The Director General of the Gaming Control Board (GCB), Cedric Pietersz, stated that there has been a surge in interest in entering the Curaçao gaming market as the regulatory body seeks to improve its licensing process to meet demand.
Last month, Pietersz told iGB that the Curaçao regulator received 740 online gambling license applications during the H1 window that ended in April. He expects another 300 applications in the coming months with the latest licensing window opening in July.
He acknowledged that if the GCB wants to meet the eight-week licensing period under the new regulatory framework, it needs to improve its infrastructure.
"We need to strengthen our internal processes and resources to handle so many applications," Pietersz said. "We currently process about 10 applications a week, but we hope to increase our capacity to 20 or 30 per week."
He hinted that the entire process might be delayed as the regulatory body prepares new legislation. "From a regulatory perspective, when you are transitioning a system, you would want it to be as short and effective as possible. But when you are dealing with many aspects, things can get a bit tricky. You have to consider the many goals or purposes or concerns that people might have in this process.
"I believe both the government and GCB want to speed up the licensing process, but we have to face the reality of many changing factors."
New Framework on Curaçao Island Causes Confusion
This influx follows the new licensing regime and the latest guidelines on how to apply and what the new gambling licenses cover.
The nine-page document clearly states that if an application request includes three forms, it will be considered complete: an online gaming application form; a personal history disclosure form; and a company and business information form.
The new regulatory framework, known as the National Opportunity Games Ordinance (LOK), was first established in September 2023 and will be fully implemented in the fourth quarter.
The current first master license on Curaçao Island expires on August 18. After that, three more master licenses will expire, with the last one expiring on January 31, 2025. The new system will abolish the master licenses, causing confusion and exacerbating delays for applicants.
"[Master license holders] all understand why we must change. GCB hopes to be their partner in this process," Pietersz added.
"We explain to them that our goal is not to push them out of the industry. They have established brands and reputations, but they should change the way they operate."
Increased Complexity
Another layer of complexity comes from the now accepted multiple application types from B2B, B2C, and B2B2C operators. "We have to accommodate a large number of applications," Pietersz said. "On the other hand, the quality of applications is not ideal.
"Many applications are stopped when they enter our clarification process because of missing documents. What we see is that even at the first step, we have to send many applications back, which means we need more time to process them."
GCB hopes to speed up the licensing process through continuous communication. He said the regulatory body has been in close communication with existing license holders to help them complete the reapplication process.
New Enforcement Functions May "Punish" Unlicensed Operators
The new regulations are expected to improve the country's reputation as a haven for gray market operators. Curaçao's Minister of Justice, Javier Silvania, previously stated that LOK will act as a "safety net" against these unlicensed players.
Pietersz believes that GCB will be able to maintain regulations through new enforcement functions and penalize operators who do not comply with the rules.
"Operators need to make an effort to adapt, but from GCB's perspective, we are also establishing enforcement functions, not to punish operators, but we will do so if necessary," Pietersz said.
"We maintain good relations with foreign regulatory bodies, so when we receive complaints from regulatory bodies, GCB contacts them and hopes they make the necessary arrangements to correct the situation. GCB has the authority to escalate the situation to revoke their licenses."
One example is the gambling operator Bovada, which held a license in Curaçao and operated illegally in various states in the US for many years until it was blocked earlier this year by Michigan and Colorado.
