Casbit Group Declared Bankrupt in Curaçao Amid Growing iGaming Challenges

The Casbit Group N.V., once a prominent operator of online gambling platforms such as Lalabet, JungliWin, Justbit, and 0xBet, has been officially declared bankrupt by the Court of Curaçao. This decision, finalized on December 5, 2024, follows a series of legal actions stemming from the company’s failure to settle outstanding player claims totaling €619,500.

Bankruptcy Following Unpaid Player Claims

The bankruptcy filing originated in August 2024, triggered by multiple unresolved claims from players, including one individual still owed over €237,000. Under Curaçao’s Bankruptcy Ordinance of 1931, businesses can be declared bankrupt if they fail to meet financial obligations. In this case, the Casbit Group’s refusal to compensate players prompted the court’s decision.

This development highlights ongoing issues in Curaçao’s iGaming sector, where regulatory oversight and financial disputes have become increasingly common. The Casbit Group ceased operations in Curaçao earlier this year, moving its online casino management to SkyGrow Group Limitada, based in Costa Rica.

Legal Tensions with Dutch Gamblers

The Stichting Belangbehartiging Gedupeerden Online Kansspelen (SBGOK), a Dutch foundation representing players against online gambling operators, spearheaded the bankruptcy petition. The organization has been instrumental in holding Curaçao-licensed companies accountable for unpaid player winnings. This case is one of many involving Dutch players, reflecting rising tensions between Curaçao-licensed operators and European gamblers.

The Dutch Gambling Authority (Kansspelautoriteit) had previously fined the Casbit Group for targeting Dutch players without proper authorization. The penalty, set at €280,000 per week, compounded the company’s financial challenges and ultimately contributed to its exit from Curaçao.

Transition to Costa Rica

Following its dissolution in Curaçao, the Casbit Group shifted the operation of its online casinos, including Lalabet and JungliWin, to SkyGrow Group Limitada in Costa Rica. This move aligns with a growing trend of iGaming companies relocating to jurisdictions with differing regulatory frameworks after facing challenges in stricter markets.

The bankruptcy of Casbit Group marks the third such case in recent weeks, with other Curaçao-based operators like Small House B.V., the company behind BC.Game, also declared bankrupt. Additionally, Paris Saint-Germain filed a bankruptcy claim against gambling partner Cbet over alleged misuse of the club's brand.

Curaçao’s Evolving iGaming Landscape

Curaçao's iGaming sector has faced scrutiny over its licensing model, which historically allowed master license holders to sub-license with minimal oversight. However, the island’s recent National Ordinance for Games of Chance (LOK) aims to overhaul the system, phasing out sub-licensing and increasing accountability.

The Dutch Supreme Court recently addressed similar issues in a case involving Cyberluck Curaçao NV, emphasizing the liability of licensees to players. These regulatory shifts highlight a growing trend toward stricter oversight in Curaçao and beyond.

Source:

Casbit Group Declared Bankrupt Over Player Debts, World Casino Directory, December 25, 2024.