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Gambling Licensing in Estonia

Launching a gambling resource in Estonian jurisdiction will be a good solution for those entrepreneurs who are trying to enter foreign markets. The country was one of the first to legalize iGaming and created excellent conditions for the development of the industry. The gaming business in Estonia is a rather ordinary business, with an interesting history and frequent changes in legislation. The first ground clubs were allowed even before the collapse of the USSR. They are localized in the country’s capital – Tallinn – and major resort cities. If you have the in tension to know more about Estonia gambling license, this article will help you.

Types of licenses, taxes and restrictions

One license serves as confirmation that the company meets all requirements. It is for an unlimited period of time. The second is a license for directly online activities. The validity of such a certificate is 20 years, and it gives permission to carry out any type of activity listed below. Having both certificates, the licensee has the right to organize games where the outcome is determined by chance, games where the victory depends on the skills of the player, as well as loto. The tax on doing this business is 5%.

It is important that people who have reached the age of 16 be allowed to play online lotteries, and those who have reached the age of 18 are allowed to play sweepstakes. All other games are allowed from the age of 21.

Benefits of Getting Gambling License in Estonia

Launching an online casino in Estonia brings the following benefits.

  • Entry into the European market. Cooperation with the jurisdiction is suitable for those operators who want to scale their business. The opening of an Estonian online casino allows attracting a solvent audience in Europe.
  • Improving the image. The growing popularity and demand for the brand is directly related to the legal field in which the company operates. The Baltics are extremely attractive in this regard, especially for newcomers to iGaming.
  • Stable legislation. It has been brought to the norms of the European Parliament and has remained unchanged for 10 years. Investors can safely count on long-term investments with a high payback. The country will be of interest to fans of calm and balanced investments for the long term.
  • Loyal taxation. The gaming business in Estonia has low taxes compared to other EU countries.
  • Long term permit. The regulator draws up a document for 10 years, which is a record figure. The ability to obtain a license for such a long period is another good reason to work in a jurisdiction.
  • There is no binding to a local server. Estonia is one of the few states that does not require hosting on local server equipment. In practice, this significantly minimizes the cost of launching a gambling project.
  • Access to advanced technologies. The country has a well-developed telecommunications network and innovative 4G coverage. Dozens of IT companies providing quality software work here.

Despite the fact that the history of the legal market only began then, an underground gambling scene flourished in Estonia with secret casinos and gambling halls. These institutions had a chance to come out of the shadows and legalize, if, of course, they could adapt to the requirements of the regulator.

The minimum number of gambling tables and slot machines prescribed by law meant that small establishments could not open legally. The number of casinos in the country has almost halved in subsequent years. Gambling Law of 1995 and the Lottery Law of 1994 played a key role in Estonia’s transformation into a regulated market, but have lost relevance in the face of the rapid development of technology in the industry. 2008 Gambling Act was more comprehensive and completely replaced the previous two laws. However, it is curious that online gambling was still not mentioned in any way.

The period after the entry into force of the law was not particularly productive for the Estonian gambling industry. Due to the global economic crisis, coupled with new restrictions, the terrestrial sector has been significantly reduced.

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