Monthly Archives: March 2020

Turkey’s new gambling crackdown adds cryptocurrency, QR codes

Turkey is ramping up its anti-online gambling efforts, with a new focus on individuals funding gambling activity via emerging technologies.

The Justice and Development Party (AKP) of Turkey’s President Recep Erdogan has introduced legislation to grant the nation’s Information Technologies and Communication Authority (BTK) the authority to block access to internationally licensed sports betting sites without first obtaining an order from the chief public prosecutor.

The only legal sports betting option available to Turkey’s gamblers is the local Iddaa-SporToto business, for which a consortium including Scientific Games was hired to provide services one year ago. All other online gambling is strictly forbidden, although the government’s efforts to deter such activity have proven only partially effective.

In January, Turkey’s Financial Crimes Investigation Board (MASAK) launched a probe into reports that certain banks and electronic payment processors were facilitating illegal gambling. State-run media quoted MASAK officials saying gambling operators were paying unconnected individuals for access to their bank accounts to funnel money on and off gambling sites.

Turkey’s new gambling crackdown adds cryptocurrency, QR codes

Turkey is ramping up its anti-online gambling efforts, with a new focus on individuals funding gambling activity via emerging technologies.

The Justice and Development Party (AKP) of Turkey’s President Recep Erdogan has introduced legislation to grant the nation’s Information Technologies and Communication Authority (BTK) the authority to block access to internationally licensed sports betting sites without first obtaining an order from the chief public prosecutor.

The only legal sports betting option available to Turkey’s gamblers is the local Iddaa-SporToto business, for which a consortium including Scientific Games was hired to provide services one year ago. All other online gambling is strictly forbidden, although the government’s efforts to deter such activity have proven only partially effective.

In January, Turkey’s Financial Crimes Investigation Board (MASAK) launched a probe into reports that certain banks and electronic payment processors were facilitating illegal gambling. State-run media quoted MASAK officials saying gambling operators were paying unconnected individuals for access to their bank accounts to funnel money on and off gambling sites.

Latvia’s online gambling market sets revenue record in 2019

Latvia’s online gambling revenue rose by nearly one-third last year, setting a new market record in the process.

Figures released by Latvia’s Lotteries and Gambling Supervisory Inspection of Latvia (IAUI) show the country’s licensed gambling operators generated revenue of €307m last year, a 10.5% gain on 2018’s result.

Land-based slots continue to dominate Latvia’s gambling market, accounting for three-quarters (€231.6m, +6.7%) of 2019’s take, while casino table games added €17.3m (+4%), land-based sports betting chipped in €3.2m (+16.8%) and land-based bingo eked out a mere €232k (+8.2%).

Latvia’s 14 licensed online gambling operators reported revenue of €54.7m in 2019, up 32.8% year-on-year. Of this sum, €39.3m (+42.5%) came via casino games, while sports betting added €14.9m (+12.3%) and poker anted up €423k, which represented a nearly 61% rise from 2018.

China’s January lottery sales plunge, could be zero in February

China’s lottery sales fell by more than two-fifths in January and will likely go down to zero when February’s numbers are released.

On Wednesday, China’s Ministry of Finance announced that lottery sales in the month of January totaled RMB27.2b (US$3.9b), a decline of 43.3% from the same month last year. Welfare lottery sales were down 39.3% to RMB12.9b while the sports lottery tumbled 46.4% to RMB14.3b, the latter figure reflecting the boost that January 2019’s sales got from the AFC Asian Cup football tournament.

This January’s overall sales decline – the 12th straight month of negative growth – reflects the shutdown of most lottery operations on January 22 to observe the annual Spring Festival celebrations. That shutdown was supposed to end on January 31 but was extended to February 9 as the rapid spread of the coronavirus prompted fears of lottery players infecting each other after huddling together in small retail outlets.

That shutdown has yet to be lifted, despite recent suggestions by the government’s official lottery site that retailers were preparing to open their shops by furiously disinfecting all surfaces and installing ‘temperature detectors’ to verify that no one who appears to have contracted the COVID-19 disease gets in – or out – of the shop without the authorities finding out.

Betting operators and arbitration bodies agree dispute resolution procedure

4 March 2020: The International Betting Integrity Association (IBIA) has joined forces with arbitration bodies the Independent Betting Adjudication Service (IBAS) and eCOGRA to establish measures to inform and advance the customer betting dispute resolution decision- making process. The approach relates to circumstances where customer winnings are not paid for the period where a sporting event is under investigation.

Previously, when frustrated consumers have approached arbitration bodies they have had to request updates from operators on each customer claim on a piecemeal basis throughout the year. This has involved considerable administrative time and effort on behalf of arbitration bodies and operators, with some cases taking over two years to be completed as sports bodies undertaken investigations into potential corruption. Under the agreement, IBIA will seek updates on all outstanding cases of suspicious betting it has reported to sports twice a year. Arbitration bodies will then contact operators using the same timeline.

Khalid Ali, CEO of the International Betting Integrity Association, explained: “The approach is aimed at improving information sharing on the status of suspended accounts linked to potential match-fixing. Sports have been supportive, which is vital as the process relies on feedback on their investigations. IBIA members want to do all they can to stop corrupters from benefiting financially and will continue to suspend accounts where appropriate. However, it is recognised that not all suspicious betting is corrupt and that innocent consumers should not be penalised.”

Richard Hayler, Managing Director of the Independent Betting Adjudication Service, said: “We welcome this considered and proportionate response to a problem that IBAS had raised with the IBIA. We are optimistic that the system will alleviate some of the difficulties previously caused where customer accounts and balances have been suspended – or bets left unsettled – for indeterminate periods, during which ADR providers could offer no practical advice or information to claimants. The solution developed by the IBIA will expedite this process. It will reassure our adjudicators that important investigations remain active and encourage operators and those investigating to review whether every bet on a suspicious event needs to be treated the same way. It showcases both the benefits of ADR providing feedback to the industry and the ability of collaborative work to deliver practical service improvements.”

Gambling lives and dies on payouts

Running an online gambling operation takes a lot of work, but I would argue that there are three pieces that matter more than anything else. First, build a reputation of trust and integrity with the customer that is unassailable. Second, give those players easy enough ways to deposit money on site, so they aren’t inconvenienced when they want to play. Finally, and most important of all, always pay the player out when they request a withdrawal. Get any of this wrong, and it can spell disaster. But get it right, perhaps with the superiority of Bitcoin SV (BSV) as a payment option, and a company can thrive.

I recently got a little fired up when the Malta Gaming Authority (MGA) canceled the license of the Daily Fantasy Football Company. The company stands accused of failing to pay €3,483.89 towards player funds, and also for not paying its dues to the MGA. While the operator could always appeal the ruling and possibly make it right by those players, the move to cancel their license says a lot.

My formative time in the gambling industry was working in operations, and payouts were a heavy focus. The fastest way to winning a player’s loyalty is when they win, and the operator can quickly pay them out. It makes them happy, and increases the likelihood they’ll be a return customer. I’d like to take a look at how to get payouts right, how to get them wrong, and all of the many ways that they are so important.

An emphasis on cash flow

Robin Toombs explains Yoti’s digital identification systems

With Know Your Customer (KYC) checks becoming all the more mandatory online to prevent fraud, guaranteeing that the person on the other side of the screen is who they say they are is becoming so vital. Yoti, with their digital identity verification system, can help operators make sure everything is on the level. Their CEO and co-founder Robin Tombs joined our Becky Liggero Fontana at ICE London to explain how the system works.

[youtube https://www.youtube.com/watch?v=TZeE_QfRH_E?feature=oembed&w=500&h=281]

Yoti was born out of necessity, as so much of the information we use as identity online could easily be copied and used by bad actors. “We kind of realized that name, date of birth, and address check through experience doesn’t give you any comfort, but that’s really the right person,” Tombs said. “So if a fraudster uses your name, date of birth and address, and somebody else’s credit card, they are on the way to trying to commit a fraud. So we always knew online identity, one day, would need to kind of step up.”

The benefit of Yoti is that it not only provides a stronger identification system, but it makes the process easier on the player. “We can age estimate people, so if you’re thirty, forty, fifty, you don’t have to do anything more than just look into the camera, and we then age estimate you and then we delete the image,” he said. “But it allows you to quickly get into your gaming terminal because you are over eighteen.”

XPRESS Gaming delivers Salsa Technology games onto its platform

Wednesday March 4th, 2020 – Salsa Technology has signed an agreement with XPRESS Gaming to integrate its award-winning Video Bingos onto the platform.

XPRESS Gaming offers a variety of content from the world’s leading game providers. Salsa Technology’s games will join a platform stacked with top class providers, including Ganapati, Espresso Gaming and Endophina.

Salsa Technology’s hugely popular Halloween Groove Bingo and the recently released LatAm classic Jogo dos Bichos Praia are included in the deal.

Salsa Technology’s Global Business Development Manager Victor Arias followed: “Working with XPRESS has been a delight and we’re really pleased to add our games to the platform. We’re particularly excited to add Jogo dos Bichos Praia to the XPRESS offering as the initial reaction from the market has been exceptional.”

South Dakota residents to decide fate of sports gambling in November

South Dakota lawmakers haven’t wasted any time putting together a proposal that could bring sports gambling to the state. After failing with an effort last year, legislators tried again this past January, and their persistence has paid off. Both the House and the Senate have approved a measure to put a ballot entry on this coming November’s elections that will allow state residents to decide whether or not sports wagers should be allowed.

South Dakota is in a unique situation that is shared by only a handful of states. For gambling expansion to occur, a change to the state’s constitution is needed, and this is only possible if South Dakota residents agree to the referendum. Senate Joint Resolution 501 (SJR 501) presents this referendum, and it has received its final approval as the House voted 36-27 to send it forward yesterday, according to the Argus Leader. 

If the majority of the residents say yes to the measure, state lawmakers will then determine how to proceed with the necessary rules and regulations for the industry. Chances are, proponents are already putting together their suggested framework so that, should sports gambling be given the green light, they can hit the ground running and try to have the local market up and running ahead of next year’s Super Bowl. With only a couple of months between this November and the NFL championship game, which always attracts a lot of bets, there won’t be a whole lot of time to get things in order.

Lawmakers supporting the measure realize that the state is losing money that it will never be able to recover. Since Iowa legalized the activity last year, South Dakota’s neighbor to the south is welcoming bettors with open arms and is more than happy to reap the financial rewards. According to a recent report by the Iowa Racing and Gaming Commission, sportsbooks took in a total of $270.3 million in approximately six months after the activity was first introduced.