Gaming licensing in Anjouan

Regulatory amendments in several popular jurisdictions in the gaming industry have prompted many companies to look for other alternatives. One of the destinations that is generating growing interest is Anjouan – a relatively small jurisdiction that is known to offer a flexible licensing solution, especially against the backdrop of the changes in Curaçao which, up until recently, was an attractive jurisdiction for companies in the gaming industry.

Although Anjouan has only recently made headlines as a destination offering a licensing solution, it is important to note that regulation of the gaming industry on the island is not entirely new. In fact, the Licensing and Regulation of Gambling in Anjuan Law was adopted back in 2005. Over the nearly two decades that have passed since then, Anjouan has established a legal framework enabling licenses to be issued to gambling site operators. Until recently, the number of operators who took advantage of this license was relatively small and Anjouan remained on the sidelines compared to other jurisdictions.

In recent years, the island has made organizational changes to improve the licensing process. In 2023, a separate entity called Anjouan Licensing Services Inc. (ALSI) was established, which was delegated with the responsibility for managing and carrying out the gambling licensing process on behalf of the island’s authorities. The purpose of this course of action is to streamline the handling of licensing applications, to strengthen the supervision of operators’ compliance with the statutory requirements, and to increase transparency and access to information concerning the licensing procedures. Ultimately, gaming licensing in Anjouan is relatively old regulation that has already been in effect for approximately 20 years, however at a limited volume. Interest in the island on the part of players in the gaming industry has spiked only recently.

What makes gaming licensing in Anjouan unique?

The license issued to online gaming operators by the Anjouan authorities is known to be attractive in regulatory terms, due to several key features:

• Flexible requirements and low entry threshold: the process of obtaining a license in Anjouan is considered relatively friendly. Due diligence examinations are carried out and there are standard requirements, but beyond that, the conditions are perceived to be lenient compared to western countries.
• Availability and speed of the process: obtaining a gaming license in Anjouan is faster than in other countries. Instead of approval procedures that can take many months, in Anjouan, applicants can usually obtain a license in a relatively short time after completing all the requirements. Annual license renewals are also relatively simple, subject to filing annual reports and paying the appropriate fees.
• Cost and economic incentives: Anjouan offers an economic advantage – the licensing fees are significantly lower than in other established markets.
• “Comprehensive” license and business flexibility: a variety of types of activities may be operated under an Anjouan license – online casino, sports betting, poker, bingo, lotteries, etc. – without needing separate permits for each activity. Furthermore, an Anjouan license is valid for both B2C operators (business to customers) and B2B providers (such as software and content-providers to the industry), which increases the flexibility and business possibilities under this license.

All of these features make an Anjouan license a convenient and friendly alternative for fintech and gaming companies, and are now a practical and attractive solution for legitimate international operations. The question however remains as to whether the growing interest in an Anjouan license is a passing trend, or whether Anjouan will position itself as a sustainable long-term solution in the global gaming industry.

We recommend that companies operating in the industry should carefully examine the jurisdiction from which a license will be issued, especially considering the market dynamics and the fact that it is a high-risk industry. Choosing a license should be based not only on the costs or ease of the licensing process, but also on important operational considerations – such as the ability to connect to clearing services that will recognize the license, and the possibility of actually operating in the target markets. We are at your service to advise and assist you from the decision-making stage, particularly to assist you ensure that the jurisdiction and license are optimal, considering the nature of your business activities.