Despite being located in the heart of Italy and having a land area of only 61 square kilometers, San Marino is gradually making its presence felt on the European online gambling map. This oldest republic in the world is seeking economic diversification breakthroughs by developing its digital gambling economy. So, what is the current situation of the online gambling market in San Marino? What are the characteristics of its regulatory system? This article will provide a comprehensive analysis for you.
Market Overview: Small in size, but not to be underestimated
San Marino's local population is less than 40,000, but relying on the strong gambling demand and high internet penetration rate of surrounding EU countries, its online gambling business is not limited to the local area. In recent years, San Marino has introduced foreign operators, opened gambling technology platforms, and actively explored the combination of blockchain and gambling, gradually establishing a "low threshold, high compliance" online gambling registration place.
Currently, San Marino has several licensed online gambling companies, mainly providing sports betting, live casinos, electronic slot machines, and virtual sports services to markets in Italy, Spain, and Eastern Europe. At the same time, due to its stable legal environment and relatively friendly tax burden, some gambling technology providers have also started to set up servers and compliance entities in San Marino.
Regulatory Framework: Led by the National Gambling Supervisory Authority
The gambling industry in San Marino is regulated by the National Gambling Supervisory Authority (AAMS-SM, Autorità di Regolazione del Gioco), which was established around 2010. Initially, it mainly regulated physical gambling (such as national lotteries, gambling halls), but in recent years it has gradually expanded its regulatory scope to the online domain.
All online gambling operations must be approved by AAMS-SM to obtain San Marino's Remote Gaming License. The license is divided into B2C and B2B categories, aimed at operators and platform technology providers respectively. Applicants need to provide company registration documents, AML (Anti-Money Laundering) policies, technical compliance descriptions, server hosting information, and undergo background checks.
The regulatory authority also requires all licensed operators to equip themselves with player self-restriction tools, including limit settings, self-exclusion systems, and transparent betting records. San Marino has drawn on the compliance experience of mature markets such as the UK and Malta in this regard, striving to balance player interests and industry development.
Tax Policy and International Competitiveness
San Marino implements a relatively flexible tax policy on gambling income. Depending on the type of operation and market scope, the tax rate generally fluctuates between 15% and 20%, much lower than in Italy (up to 25%-35%) or the French market. Coupled with no VAT and lower corporate income tax, this gives San Marino a certain offshore competitive edge.
Furthermore, San Marino has not yet been listed on the "high-risk gambling jurisdiction" list by major countries, which is an important advantage for small and medium-sized operators looking to expand into the EU market.
Development Prospects and Challenges
Although the online gambling market in San Marino is limited in size, due to its flexible regulatory framework, low tax burden, and advantageous geographical location, it has the potential to become a "small European compliance hub." In the future, if it can continue to strengthen AML standards, technical certifications (such as ISO, GLI), and player protection mechanisms, its attractiveness is expected to further increase.
However, challenges also exist. As a non-EU country, how San Marino maintains compliance coordination and avoids "gray area" operations under the trend of EU regulatory integration still requires continuous dialogue and upgrades between regulatory authorities and the industry.
Conclusion:
San Marino may be small in area and population, but in the digital gambling world, it is emerging as a "boutique compliance market." For medium-sized operators seeking to enter the European market and wanting to avoid the complex approval processes of large regulatory areas, San Marino offers a new option worth considering.
