What You Need to Know About Casinos Operating Without a License
The online gambling market is rapidly growing, causing countries to introduce or tighten regulations to protect players and maximize economic benefits. While there are still many unregulated markets, online gamblers opt to play at casinos regulated by external trusted organizations. Despite that, many casinos still operate with no license.
- Number of casinos 2
These unlicensed casinos function mostly in unregulated markets as countries with strict gambling legislations block them from reaching residents. Nevertheless, some of these no-license casinos have continued to flourish as they entice players with incredible bonuses and fast payment promises.
In this guide, we will unravel the mystery behind these unlicensed casinos, how they operate, and the risks of choosing such platforms. We will also show you how to identify unlicensed casinos and what to do about them. Let’s get started.
What is an Unlicensed Casino?
An unlicensed casino is simply an iGaming platform that operates without any kind of gambling license or authorization. This should not be mixed up with casinos that are not licensed in your jurisdiction.
It is possible to find casinos without a license in your country but regulated by an external authority. For instance, if you stay in the UK, you could be able to access some Curacao eGaming gambling sites, especially crypto casinos.
While such sites are not regulated by the UKGC or whatever regulator governs your jurisdiction, they are not unlicensed casinos. They still operate with a license but may not just be permitted to accept players in certain regions.
How to Know an Unlicensed Casino
As an online gambler, it is important to know the licensing status of any casino or sportsbook you play at. You must find out before submitting personal information or making payments on any platform. We’ve described the steps to identify casinos without licenses in the following sections.
Check the Website Footer
Licensing information is usually provided at the footer of online casinos or betting sites. You’ll mostly find the name of the regulator(s) and the license numbers or the logo of the gambling authority. If you do not find licensing information in the website’s footer, it likely indicates that the casino does not hold a license.
However, not all no-license gambling sites may be honest enough to exclude regulation information. Therefore, you may have to do more than just check the footer to verify the licensing status of the website.
Verify the License
Fraudulent casinos may provide fake license details or scanty information in their footer. For example, they may write that they’re regulated in a jurisdiction and provide no link or license number for you to verify.
Some may place logos similar to the gambling authority’s own or even the real logos, without having a valid license. Hence, you must check carefully to ensure that you’re not deceived.
Always click on the logo or license number link you find in the footer. It will most likely lead you to a page that shows the casino operator’s certificate of approval.
If there’s no logo or link to click on, you can also check directly on the regulator’s website. Top gambling authorities like the UKGC and MGA provide a list of their regulated casinos on their official websites. They also offer a quick search tool that won’t require you to go through the long list of licensed casinos.
Why Casinos Operate Without a License?
There are several reasons some casinos may offer their services without a valid license. Here are the top reasons:
- New Casino Operator: Fresh gambling firms may find it difficult to obtain licensees due to the high costs of application fees and annual renewals. However, they only operate without licenses for a short period. Once they’ve raised enough funds, they secure affordable licenses to continue their operations. Some of these new casinos operate their services from places like Costa Rica.
- To Defraud Gamblers: Some no-license casinos are outright scams. They solely exist to deceive vulnerable and inexperienced online gamblers and walk away with their money.
- Expired License: Most gambling authorities require operators to renew their licenses yearly. The license becomes invalid if it is not renewed, making the site an unlicensed one. An expired license could be a sign that the casino lacks enough funds to continue operating and should be avoided.
- Revoked License: When a gambling operator goes against the policies of its regulator, it could face sanctions or get its license revoked. A revoked license signals that the operator has done something grievous and that the iGaming authority no longer approves the platform.
Is it Legal to Play at Casinos without a License?
The legality depends on the country or territory you reside in. In some countries, you are allowed to access different gambling sites, whether licensed or unlicensed. In some other places, residents are only permitted to play at casinos licensed under the country or territory’s laws. There are also countries where online gambling is completely banned.
Are there Benefits of Playing at Unlicensed Online Casinos?
Although unlicensed gambling sites pose many risks, here are some reasons people might consider choosing them:
- Anonymity: Unlicensed gambling sites may not involve verification or KYC procedures, thus some players choose them for a higher level of anonymity. However, this may work against you if there are issues with the casino.
- Global Accessibility: Except in jurisdictions where illegal sites are blocked, most unlicensed gambling sites accept players from everywhere. Players in regions where gambling is banned may want to try gambling sites with no license.
- Huge Bonuses: Since there are no regulations restricting them, casinos without licenses can offer huge bonuses. Some players hope to take advantage of these bonuses to play more and earn more money.
Disadvantages of Playing at Unlicensed Casino Sites
While the offerings of a no-license casino might be tempting, they’re very risky. Here, we highlight the disadvantages of playing at online casinos with no license
- Unfair Games: Gambling sites without a license are unable to partner with reputable software providers. Thus, they rely on developers that are not regulated as well. Therefore, the games offered at such sites are most likely unfair and unsafe.
- No Player Protection: Since unlicensed casinos do not follow regulations, they won’t protect players like the regulated platforms. You may not find responsible gambling tools or good customer support systems. Also, it will be difficult to come to a resolution if disputes or issues arise with the gambling platform.
- Risk of Fraud: As mentioned earlier, fraudulent operators offer their services without licenses to help them get away with players' funds. You may not be able to get your prizes after winning and you also risk losing personal or banking information to fraudsters.
- Legal Consequences: Players who live in countries with regulated gambling markets may face punishment for illegal gambling if caught playing at unlicensed casinos. These punishments vary from one country to another.
Final Thoughts: Should You Take Your Chances at Unlicensed Casinos?
If you came here looking for the best-unlicensed casino sites, we hope you can find good alternatives on our platform. Instead of playing at completely unlicensed sites, you can check out casinos that hold licenses that may not be from your jurisdiction. You will find lots of licensed gambling sites that accept players from your country here.
The risks associated with no-license gambling sites are too significant to ignore. You can’t be certain that your details or funds are safe. Worse still, you may be punished for illegal gambling in your country.
These online casinos with no license are unable to offer numerous games as they can’t work with top providers in the industry. They are also unable to partner with reputable online banking processors, so you won’t have many payment options.
Playing at unlicensed casinos simply isn’t worth the risk. Find a regulated gambling site that accepts players from your jurisdiction and enjoy gaming there. Good luck!