Regulation round-up 26 January 2015
The biggest regulatory news from the egaming industry in the last seven days (21 January to 26 January 2015)
Russia to introduce payment blocking measures
New online betting regulation could halt the processing of financial transactions involving unlicensed firms
Russia’s government is lining-up the introduction of a payment blocking system as it continues to look for effective ways to reduce the size of the country’s unlicensed online gambling market.
According to Yury Fedorov, president at Russia’s National Association of Bookmakers, the government will look to take advantage of the country’s developing online betting framework, which is expect to go live by June.
As part of the framework, operators must sign up to a self-regulatory organisation (SRO) which, among other responsibilities, will set up its own payment processing system through which all members’ financial transactions must be channelled.
Once this processing system becomes active, SRO and government officials will have far more information available to detect with greater accuracy transactions involving licensed firms and those involving firms without a permit.
DCMS rebukes senior MP’s gambling advertising concerns
The UK’s Department for Culture, Media and Sport (DCMS) has hit back at treasury chief secretary Danny Alexander’s criticism of its review into gambling advertising practices and reaffirmed its commitment to player protection.
In a letter addressed to culture secretary Sajid Javid leaked to the Daily Mail, Alexander said he was “growing increasingly concerned” by how prevalent gambling adverts had become.
The senior Liberal Democrat MP went on to criticise the late publication of a wide-reaching review featuring input from the Gambling Commission and advertising watchdogs.
Seven days in regulation:
The Senet Group launches £2m TV ad campaign
The Senet Group, a self-regulatory gambling watchdog established by a quartet of bookmakers, has unveiled its first TV advertising campaign designed to highlight the potential risks of gambling.
The £2m campaign launched on Friday with adverts set to air during commercial breaks of major televised sporting fixtures and will be supported by radio, newspaper and online ads.
London-based creative agency The Corner has produced two adverts to highlight areas of problem gambling behaviour. Focused on two customers, the ads illustrate instances of what is depicted as irresponsible gambling before their behaviour is pointed out to them by friends and family members.
New California bill paves way for PokerStars
A second online poker bill in as many months has been introduced in California, featuring a softened ‘bad actor’ clause which appears to pave the way for PokerStars to enter the market.
The Internet Poker Consumer Protection Act of 2015 was introduced by Assemblyman Reggie Jones-Sawyer last Thursday, and is also the first to make the state’s racetracks eligible for an online poker licence.
It comes a month after Assemblyman Mike Gatto introduced the first online poker bill of the 2015 legislative session in December. Both bills exclude any other form of online gambling.
Italian growth stunted by poker decline
Italy’s online gaming market remained broadly flat during 2014 as strong growth in casino and sportsbook was overshadowed by a 21% decline in poker revenues.
According to figures seen by eGaming Review, gross gaming revenues (GGR) for the Italian market across the 12 months totalled 729m, a marginal increase on the 726m recorded in 2013.
But the growth could have been greater had it not been for a substantial decline in the poker market, where revenues slumped from 238m to 187m.
Dutch and Alderney regulators sign collaborative agreement
The Netherlands Gaming Authority and the Alderney Gambling Control Commission (AGCC) have signed a Letter of Intent as the Dutch regulator continues to ramp-up operations in advance of the anticipated regulation of the Dutch market in 2016.
The formal agreement will see the two regulatory bodies assist each other with licensing and open up an information exchange with gambling services provided from Alderney available to the Dutch market.
The Letter of Intent is in anticipation of the introduction of online gambling legislation – the Dutch bill is expected to be passed later this year with the first licences issued in early 2016 – and a memorandum of understanding is expected to follow.
Opinion: US states backed for 2015 progress
As far as new egaming legislation is concerned, 2014 was a bust. So what exactly can we expect from state lawmakers in 2015? Undoubtedly the 2014 midterms have changed the political landscape and altered expectations for the coming year. It will be interesting to see whether lawmakers and regulators will continue to take a “wait-and-see” approach, possibly leading to stalled legislation and more legislature-commissioned internet gaming studies.
Of course, there is also the possibility that 2015 will be the year more states finally join the ranks of Nevada, Delaware and New Jersey. Here are my odds on the adoption of new state internet gaming legislation in 2015 – it’s time to place your bets.