Licensing & Security

Why Licensing and Security Matter

All players seek safe platforms that create an ecological space for gaming. Licenses play one of the main roles in building trust and engaging clients. If a crypto platform develops and implements a strategy of consistent growth, a proper license makes a foundation for it.

Official licenses are needed to create and maintain a casino’s reputation as a reliable site. Receiving documentary proof from an authoritative organisation allows a casino to show that they follow industry standards, promote fair play, responsible gambling, and secure customers’ funds. 

What is Crypto Casino Licensing?

A crypto casino license is a document that proves the official authorization of a casino provider that permits its online operations using cryptocurrencies. Getting a license for crypto gambling platforms assumes meeting specific requirements. The process of receiving a license in the online gaming industry differs according to a specific country and jurisdiction. In some regions, it’s cheaper and faster, so they’re highly popular. For example, the Curacao license. It’s crucial to understand the differences and similarities of existing licenses to estimate the regulatory compliance of online gaming sites.

Among the requirements to comply with in aim to get a license are:

• Player protection. Responsible gaming promotion, social responsibility, protection of gamblers, preventing harm caused by gambling, reducing underage gaming, etc.
• Provably fair checkers. Ensuring that each game’s outcome is fair and the casino isn’t manipulating or cheating.
• Transparent transactions. Each deposit or withdrawal must be tracked. Casinos must have clear records of all transactions.

Popular Licensing Jurisdictions

The use of cryptocurrencies in the gaming industry poses some challenges that result from the nature of decentralized payment systems and almost complete anonymity. Hence, crypto platforms often face restrictions and require regulation from specific licensing organizations. Here are the authorities that issue licenses for crypto gambling:

Curacao

A leading authority that already issued over 450 licenses for online gaming. Curacao has operated as a licensing provider since 1996. The Curacao license is highly cost-effective and requires casinos only 4% of their yearly income fee.

Gibraltar

The tax regime in this country attracts gambling operators – 0% corporate tax rate. The license fits those who are ready to establish an official business unit in Gibraltar. To get this license a casino must undergo a rigorous audit process.

Malta

Another well-known and popular authority with a good reputation. Malta Gaming Authority specializes in regulating online crypto gaming. Obtaining this license requires a provider to use KYC protocols. Also, a casino operator must present proof of their financial stability.

Kahnawake

The authority called The Kahnawake Gaming Commission is based in Canada. The Kahnawake Commission has worked since 1992. Getting this license takes only a few weeks. Among the requirements for applicants are transparency and a high level of player mental health protection.

Isle of Man

This authority was among the first who started licensing crypto gaming platforms. Providers who operate according to this license get a low gambling tax ranging from 0.1% to 1.5% of gross margin. Operators must maintain local presence and incorporate in the Isle of Man. The requirements include implementing KYC protocols and responsible gambling tools.

United Kingdom

The UK Gambling Commission regulates all types of games and requires a casino operator to be officially registered as a business in the UK. The operators must ensure supporting KYC protocols, transparent financial results, regular audits, and a high level of player protection.

Costa Rica

This license operator games popularity thanks to attractive tax laws and minimal requirements. An operator can register as a data processing business, which is a bit risky for gamblers. Minimal requirements for getting this license make some people doubt the level of responsibility and player protection.

Anjouan

Anjouan is the part of the Union of Comoros that provides attractive tax policies for casino operators – 0% gaming tax. The process of getting a license here is very fast – 2-3 weeks. An operator must implement responsible gambling tools.

Why is the Curacao license among the most popular ones?

If you check the name of the jurisdiction on several platforms, you’ll see that most crypto casinos apply for a Curacao license. The reason is that the rules of getting this type of license are much easier compared to other jurisdictions. Moreover, the Curacao license is highly cost-effective.

Almost all casinos and newcomers in the gaming industry receive Curacao licenses. The rules a casino must follow after obtaining this license are less strict compared to other jurisdictions. Hence, there’s a small risk that a gaming platform might be less trusted than others. We recommend you check other trust signals like terms and conditions, user testimonials, provably fair tools, etc.

How to Check if a License is Real

Some unreliable casinos may pretend they have a real license, but if you analyze the information they provide, there are signs of a fake. Here are some proofs that a casino operator is officially verified and acts according to laws:

• ✅ A platform provides comprehensive details about license name, number, and issuing authority in an ‘About us’ section that can be easily accessed from their main page.
• ✅ A site points to the name of its owner – a legally registered company.
• ✅ A gaming platform lists the scope of gambling activities covered by the license it pretends to have.
• ✅ A website provides a list of player protection tools and responsible gambling policies – these are the requirements of almost all licenses.

By checking all these points, you can verify whether a gaming platform is reliable.

Security Measures Used

Several factors boost the level of a crypto casino’s security making it a safe space for enjoying your favorite games:

• 🛡️Two-Factor Authentication. An important part of security protocols that adds another stage to a verification process and prevents unauthorized access to a website.
• 🛡️SSL Encryption. All trusted gaming platforms use this safety measure to safely send data from your computer or smartphone to a casino server.
• 🛡️Cold Crypto Storages. Apps that allow storing most amounts of cryptocurrency offline to prevent hacking.
• 🛡️Regular Auditing. Consistent checks of a system aiming to find threats and vulnerabilities in security systems.

Privacy and Anonymity

You might know that cryptocurrency transactions are completely anonymous. This feature makes crypto gaming websites attractive to players who appreciate high levels of privacy. For example, crypto platforms allow you to register by providing only your email address. At the same time some licencing authority require from operators to implement different protocols:

KYC (Know Your Customer) standards help to identify customers and analyze their activity and preferences. Some gaming platforms use KYC to minimize risks.

Anyway, you still must keep an eye on suspicious signals and be attentive to details. We recommend you read the privacy policies on a casino’s website to understand how they can use your data. 

Also, check your internet connection protocols to ensure your information is secured. Using VPN connection is a safety method that allows to maintain privacy and enter websites that use limitations.

Red Flags

You may see some signs that mean a platform isn’t reputable. Pay attention to the following:

• 🚩Information about the license isn’t listed on the website. It’s impossible to find the number, name of authority, list of obligations to follow, according to license rules, etc.
• 🚩Offers of bonuses that promise very big amounts but don’t share wagering requirements.
• 🚩Absence of SSL encryption
• 🚩Many reviews about declined withdrawals and payment delays.
• 🚩Poor customer service, and inability to contact support.

The best thing you can do if you spot these signs, is stop any interactions with this online platform.