Malta to introduce DFS-only licence
New framework expected to make Malta the "centre of European DFS market"
The Malta Gaming Authority (MGA) has announced plans to introduce a specific DFS licence which will designate the activity a game of skill rather than gambling.
The regulator said the element of skill and knowledge involved in fantasy sports meant it should be differentiated from games of chance in terms of licensing and regulation.
A full regulatory framework is expected to be in place by the end of the year and could attract an influx of DFS operators to the Mediterranean island, according to DFS firm Oulala.
The provisional regulations define fantasy sports as: “A contest played for money or money’s worth whereby the winning outcome is determined predominantly through the skill or knowledge of the player, and where the results are determined by the accumulation of statistical results of the performance of a number of individuals in sporting events, but shall not include the forecast of the score, point spread or any other future occurrence of one or multiple events.”
The wording mimics a growing amount of similar legislation from US states, which also defines DFS as a skill game and therefore legal under US law.
”This is the first step in a process that will see Malta become the first major European country to offer a real skill game licence,” said Valery Bollier, CEO of Malta-based operator Oulala.com. “It is therefore a very exciting moment for our industry and for Malta.
“Malta being the first major European country to offer a skill game licence means it will attract the attention of the entire European DFS market and place itself firmly at the forefront of the DFS revolution.”
At present, DFS firms looking to operate in regulated markets like the UK must apply for a standard betting licence, meaning they will legally be treated like a sportsbook or a casino, which operators claim is harming the industry.