Malta Gaming Authority issues controlled Skill Games License to DraftKings; regulations will protect consumers, while bringing sports fans in Europe closer to the sports they love
DraftKings Inc., has announced that its subsidiary, DK Malta OpCo Ltd., has been granted a Controlled Skill Games License from the Malta Gaming Authority following Malta's recent introduction of a new regulatory regime for certain games of skill.
DraftKings is the world's largest skill-based Fantasy Sports platform, allowing players to compete in daily or weekly Manager Game-type online contests across the largest variety of professional sports, including seven leagues of Football (soccer), North American Sports (NFL, MLB, NBA, NHL, CFL & NASCAR), Mixed Martial Arts, Golf (PGA & European Tour) and eSports.
The Skill Games License will enable DraftKings to operate in Malta and other select European countries. DraftKings intends to begin offering FS contests in some markets later in the first quarter of 2017, with additional countries to follow.
"Malta's intention to regulate digital skill games with a prize was first announced in December 2014 when the MGA published a consultation document. From then onwards, the MGA sought the input of various industry stakeholders and experts in order to develop a framework which facilitates the development of the sector, while ensuring adequate protection for players and fairness of the games", said Joseph Cuschieri, Executive Chairman of the Malta Gaming Authority.
"We have taken a responsible, fair and less conservative approach in order to enable companies such as DraftKings, in obtaining a license to operate in Malta and other European countries, whilst protecting the consumers. Such a regulation will again put Malta at the forefront in the sector of the digital economy", said Minister Dr Emmanuel Mallia.
DraftKings' announcement comes nearly a year after it began successfully operating in the United Kingdom. With more than seven million registered players worldwide, DraftKings has experienced significant growth since its 2012 inception. In the United Kingdom, DraftKings has averaged nearly 20 percent month-over-month growth of its user base in the first nine months of operation, outpacing the growth curve of the US launch for the same time period.
"We are excited to embark on this important phase of our international expansion," said DraftKings co-founder and CEO Jason Robins. "We are pleased that Malta has recognized the need for special licensing of daily fantasy sports and other skilled based games. The Malta Gaming Authority is an innovative organization and it is clear that they have put a lot of thought and rigor into this process."
The strength of the company and success in the United Kingdom underpins DraftKings' further European expansion.