Monday 21 April 2025

Clear

15°C

© MaltaInvest.mt

Malta’s role as a global pioneer in the online gambling industry exemplifies the country’s economic and political savvy.

Despite its blueprint for the sector being emulated worldwide, Malta remains a thriving iGaming hub, home to over 350 licensed operators, including giants such as Bet365 and Kindred Group. This significant concentration accounts for more than 10 per cent of the global online gaming market, contributing €1.4 billion annually to the Maltese economy. To appreciate the industry’s scale, consider that nearly half of Malta’s entire internet bandwidth is dedicated to iGaming activities, underscoring its critical role in the nation’s economic fabric. The industry supports over 10,000 multinational professionals and has fostered an ecosystem of innovation and collaboration, with substantial economic spillover effects.

 

Number of companies holding an MGA licence

20192020202120222023
No. of companies284314332338305
Additional companies falling under Corporate Group Licence86141165134148

Source: MGA

Related Content

Europe’s iGaming Hub Remote Gaming Licensing and Regulation Esports Video Game Development Extended Reality Basecamp
Image

Regulatory responsiveness

Malta’s regulatory framework, the first of its kind in the European Union, continues to set the standard by facilitating a smooth, responsive partnership between the regulator and industry stakeholders. This collaboration ensures that Malta remains at the forefront of legal and technological advancements, maintaining its reputation as a leader in the iGaming sector and as a nexus of opportunities for synergy.

Malta’s commitment to staying on the cutting edge has led to the introduction of groundbreaking legislation on Distributed Ledger Technology (DLT), also known as blockchain, allowing operators to accept Bitcoin and other virtual currencies. The EU’s Markets in Crypto-Assets Regulation (MiCA) draws extensive inspiration from Malta’s legislative framework, with clear and unmistakable similarities.

Image

Continued industry leadership

The iGaming sector has shown remarkable resilience, continuing to expand, despite challenges related to a shortage of employees, inflationary pressures and aggressive competition from other jurisdictions. Between 2019 and 2023, the industry’s gross value added (GVA) grew by 25 per cent to stand at €1.4 billion, representing around 7 per cent of Malta’s total GVA. Employment in the sector also saw steady growth, and 62 per cent of operators expected gaming revenue to increase in 2025. Confidence remains high, with most companies planning to expand their workforce.

 

Gaming GVA

20192023
Gross Value Added (in billions)1.11.4+25% between 2019 and 2023

Source: MGA. Data corresponds to December 2023 figures. 

On the regulatory front, Malta demonstrated its continued support for the industry by introducing a new law in mid-2023 (Article 56A of the Malta Gaming Act), which protects Malta-licensed operators from legal liability resulting from gambling activities covered under their MGA licence. This provision shields operators from foreign court judgments that may declare an activity illegal, as long as it is legal in Malta and the operator is licensed to provide it.





Emerging trends

Emerging trends that will shape the industry’s future include the increasing dominance of mobile gaming, with 53 per cent of player activity in Europe conducted on mobile devices. The development of blockchain technology and the metaverse in gaming is also gaining momentum. Malta, a leader in regulating Distributed Ledger Technology for gaming, is reinforcing its reputation as a forward-thinking jurisdiction. Meanwhile, investment in virtual, augmented and mixed reality is growing, driven by the demand for more personalised gaming experiences.

In 2023, for the first time, the number of licensed operators active on the B2B front eclipsed those working on B2C activities. The products and services provided by the B2B firms in Malta are in demand by both local B2C operators and foreign-regulated entities seeking the safeguards provided by a Maltese licence.

Investing in iGaming

As the global market evolves, particularly with the introduction of national regulations across Europe, the iGaming industry faces new challenges, including rising compliance costs and market fragmentation. Protectionist measures mean access to consumer markets is no longer guaranteed. However, Malta’s MGA licence remains a highly valuable asset for operators with global ambitions, particularly those expanding into burgeoning markets in North and South America. On the B2B front, Malta boasts an impressive pedigree, hosting leading developers and platforms that power the global industry, built on years of experience. For visionary entrepreneurs and bold investors, Malta’s shifting iGaming landscape represents boundless opportunities.

For investors and entrepreneurs, establishing a base in Malta offers the added benefit of the jurisdiction’s and regulator’s deep expertise across all aspects of the iGaming industry. This includes technical, legislative and business realities, as well as social considerations like responsible gaming and safeguards against addiction.

With deep roots in the country, strong Government backing and a robust regulatory framework, Malta’s iGaming sector is well-positioned for continued growth, ready to capitalise on the opportunities presented by the industry’s global expansion.

Image

Explore More