Curaçao Pledges to Tighten the Screws on Illegal Gambling Operators

Curaçao’s Gaming Control Board (CGA) issued a stern warning to operations that offer gambling services from the island without a valid local license, marking a decisive shift in how the jurisdiction handles illegal gaming operations. This development signals a more aggressive regulatory policy as the country works to shed its reputation as a haven for black market operators.

A CGA License Is Mandatory for All Curaçao Operators

Under Article 1.2 (1) of Curaçao’s National Ordinance for Games of Chance (LOK), any company organizing or operating games of chance from Curaçao must possess a CGA-issued license. The law leaves no room for interpretation: entities based in Curaçao operating under foreign licenses are in breach of regulations. The CGA warns that such entities may violate not only local gaming laws but Curaçao’s Criminal Code.

Many Curacao-registered companies are holding foreign operating (“B2C”) licenses. Not only is this illegal, but this creates false and misleading impressions to third parties.

CGA statement

According to the CGA, offending companies can soon expect formal cease-and-desist letters. The authority will begin rolling these out over the coming days, with further enforcement action planned if noncompliance persists. Curaçao’s new strategy should hopefully answer longstanding concerns and restore confidence in its gambling regulation. 

Curaçao has long faced criticism from other jurisdictions for its lenience on island-based operators that target foreign markets with little oversight. Japan’s Ministry of Internal Affairs and Communications has been especially outspoken, repeatedly petitioning Curaçao authorities to shut down sites taking bets from Japanese residents without local approval. Japanese authorities assert that such entities evade taxation and do not offer adequate consumer protections.

Effective Enforcement Is Imperative

The CGA’s renewed scrutiny follows the country’s recent overhaul of its regulatory regime. The legislation tightens the rules for license holders and enforces stricter compliance obligations. All licensed operators must submit regular financial reports, maintain records of their operational integrity, and implement responsible gaming provisions. These include systems to identify and support at-risk players, as well as transparent self-exclusion options.

Despite the CGA’s warnings, the initiative’s success will depend on the regulator’s ability to enforce the rules it sets. While Curaçao’s gambling regulation has long been perceived as more theoretical than practical, the current crackdown could mark a turning point. Cleaning up the sector should also help attract higher-quality investors and international partnerships, bringing long-term benefits.

The next few months will be a test for Curaçao. If the country maintains robust enforcement, it can begin to shed its reputation as a hub for offshore operators exploiting regulatory loopholes. Otherwise, the island can expect to face continued criticism from foreign governments and international watchdogs as more jurisdictions turn their attention to protecting consumers from illegal entities.