Curaçao extends provisional licences for six months

The Curaçao Gaming Authority (CGA) has announced a six-month extension to its provisional gambling licences, with certain operators cleared to continue offering services until at least 24 December.

This is despite the new licensing framework coming into force in December, which prohibits the use of licences awarded under the former regime

Under the new rules provisional gambling licences issued through the National Ordinance for Games of Chance (LOK) were due to run for an initial six months to 24 June. However, the CGA will now extend this by another six months for select operators.

The extension applies to both ‘Green Seal B2C’ entities and ‘B2B’ licence holders in Curaçao. Applicable operators will receive their updated licences on or before 27 June.

The CGA said this extension will grant licence-holders additional time to ensure they are fully compliant with rules and regulations in Curaçao. Should this be the case, they will be eligible for a full licence at the end of the extended provisional period.

“Operators licensed by or after 25 December 2024 should be compliant or show significant progress in relation to their issued checklists including additional requirements under LOK during the first six-month period from the date of issuance of their provisional licence,” the CGA said in a statement released on Tuesday

“An extension of up to a maximum of six months, or the issuance of a full licence, will depend on the level of progress demonstrated by the operator.”

Under the new structure, operators and suppliers are required to adhere to much stricter regulatory requirements. Operators must provide a dispute resolution portal to help solve payer disputes and prevent them from progressing to court.

The new licensing system also sought to improve the market’s AML rules and boost its overall reputation as a heavily compliant market.

Rocky road to new regulation in Curaçao

But Curaçao’s journey to its updated regulatory framework has faced challenges.

The LOK was in development since September 2023, when the CGA first established its new licensing window process. An influx of new licence applications in the summer last year, set back the licensing process, as many failed to submit the appropriate documentation in the first stages.

Amid the changes, a host of master licences in Curaçao expired. The CGA opened a licensing window on several occasions to allow B2C, B2B2C and B2B operators to submit applications for new licences.

But an influx of new applications in the summer of last year set back the licensing process, as many failed to submit the appropriate documentation in the first stages.

All this came against a backdrop of corruption reports related to the licensing process. The allegations, which also included fraud and money laundering, came from local politician Luigi Faneyte, a member of the opposition Real Alternative Party.

Fanayte filed a report with the attorney general’s office in November, He claimed gambling licences were issued without legal basis, which in turn led to financial losses.

However, the GCA rejected the allegations, defending what it describes as a “comprehensive licensing process”.