Curaçao Regulator Targets Unlicensed Local Gambling Operators

The Curaçao Gaming Control Board (GCB) has launched a crackdown on local gambling operators without CGA-issued licenses. Companies operating on the island but not regulated there are now in breach of national law, no matter the foreign licences they may hold. This is in accordance with the National Ordinance for Games of Chance (LOK), a new reform that aims to improve Curaçao’s regulatory credibility.

What Sparked the Crackdown on Local Operators?

Curaçao’s gambling market has always operated under a master licence regime, which has allowed sub-licensees to operate with minimal direct oversight. Many companies have taken advantage of this system by registering on the island but running operations on foreign B2C licences, technically avoiding Curaçao-issued permits.

Under Article 1.2(1) of the new LOK law, companies cannot offer gambling services in or from Curaçao without direct authorisation from the CGA. Translation: the grey area is gone, and unsurprisingly, some companies have been reluctant to seek proper licensing or exit the Curacao market, hence the crackdown.

What the GCB Plans to Do

The GCB plans to take the following measures to stop illegal operations:

• Sending formal cease-and-desist letters to non-compliant operators
• Investigating Curaçao-based companies that currently use only foreign licences
• Penalising entities that falsely claim to hold Curaçao licenses
• Warning service providers, including payment processors and hosting platforms of legal risk for partnering with unlicensed companies
• Requiring all local operators to apply for CGA licensing

Operators that continue using offshore licences while claiming Curaçao registration may face prosecution under the national criminal code. The GCB also cautioned third-party enablers such as hosting or payment services that they could be implicated if they are found to knowingly support unlawful activity.

Impact on Local Operators and Public Perception

Players and companies have yet to feel the full impact of the crackdown, as many unlicensed operators remain active. However, expectations are high that the enforcement push will significantly reshape the landscape for smaller gambling businesses in Curaçao.

Public reaction is mixed. Some see the move as long overdue and one that will bring much-needed order to a disorganized sector with so much potential, while others view it as a disruption that unfairly targets small gambling businesses still trying to establish themselves.

In an effort to ease gambling businesses into the new regulatory territory, though, “Green Seal” licences have been extended until December 2025. But even with that support, many older businesses are still unclear about how they’re supposed to meet the new rules and fully adapt to the updated licensing system.

Curaçao’s Larger Regulatory Overhaul

The current crackdown is part of a broader reform programme to move away from the master licence model that the CGB now considers outdated. Under LOK, the CGA is building a new licensing framework aimed at restoring international confidence.

The transition not only modernises Curaçao’s domestic approach but also reduces the risk of the island being labelled a soft-touch regulatory haven.

Industry Reactions and International Significance

The iGaming industry is watching Curaçao’s reform closely. For operators, the crackdown means tighter scrutiny and higher costs on one side and the potential for more stable operations under a recognised legal framework on the other.

Payment processors, affiliates, and software providers are likewise reassessing partnerships with unlicensed or provisional operators. European and North American regulators have long criticised Curaçao’s lax system, and this decisive action looks to repair that image and open doors for Curaçao-licensed brands to access more regulated markets.

Enforcement Challenges to Watch

The question many critics are asking is whether or not the CGA can monitor hundreds of companies with limited resources. There is expected to be a lot of legal resistance from long-standing operators that could stall progress.

Uncertainty around application procedures and interpretation of the new LOK laws may also get in the way of swift compliance. It may be all down to how quickly and transparently the regulator acts.

A New Era of Accountability?

Curaçao’s push to eliminate unlicensed local gambling operations signals a major shift in how the island governs its gaming sector. The jurisdiction looks to align itself with global regulatory standards by enforcing the LOK and targeting entities operating under foreign licences.

If the crackdown is enforced the right way, it could finally put an end to Curaçao’s long-standing reputation for regulatory arbitrage and mark the start of a more credible oversight era. On the flip side, it might also diminish the regulator’s appeal to certain operators. What happens next may only become clear with the benefit of hindsight.

Sources & Further Reading

• Next.io – Curaçao Gaming Authority threatens legal action on unlicensed operators
• iGaming Express – Curacao targets unlicensed gambling operators
• iGaming Business – Curaçao parliament approves new LOK licensing framework
• Tribuna – Curaçao launches enforcement against offshore gambling operators acting without local license
• Linkedin – Curaçao – Immediate Action Required or Operations Will Collapse