In previous articles on Casinoz, we discussed distinguishing reputable online casinos from unfair or low-quality websites that can give you nothing but frustration and loss of money.
Below, we will continue examining the subject of licensing online casinos to help readers understand it and learn to determine the legality of online casinos.
Who Grants Online Casino Licenses?
The critical moment to clarify the legality of online casinos is the country's institution that issued a license. This applies not only to casinos but also to bookmakers, poker rooms, lotteries, and other websites that provide gambling services.
To ensure that the casino operates legally, you must check whether a reliable regulator issues the license.
Indeed, to ensure that such a country exists, it licenses this type of web server or real casinos.
Any gambling house must regularly report to the Government under which jurisdiction it operates, whether at the local or state level. When players make real-money deposits, they must be sure that the casino exists. Otherwise, they can not feel secure and rely on support if they are deceived or even provided inadequate service levels.
Gambling Licensing in Offshore Zones
In 2006, the United States government passed the Unlawful Internet Gambling Enforcement Act (the famous UIGEA). Still, it does not mean all relevant to this document casinos owned by U.S. companies have stopped operating. They just moved their servers to an area not subject to state regulation (the so-called offshores). They continue to use it safely and provide services to all clients, including U.S. players, without formally breaking the law.
At first acquaintance with casinos on the World Wide Web, you will notice that some names stand out from the competitors. Many of these large companies have received their licenses in the same regions:
- Curacao,
- The Dominican Republic,
- Costa Rica,
- Antigua, and others.
The reason is that these countries grant licenses for opening casinos due to their small size, lack of resources, and, consequently, low economic development. They have to use every opportunity to fill the budget. The story of the Internet and online gambling has allowed them to gain income by licensing online casinos.
Thus, for a company to legally provide online gambling services, it must pay thousands of dollars for the license and regularly pay taxes to the state under which it operates. That is, it provides a regular infusion into the state budget.
Online Gambling Regulators
Nowadays, more countries provide this option. Not long ago, Italy and Australia started issuing licenses for online casinos, and they have a strong reputation in the business world. However, most companies opening virtual casinos still prefer to receive a permit in small jurisdictions or even lesser-known areas (e.g., American Indian reservations) with an independent status and their laws.
For example, the Kahnawake Gaming Commission has already issued several hundred licenses. It is a reservation for Native American and Canadian residents. This organization has been working since 1996, and its logo with its abbreviation KGC can be seen in more and more casinos.
Laws regulating casinos are more complex in more extensive and developed countries. Moreover, this industry often becomes the target of political games (especially in pre-election periods) and attacks on social and religious organizations. So, it is much easier to work under the jurisdiction of smaller countries needing additional revenue and close their eyes to the moral and ethical side of the issue and minor violations.
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How to Check an Online Gambling License
It is effortless to find the answer to this question. Any respected online casino that values its reputation places the logo of the regulator that issued it a license on its website. Usually, it is located in the footer. Moreover, the logo should link to the organization's official website. There you will find out whether the license is valid at the moment.
If you can not find out who has licensed the casino, where its servers are located, and whether it is legal, better look for another casino. Hiding this information is pointless without good reasons, and if the casino does it, it's in trouble with the law.
Casinoz advises caution when choosing an online casino. Our site has a section with descriptions of reliable casinos. When playing there, you can rely on the integrity, security of information, and a high level of service.
