Licenses for online casinos,
betting, skillgaming, lotteries etc.
Full-support for gaming projects
The gambling license of Malta is an official permission issued by the Malta Gaming Authority (MGA) to companies that plan to legally work in the field of online gambling under the jurisdiction of Malta.
The regulator was created in 2001 (initially as the Lotteries and Gaming Authority), and in 2018 its activities were updated in accordance with the new Gambling Act (Gaming Act). Today, the MGA is considered one of the most authoritative regulators of the iGaming industry in the world.
The MGA license, which is also called the Remote Gaming License, allows operators to provide online gambling services on international markets, working from Malta within a clear legislative framework and under the constant control of the regulator.
The Malta online gaming license enjoys a high reputation worldwide. It is under it that many leading online casinos, betting companies, and poker platforms operate. Since Malta is a member of the European Union, such a license also increases trust from banks, payment systems, software providers, and business partners.
In fact, the MGA license confirms compliance with European regulatory standards and opens the opportunity to work in many international markets (subject to compliance with local legislation).
Who Needs a Malta Gambling License?
The gambling license in Malta will be useful to any company that plans to provide online gambling services: launch online casinos, betting platforms, poker rooms, lotteries, bingo, fantasy sports, or other gambling products for an international audience.
Both can obtain the Malta online gaming license:
- B2C companies — operators that work directly with players (online casinos, bookmakers, poker services).
- B2B companies — developers of games, software, platforms, and other technological solutions for operators.
If you plan to work in markets where a local license is not mandatory, or want to get the advantages of a European jurisdiction and a high level of trust, the MGA license will become one of the best options.
For serious participants of the iGaming market, it is actually an industry standard. Many international payment providers, banks, and gaming content providers cooperate only with companies that have a license from an authoritative regulator.
For B2B companies (game studios, platform and software developers), the MGA license also opens the opportunity to legally supply their products to licensed operators in different countries.
Thus, if a company seeks to work in a stable legal environment and enter international markets, especially in Europe, it is worth considering obtaining a gambling license in Malta.
Scope of Activities
The Malta gambling license covers a broad scope of gambling activities, making it one of the most versatile licenses available. Under the MGA’s framework, there are two main licensing categories: a Gaming Service license (B2C) for operators offering games to players, and a Critical Gaming Supply license (B2B) for providers supplying gaming software or equipment to operators. Each category is further divided into specific types/classes that define the scope of permitted games or services:
- B2C License (Gaming Service) – this allows an operator to offer remote gambling directly to players. The MGA recognizes four Types of games under the B2C license:
- Type 1: games of chance played against the house, where the outcome is determined by a Random Number Generator (RNG). This includes classic online casino games such as slots, roulette, blackjack, as well as fixed-odds lotteries with guaranteed prizes.
- Type 2: games of chance not played against the house but based on the outcome of an event, typically fixed-odds betting. This covers sports betting, eSports betting, and other event outcome wagers where the operator’s revenue comes from risk management (the odds) rather than a house edge.
- Type 3: games of chance not played against the house where the operator takes a commission on the game. These are primarily peer-to-peer or pooled games such as poker rooms, betting exchanges, bingo, lotteries, and other pool betting where players compete against each other and the house earns a rake or fee.
- Type 4: controlled skill games, where the game’s outcome is determined by a combination of player skill and chance or other statistical factors. Examples include fantasy sports and certain skill-based tournaments. This category was introduced to regulate games that are skill-predominant but still have a gambling element.
- The operator receives one B2C license, within which they can work with one or several types of games at once. If in the future the company decides to expand the list of services, new types can be added without obtaining a separate license.
- B2B License (Critical Gaming Supply) – this license is intended for providers of gaming products or services to the industry (rather than to players). The MGA B2B license is subdivided into two classes:
- Class 1 B2B: for suppliers of material gaming elements, essentially game providers or platform providers that offer the actual games or critical components thereof. Holding a Class 1 B2B license allows a company to supply and manage the essential game elements (such as game software, RNGs, gaming platforms) to licensed operators.
- Class 2 B2B: for suppliers of software and support systems for gaming. A Class 2 B2B license covers the provision and management of software that is used in gaming operations – for example, backend systems, control systems, data processing software, or any platform that handles regulatory data and controls. It enables companies to provide the infrastructure or software support in which games run or through which gaming business is conducted.
Key Facts and Figures
The table below highlights key facts and parameters of the Malta gambling license:
| Parameter | Details |
|---|---|
| Licensing authority | Malta Gaming Authority (MGA), the single regulatory body overseeing gambling in Malta. |
| License categories | B2C (Gaming Service) — for operators who directly provide gambling games to players (Types 1–4). B2B (Critical Gaming Supply) — for companies that supply software, gaming platforms or other technological solutions (Classes 1 and 2). |
| Who can apply | Companies registered in Malta (private or public LLCs). At least one shareholder — a physical or legal person — is required. MGA conducts a check of all owners with a share of 10% or more and key officers. |
| License validity | 10 years from the moment of issuance. After the expiration of the period, the gambling license in Malta can be renewed for another 10 years provided compliance with the regulator's requirements and payment of the corresponding fees. Before the 2018 reform, licenses were issued for 5 years. |
| Geographical scope | The license allows working on the international market and accepting players from most countries (except jurisdictions where activity is restricted). The MGA license is highly valued in Europe, although individual EU countries may require obtaining a local license. |
| Corporate structure | Only a legal entity registered in Malta can obtain a license. Minimum share capital: €100,000 — for Type 1 or Type 2 activity; €40,000 — for Type 3 or Type 4; if the company operates under several B2C types, the general requirement does not exceed €240,000. For B2B, the minimum capital is €40,000 regardless of the number of licenses. |
| Local presence | For B2C it is recommended, and for B2B it is practically mandatory to have an office in Malta. It is also necessary to appoint at least one Malta-resident director with appropriate qualifications. In the presence of the necessary competence, the director can simultaneously perform one of the key functions of the company. |
| Key personnel | Minimum four key functions: CEO / director — general management of the company; MLRO — responsible for anti-money laundering (AML); Data Protection Officer (DPO) — personal data protection and GDPR compliance; internal auditor — independent control of activity. Each person undergoes MGA approval and receives a Key Function Certificate. With appropriate qualifications, one person can combine several roles. |
| Segregated accounts | It is necessary to open two separate accounts: operational — for company funds; players' account — for storing client funds. Players' money must be completely separated from the operational funds of the company. Accounts are opened in reliable banks or payment institutions of Malta or the EU. |
| Application fee | A one-time non-refundable payment — €5,000 for each license application (both B2C and B2B). |
| License fees (annual) | B2C: Type 1, 2 or 3 — €25,000 per year; Type 4 — €10,000 per year. B2B: the amount of payment depends on the company's income: Class 1 — €25,000 (for income over €10 million); Class 2 — €3,000 for income up to €1 million or €5,000 for higher income. |
| Compliance contribution | Additional annual contribution for B2C operators, which depends on the gross income of the company. Approximate limits: Type 1 — from €15,000 to €375,000. Type 2 — from €25,000 to €600,000. Type 3 — from €25,000 to €500,000. Type 4 — from €5,000 to €500,000. For B2B companies, this contribution does not apply. |
| Gaming tax | For B2C, the following rates apply: Type 1 — €4,660 per month during the first 6 months, then — €7,000 monthly. Type 2 — 0.5% of the total amount of accepted bets. Type 3 — 5% of gross gaming revenue or commissions. Type 4 — first 6 months without tax, then €2,330 per month until the end of the first year and €4,660 per month from the second year. B2B companies usually do not pay this tax. |
| Corporate tax | Standard Maltese corporate income tax is 35% on profits. However, Malta’s system provides a tax refund mechanism for international businesses: if the company’s owners are non-Maltese residents, upon paying a 35% tax the shareholders can receive a 6/7th tax rebate upon dividend distribution, making the effective tax rate about 5% . This favorable tax structuring (when set up properly) is a major benefit of Malta. Profits from foreign players are typically taxed at this effective 5% rate. |
| VAT | Value Added Tax (VAT) in Malta is 18% standard. Importantly, most gambling services are exempt from VAT. Betting services, lottery and bingo tickets, and the provision of gambling equipment to players are all VAT-exempt in Malta. This means operators do not charge VAT on bets or gaming revenue, and cannot reclaim VAT on related costs (with some exceptions). |
| Timeline to obtain | On average, the process takes 6–12 months, depending on the complexity of the project and the quality of the prepared documents. In practice, most companies go through the whole path in about 9–12 months. |
| Application process | The process consists of several stages: company registration, preparation of a business plan, financial forecasts and internal policies, submission of documents, payment of the fee, comprehensive check of owners and management (Fit & Proper Test), analysis of the financial model and control systems, software audit by an independent auditor. After successful completion of all stages, the MGA issues a license. |
| Local operations | The licensee must maintain a real presence in Malta. Usually, this is a resident director, compliance staff and technical infrastructure. Servers or cloud solutions must be accessible for control by the MGA. Also, the company is obliged to implement AML/KYC procedures and fulfill requirements regarding responsible gaming. |
| Ongoing obligations | The company must regularly submit reporting to the MGA (monthly and quarterly), undergo a financial audit every year, submit audited financial statements, notify the regulator about changes of owners, management or types of activity, as well as constantly comply with the requirements of legislation. The MGA regularly conducts checks and has the right to issue warnings, impose sanctions or suspend the validity of the license in case of violations. To maintain the license, it is necessary to maintain high standards of player protection, fulfill AML requirements, timely pay taxes and fees and regularly update internal policies of the company. |
Benefits of a Malta Gambling License
The acquisition of a Malta online gaming license opens up a number of significant advantages for iGaming companies.
Prestige and trust
Malta is considered one of the most authoritative regulatory hubs in the sphere of online gambling. It is exactly here that many of the largest and most famous iGaming brands of the world are licensed. Therefore, the presence of a Malta Gaming Authority (MGA) license automatically increases trust from the side of players, partners, and investors. It confirms that the company operates in accordance with high standards of honesty, transparency, and security.
Dependable regulation in accordance with EU standards
The MGA is deservedly considered one of the strictest and most authoritative European regulators. Thanks to many years of practice of effective supervision, Malta provides a stable legal environment and a high level of player protection. As an EU member country, Malta applies European norms regarding the fight against money laundering (AML), protection of personal data (GDPR), and other regulatory requirements. Exactly because of this, the Maltese license is highly valued on the international market and helps to win the trust of clients faster.
Access to banking and payment systems.
A Malta online gaming license makes it much easier to obtain bank accounts, payment processing, and merchant services for gambling, compared to unlicensed operations. Banks and payment providers often prefer or require that an online gambling business is licensed in a reputable jurisdiction. With an MGA license, companies find that major payment processors, credit card networks, and electronic wallet services are willing to work with them, and often on more favorable terms (lower risk premiums, etc.).
Wide opportunities for product development
The Maltese license allows working at once with different types of gambling within the boundaries of a single regulatory system. Casinos, betting stakes, poker, bingo, and other products can operate under one license — it is sufficient to indicate the corresponding directions of activity. Thanks to this, an operator can gradually expand their business without the necessity to obtain a separate license for each new product.
Attractive tax system
Malta offers one of the most profitable tax models for the gambling business. Although the standard rate of corporate tax constitutes 35%, thanks to the mechanism of a tax credit refund, the effective burden for non-residents can decrease to approximately 5%. In addition, dividends that are paid to non-residents are not taxed at the source of payment. An additional advantage is the exemption of gambling incomes from VAT, which positively influences the profitability of the business.
Long-term validity of the license
A gambling license in Malta is issued at once for 10 years with the possibility of further renewal for another same period. This is significantly longer than in many other jurisdictions, where licenses need to be renewed every year or every five years. Such an approach provides business with stability and allows planning development for many years ahead.
Market access and recognition
Being based in Malta allows operators to base their operations in an EU member state, benefiting from EU freedoms (at least historically, services could be offered across borders until local regimes took over). MGA’s international standing is high: for example, Malta was whitelisted by the UK (meaning advertising in the UK was permitted for MGA licensees), and Malta has bilateral understandings with other regulators to facilitate operations. While today many countries have local licensing, an MGA license is still a strong umbrella license for accessing unregulated markets and is seen as a mark of quality in regulated ones.
Powerful iGaming ecosystem
Malta has long become one of the main global centers of iGaming. Hundreds of operators, software providers, legal and financial companies, specialized consultants, and other market participants work here. This gives business access to experienced specialists, professional services, industry events, and new partnerships.
Disadvantages and Considerations
Despite an impeccable reputation, the acquisition of a Malta online gaming license has its own characteristics that are worth taking into account even before the start of the process.
High cost of acquisition and maintenance of the license
Compared to some other jurisdictions (for example, Curacao), Malta is a significantly more expensive option. For B2C operators, it is necessary to form a statutory capital of 240,000 euros. Besides this, registration and annual license fees are paid, as well as regular regulatory contributions and taxes, which can reach hundreds of thousands of euros for large operators. After the launch, the business also bears expenses for an office in Malta, local personnel, audits, and the services of specialized consultants.
Long and complex licensing procedure
Getting an MGA license quickly will not work out. The regulator conducts a thorough check of the owners, management, and sources of financing, analyzes the business plan, financial model, and technical infrastructure of the company. On average, the process lasts up to a year and foresees the preparation of a large package of documents, answers to numerous requests of the regulator, as well as the passing of a technical and compliance audit even before the start of work.
High requirements for the company
The MGA puts forward strict requirements not only during the acquisition of the license but also throughout the entire period of its validity. The company must have a real presence in Malta, a local director, key officials, and a team of qualified specialists. All of them undergo a check for professional fitness and integrity, and separate positions require special certification. Also, from the first day of work, it is necessary to implement effective AML/KYC procedures, mechanisms of player protection, and modern systems of information security.
Significant compliance burden
Work under the supervision of the MGA foresees the constant execution of a large number of regulatory requirements. Licensees regularly submit reporting, undergo financial audits, and must be ready for unannounced checks of the regulator. For violation of the rules, the MGA actively applies sanctions — from warnings and fines to the suspension or revocation of the license. Exactly because of this, companies usually maintain a separate team of compliance specialists.
The license does not open all markets
Despite the high authority of the MGA, it is not a universal permission for work across the whole world. In Great Britain, Germany, Italy, France, and many other countries, their own licensing systems operate. For work on these markets, an operator needs to obtain separate local licenses. Therefore, the Maltese license often is an important part of an international strategy, but it does not replace all necessary permissions.
High operational complexity
Maintenance of activity in accordance with the requirements of the MGA requires significant organizational and technical resources. It is necessary to use certified random number generators (RNG), provide backup copying, comply with policies of data storage, undergo training and certification of key officials. For companies that are used to working in less regulated jurisdictions, such a quantity of procedures may seem excessive.
Despite the high cost and strict requirements, the Maltese license remains one of the most prestigious in the global iGaming industry. For many operators, additional expenses and complex procedures are fully justified by a high reputation, trust from the side of partners and players, and also by the stability of the legal environment. Before the submission of an application, it is worth making sure that the company has sufficient financial, technical, and human resources for the full execution of all requirements of the Maltese regulator.
License Types and Classes in Detail
Malta’s licensing regime is organized into B2C license types for operators and B2B license classes for suppliers, as introduced earlier. Below is a more detailed look at each type/class, including the specifics of what activities they cover and any particular requirements:
B2C License Types (Gaming Service License)
When applying for a Business-to-Consumer license, an operator must specify which Type(s) of gaming service they will provide. The MGA defines four types, covering the full range of gambling products:
Type 1 – Casino & Lotteries (RNG Games)
This type of license is intended for games in which the player plays against the operator, and the outcome is determined by a random number generator (RNG).
To it belong:
- online slots;
- table games (blackjack, roulette, etc.);
- card games against the casino;
- online lotteries;
- games with a guaranteed prize pool.
If a company plans to launch an online casino or a platform for lotteries, it needs specifically a Type 1 license.
Basic requirements:
- minimum share capital — €100,000 (fully paid);
- tax on games of chance:
- €4,660 per month during the first 6 months;
- €7,000 per month after that;
- also paid is an annual compliance contribution, which depends on the revenue of the company — from €15,000 to €375,000.
Type 2 – Sports Betting (Fixed-Odds Betting)
Type 2 is for fixed-odds betting where players bet on the outcome of events. This includes sports betting, e-sports betting, and other event betting (like betting on the outcome of a political election or other non-sport events), provided the operator is taking risk (acting as bookmaker). Essentially all bookmaking operations fall under Type 2. Share capital requirement: €100,000 (same as Type 1). Gaming tax for Type 2 is 0.5% of the gross amount of bets accepted (turnover). The compliance contribution for Type 2 ranges higher (min €25k up to €600k for the largest operators) given typically higher volumes.
Type 3 – Peer-to-Peer Games (Rake-based)
This type encompasses games where the operator is not a party to the bet but earns revenue through commissions or fees. It includes online poker rooms, poker networks, betting exchanges, bingo, peer-to-peer lotteries, and other pool betting or game networks. For example, an online poker site where players play against each other and the house takes a rake would be Type 3. Share capital requirement: €40,000 (lower, reflecting the generally lower risk nature of commission-based models). Gaming tax is 5% of real income (commission) for Type 3 operations. Compliance contribution ranges from €25k to €500k based on revenue tier.
Type 4 – Controlled Skill Games
This type of license covers games where the outcome to a significant extent depends on the skill of the player, but at the same time an element of randomness is present.
The most widespread example — Fantasy Sports.
Also here can belong individual tournaments or competitive games for money, if the MGA recognizes them as Controlled Skill Games.
Basic requirements:
- minimum share capital — €40,000;
- tax:
- first 6 months — not paid;
- next 6 months — €2,330 per month;
- after a year of work — €4,660 per month;
- compliance contribution — from €5,000 to €500,000.
This is a rather narrow category. Not all games on skill are regulated by the MGA — only those in which the regulator sees a sufficient element of randomness.
Is it possible to have several types of license?
Yes.
After the reform of 2018, an operator no longer needs to obtain a separate license for each type of activity. One B2C license is sufficient, in which all permitted types of games are specified.
At the same time, the requirements for share capital are summed up, but only to a maximum limit of €240,000.
For example:
- Type 1 + Type 2 — €200,000;
- Type 1 + Type 2 + Type 3 — €240,000;
- all four types — also €240,000, since this is the established upper limit.
The operator pays taxes in accordance with each type of activity and all provided licensing fees. At the same time, the MGA usually issues a single license certificate, in which all permitted categories are listed.
In practice, many online casinos simultaneously offer sports betting, therefore they work at once under Type 1 and Type 2 licenses.
B2B License Classes (Critical Gaming Supply License)
For companies that supply technologies or software for the gambling industry, the MGA provides a Critical Gaming Supply license.
It confirms that the supplier has passed the check of the regulator and meets its requirements.
There exist two classes of such a license.
Class 1 B2B — Supply of gaming content and critically important systems
This license is intended for companies that create or provide:
- casino games;
- slots;
- live casino;
- lottery systems;
- bookmaker solutions;
- other key gaming components.
Also, it covers platforms and systems that directly provide the conduct of the game or the determination of its outcomes.
For example, a studio that develops slots or live games must have Class 1.
Basic requirements:
- minimum share capital — €40,000;
- if a company has both classes of B2B, additional capital is not needed — the same €40,000 is enough.
The annual license fee depends on turnover:
- up to €5 million — €25,000;
- from €5 to €10 million — €30,000;
- over €10 million — €35,000.
Beginning from 2021, Malta introduced a number of benefits for B2B companies to stimulate the development of the technology sector of iGaming.
Class 2 B2B — Supply of software and auxiliary services
This class is intended for companies that do not create the games of chance themselves, but support the work of gambling platforms.
To it belong providers of:
- iGaming platforms;
- back-office systems;
- player account management systems (PAM);
- middleware solutions;
- affiliate platforms;
- analytical services;
- other software for the collection, processing, and management of gaming data.
Put simply, if a product helps to manage a gambling business, but does not determine the outcome of the game itself, it, as a rule, falls under Class 2.
Basic requirements:
- minimum share capital — €40,000;
- if the company already has Class 1, additional capital is not needed.
Annual license fee:
- up to €1 million of revenue — €3,000;
- over €1 million — €5,000.
Combination of B2B classes
Many large providers of technologies for iGaming have Class 1 and Class 2 simultaneously, since they both create gaming content and develop software platforms.
The presence of a Maltese B2B license significantly simplifies cooperation with operators who work under an MGA license. In such a case, they do not need to undergo a separate certification for each game or software solution — the license of the provider already confirms compliance with the requirements of the regulator.
In addition, such a license is an important competitive advantage and testifies to a high level of reliability of the company.
It is also worth noting that B2B companies are exempt from the payment of gaming tax and compliance contribution, which are mandatory for B2C operators. This is one of the reasons why Malta actively supports the development of technology providers for the gambling industry.
Requirements for Obtaining a Malta License
Malta puts forward complex requirements to applicants so that only trustworthy, financially stable, and professionally trained operators receive a license. Below are the main criteria a company must meet.
Impeccable reputation of owners and management
All key persons of the company (owners, directors, and responsible managers) must have an impeccable business reputation. The Malta Gaming Authority (MGA) conducts a thorough check of each applicant, in particular:
- absence of criminal records;
- absence from international sanction lists;
- verification of the source of funds;
- financial integrity.
Special attention is paid to ultimate beneficial owners (UBO); the authority evaluates their reputation, origin of wealth, and transparency of the ownership structure.
Company structure
The operator must work through a company registered in Malta. Legislation allows:
- a company with one owner (a physical or legal person);
- corporate shareholders.
At the same time, all ultimate beneficiaries who directly or indirectly own 10% or more of the company are subject to approval by the MGA. The constituent documents of the company must also comply with the requirements of the regulator and contain activity in the field of gambling among the main types of activity.
Minimum share capital
The company must form a minimum paid-up share capital. For a B2C license, the requirements depend on the types of games:
- €100,000 — for each type of activity of type 1 or 2;
- €40,000 — for each type of activity of type 3 or 4.
At the same time, the total amount of capital for a full spectrum of activity cannot exceed €240,000. For a B2B license, €40,000 of share capital is sufficient. Funds must be deposited into the bank account of the company and maintained during the entire time of work as a financial guarantee of business stability.
Real presence in Malta
Although the law does not always directly oblige to open an office, in practice the MGA expects that the company will have a real operational presence in Malta. Usually this means:
- a physical office;
- at least one director-resident of Malta.
Such a director interacts with the regulator and is responsible for local management of the company. The presence of an office also confirms economic presence (substance), which is important for tax and European regulatory requirements.
Key employees
During the submission of the application, it is necessary to appoint responsible persons to key positions. Minimally, the following functions must be defined:
- CEO or director — general management of the company;
- MLRO (Money Laundering Reporting Officer) — responsible for countering money laundering (AML);
- compliance and personal data protection officer — control of compliance with legislation, GDPR, and internal procedures;
- internal auditor — independent control of internal management systems.
One person can combine several functions in the presence of appropriate qualifications, however, usually at least three separate specialists are required. Each of them submits a personal declaration and undergoes an MGA check regarding professional suitability.
Key function certificates
All the designated key persons are required to obtain MGA certification for key functions. This usually means they must complete a course or evaluation (for example, courses in anti-money laundering for MLROs, etc.) and the MGA will issue a Key Function Certificate to each, indicating they are approved to carry out that function. This process often happens parallel to the license application. Budgeting for training or certification fees is necessary (the cost in the project plans is roughly a few thousand euros for all certificates).
Financial capacity
Beyond share capital, the applicant must demonstrate it has the financial means to sustain the operation. This is done through a detailed business plan and financial projections (typically 3-year projections must be submitted). The MGA will evaluate if the projections are realistic and if the company will remain solvent. Additionally, the company will need to secure insurance (e.g. professional indemnity or other coverages as required by MGA) and set up client bank accounts as described next.
Separate accounts for players’ funds
Before obtaining a license, the company must open at least two bank accounts:
- an operating account;
- a separate account for clients’ funds.
Money of players must be kept separately from the funds of the company, which guarantees their protection in case of financial problems of the operator. MGA may require confirmation of opening accounts or official letters from the bank.
Full package of documents
A large package of corporate and operational documentation is attached to the application. In particular:
- business plan;
- AML policies;
- rules of responsible gaming;
- terms of use for players;
- internal regulations;
- information security policies;
- description of the gaming platform;
- information about games and their certification;
- architecture of IT systems;
- declarations about sources of funding;
- three-year financial forecasts.
For each director and shareholder, the following are also submitted:
- notarized copies of the passport;
- confirmation of the residence address;
- certificate of no criminal record;
- resume;
- bank recommendations;
- documents regarding the origin of wealth.
If there are legal entities among the owners, it is necessary to provide a full package of their corporate documents. Any inaccuracies or absence of documents can significantly delay the process of reviewing the application.
Registration and license payments
During the submission of the application, a one-time registration fee of €5,000 is paid. After approval of the application, it is also necessary to pay the first annual license fee. For example, for a B2C license, it constitutes €25,000 per year. Confirmation of payment of all fees is a mandatory condition for the issuance of the license.
Technical and compliance audit
Before launching the activity, the company undergoes an independent System Audit, which is conducted by an auditor accredited by the MGA. The following are checked:
- software;
- gaming platform;
- level of cybersecurity;
- random number generators;
- internal procedures;
- compliance with the declared technical solutions.
The cost of such an audit usually constitutes €3,500–7,500 and varies based on the complexity of the project. During the first year of work, a Compliance Audit is also conducted (approximately €6,000), which confirms compliance with all license requirements. If the audit reveals significant violations, the MGA may require their elimination or even suspend the action of the license.
Experience in the gambling industry
Previous experience is not a formal requirement, however, it significantly increases the chances for successful obtaining of a license. If the ultimate beneficiaries or management have more than five years of experience of work in the gambling sphere, the MGA usually evaluates such an application more positively. In the absence of relevant experience, the regulator may pay more attention to checks or recommend the involvement of specialized consultants or managers with the necessary expertise.
Costs and Taxes for Malta Licensees
Obtaining and maintaining a Malta Gaming Authority (MGA) license involves several categories of expenses: one-time payments, annual license fees, taxes on gaming activity, and corporate taxation. Below is a clear overview of the main expenses:
- Government fees.
- Application fee — €5,000. This is a one-time non-refundable payment paid to the MGA during application submission. It covers the review of documents by the regulator.
- Annual license fee. After receiving the license, the operator pays a fixed contribution every year. €25,000 per year — for Type 1, Type 2 or Type 3 (B2C) licenses. €10,000 per year — for Type 4 license. If a company operates under several types of licenses, the corresponding amounts are summed up. For example, an operator with Type 1 and Type 2 licenses will pay €50,000 per year. For B2B providers, the size of the fee depends on the company’s income. Class 1 B2B — from €25,000 to €35,000 per year; Class 2 B2B — from €3,000 to €5,000 per year.
- Annual compliance contribution. In addition to the license fee, B2C operators pay a Compliance Contribution — a variable contribution that depends on Gross Gaming Revenue (Gross Gaming Revenue, GGR). The size of the contribution constitutes:
- Type 1 — from €15,000 to €375,000 per year;
- Type 2 — from €25,000 to €600,000;
- Type 3 — from €25,000 to €500,000;
- Type 4 — from €5,000 to €500,000.
The MGA determines the exact amount after checking the company’s financial statements. For example, a small Type 1 online casino can pay a minimum of €15,000, while a large operator — a maximum of €375,000.
- Gaming Tax (tax on gaming activity). Separately from the Compliance Contribution, a Gaming Tax operates in Malta, which is calculated depending on the type of activity.
- Type 1: €4,660 per month during the first six months of work; €7,000 per month — starting from the seventh month.
- Type 2: 0.5% of the total amount of accepted bets (that is, from the turnover of bookmaking activity).
- Type 3: 5% of actual income (GGR or commission income).
- Type 4: first 6 months — without tax; from the 7th to the 12th month — €2,330 per month; starting from the second year — €4,660 per month.
The tax is usually declared and paid monthly. If a company has several licenses, the total amount of Gaming Tax is limited to €116,000 per month to avoid an unlimited tax burden. For B2B companies, Gaming Tax does not apply, since they do not organize gambling games directly for players.
- Expenses on key functions. For the appointment of key officers (Key Functions), the MGA may charge separate administrative fees for reviewing documents and issuing relevant certificates. Usually, these payments amount to several hundred euros per person. If the registration is carried out through consultants, the full cost of obtaining certificates for eight Key Functions can be approximately €3,200–5,380, although a significant part of this amount is payment for consultants’ services.
- Consultant services and legal support. Most applicants use the help of local lawyers and consulting companies. Such expenses may include:
- registration of the company in Malta;
- preparation of policies and internal procedures;
- help with the license application;
- compliance support;
- legal consultations.
Depending on the project, the total cost of such services can reach tens of thousands of euros, and comprehensive support often exceeds €50,000.
- Operational costs in Malta. Maintaining the license requires maintaining the Malta business. This includes annual company renewal fees (~€2,500+ for corporate services like company secretary, registered office), local director remuneration, office rent, and staff salaries. These costs are part of doing business in Malta’s environment.
- Corporate income tax. The standard corporate tax rate in Malta is 35% of the company’s profit. However, international structures often use the tax refund mechanism (tax refund). If the owners of the company are non-residents of Malta and the structure is built correctly, after the payment of dividends, shareholders can return 6/7 of the paid corporate tax. As a result, the effective tax burden drops to approximately 5%. The scheme works like this:
- the company pays 35% corporate tax;
- after the payment of dividends, foreign owners file an application for the return of part of the paid tax;
- after receiving the refund, the actual rate constitutes around 5%.
That is why many international gaming companies use holding structures and work with local tax consultants.
- VAT (Value Added Tax). Income from gambling games in Malta is, as a rule, exempt from VAT. This means that the operator:
- does not charge VAT on bets or gaming operations;
- at the same time, in most cases, cannot recover input VAT on its expenses.
For individual B2B services, VAT may apply depending on the place of service provision and the status of the parties. If operations are international, the reverse charge mechanism is often used, or they do not fall under Maltese VAT at all. The standard VAT rate in Malta is 18%.
- Other taxes/fees. There are no withholding taxes on dividends to non-residents (so profit repatriation is tax-free after corporate tax). Malta also typically has no customs duties or other indirect taxes that affect online services. Gaming companies might have to contribute to things like the Responsible Gaming Fund in some cases (if mandated by MGA as part of social responsibility, but often the compliance contributions cover this). If a company hires employees in Malta, those employees’ salaries are subject to income tax and social security like any other employment (this is not a direct company tax but part of operating costs).
Licensing Process: Step-by-Step Roadmap
Obtaining a gambling license in Malta is a multi-stage process that usually takes several months. Below are the main stages: from company registration to obtaining the license and launching operations.
| Step | Description | Timeline (approx.) |
|---|---|---|
| 1. Company formation | Create a company in Malta, which will become the owner of the license. Choose a name, register a limited liability company (Ltd), prepare statutory documents, appoint a director and a corporate secretary. At the initial stage, the director can be a non-resident, however later it is necessary to appoint a resident of Malta. Also it is necessary to form the authorized capital (for example, 240,000 euros for a B2C operator) and register the legal address of the company. | Month 1 |
| 2. Opening bank accounts | Establish banking for the new company. Open the required corporate bank accounts, especially the operational account. (The dedicated players’ funds account can be opened a bit later, but should be ready before license is issued.) Many Maltese or EU banks will only open gaming accounts after initial MGA engagement, but this step should be initiated early due to know-your-customer (KYC) checks. | Month 2–3 |
| 3. Preparation of documents and submission of application | Gather and prepare all application documents. This is the most labor-intensive step. It involves writing the business plan, financial projections, and all policies (AML, responsible gaming, security, etc.), collecting personal documents from all owners and key persons, and filling out the MGA application forms and Personal Declaration Forms. Also include the game information and contracts with platform or game providers (or evidence of RNG certifications). After the completion of preparation and payment of the registration fee of 5,000 euros, the application is officially submitted to the MGA. | Preparation: 2–4-th month. Application submission: end of 4–5-th month |
| 4. Review of application and check of the applicant (Fit & Proper) | After the submission of documents, the MGA conducts a comprehensive check. The business reputation of owners and management, financial stability of the company, business model, and operational readiness are assessed. At this stage, the regulator may ask additional questions or ask to provide clarifications. The faster the company responds, the more promptly the process moves. | Month 5–8 (MGA review period) |
| 5. Formation of the local team and presence | By the time of receiving preliminary approval, the company must ensure a full presence in Malta. It is necessary to officially appoint a resident director and an MLRO (person responsible for countering money laundering), if this has not yet been done, close all key vacancies, and obtain Key Function certificates for responsible persons. Also it is necessary to equip an office or workspace in Malta, through which the activity of the company will be carried out. | Month 6–9 (parallel to MGA review) |
| 6. Audit of systems and issuance of the license | If the MGA is satisfied with the results of the check, the company receives preliminary approval (Letter of Intent). After this, it is necessary to pass an independent technical audit of systems, which is conducted by an accredited auditor. He checks the compliance of the gaming platform, infrastructure, and internal processes with the requirements of the regulator. If necessary, the company eliminates the identified deficiencies. After a successful audit, the MGA issues an official license and assigns its number. At this stage, the license fee for the first year is also paid. | Month 9–10 (audit scheduling and completion) |
| 7. Launch of work and expansion of the team | After obtaining the license, the operator can officially begin activity and launch the platform (usually initially in a soft launch mode). Simultaneously, the recruitment of personnel is completed if part of the employees was planned to be hired after licensing (support service, additional compliance specialists, etc.). Within approximately 60 days after the launch, the MGA may conduct another audit to make sure that all processes comply with the requirements. In the future, the company works as a licensed operator and regularly submits mandatory reporting: reports regarding players' funds, revenues, and other documents provided by the regulator. | Month 11–12 (full launch by around 1 year) |
Note: The above timeline is a general guide – actual timings can vary. MGA’s review might be faster for very straightforward cases or slower if complexities arise. Delays often come from the applicant’s side (e.g., taking time to gather documents or respond to MGA queries, or difficulties in opening bank accounts). Staying responsive and organized to approach the lower end of the timeline is highly important. The MGA explicitly notes that timeframes largely “depend on the regulator, financial institutions, and how quickly the client provides documents”. So proactive project management is key.
Throughout the process, maintaining clear communication with the MGA licensing team is advised. They may invite the applicant to meetings to discuss the project (either in person in Malta or via calls). Showing professionalism and preparedness at each step will smooth the journey to obtaining the license.
Ongoing maintenance and compliance
Obtaining a license is only the beginning. It is no less important to maintain its validity, because MGA licensees must constantly fulfill a series of regulatory, financial, and technical requirements.
Regulatory Reporting
Licensees regularly submit mandatory reporting to the MGA. In particular:
- Monthly reports on player funds (to check the conformity of balances on player accounts with the amounts stored in the bank).
- Quarterly or semi-annual reports on gross gaming revenue (on their basis the regulatory contribution is calculated).
- Other statistical information at the request of the regulator.
In addition, every year the company must submit audited financial statements. Usually this must be done within 180 days after the end of the financial year. The audit must be conducted by an auditor accredited in Malta. If significant events occur, (for example, the payment of a large jackpot or a serious incident) they must also be reported to the MGA.
Financial Obligations
Every year the operator pays:
- An annual fee for license renewal.
- An annual compliance contribution, which is calculated based on the income for the previous year.
The MGA issues corresponding invoices that must be paid on time. Delay can lead to fines, and in certain cases, even to the suspension of the license.
Also, a gambling tax is paid monthly. The company must constantly maintain the minimum required amount of share capital. If, due to losses, the capital decreases below the established threshold, it must be replenished.
Player protection measures
Operators are obliged to continuously comply with all rules regarding player protection. This means that the platform must provide:
- The possibility of self-exclusion.
- Limits on deposits and other tools of responsible gaming (if this is provided for by the requirements).
- Mechanisms of reminding about the duration of the game (reality checks).
- Responsible advertising and marketing without targeting vulnerable categories of users.
In 2023, the MGA updated the Player Protection Directive, introducing the concept of Markers of Harm — indicators of problematic gambling behavior. Operators must monitor such signals, integrate appropriate mechanisms into their platforms, and intervene if necessary.
Also, it is important to regularly review responsible gaming policies and train employees to work with cases of gambling addiction.
AML and KYC Requirements
Malta follows strict EU rules on combating money laundering.
Licensees must implement effective procedures:
- KYC (Know Your Customer) — verification of the client’s identity and the origin of their funds.
- AML (Anti-Money Laundering) — detection and reporting of suspicious financial transactions.
Checks in the sphere of AML/CFT (countering the financing of terrorism) are conducted jointly by the MGA and the Maltese Financial Intelligence Analysis Unit (FIAU). For example, in 2023, 28 checks of licensees were conducted.
The company must appoint an MLRO (money laundering reporting officer), and with the growth of the business — if necessary, also their deputies. It is also necessary to maintain an up-to-date AML policy and submit reports on suspicious operations (Suspicious Transaction Reports).
Non-compliance with these requirements can cost very dearly: in 2023 alone, Maltese regulators imposed nearly 1 million euros in fines on operators for violations of AML legislation.
Technical Compliance and Audits
MGA may require regular technical audits and security checks, especially if the operator launches new products or significantly changes the platform.
All gaming systems must remain certified and comply with current requirements. Any significant changes to software or integration of new games, as a rule, require notification or approval from the MGA.
Depending on the level of risk, the regulator may also require an annual compliance audit (Compliance Audit), which is conducted by an independent auditor at the expense of the operator.
In addition to this, the MGA has the right to conduct unannounced checks — from the analysis of server logs to on-site audits. Therefore, all systems must store the necessary event logs and data that can be provided to the regulator at its request.
Changes in the Company Require Approval
After obtaining a license, practically any important changes in the business must be reported to the MGA, and sometimes — prior approval must be obtained.
This applies to:
- Changes of owners or shareholder structure.
- Appointment of new directors or key officials.
- Launching new products or areas of activity.
For example, if a casino decides to add sports betting, it is necessary to contact the MGA to make appropriate changes to the license. It is not necessary to undergo the full licensing process again, however, the regulator will separately evaluate the new area of activity.
New managers also undergo verification and must obtain appropriate key function certificates. Even the opening of a new office or a change of the site’s domain name may require notification of the regulator.
Maintaining Presence in Malta
Throughout the entire period of the license validity, the company must maintain a real presence in Malta.
In particular:
- A director-resident of Malta must remain in the company.
- A physical office must function.
- Corporate documentation must be stored in Malta.
- Board of directors meetings must also be held in accordance with local requirements.
If the resident director leaves the position, it is necessary to promptly appoint a new one, otherwise the company risks violating licensing conditions.
Protection of Player Funds and Financial Stability
The operator must constantly provide full protection of player funds.
This means that the amount of funds in a special bank account for players must always be no less than the total volume of obligations to them. It is precisely to control this that the MGA receives corresponding reports monthly.
If the regulator considers the financial condition of the company unstable — for example, due to large losses or problems with payouts — it may require additional guarantees, in particular a bank guarantee to cover player funds or even temporarily suspend the operator’s activity until the risks are eliminated.
Audit and License Renewal
At the end of the ten-year period of license validity, the company undergoes its renewal procedure, which is effectively a comprehensive check of compliance with all MGA requirements.
Many operators also regularly conduct internal audits to be ready for any checks by the regulator.
Annual submission of audited financial statements is an important part of this process and confirms the financial stability of the company. Untimely submission of such statements is considered a violation of licensing requirements.
Control and Sanctions
The MGA openly publishes all enforcement measures regarding licensees in its enforcement register.
Among possible sanctions:
- Official warnings.
- Fines.
- Suspension of the license.
- Full revocation of the license.
For example, in 2023, the MGA issued 28 warnings, suspended 9 licenses and canceled another 11 due to various violations.
This demonstrates that compliance with the regulator’s requirements is not a formality, but a continuous process. Loss of a license means not only cessation of activity, but also serious reputational consequences. This is precisely why the majority of licensed operators invest significant resources in their own compliance units and internal control systems.
License Renewal
A Malta gambling license is valid for 10 years, after which it needs to be renewed for the operator to continue operations legally. Renewal is not automatic – it is a formal process, albeit more streamlined than the initial licensing, provided the operator has a strong compliance record. Here’s what the renewal typically involves:
- Timing of Renewal Application: The licensee should express intention to renew and start the renewal application several months before the 10-year period expires. MGA’s regulations may specify a timeframe (for example, applying at least 60 days before expiration). In practice, operators often begin renewal procedures up to 6 months in advance to allow ample time.
- Renewal Application Requirements: The MGA will require an updated set of information to process the renewal. This usually includes:
- An overview of operations during the past license period (e.g. history of compliance, any changes to business model).
- Updated due diligence on the company and key persons. If the ownership or directors have changed during the 10 years, MGA ensures all changes had been approved and may re-check backgrounds.
- Financial statements of recent years to show the company is financially stable and solvent.
- An updated business strategy or plan for the next few years, especially if the company plans to expand or change its offerings.
- Proof of payment of the renewal fee (which often corresponds to the application fee or a set renewal fee; MGA might charge a renewal processing fee).
- Confirmation that the company has been in good standing (e.g., no outstanding fines, all contributions paid).
- MGA Evaluation: The Authority will review the renewal application focusing on compliance track record. If the operator had a clean record (no serious breaches, all reports on time, etc.), renewal is likely straightforward. MGA essentially asks: “Has the licensee complied with all obligations and does it continue to meet the requirements for a license?” If yes, renewal is granted. If there were issues (e.g., perhaps some warnings or a settled fine), MGA might scrutinize more but if those were resolved, renewal can still proceed. Only in cases of egregious or unresolved problems would MGA refuse to renew.
- License Fee and Terms: Upon renewal, the licensee will pay the license fee for the next term (10 years’ worth of annual fees, but usually still paid annually rather than upfront lump sum). The terms of the license remain largely the same. However, MGA may update certain conditions to align with any regulatory changes that occurred in the past decade. For instance, if new directives or higher capital requirements have come in, the renewing license might be subject to those (often existing licensees are grandfathered in, but renewal could be a point where any new standards are applied).
- Duration of Renewal: Once renewed, the license is good for another 10 years. This long duration is beneficial for business planning. In contrast, some other jurisdictions require renewals every 1-5 years, often with heavy paperwork each time. Malta’s 10-year span is relatively generous.
- Mid-Term Changes: It’s worth noting that an MGA license can also be “renewed” mid-term if the company undergoes substantial changes (though this is more of a re-assessment than a renewal). For example, if a company is acquired by new owners during the license period, MGA effectively vet the new owners as if a new license application, but the license remains the same if approved. In a sense, the license’s continuation is conditional on MGA approving any major changes. If MGA did not approve a change (say a proposed new UBO fails probity), the operator could ultimately lose the license even mid-term.
- Exit or Non-Renewal: If a company decides not to renew (or if MGA refuses renewal), the company would have to cease operations at the license expiry. There are procedures to follow for an orderly wind-down: notifying players, paying out all player balances, and possibly a final audit to ensure everything was done correctly. Only after that can the company surrender its license. A non-renewal scenario is rare for successful operators, as most will want to continue given the effort invested in obtaining the license.
- Renewal Trends: In the context of Malta, since the 10-year term introduced in 2018, the first batch of renewals under the new regime will occur in 2028 (for those who got licensed in mid-2018). Under the previous regime (5-year licenses), renewals were more frequent. Historically, MGA had a good rate of renewing licenses; they usually did not revoke or fail to renew unless the licensee gave cause. As long as a licensee is compliant and financially sound, renewal is generally a routine process. However, it’s also a time the MGA might push a licensee to update any aspects of operation that may have fallen behind new best practices.
Suspension and Revocation of License
The MGA has the authority to suspend or revoke a gambling license if a licensee no longer meets the requirements or violates the laws and regulations. Ensuring compliance is critical, as Malta takes enforcement seriously to protect players and the industry’s integrity. Here are the typical grounds and process for suspension/revocation:
- Grounds for Suspension: A license may be suspended (temporarily halted) by MGA for a range of serious issues, such as:
- Threat to Players: If the operator’s actions pose “an imminent threat of serious prejudice to the interest of players,” the MGA can suspend immediately. For example, if a casino is found not paying out players’ winnings or misusing player funds, that’s a direct threat to players’ interests.
- Regulatory Breaches: Failing to comply with one or more important obligations under the law or MGA directives can trigger a suspension. This could be failure to submit required reports, not implementing anti-money laundering measures, offering games not approved on the license, etc.
- Financial Instability: If an operator becomes insolvent or fails to maintain the required financial resources (e.g. share capital, player fund coverage), the MGA might suspend the license until the situation is remedied.
- Not Paying Fees/Taxes: Repeated failure to pay the annual license fees, compliance contributions, or gaming taxes could result in enforcement action including suspension.
- Unapproved Changes: If the licensee undergoes a significant change (ownership, key personnel) without MGA approval, or if MGA would not have approved that change (e.g., a new owner is unfit), they can suspend or revoke the license.
- Criminal Activity or Serious Misconduct: If there’s evidence the operator is involved in criminal activity, fraud, or other conduct that undermines the integrity of the operation, MGA will act. This includes facilitating money laundering, being infiltrated by organized crime, etc.
- Grounds for Revocation: A revocation means the license is cancelled entirely. Often, MGA will suspend first and give the operator a chance to rectify issues (if rectifiable). Revocation happens if issues are irremediable or if the operator fails to fix them in a given time. Some direct causes for revocation:
- Persistent Non-Compliance: If an operator continuously fails to comply even after warnings/suspension, MGA can revoke the license.
- License Surrender or Lapse: Occasionally an operator might choose to surrender the license (exit business) – that is a voluntary revocation. Or if a license term ends and is not renewed, effectively it is revoked.
- Breach of Fundamental Conditions: For instance, if an operator provided false information in their application (a material misrepresentation) and this comes to light, MGA can revoke because trust is broken.
- Order by Law: In rare cases, a court order or specific legal directive (perhaps EU sanctions or similar) could compel revocation.
- Process: MGA’s typical enforcement process is: identify breach – notify operator (or public notice if severe) – possibly issue a formal warning or remedial order – if not fixed or if immediate action needed, suspend license – and finally revoke if necessary. When MGA suspends a license, it usually publishes a notice on its website (e.g., “Suspension of Authorization for [Company]”) stating which regulations were breached. The licensee is ordered to cease operations immediately (stop accepting bets, etc.) but is often required to retain access for players to withdraw funds and settle bets. The MGA’s notice to a suspended operator typically includes conditions like refunding all player credit balances.
- Examples: A real example was Goldwin Ltd (operator of an online casino) whose license was suspended in 2024 for multiple breaches. The MGA cited specific regulations: one being the operator’s actions represented an imminent threat to players’ interests, another being failure to meet commitments to players on time (this likely meant they were not paying players promptly), among others. Subsequently, if such issues weren’t resolved, MGA can and did proceed to cancel the license entirely. This shows how a combination of player harm and non-compliance triggers enforcement.
- Consequences for Players: During suspension, the site must stop offering games. Players must be allowed to log in to withdraw their balances. The operator can’t accept new deposits or bets. If revoked, the operation must shut down completely. The MGA often appoints an administrator or closely monitors the winding up to ensure players are paid and data is preserved.
- Right to Appeal: Malta’s law provides that a licensee has a right to appeal MGA’s decision (to the Administrative Review Tribunal or similar body) within a certain time (usually 20 days from the decision). The appeal can seek to overturn a suspension or revocation. However, during the appeal, the MGA’s decision typically still stands (i.e., the site remains closed). Only if the appeal succeeds can the license be reinstated.
- Resumption: If an operator corrects the problems that led to suspension (for example, if they replenish player funds, replace problematic management, etc.), the MGA can lift the suspension and reinstate the license. This is at MGA’s discretion and would involve verification that the issues are fully resolved.
- Enforcement Register: MGA maintains an enforcement register where all suspensions and revocations (and other penalties) are listed publicly. This transparency is meant to inform players and stakeholders of bad actors and also serve as a deterrent to licensees.
Recent Updates and Developments
The regulatory system of gambling in Malta is constantly improving to meet modern challenges, new technologies, and European Union legislation. Below are the most important changes and current trends related to the Maltese gambling license and the activities of the MGA regulator.
Updated Regulatory Model After the 2018 Reform
The adoption of the Gaming Act 2018 became the largest reform of Malta’s gambling legislation. Instead of a complex system of several license classes, a simpler model with two categories was introduced:
- B2C — for operators working directly with players;
- B2B — for companies providing technologies and services to other operators.
The license validity period was increased to 10 years, and companies no longer need to obtain separate permits for each type of gambling. This significantly simplified market entry and made the Maltese jurisdiction even more attractive for business.
In addition, a new Compliance Contribution system was introduced, which replaced part of the previous fees. Now the amount of payments depends more on the scale of the company’s activities.
Cooperation with the EU and International Regulators
Malta actively develops international cooperation, combining competitive licensing conditions with compliance with European standards. The MGA participates in international working groups, concludes memorandums of cooperation with other regulators, and supports:
- International player self-exclusion systems.
- Programs to protect the integrity of sports competitions.
- Cooperation with law enforcement agencies in the fight against match-fixing and fraud.
Every year, the regulator analyzes hundreds of reports of suspicious betting activity.
Current State of the Market
Malta remains one of the largest hubs of online gambling in the world. As of 2024, more than 300 companies holding gambling licenses operate here.
At the same time, the market is gradually consolidating. According to the MGA report for 2023, the number of active licensees decreased from 338 to 305. The main reasons:
- Tightening of compliance requirements.
- Mergers of companies.
- Exit of weaker operators from the market.
During 2023, the MGA:
- Received 24 new applications.
- Issued 15 new licenses.
Part of the applications were withdrawn or rejected, which indicates high requirements for candidates.
Strengthening of Control and Sanctions
In recent years, the MGA has significantly intensified control over licensees. In 2023 alone, the regulator:
- Suspended 9 licenses.
- Revoked 11 licenses.
- Issued 28 official warnings.
- Imposed 19 administrative fines.
This demonstrates that the regulator actively monitors the market and does not hesitate to apply sanctions to companies that violate requirements. The main emphasis is placed on:
- The fight against money laundering (AML).
- Protection of player rights.
- Adherence to the principles of responsible gaming.
For current licensees, this means the need to constantly improve internal procedures, and for new applicants — to carefully prepare for licensing.
New Player Protection Standards
In the middle of 2023, the MGA updated the Player Protection Directive, adding five so-called markers of harm. Operators must monitor player behavior that may indicate the development of gambling addiction, in particular:
- Sudden changes in gambling activity.
- Attempts to win back lost funds.
- Other signs of problem gambling.
Companies are obliged to integrate these criteria into their own responsible gaming policies and train staff to deal with such situations. These changes correspond to modern European player protection standards.
Blockchain and Cryptocurrencies
Malta has long been considered one of the leaders in the regulation of innovative technologies. In 2018–2022, the MGA conducted a special Sandbox program that allowed testing the use of cryptocurrencies and Distributed Ledger Technology (DLT) in the field of gambling. Following the completion of this experiment in 2023, the regulator approved an official policy on the use of DLT.
Now licensees can:
- Accept cryptocurrencies as a method of payment.
- Use blockchain in their activities.
But they only can do it under the condition of fulfilling strict requirements and obtaining separate approval from the MGA through a special Recognition Notice procedure. Thus, Malta became one of the few jurisdictions that offered clear rules for working with cryptocurrencies in the field of online gambling.
ESG and Corporate Responsibility
In 2023, the MGA also introduced a voluntary ESG Code of Good Practice for Remote Gaming. The document encourages operators to implement practices related to:
- Environmental responsibility.
- Social initiatives.
- High-quality corporate governance.
Although the code is not mandatory, it demonstrates the regulator’s desire to raise business standards and strengthen the reputation of the Maltese gambling sector.
New European Union Requirements
As an EU member state, Malta regularly adapts its legislation to new European rules. For operators, the requirements have already become a standard:
- GDPR regarding personal data protection.
- AMLD5 and AMLD6 directives on combating money laundering.
In addition, the Financial Intelligence Analysis Unit of Malta (FIAU) has developed separate AML guidelines specifically for remote gambling operators. It is expected that in the coming years, the activities of licensees will also be influenced by new EU digital regulations, in particular the Digital Services Act, especially in matters of advertising and user protection.
Consequences of the COVID-19 Pandemic
During the 2020–2021 pandemic, Malta’s gambling industry, like most other sectors, switched to a remote working format. The MGA issued a series of recommendations aimed at:
- Ensuring continuous operation of operators.
- Protecting players.
- Preventing the use of the pandemic in aggressive marketing campaigns.
After the end of the pandemic, the market quickly recovered, and certain sectors, in particular betting on esports and virtual sports events, continued to grow actively.
Further Changes and Expectations for 2025
The regulator has already signaled a possible further improvement of licensing rules, which is colloquially called the “2025 directive” in the industry. Although specific details have not yet been released, the changes are expected to be specific and concern:
- Further simplification of certain administrative procedures.
- Clearer regulation of new industry sectors.
- Stronger protection of player funds.
- Possible adjustment of the size of license fees.
This will likely be an evolution of the current system, rather than its complete reform.
Competition with Other Jurisdictions
Despite leading positions, Malta is no longer the only popular jurisdiction for obtaining gambling licenses. In recent years, their legislation has been actively reformed by:
- Curacao.
- Isle of Man.
- Certain countries of the European Union, in particular the Netherlands.
To maintain competitive advantages, the MGA continues to develop a modern regulatory model, introducing clear rules regarding cryptocurrencies, ESG, player protection, and other innovations. It is precisely the combination of technological openness, transparent regulation, and strict control that allows Malta to continue to remain one of the most authoritative jurisdictions for online gambling licensing.
Official Sources & Primary Legislation (MGA / Cap. 583 / AML)
Primary Acts
- Gaming Act (Cap. 583) — full text (PDF)
- Gaming Authorisations Regulations (S.L. 583.05) — full text (PDF)
- Gaming Licence Fees Regulations (S.L. 583.03) — full text (PDF)
- Gaming Compliance & Enforcement Regulations (S.L. 583.06) — full text (PDF)
- Gaming Player Protection Regulations (S.L. 583.08) — full text (PDF)
- Prevention of Money Laundering Act (Cap. 373) — full text (PDF)
- Prevention of Money Laundering & Funding of Terrorism Regulations (S.L. 373.01) — full text (PDF)
MGA – Malta Gaming Authority (Official Regulator)
- Official MGA website
- Licensee Register
- Licensee Portal (apply/manage filings)
- Player Support – Lodge a Complaint
- Enforcement Register
- Guidance Note: Licence Fees & Taxation (PDF)
FIAU – Financial Intelligence Analysis Unit (AML/CFT)
FAQs About a Malta Gaming Licence
Why is the Malta Gaming License considered the "gold standard" in the industry?
The Malta Gaming Authority (MGA) is one of the world’s most reputable and respected regulators. An MGA license provides operators with a high level of trust among players, financial institutions, and game content providers. It serves as a gateway to many regulated European markets, as Malta’s regulatory standards align with the strictest EU requirements regarding consumer protection, responsible gaming, and anti-money laundering (AML).
What types of licenses does the MGA issue?
The MGA primarily offers two types of licenses:
- B2C (Business to Consumer): For companies that provide gaming services directly to players (e.g., online casinos, sportsbooks).
- B2B (Business to Business): For developers of gaming software, game suppliers, and other service providers that interact with licensed operators.
What are the main requirements for a company to obtain an MGA license?
Malta imposes strict requirements regarding the “substance” of a company. To qualify, you will generally need:
- A registered company established in Malta.
- A physical office on the island and local staff (directors, key personnel).
- Completion of a rigorous Due Diligence process for all beneficial owners, directors, and shareholders.
- Implementation of robust compliance systems, player protection mechanisms, and responsible gaming protocols.
- Proof of sufficient financial capital to operate the business sustainably.
How long does the license acquisition process take?
The MGA licensing process is thorough and complex. It typically takes between 6 to 12 months to complete. This timeframe includes preparing an extensive documentation package, undergoing a technical audit of your gaming platform, and passing the regulator’s detailed vetting process. Due to the high standards for quality and business transparency, this is not a “quick-fix” license, but rather a reliable foundation for long-term growth.
Is a Malta license suitable for a startup?
Malta is a premium jurisdiction suited for serious projects with appropriate budgets and long-term planning. If you are targeting the European market and have stable funding, Malta is an ideal choice. For startups that are still testing their niche or have limited budgets, it is often recommended to start with an offshore jurisdiction (such as Curaçao) and later, as you scale into European markets, apply
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