Everything You Need to Know About the Casino Laws
Costa Rica has welcomed businesses that wish to run online casinos, although such companies are not actually governed by any regulatory or licensing oversight. In fact, the only licenses they must obtain are a business license, plus the Data Processing License as a digital enterprise.
Neither of those licenses enforce any regulations or laws relating to online gambling, nor do they impose any Know Your Customer (KYC) or Anti-Money Laundering (AML) checks. The only stipulations are that gambling businesses use overseas banking, don’t locate servers in Costa Rica itself, and they are prohibited from offering their services to Costa Rican residents.
JPS
- With few exceptions, Costa Rican residents are not legally allowed to gamble online.
- Only national lotteries and games of chance operated by JPS are legally allowed.
- Land-based casinos are licensed and regulated but must be attached to hotels.
- Online casinos can be registered but cannot offer their services to Costa Ricans.
- There is no regulatory or licensing framework in Costa Rica for online casinos.
Technically speaking, and in the view of Costa Rican authorities, the act of gambling online takes place with the consumer, not the operator. This is why gambling businesses never host gaming servers there, nor can they process transactions related to gambling at banks in Costa Rica. It’s all done offshore, with gambling operators only holding a business license in Costa Rica itself.
For all these reasons, we cannot recommend online casinos in Costa Rica. There’s no regulation, no quality control, no KYC or AML checks, and most importantly of all, no player or consumer safety guarantees whatsoever.
Gambling in Costa Rica
Both residents and visitors to Costa Rica can legally enjoy gambling at land-based casinos, but under locally enacted laws, these venues can only be attached to hotels. This criterion was originally designed to aid tourism in the country.
Online casino gambling by Costa Rican residents does remain technically illegal, but there’s no real enforcement, which has led to a rise in residents gambling online at offshore venues. Within the country itself, only the state-authorized lotteries and games of chance are considered legal online, exclusively administered by the Junta de Proteccion Social.
Legislative bodies and politicians in Costa Rica have sought to enact new laws, aimed at bringing authentic governance to online gambling in the country. As yet, no bills or laws have progressed any further than debates. Given there are so many gray areas and legal loopholes, we reckon it’s best to completely avoid any online casinos with ties in Costa Rica.
Gambling History and Future
Gambling has always been prevalent in Costa Rica, dating back to the country gaining its independence. For most of that time, lotteries and state-run games of chance have been overseen by the Junta de Proteccion Social (JPS), with laws reinforcing their mandate over the years.
The arrival of land-based casinos was largely seen as an opportunity to boost tourism, which Costa Rica has welcomed and regulated well. However, the digital age also brought another opportunity, with gambling businesses allowed to set up with no regulation meaningless licensing.
Costa Rican Flag
- 2006 – U.S. government uses Unlawful Internet Gambling Enforcement Act to crack down on offshore online gambling sites, including those operating from Costa Rica. Despite pressure, Costa Rica maintains a non-regulatory stance towards online gambling.
- 2010 – Municipal governments in Costa Rica gain more control over land-based casino regulation, but only to regulate and issue licenses to physical casino venues.
- 2012 – Law 9050 enacted. Establishes tax regulations for the activity of casinos, betting, games of chance, carried out at authorized venues, whether physical or virtual. Land-based casinos may only be authorized at hotels rating equal or higher than four stars.
- 2021 – JPS publishes regulations covering the granting of concessions for the marketing of lotteries and games of chance through the internet.
- 2024 – Online purchase of lottery tickets and games of chance is only legal via the JPS website and electronic machines for: Loteria Nacional, Lotto, 3 Monazos, El Premio Acumulado, Chances, Nuevos Tiempos, Rueda de la Fortuna, Loteria Instantanea.
As things currently stand in Costa Rica, land-based casinos and lotteries are well-regulated and with strict licensing in place. But the landscape for online gambling is more akin to the Wild West, without any proper licensing or regulatory oversite, meaning it’s not a safe or trustworthy environment for consumers.
But will this situation change? Some politicians have pressed for the introduction of new legislation, keen to bring genuine regulation and licensing, and generate taxation revenues from online gambling. However, nothing has progressed beyond the debate floor, so it’s difficult to see any positive changes on the horizon.
Conclusion
So long as Costa Rica takes a hands-off approach to online gambling regulation, essentially granting businesses the freedom to regulate themselves and do as they wish, licensing in the country will never be taken seriously elsewhere and provides no safety for players.
This is precisely why we recommend avoiding online casinos in Costa Rica, whether you’re a resident of the country or located elsewhere. If you choose to gamble online, you have no legal protection to guarantee the safety of your money or data, and no comeback should anything go wrong.
Frequently Asked Questions
By now you should be clear that online casinos in Costa Rica are best avoided. Nevertheless, you can reach out with any questions or queries. In the meantime, below you can find answers to some of the most popular questions we have received.
Is online gambling in Costa Rica legal?
Gambling operators can legally establish businesses in Costa Rica, but there is no regulatory or licensing oversight, aside from being prohibited from offering their services to local residents. However, there are also no laws or enforcement to prevent Costa Ricans from gambling at online casinos hosted outside the country, but you do so at your own risk.
Can I bet on sports from Costa Rica?
Retail and land-based sports betting is prohibited in Costa Rica. There are no laws to prevent residents from wagering online, provided the gambling operator is located outside the country. Due to the lack of regulation and licensing oversight, we cannot recommend anyone wagering at betting companies that are registered in Costa Rica.
Is gambling in Costa Rica safe?
Gambling at land-based casinos is safe in Costa Rica with regulatory and licensing oversight. The same applies to buying lottery tickets or participating in games of chance, which are operated by Junta de Proteccion Social. However, online gambling in Costa Rica is not safe, given the complete lack of regulatory oversight.
Written By Heath Chesters