and unique. The legislator decided to focus on regulation and transparency, providing a strict approach to licensing and monitoring of gaming operations. This has resulted in optimum protection for players on the one hand, to providing a regulatory solution to operators on the other, thereby achieving a balance between two opposing needs: the suppliers and the customers.

Malta’s main advantage is the fact that it is an onshore jurisdiction and recognises iGaming licences issued in other EU/EEA jurisdictions in line with European Treaty principles. Maltese operators do not face the difficulties that offshore operators face with exchange controls, access to capital markets and access to e-wallets and payment gateways worldwide. In the case of Malta i-gaming licensees, players find comfort in knowing that they are dealing with an onshore jurisdiction whose legislation is in line with the applicable EU legislation and international agreements.

Malta has always remained at the forefront of advances in technologies that affect the gaming sector. In 2017, the Malta Gaming Authority (MGA) together with the stakeholders of the gaming industry embarked upon a mission to make gaming legislation future-proof and thus ensuring that the gaming laws would be kept up to speed with emerging and disruptive technologies such as virtual currencies and distributed ledger technologies.

MALTA RECOGNITION OF FOREIGN LICENCE

All gambling activities in Malta are regulated by the Gaming Act of 2018 which grants power to the Malta Gaming Authority to issue licenses for both land-based and remote gambling activities. The Act consolidated all previous laws and regulations and provided for an overhaul in the licensing system reducing the various classification of licences to two:

The Malta Gaming Authority (MGA) recognises iGaming licences issued in other EU/EEA jurisdictions in line with European Treaty principles. Licensed companies are allowed to operate in Malta provided that they notify the MGA and obtain a recognition notice. The procedure is mainly regulated by the Malta Gaming Authorisations Regulations (a subsidiary legislation 583.05) issued under the Malta Gaming Act 2018.

Whilst the recognised licensee itself is not regulated by the MGA and the full rights and obligations emanating from the jurisdiction of where the licence was originally issued continue to apply, a recognised licence in Malta has the same effect as an authorisation issued by the MGA to provide a gaming service, gaming supply, key function, or any other authorisation in or from Malta. The recognition, therefore, legitimises the operations of the licensee in and from Malta

KEY REQUIREMENTS

The following requirements need to be fulfilled for the successful recognition of a foreign licence in Malta:

• the applicant has a licence issued in an EU or EEA member state;
• the licence is operational;
• the licence is in good standing;
• the licence covers the games being offered by the applicant;
• the applicant submits with the MGA an application for recognition accompanied by the required documentation;
• and the first-year recognition notice fee is paid on submission of the application

For more information talk to one of our lawyers