Cryptocurrency gambling operator BC Game has withdrawn its licence from Curaçao due to what it described as an “increasingly hostile” operating environment in the region.
BC Game took the decision yesterday (5 December), although it stressed this will not impact its wider international operations as the operator holds separate gaming licences in several other jurisdictions. However it did not confirm where these are held.
Its decision follows a court ruling in November that declared it bankrupt after failing to pay players funds they were owed. The case was heard by Curaçao’s Court of First Instance and relates to bankruptcy petitions filed by player advocacy network The Foundation for the Representation of Victims of Online Gaming (SBGOK) in October.
After the ruling, BC Game sought to assure its sponsorship partners, which include English Premier League club, Leicester City it “has no issues with liquidity”.
Legal protection for operators “severely lacking”
BC Game outlined concerns over the regulator’s protection of operators in its decision to withdraw from Curaçao released on 6 December. While it recognises efforts to modernise the market, legal protection for operators remains “severely lacking” the company said, particularly its bankruptcy law.
“This dates to 1931 via the Curaçao Bankruptcy Decree, which can easily be exploited by malicious actors and used against legitimate operators,” it added.
“As the global gaming industry faces an increasingly complex regulatory environment, this move is essential in enhancing and maintaining operational strategy to ensure continuity and to realign BC Game with suitably evolved and robust regulatory frameworks for the benefit of its international operations,” the group said.
“Most importantly, it ensures the safety, reliability and security of service for BC Game users.”
The withdrawal follows reports that the operator could face having its Curaçao licence revoked. BC Game was awarded a new look gambling licence earlier this year to comply with a new regulatory framework, dubbed the National Ordinance for Games of Chance (LOK). This was announced in July 2022.
At the time the group said the licence demonstrated its platform’s commitment to “adhering to international regulatory standards and ensuring a secure environment for users worldwide”. It celebrated the new licensing regime for eliminating sub-licensing practices and requiring higher transparency and operational standards.
BC Game hits back at rumours of financial uncertainty
BC Game also took the opportunity to again address rumours over its financial position, insisting once again that its finances are in “good health”.
“Contrary to recent rumours inaccurately circulated questioning our financial position, BC Game further reaffirms to its stakeholders and the public in general that its financial position remains in good health,” the operator said.
“Our international operations remain unaffected and BC Game will continue to fulfil all of its ongoing legal and financial obligations.”
Continuing concerns for Curaçao
BC Game’s decision to exit Curaçao comes after the island’s Gaming Control Board (GCB) last week hit back at corruption claims over its gambling licensing reform.
Luigi Faneyte, a member of Curaçao’s opposition Real Alternative Party, made allegations suggesting gambling licences were issued without legal basis, leading to financial losses.
Specifically, Faneyte has accused Curaçao’s finance minister Javier Silvania of corrupting the licensing process.
“The GCB has the authority to grant, amend, suspend temporarily, revoke, or deny licenses, as well as attach terms and conditions to licences,” the GCB said. “The allegation that the GCB lacks the legal authority to grant licence is therefore incorrect.”
It also refuted claims that money is being laundered via the licensing process as operators are required to pay their fees directly into an official government bank account and not via the online gaming portal.
