Regulated
Curaçao originally introduced its remote gambling law in 1993 in what is known as its National Ordinance on Offshore Games of Hazard (Landsverordening buitengaatse hazardspelen, P.B. 1993, no. 63) (NOOGH). The law was introduced with the intention to legalise the activities of the then existing operators in Curaçao offering remote gambling services internationally via phone.

In accordance with the law, the Governor of Curaçao is authorised to grant (remote gambling) licences for the exploitation of games of chance on the international market through service lines, which broadly interpreted includes any mean of communication, such as the Internet. Such licences to exploit games of chance, which includes to develop and own these games of chance, is only granted to those legal entities established in the Netherlands Antilles, which as of 2010 after abolishment of the Netherlands Antilles, is defined as in Curaçao established legal entities. The licence granted to such entity is not transferable.

Until 2019 the Minister of Justice was responsible, under mandate of the Governor of Curaçao, for the supervision of the licence holders of the remote gambling industry, which includes the introduction of regulations and enforcement thereof. In this period the licence holders (in practice being referred to as Master Licence Holders) started issuing sub-licences to operators under the mandate of the issuing Master Licence Holder. This practice was tolerated by the then Supervisory Authority and acknowledged by the Joint Court of Justice of Aruba, Curaçao, Sint Maarten and of Bonaire, Sint Eustatius and Saba in a 2020 judgement.

As of 2019 the Minister of Finance is responsible, under the mandate of the Governor of Curaçao, for the supervision of the Master Licence Holders. The Minister of Finance continued tolerating the sub-licensing regime, which is still in place today. In the same year the Curaçao Gaming Control Board (GCB) was appointed the AML/CFT supervisor for the remote gambling industry.

Post 2020 the GCB has been tasked with the licensing for and supervision of the remote gambling industry on behalf of the Minister of Finance. As per that same year the GCB commenced requesting reports from the Master Licence Holders on the sub-licensees, an increase in supervision.

The four Master Licence Holders in Curaçao which offer sub-licences are:

• Antillephone N.V. #8048/JAZ
• I.L. Curaçao Interactive Licensing N.V. #5536/JAZ
• Cyberluck Curaçao N.V. #1668/JAZ
• Gaming Services Provider N.V. #365/JAZ

These in turn have granted numerous sub-licences to B2C and B2B operator companies almost all of which based outside of Curaçao.

These initial 4 Master Licenses have now all expired, bar one (expiry in January 2025), forcing sub-licensees to apply for their own direct licence.

Draft regulations were introduced for consultation in 2021 which will radically reform the licensing and compliance framework. These were criticised and as a result redrafted where the latest version is not yet published but is thought to be imminent (as at November 2024).

In the interim and until LOK is voted through or further amended by the Curacao Parliament and subsequently implemented and made effective (could be late 2024) , operators (i.e. existing sub-licensees) may apply for their own direct licence under the existing NOOGH law. Even if operators do not apply for their own direct licence during this interim period, sub-licences are encouraged to register as such (no costs involved). As announced on 1^st September 2023 by the Minister of Finance the window for new standalone licence application will be available from the 15 November 2023, will application to be made via a dedicated portal.

The window for registration as an existing sub-licence and/or subsequent application for a direct licence was initially open until the 31/3/24, but has since been extended as shown below.

There seems to be no-grandfathering of existing sub-licensees (i.e. those who have not already applied for their own direct licence) to new LOK licence, once master licence under which it operates expires or LOK becomes effective whichever is earlier, a new licence will need to be in place. This could lead to a gap between the effective date of the LOK and grant of a licence under it during which time the operator would need to shut down.

The expiry dates for the Master Licences is set out here.

Any direct licences granted will then be grandfathered to the new licence regime under LOK, holding provisional licence status until that LOK licence is in place.

Any sub-licensee who has not been registered on the portal by 31/3/24 will not be permitted to operate. It therefore seems that at least registration as a sub-licensee is a mandatory requirement. This is further set out and explained in a memorandum issues to existing NOOGH licence holders on 18 December and updated in Mid-March 2024.

This 31/3/24 application deadline  was   extended to 30 April 2024, due to issues with inadequate applications and difficulties experienced with the portal, please see here.

The licensing portal that was closed for applications on 1 May 2024, was re-opened on 15 July 2024 with no definitive end date, please see here.

Currently, the GCB is the gambling regulator as well as the supervisory authority for compliance with AML/CFT laws. Under the draft LOK, the GCB will continue these powers under a new name, namely the Curacao Gaming Authority (hereinafter “CGA”).

GCB published in May 2024 new regulations for Anti-Money Laundering and Combating the Financing of Terrorism and Proliferation of weapons of mass destruction (AML/CFT/CFP Regulations) for the online gaming sector of Curacao.

 The AML/CFT/CFP Regulations are aligned with the FATF Recommendations.

These regulations are effective as of May 20, 2024. However, a transitional period of three (3) months applies. This implies that all online gaming providers operating from Curcaao are required to fully comply with these regulations by September 1, 2024, at the latest. Non-compliance after this date may be sanctioned.

In Mid November 2024, the GCB and its adviser presented at Sigma, Malta on the status of the direct license application process and the progress of the LOK.

As of early December,2024, the GCB had 553 pending license applications, with an additional 279 new applications awaiting processing.

Finally, The National Ordinance on Games of Chance (LOK) was enacted on December 17, 2024, and came into effect on December 24, 2024. This legislation establishes a direct government licensing system through the CGA, aiming to improve transparency and ensure compliance within the gaming sector.

In accordance with the LOK, all license applications submitted prior to this date (24 Dec 2024) will be processed under the provisions and policies of the previous legislation, the NOOGH.

Applications submitted on or after December 24, 2024, will subject to the new provisions outlined in the LOK. This includes the requirement to pay an application fee and complete updated application forms.

The previous LBH (master licensor/sub-licensee) system has now been totally done away with.

Current NOOGH licences will be converted into provisional licences under the LOK.

On the other hand, companies whose application was pending acceptance and decision prior to the entry into force of the new LOK (Green Seal) may continue to operate under the NOOGH until a decision is made on their application.

This means that the existing licence holders operating under the former NOOGH, or the applicants whose application was in the process of being accepted by 23 December 2024, were transferred to the new framework (via a provisional licence) through a grandfathering clause, granting them a provisional period of six months, extendable for a further six months.

In brief: Existing Green Seal licensee (NOOGH) at the time the new law comes into force: Provisional licence under the LOK

Licensees with Orange Seal in the date of entry into force of the LOK: CGA may require further information and may impose further compliance requirements. If all are met in time, they may also transition to a LOK license without a new application process.

Applications after the 23.12.24: LOK application process.

The CGA will announce the specific conditions for these LOK provisional licenses in the near future.

Suppliers of critical services or goods also require a CGA licence (if they are established in Curacao). On the other hand, critical suppliers based outside Curacao do not need a gaming licence.

The process for new online gaming applications is currently closed (Jan 2025). However, as of December 24, 2024, the new LOK has officially taken effect. The CGA has stated that the new application forms that comply with the updated law will be published soon, and the application process will reopen in accordance with the new regulations, with application to be made via a dedicated portal: Curacao Gaming Control Board

In summary, the portal is intended for:

• New operators (B2C) who wish to obtain a Curacao online gaming license in accordance with the new LOK.
• Critical supplier’s services who are established in Curacao (B2B2C/B2B) and wish obtain a licence to supply such critical services or goods in or from Curacao
• The registration of pure B2B entities, who whish to offer gambling-related services or goods to gambling licence holders.

Take Note:

• The legislation distinguishes between Critical Supplies and Gaming Related Services. The latter may apply for certification in Curacao but are not required to be licensed.

• Critical supplier’s services, who are based outside Curacao do not need a gaming licence.
• Corporations are not limited to making one application – they can apply multiple times under a single License Account.
• The CGA maintains a public registry of suppliers that provide critical services or goods to gaming license holders. At this time, we believe that this will only apply to local providers of critical services and/or goods, however we are yet to see how the CGA will apply this in practice.
• It is important to specify that the registrations (no cost involved) will not be treated as an application or request for any kind of privilege, license, or authorization. This clarifies that registration is a procedural step and does not imply any automatic entitlement to a license or special privileges under the new regulations.

Market Size

With the new regulation, it is expected that the country’s reputation as a haven for grey market operators will improve.

Under the new rules, operators would have to meet strict criteria set by the CGA to prove their financial stability, integrity, and competence. The aim is to only grant Curaçao licenses to reputable and capable organizations operating responsibly within the jurisdiction. This means that gaming companies can no longer opt for sublicenses from master holders, nor can they share or lease licenses.

During the budgetary discussions in December 2024, Minister of Finance Javier Silvania disclosed that the GCB had issued 220 licenses under the interim framework, resulting in 15 million guilders in fees (Euro 7,991,607.00 approx.), of which 12 million guilders have been remitted to the government. With 553 applications currently pending and an additional 279 new submissions awaiting processing, the GCB anticipates granting a total of 600 licenses by the end of the first quarter of 2025.

The revenue projections for 2025 under the new LOK framework account for this growth, anticipating 30 million guilders (Euro 15,983,214.00 approx.) from online gaming licenses and 10 million guilders from land-based casinos (Euro 5,327,738.00 approx.).

Competitive Landscape

According to GCB, more than 272 licenses have been granted under the new online gaming policy (effective November 15, 2023)

Localisation

The CGA may grant a gaming license upon receiving a written application from a public or private limited company that is incorporated under the laws of Curaçao and has its registered office in Curacao and managed by at least one natural person who is a resident of Curacao.

Top Key Attractions and Challenges
Attractions

• Competitive pricing compared to certain jurisdictions.
• Ability to target most unregulated jurisdictions (excluding Curaçao and those jurisdictions the authority prohibits -licensees, i.e., the Netherlands, France and USA)
• Zero revenue tax.
• The licence covers a broad spectrum of gaming activities under a single licence (sports betting, games of chance and poker).
• Operating licence shall be valid for an indefinite period.
• Possibility of Crypto use under the new licence regime within a regulated environment.

Challenges

• Banks and payment processors are reluctant to service Curaçao licensees directly – limited options.
• Reputational issues for customers and suppliers.
• Dutch government has a large influence and is determined to materially improve regulatory and compliance standards and introduce a more rigorous regime.
• Further new AML regulations by 2025.
• Increased costs and compliance burden with the new LOK.
• No sublicenses are permitted.