Gambling Licensing Terms

An extensive vocabulary of gambling and iGaming terms and concepts related to the licensing industry. Here you will find all unknown abbreviations, terms or phrases used on our website or third-party resources.

A

AML (Anti-Money Laundering) – Policies and procedures designed to prevent illegal funds from entering the gambling system. These measures include customer verification, transaction monitoring, and reporting suspicious activities.

Account Blocking – The ability to restrict player accounts that violate terms of service or show signs of problematic behavior. This tool helps operators maintain security and enforce responsible gambling policies.

Account Verification – The process of confirming a player’s identity through official documents and checks. This is a mandatory step before allowing real-money gambling activities.

Affiliate License – A permit required for companies or individuals who promote or market gambling services. This ensures marketing activities comply with regulatory standards and responsible advertising practices.

Age Verification – The mandatory process of confirming that players meet the legal gambling age in their jurisdiction. This typically requires submitting official identification documents.

Alternative Dispute Resolution (ADR) – An independent service that helps resolve conflicts between gambling operators and customers. ADR provides a fair and impartial process for addressing complaints.

Audit Trail – A chronological record of all gambling transactions and system activities. This documentation is essential for regulatory compliance and investigating potential issues.

B

B2B Gaming License – A license specifically for companies providing software, platforms, or services to other gambling operators. This type of license focuses on the technical and operational aspects of gambling solutions.

B2C Gaming License – A license for operators who directly offer gambling services to consumers. This license type includes specific requirements for player protection and responsible gambling measures.

Betting Exchange – A platform where users can bet against each other rather than against the house. These platforms require specific licensing provisions due to their peer-to-peer nature.

Binary Options – A form of gambling where players predict whether an asset’s price will rise or fall within a specific timeframe. This activity often requires specialized licensing due to its financial nature.

Blacklist – A register of prohibited persons, companies, or jurisdictions that are banned from participating in gambling activities. Operators must regularly check these lists to maintain compliance.

Blockchain Gaming License – A specialized license for operators using cryptocurrency and blockchain technology in their gambling operations. This includes specific requirements for digital asset handling and transparency.

Bonus Abuse – The practice of exploiting promotional offers through multiple accounts or other means. Operators must have systems to detect and prevent such activities.

Brand License – Permission to use a specific brand name or intellectual property in gambling operations. This is often required when operating under a white label agreement.

C

Certification Authority – An organization that verifies the fairness and randomness of gambling software and systems. Their approval is often required for licensing.

Chargeback Monitoring – The process of tracking and managing payment disputes from players. This helps prevent fraud and maintain financial compliance.

Compliance Audit – A formal review of an operator’s adherence to regulatory requirements and license conditions. These audits are typically conducted periodically or when concerns arise.

Cross-Border Gaming – Gambling services offered across multiple jurisdictions. This requires understanding and complying with various regulatory frameworks.

D

Data Protection Officer (DPO) – A person responsible for ensuring compliance with privacy laws and protecting player data. This role is mandatory in many jurisdictions.

Deposit Limits – Restrictions on how much money players can add to their gambling accounts within specific timeframes. These are required responsible gambling measures.

Direct Mail Permission – Authorization to send promotional materials to players through postal services. This requires compliance with both gambling and privacy regulations.

E

E-Gaming License – A permit specifically for online gambling operations. This covers various forms of internet-based gambling activities.

Enhanced Due Diligence (EDD) – Additional verification steps required for high-risk customers or transactions. This includes more thorough background checks and monitoring.

External Lottery Manager (ELM) – A licensed entity that manages lottery operations on behalf of another organization. This role requires specific regulatory compliance.

F

Financial Security – Mandatory reserves or guarantees that operators must maintain to ensure they can pay out winnings. This is a key licensing requirement.

G

Game Testing – The process of verifying that gambling games operate fairly and as advertised. This must be done by approved testing laboratories.

Gaming Mathematics Certification – Verification that game odds and return-to-player rates meet regulatory requirements. This is crucial for maintaining fair gaming standards.

Geo-Blocking – Technology that restricts access to gambling services based on user location. This ensures compliance with territorial licensing restrictions.

H

High-Value Customer (HVC) Program License – Special permission to offer enhanced services to high-spending players. This includes additional responsible gambling requirements.

Host License – Permission to physically host gambling equipment or servers. This is relevant for both land-based and online operations.

I

Internal Control System (ICS) – Documented procedures for managing all aspects of gambling operations. This is a key licensing requirement in most jurisdictions.

IP Blocking – Technology to prevent access from unauthorized locations or suspicious IP addresses. This helps maintain territorial compliance.

L

Live Dealer License – Specific permission to offer games with real-time human dealers. This includes additional requirements for studio operations and streaming.

M

Machine Games Duty (MGD) – A tax on gaming machine income in certain jurisdictions. Operators must track and report this accurately.

Market Access Agreement – A contract allowing operators to enter specific gambling markets. This often involves partnerships with local licensed entities.

Master License – A comprehensive permit allowing holders to sublicense their rights to other operators. This typically involves additional responsibilities and oversight requirements.

Match-Fixing Prevention – Procedures to detect and prevent manipulation of sporting events. This is crucial for sports betting operators.

Multi-Jurisdiction License – Permission to operate in several territories under a single licensing framework. This requires compliance with various regulatory standards.

N

Non-Remote License – Permission to operate physical gambling establishments. This includes specific requirements for premises and security.

O

Operating License – The primary permit needed to run gambling activities. This covers the core aspects of gambling operations.

P

Payment Processing License – Permission to handle gambling-related financial transactions. This includes specific requirements for payment security and anti-fraud measures.

Peer-to-Peer Gaming License – Permission to operate platforms where players compete against each other. This includes specific requirements for fair play and fund security.

Personal Management License (PML) – Required for individuals in key operational roles within gambling companies. This ensures proper oversight of critical functions.

Player Fund Protection – Requirements for segregating and safeguarding player deposits. This typically involves separate bank accounts and regular audits.

Problem Gambling Detection – Systems and procedures to identify and assist players showing signs of gambling addiction. This is a crucial responsible gambling requirement.

R

Remote Technical License (RTL) – Permission to provide and maintain gambling software and systems. This focuses on technical standards and security requirements.

Risk Assessment – Regular evaluation of potential threats to regulatory compliance and player protection. This helps maintain effective control systems.

S

Self-Exclusion Program – A system allowing players to voluntarily ban themselves from gambling activities. This is a mandatory responsible gambling feature.

Software Provider License – Permission to develop and supply gambling software to operators. This includes requirements for game fairness and technical standards.

Source of Funds Verification – Procedures to confirm the legitimacy of player deposits. This helps prevent money laundering and fraud.

T

Technical Standards Testing – Verification that gambling systems meet required technical specifications. This must be conducted by approved testing facilities.

Test House Certification – Approval from authorized laboratories confirming that games and systems meet regulatory requirements. This is typically required before launching new products.

Third-Party Integration License – Permission to connect external services with gambling platforms. This includes specific security and compliance requirements.

Transaction Monitoring System – Software that tracks and analyzes gambling and financial activities for suspicious patterns. This is crucial for AML compliance.

V

Virtual Sports License – Permission to offer simulated sporting events for betting. This includes requirements for fair random number generation.

Vulnerability Assessment – Regular testing of systems for security weaknesses. This helps maintain the integrity of gambling operations.

W

Warm Standby License – Permission to maintain backup systems for disaster recovery. This ensures continuous operation in case of technical issues.