Why Are Many Online Casinos Based In Malta

Malta is an international hub for online gambling operators, vendors, and partners. Let's understand why and cover friendly taxation, talent pool, and more.

why are many online casinos based in malta
Why Are Many Online Casinos Based In Malta

Over the recent years, getting a Malta gaming license seems to be a priority for several new online casinos from all parts of the world. Even though it's considered the tenth smallest country globally, Malta is a popular destination for gamblers and online casino operators.

Beyond licensing, Malta is a global hub alongside Gibraltar and the UK for welcoming gambling operators and partners alike. This article will help you understand the online gambling industry in Malta and why getting a Malta gaming license in the country is in demand.

Malta Online Gambling Industry

malta flag icon

When talking about the area, Malta is one of the top 10 smallest countries in the world and the smallest member state of the European Union. And with around 500,000, it is the fourth most densely populated among sovereign countries. It is also the first EU state that regulated online betting. After just a few years, it went from being a slow-moving island to a booming online gambling destination.

Despite its small territory compared to its neighboring states, Malta has successfully grown the EU's online gambling industry up to $27.7 billion. In fact, in just 2020, it has licensed 323 online gambling sites to operate and cater to gamblers overseas.

Malta is now home to several big names, websites, and developers, in the online gambling sphere, including Bet365, Evolution Gaming, Play'n Go, and a lot more MGA licensed casinos.

Over the years, it has established several online gambling laws and authorities to protect and guide its players while ensuring that the country benefits from the operations. But despite the fact that it has the strictest gambling regulations, online casino operators still prefer getting a Malta gaming license. Keep reading below to know why.

The Attraction of a Malta Gaming License

For gambling operators and vendors, Malta seems like an ideal place to operate from. So let's review why that is.

Malta's Online Gambling Industry
^Malta's Online Gambling Industry


One of the best advantages that an online casino operator can gain from getting a Malta gaming license is sensible legislation. Malta's gambling legislation is indeed among the strictest in the world. However, since it comprises clear, structured, and easy-to-understand standards, operators can easily create profitable strategies that adapt to these regulations.

Another advantage is that the regulations do not change often. Countries with gambling laws that are constantly being adjusted find their casino operators struggling to keep up. They sometimes end up having a hard time keeping their business going. Meanwhile, in Malta, laws are stable, which favors operators. And if in case there are reforms, the gaming authority will discuss them with the businesses and other people involved to reach a fair consensus.

Even the Malta Gaming Authority developed its gambling laws to benefit these online casinos while ensuring that players are protected. With this, several online casinos based in Malta are growing at a steady pace over the years. Several players from all over the world also prefer these online casinos due to their credibility and reputation.

Low Taxes

Anywhere you'll go, you'll notice that taxes for gambling operators are high. However, in Malta, taxations are considered reasonable. Unlike other countries that charge excessively, the costs to operate an online casino in Malta are significantly more cost-efficient and sustainable for owners.

Obviously, online gambling licenses are not cheap and indeed require a substantial financial commitment. But, in the case of an MGA license, the costs are well worth it because of its benefits to its operators, including growth opportunities, good reputation, and the prominent market.

Furthermore, the Malta Gaming Authority is transparent with its fees and taxes. Its website provides a highly-detailed breakdown of costs aspiring casino operators can expect. It includes information on the following:

  • Administrative and License Dues
  • License and Compliance Dues
  • Fixed Annual License Fee (B2C Only)
  • Fixed Annual License Fee (B2B Only)
    • Critical gaming supply for management of material elements of the game
    • Critical gaming supply for management of software
  • Compliance Contribution
  • Gaming Service License
  • Gaming Tax

The MGA website also has complete resources on gambling regulations and legislation, how to apply for a new license, and more.

Opportunities for Growth

Aside from the operator-friendly regulations and low taxation, online casino owners can also gain great growth opportunities with an MGA license. Not only does the nation encourage growth within its gambling industry through beneficial protocols, but it also provides access to operators to a plethora of human and non-human resources.

The Malta education system is designed to produce valuable professionals for the nation and its different industries. Universities offer programming, marketing, advertising, and other courses, producing highly-skilled individuals that casino businesses can tap to expand their workforce. Some faculties even outline their programs to suit the gambling industry directly. Operators can hire new programmers, developers, content creators, marketing experts, advertisers, and more right after graduating, who have above-average skills and knowledge. 

With this, online casino operators don't have to worry about hiring competent employees for their companies since Malta ensures a steady source of highly capable and well-trained human resources. They can guarantee that these individuals can become assets to the company and will help them continuously grow.

Trusted Across the Globe

MGA casinos can benefit from the fact that the authority's legislation has already gained respect internationally because of its thoroughness, transparency, and fairness. The industry gives high regard to online casinos that have passed the strict evaluation and scrutiny of the MGA, and those are successfully granted with the prestigious license.

After many years of reputable operations, MGA has become the standard of quality gambling authority, which regulatory bodies around the world pattern their frameworks after. This includes strict legislation, cost-efficient taxation, massive market coverage, and reliable gaming policies, which both local and overseas players trust.

Online casinos seeking MGA licensing can expect a credible reputation and the other benefits that come with it. Malta Gaming Authority provides a seal of approval, which these casinos can display on their website to prove they are licensed.

Large Market Coverage

Malta's online gambling regulations open online casinos to a wide range of markets of gamblers. As of date, MGA-licensed casinos can cater to players from more than 180 countries worldwide, including the UK and almost all the members of the European Union. Here are some of the countries that accept operations from MGA casinos:

  • Canada
  • India
  • Japan
  • The Netherlands
  • Norway
  • Russia
  • Poland
  • Ireland
  • Spain
  • France
  • Sweden
  • Kazakhstan

However, it is important to note that online casinos based in Malta still ban players from the US and its overseas territories due to the agreement between the two countries. It includes prohibiting Americans from playing on MGA casinos, online sportsbooks, and poker sites.

MGA licensed casinos also cannot accept customers from countries where online gambling is strict or illegal. It is also not allowed to reach countries on the Financial Action Task Force or FATF blacklist, which as of March 2021, has Iran and North Korea. The Malta Gaming Authority strictly ensures that all of its members comply with this regulation. Those who are found guilty of catering to these customers are gravely penalized.

A Malta gaming license offers efficiency, practicality, and quality to all of its existing online casino operators as well as to the future gambling businesses it will attract. It remains the most suitable location where both the country, online casino owners, and local and international players can benefit from gambling.

This article was published on March 7, 2022, and last updated on October 26, 2022.