Tobique

Gambling License

Requirements of Tobique Gaming License

To get a Tobique gaming license, operators must set up a company, provide business and personal documents, prove financial stability, and pass background checks. They must follow anti-money laundering and responsible gaming rules, have a working gaming website, and appoint a compliance officer. The application process takes about 1-4 months

How to Start a Gambling Company in Tobique

Starting a gambling company in Tobique First Nation involves several key steps. First, you need to choose a business structure, such as a limited liability company (LLC) or an international business company (IBC). 

The Tobique Gaming Act 2023 allows both local and international businesses to operate under its licensing framework. This means you can register your company in another business-friendly jurisdiction while obtaining a Tobique Gambling License to legally run your gambling operations.

While not necessary, you have the option to open a company in Tobique First Nation. However, since Tobique First Nation is a self-governing Indigenous territory, business registration may require approval from the Tobique Council and local authorities.

Since Tobique doesn’t require to set up a local entity, we recommend a straightforward yet effective structure: a Costa Rica substance company directly acquires the Tobique license. This company would then work with a Cyprus-based service provider under a Money Transmission framework to manage operations. 

The Cyprus-services company takes an active role in this flow, and earns a commercial fee–usually a small cut of the processed volume. In this case, we’ve used a 5% fee as a working figure. To stay on the right side of tax authorities, a transfer pricing report may be needed to justify this percentage as market-standard. 

That fee is taxed in Cyprus. After dedicating costs like bookkeeping or legal, the remaining profit is subject to 12.5% corporate tax – the current local rate. 

The Cyprus part of the structure must show real presence. That includes an actual office, local employees who fit the scope of the work, spending that reflect business activity, records kept on-site, filling reports with the tax office that show who’s working, what the company’s doing, and where the money’s going. 

For example, if the Cyprus company books €1,000,000 in revenue and keeps 5% (€50,000), it pays tax only on the profit after expenses are subtracted. 

One way or another, you will then need to prepare the necessary documents, such as proof of business name registration and details about your business structure. Once everything is ready, you must submit an application to the designated local authority.

After registration, you must open a corporate bank account with a financial institution that accepts gambling businesses and set up payment processing for deposits and withdrawals, including credit cards, e-wallets, and cryptocurrency options.

Next, you need to develop or acquire gambling software that meets security and compliance standards. You can either build a custom platform, partner with a software provider, or use a white-label solution.

Once your platform is ready, you can launch your gambling business, promote it through marketing, and focus on customer engagement and trust. After setting up your company, you can apply for a Tobique Gaming License to operate legally and expand your business.

Types of licenses for gambling in Tobique

The Tobique Gaming Commission offers different types of gambling licenses:

Online Gaming License (B2C): For companies that run online casinos or sports betting sites and offer games directly to players.

Gaming Software License (B2B): For businesses that create and sell casino or sports betting software to other gambling operators.

Vendor License (B2B): For companies that provide services to the gaming industry, ensuring they meet regulatory standards.

Each license allows businesses to operate legally based on their role in the gambling industry.

Overview of Tobique Gambling License

The Tobique Gaming License is a new but fast-growing option for online gaming businesses. It is issued by the Tobique First Nation and regulated by the Tobique Gaming Commission (TGC), which oversees all gambling activities in the region.

The Tobique First Nation is an Indigenous community in New Brunswick, Canada, and part of the Wolastoqiyik (Maliseet) Nation. In 2023, the Tobique First Nation established the rules for gambling in the Tobique Gaming Act 2023. It was created to ensure gaming businesses operate fairly, transparently, and responsibly while also helping the local economy grow. The law protects players, prevents illegal activities, and ensures that gambling businesses follow strict guidelines.

Since then, the Tobique license has become popular because it offers a simple application process, lower costs, and a flexible regulatory system. It covers a wide range of betting activities while ensuring fair operations, legal compliance, and player protection.

Renewing Tobique Gambling License

After obtaining a Tobique gambling license, it is crucial to stay compliant with all regulatory and legal requirements. Failing to do so could put your business at risk and make it harder to renew your license. The license is only valid for one year, so if you want to keep operating, you’ll need to pay the annual renewal fee.

To renew the license, you need to submit updated documents, including proof of financial stability, compliance with anti-money laundering (AML), counter-terrorism financing (CTF), anti-fraud, and crypto policies, as well as player protection measures.

You’ll also need to show that you follow player protection rules, responsible gambling policies, and report any changes in ownership, directors, or major shareholders.

It’s important to start the renewal process before your current license expires to avoid disruptions. The Tobique Gaming Commission will review your application to ensure you’re still meeting all the necessary requirements. If all requirements are met and the renewal fee is paid, the license will be extended for another year.

Continuous compliance with financial crime regulations and player protection policies is essential for successful renewals and the smooth operation of your gambling business.

Gambling Regulations in Tobique

The Tobique Gaming Commission (TGC) is the official authority that oversees gambling in Tobique. It is responsible for issuing licenses, monitoring businesses, and enforcing rules to make sure all gaming activities are fair and honest. The members of the commission are appointed by the Tobique First Nation Council.

There are different types of gambling licenses available. Businesses can apply for licenses to run online casinos, sports betting, lotteries, and gaming software services. Every license is valid for one year and must be renewed annually.

Businesses using a Tobique gaming license are required to meet a clear set of compliance rules. These include:

• Following EU AML Directives 4, 5, and 6 if offering service in the EU 
• Appointing a Money Laundering Reporting Officer (MLRO)
• Certifying the RNG and gaming platform through an approved testing lab
• Submitting Bi-weekly player account reports, monthly updates on compliance-related changes, suspicious transaction reports within 24 hours

For player protection and responsible gambling, operators must:

• Run an internal complaints system and support an ADR process
• Offer tools like deposit and wagering limits, cooling-off periods, session limits, and self-exclusion 

• Block users from restricted countries
• Clear show required compliance info in the website footer (license details, privacy policy, AML/KYC, responsible gambling policy, terms, etc.)

The DLAG compliance package–mandatory for all Tobique license holders–costs EUR 7,000 per year. It covers:

• Up to 5 domains (each with up to 1.5 million monthly visits; more traffic is billed separately)
• Integration with self-exclusion platform and therapy access via Omnia Health
• Digital storage of the license certificate 
• Bi-weekly encrypted data backups 
• Quarterly domain reputation audits
• Optional geo-blocking setup: EUR 200 one-time activation, EUR 35/month per region

Operators are also responsible for promoting responsible gambling. This means they need to give players the option to self-exclude if they struggle with gambling addiction. They also have to verify every player's identity and age, as the minimum age for gambling is 18. Gambling websites must be transparent, showing their license details and responsible gaming policies so players understand the rules and risks.

On the financial side, licensed businesses must keep proper records and submit quarterly financial reports to the Tobique Gaming Commission (TGC).

If a business breaks the rules, the Tobique Gaming Commission has the power to investigate, suspend, or even cancel its license. Businesses that fail to comply with regulations can be fined up to $25,000.