To get a sportsbook license, apply to the regulator where your bettors are located: a US state commission or lottery (often through a market-access partner), the AGCO in Ontario, AGLC in Alberta or a national regulator. Expect several months to over a year, owner background checks, fees as high as $25 million in New York, and platform testing.
This guide is for founders, operators and brands planning a sportsbook for the United States or Canada, with notes on other markets. It covers which license fits, what regulators ask for, what licensing costs and what your platform must pass. For the full business plan, including B2B partners and platform budgets, read our guide on how to start a sportsbook.
Sportsbook licensing at a glance
| Question | Short answer |
|---|---|
| Who issues the license? | The regulator where bettors are located: a US state, a Canadian province or a national regulator. There is no federal US sportsbook license. |
| Does one license cover several markets? | No. Each license covers only its own jurisdiction. |
| How long does approval take? | Several months to more than a year, depending on the jurisdiction and your ownership structure |
| What does it cost? | Application, license and investigation fees (up to $25 million in New York), gaming taxes from 6.75% (Nevada) to 51% (New York) of revenue, and in the US a 0.25% federal excise tax on each wager |
| Who needs approval? | The operator and, in most regulated markets, key suppliers such as the platform, odds data and geolocation providers |
| What must the platform pass? | Independent lab testing (for example against GLI-33 in many US states), geolocation, KYC, responsible gambling controls and regulator reporting |
How to get a sportsbook license in 7 steps
- Choose the market and check who can apply. In some US states only casinos, tribes, racetracks or sports venues hold the underlying license, so an online brand needs a market-access partner. In others the state lottery or one chosen operator runs betting. In Ontario and Alberta, private operators register directly.
- Hire gaming counsel in that jurisdiction. Counsel confirms the license class you need (operator, supplier or vendor), the order of filings and any local-entity rules.
- Prepare ownership and suitability disclosures. Regulators investigate owners, directors, key staff and sources of funds. Expect personal history forms, financial statements and non-refundable investigation deposits.
- Write your compliance program. AML and KYC policies, responsible gambling, complaints handling, data protection, internal controls and house rules.
- Contract approved suppliers. Platform, odds data, geolocation, KYC and payment providers often need their own license or registration. Confirm their status before you sign.
- Get the platform tested. Many US states require independent lab certification of the event wagering system, for example against GLI-33, plus security testing. Some also require in-state servers and approved house rules.
- Pass pre-launch review and keep the license. After go-live come regulator reports, tax filings, audits, renewals and approval for material changes to the platform.
United States: state sportsbook licenses
There is no federal sportsbook license. Since the Supreme Court decided Murphy v. NCAA on May 14, 2018, each state chooses whether and how to allow sports betting. More than 35 states plus Washington, DC, now allow it, most with mobile wagering; California and Texas do not.
Four state licensing models
- Open markets: several online brands, usually through market-access deals with a casino, racetrack, tribe or sports venue that holds the underlying license.
- Limited-license markets: a fixed number of mobile operators. New York has nine licensed mobile sportsbooks.
- Lottery or single-operator markets: the state lottery or one chosen partner runs online betting, leaving little room for new brands.
- Tribal markets: tribes hold betting rights under gaming compacts, as in Florida.
What US sportsbook licenses cost: three examples
| State | License fees | Tax on sports wagering revenue |
|---|---|---|
| Pennsylvania | $10 million for a sports wagering certificate (held by licensed casinos); $50,000 for a sports wagering operator license; $10,000 for suppliers and manufacturers | 36% |
| New York | $25 million per mobile operator | 51% |
| Nevada | Varies by license type; see the Nevada Gaming Control Board | 6.75% |
Fees and rates change, so check each regulator's current schedule. Two federal rules apply in every state: a 0.25 percent excise tax on the amount of each state-authorized wager, filed monthly on IRS Form 730, and a $50 annual occupational tax for each person accepting wagers. The Unlawful Internet Gambling Enforcement Act bars payments for unlawful internet gambling, so banks and processors will ask for proof of your license.
State rules also shape the product: bettors usually must be 21 or older and physically inside the state, so geolocation is mandatory; many states require in-state servers; some require official league data for certain in-play bets; and some restrict credit card deposits.
Sports event contracts on CFTC-registered prediction markets are a separate route that state regulators have challenged in court; see our prediction market platform development page and get specialist advice first. For wider context, read our guide to real-money games in the USA.
Canada: Ontario, Alberta and provincial lotteries
Canada legalized single-event sports betting in August 2021 through Bill C-218, leaving each province to run or license it.
Ontario
Ontario opened a regulated, competitive iGaming market on April 4, 2022. To enter it, you:
- Register as an internet gaming operator with the Alcohol and Gaming Commission of Ontario (AGCO); your platform and other gaming-related suppliers register too.
- Meet the AGCO's Registrar's Standards for Internet Gaming.
- Sign an operating agreement with iGaming Ontario, which manages the market and shares in operator revenue.
- Serve only players aged 19 or older who are physically in Ontario, and follow advertising limits on using athletes and promoting bonuses.
Alberta
Alberta's regulated iGaming market launched on July 13, 2026. Alberta Gaming, Liquor and Cannabis (AGLC) regulates it and the Alberta iGaming Corporation conducts and manages it; private operators can run a platform once it is registered. The province directs 2 percent of gross gaming revenue to First Nations initiatives and 1 percent to social responsibility programs. Check AGLC's registration requirements and permitted products before you apply.
Other provinces
Provincial lottery corporations run online betting, so private companies usually enter as registered B2B suppliers rather than as consumer brands.
International sportsbook licenses
- United Kingdom: a remote operating licence from the Gambling Commission, with strict player-protection rules.
- Malta: a Malta Gaming Authority license, often used as a European base.
- Curaçao: licenses issued directly by the Curaçao Gaming Authority under the National Ordinance on Games of Chance, which replaced the old master and sub-license system from late 2024.
- Brazil: no license is available at present. Provisional Measure 1.394/2026 prohibited fixed-odds betting, including sports betting and online games, across Brazil from 25 September 2026, bars new authorizations and ends the existing ones (previously a federal authorization under Law 14.790/2023 with a R$30 million fee for five years). Whether that stands depends on the Supreme Federal Court (STF) and Congress. General information, not legal advice.
- South Africa: bookmakers are licensed by provincial gambling boards.
- India: the Promotion and Regulation of Online Gaming Act 2025 prohibits online money games, so only free-to-play formats are an option.
One rule applies everywhere: a license covers only its own market. A Curaçao or Malta license does not let you accept bets from people in US states, Ontario, Alberta or the UK.
| License path | Regulator | Who you can serve | Main watch-outs |
|---|---|---|---|
| US state license | State gaming commission or lottery | Bettors located in that state | Market-access partner, supplier licenses, fees up to $25M, taxes up to 51% |
| Ontario registration | AGCO, plus an operating agreement with iGaming Ontario | Players 19+ located in Ontario | Registrar's Standards, advertising limits, revenue share with the province |
| Alberta registration | AGLC; market managed by the Alberta iGaming Corporation | Players located in Alberta | Confirm registration steps and permitted products with AGLC |
| UK or Malta | Gambling Commission or Malta Gaming Authority | Markets covered by that license | Strict compliance, capital and reporting requirements |
| Curaçao | Curaçao Gaming Authority | Only markets that do not require their own license | No access to regulated markets; banking and app store limits |
| Brazil | Secretariat of Prizes and Bets, Ministry of Finance | No one at present: fixed-odds betting prohibited from 25 September 2026 | Provisional Measure 1.394/2026 ends authorizations; depends on the STF and Congress |
What a sportsbook license requires from your platform
Regulators license the company, but they test the technology. These are the controls most regulated markets check, and what each means for the build.
| Requirement | What regulators typically expect | What it means for the build |
|---|---|---|
| Geolocation | Proof that each bettor is inside the licensed area (US states, Ontario) | A geolocation provider checked at login and before bets |
| KYC and age checks | Verified identity and age: usually 21+ in US states, 19+ in Ontario | KYC vendor integration, document fallback and duplicate-account checks |
| Responsible gambling | Deposit and time limits, self-exclusion and links to state or provincial exclusion programs | A limits engine, exclusion-list checks and player activity monitoring |
| System testing | Independent lab certification, for example against GLI-33 in many US states | Version control, change logs and re-testing after material changes |
| Hosting and records | In-state servers in many US states, audit logs and data retention | Hosting planned per market and tamper-evident logs |
| Reporting | Reports on wagers, liabilities, taxes and suspicious activity | A reporting module and regulator data feeds |
| Data sources | Official league data for certain in-play bets in some states | Feed integrations with failover |
If you add casino games next to the sportsbook, Capermint builds RNG and game math ready for independent testing by accredited labs such as GLI, iTech Labs or BMM; certification is obtained by the operator or game owner. See what an RNG certificate is and our guide on how to start an online casino business for the casino side.
How your license route shapes the platform choice
A white label platform lets you launch under a provider's license only in some offshore markets. In US states, Ontario and Alberta, the operator of record must hold the license or registration, and platform suppliers usually need their own approval. So the license decision comes first, then the platform model. Our guide to white label vs turnkey vs custom iGaming models compares the trade-offs.
| Platform tier | Typical cost (USD) | Typical timeline |
|---|---|---|
| White label or turnkey sportsbook | $35K–$120K | 6–10 weeks |
| Custom single-vertical sportsbook | $60K–$180K | Set after scoping |
| Custom multi-vertical platform (sportsbook plus casino or racing) | $200K–$500K+ | Phased, set after scoping |
These are typical ranges for the platform build only. They exclude license fees, taxes, third-party services, hosting and marketing; final quotes follow a scoping call. See sportsbook platform development for what each tier includes.
Sportsbook licensing timeline
| Workstream | Typical duration |
|---|---|
| Market choice and legal review | Several weeks |
| License or registration approval | Several months to more than a year |
| Supplier contracts and their approvals | Weeks to months, in parallel |
| White label or turnkey platform | 6–10 weeks |
| Lab testing and regulator review | Several weeks before go-live |
The critical path is almost always the license, not the code. Run licensing, supplier contracts and platform work in parallel so the platform is tested and ready when approval arrives.
How Capermint helps
Capermint does not obtain licenses or give legal advice. Operators are responsible for licensing; we build to the technical requirements of the target jurisdiction. That covers white label, turnkey and custom sportsbook platforms, plus integration of the odds, KYC, geolocation and payment providers you contract. If you already run a platform, our sportsbook API integration engineers can add the integrations a new market requires.
Capermint Technologies is a B2B game and iGaming development studio founded in 2014 in Ahmedabad, India, with Capermint-reported 650+ customers worldwide and over 200 specialists. We are rated 4.9/5 from 13 reviews on Clutch. We work as a fixed-scope project, a dedicated monthly team or co-development, and we schedule calls in US and Canadian business hours. Browse our iGaming portfolio to see related work.
FAQs
What is a sportsbook license?
A sportsbook license is the approval a regulator gives a company to accept real-money sports bets from people located in its jurisdiction. In the US it comes from a state gaming commission or lottery, in Ontario from AGCO registration plus an iGaming Ontario operating agreement, and abroad from a national regulator.
How much does a sportsbook license cost?
It depends on the market. In Pennsylvania a casino’s sports wagering certificate costs $10 million and a license for an operator that runs betting for a casino costs $50,000; New York charged $25 million per mobile operator. Gaming taxes then take from 6.75 percent of revenue in Nevada to 51 percent in New York, plus a 0.25 percent federal excise tax on US wagers.
How long does it take to get a sportsbook license?
Usually several months to more than a year. Timing depends on the jurisdiction, how complex your ownership is and how quickly owners clear background checks. Run supplier contracts and platform work in parallel so the platform is tested and ready when approval arrives.
Is there a federal sportsbook license in the US?
No. Since Murphy v. NCAA in 2018, each state decides whether and how to allow sports betting, so you need a license in every state where you accept bets. Federal law still applies on top, including the wagering excise tax and the Unlawful Internet Gambling Enforcement Act.
Can I accept US or Canadian bettors with a Curaçao or Malta license?
No. An offshore license covers only markets that do not require their own license. Accepting bets from people located in US states, Ontario or Alberta without that jurisdiction’s license or registration is unlawful, and payment providers, app stores and regulators enforce this.
Do I need a market access partner to get a US sportsbook license?
In many states, yes. Where only casinos, tribes, racetracks or sports venues hold the underlying license, an online brand partners with one of them and applies for its own operator or supplier license. Lottery-run and single-operator states offer few or no openings for new brands.
How do I get licensed to offer sports betting in Ontario?
Register with the Alcohol and Gaming Commission of Ontario as an internet gaming operator, meet the Registrar’s Standards for Internet Gaming and sign an operating agreement with iGaming Ontario. Your platform and other gaming-related suppliers register too, and you may serve only players aged 19 or older who are in Ontario.
Can private sportsbooks get licensed elsewhere in Canada?
Alberta opened a regulated iGaming market to registered private operators on July 13, 2026, regulated by AGLC and managed by the Alberta iGaming Corporation; confirm with AGLC which products, including sports betting, a registration covers. In other provinces, provincial lottery corporations run online betting, so private companies usually enter as registered B2B suppliers.
Does my sportsbook software need to be certified?
In most regulated markets, yes. Many US states require independent lab testing of the betting system, for example against the GLI-33 event wagering standard, before launch and after material changes. The operator or supplier submits the system; Capermint builds to the technical requirements of the target jurisdiction.
Can I launch under a white label provider’s license?
Only in some offshore markets. In US states, Ontario and Alberta the operator of record must hold the license or registration, and platform suppliers usually need their own approval. A white label platform can shorten the build, but it does not replace your license.
Sources
- Murphy v. NCAA, 584 U.S. 453 (2018)
- 26 U.S.C. § 4401: Tax on wagers
- 26 U.S.C. § 4411: Occupational tax on persons accepting wagers
- IRS: About Form 730, Monthly Tax Return for Wagers
- 31 U.S.C. § 5363: Unlawful Internet Gambling Enforcement Act
- New York State Gaming Commission: Sports wagering
- Pennsylvania Gaming Control Board: Schedule of fees
- Nevada Gaming Control Board
- GLI standards, including GLI-33
- Bill C-218, Safe and Regulated Sports Betting Act
- AGCO: Internet gaming
- AGCO: Registrar’s Standards for Internet Gaming
- iGaming Ontario
- Government of Alberta: Alberta’s regulated iGaming market launches (July 13, 2026)
- Government of Alberta: Alberta’s iGaming Strategy
- UK Gambling Commission
- Malta Gaming Authority
- Curaçao Gaming Authority
- Brazil Law 14.790/2023
- Ministry of Finance (SPA): Provisional Measure 1.394/2026 and the new rules for fixed-odds betting
- National Congress: MPV 1.394/2026 status
This guide is general information, not legal advice; confirm current rules with counsel and each regulator.
Planning a licensed launch? Tell us your target market, license status and launch date, and we will send a plan with platform options, timeline and a cost range. Request your project scope.
