If you want to run a safe and compliant gambling business in the United States, you need to secure an iGaming license from a regulatory body. Every gambling license has its own application procedures, and the requirements differ from state to state. Online gambling is legal in seven states. Your gambling application license has to align with the requirements of the state where you want to operate.
Some specific state requirements
New Jersey
iGaming in New Jersey is well-established, and the state offers various online gambling options. These include casino games, online sports betting, online lotteries, and poker. The Division of Gaming Enforcement (DGE) oversees licensing in New Jersey. In this state, an online gambling operator must have a market access agreement with a land-based casino.
Pennsylvania
Pennsylvania has a large online gambling market, and the future of online gaming in the state is a bright one. You must apply to the Pennsylvania Gaming Control Board (PGCB) for a license. Your application must reflect your financial stability and your commitment to responsible and ethical gambling. The PGCB verifies that operators have strong security measures to protect the privacy and security of player information. It insists on top-of-the-line security measures.
General requirements
The process for obtaining a license is quite similar in most states, although the specific requirements and guidelines may differ. Here are some of the general requirements.
Financial stability
You need to prove you have the financial resources to operate an online gambling business. This involves submitting a variety of documents, such as business plans and financial statements.
Background checks
Expect background checks on all the key stakeholders involved in your business. In heavily regulated jurisdictions, background checks are likely to be very thorough. The gambling authority will want to ensure stakeholders don’t have criminal records.
Player protection measures
You will need to outline the measures you will take to secure the personal and financial information of players. With the increase in cybercrime, protecting this information is essential. You should also offer responsible gaming measures such as self-exclusion and deposit limits.
Fair gaming practices
Players want to know that the games they play on your platform aren’t rigged. The Random Number Generators (RNGs) you use need to be certified to ensure the outcomes of games like slot games are random. You must be transparent about the odds and payouts of the games you offer. Regulatory boards will want to make sure that the games you offer are fair.
Technical requirements
The technical infrastructure of your platform has to meet certain standards. For example, you need to encrypt data transmission and make sure your payment gateways are secure.
Anti-Money Laundering (AML)
Your application must detail how you will identify and report any suspicious activities.
Know Your Customer (KYC) Procedures
You need to provide details on how you will verify player identities.
Fees and taxation
Fees and taxation vary widely in different jurisdictions. Some offer competitive tax rates, and in others, tax rates can be high. You will need to explain how you will handle your liabilities.
Geographic restrictions
You must be aware of the geographic restrictions of the license and the implications of offering services outside of its boundaries.
Steps in the application process
Choose the type of license you need. You will need the right gambling license for the online gambling activities you want to provide. This will depend on whether you want to operate an online casino, offer gaming software development, etc. You may need a B2C license or a B2B license.
Prepare your application documents. The specific documents you need will depend on the jurisdiction and the type of license.
Submit your application. Make sure your application is complete and accurate. Submit it and pay the application fee.
Review and approval – The regulatory board will thoroughly review your application. It may request clarification or additional documentation. If your application is successful, you will receive a license.
When gambling in the US, players want to play at a licensed online casino. Your gambling license indicates that your platform complies with the rules and regulations set out by the gambling authority. It shows customers that they can trust your platform because you have player protections in place.
