This is a guest contribution by Jon Southurst, a writer with CoinGeek.com. He intereviewed BitBoss CEO Matt Dickson, who made the case for a Bitcoin SV gambling operation shortly after the AGA called for cashless systems in casinos. This article first appeared on CoinGeek.com.

The American Gaming Association (AGA) recently published a report calling for a more rapid move towards cashless systems in casinos and other venues. Despite the damage COVID-19 and its mitigation policies have inflicted on some sectors of the economy, they also present a perfect opportunity for Bitcoin companies like BitBoss to pitch their solutions to operators and regulators.

Jurisdictions in Nevada and New Jersey were among the first to call for an end to lockdowns and get their economies moving again. In Las Vegas many venues have now reopened, albeit with face screens and social distancing rules. But the sheer turnover of cash money moving in and out of their systems—not only on the gambling floor but also in restaurants, hotels and other entertainment venues—still presents a transmission risk.

The AGA’s report is actually the result of 18 months’ research into the cashless issue, but it is now more pertinent thanks to COVID-19 and new, dramatic moves to prevent the spread of viruses everywhere.

The SBC Digital Summit had its first chapter in late April, it’s second chapter with the SBC Digital Summit Latinoamérica in mid-June, and now returns for its third chapter, with the inaugural SBC Digital Summit North America. The day began with a conversation between host Roger Gros of GGB Magazine and special guest Jay Snowden, President and CEO of Penn National Gaming.

After briefly discussing how far the North American sportsbook market has come after the repeal of PASPA, the two got into just how important Barstool will be to the operation’s branding going forward “We’re going to lead with the Barstool brand from an online sports betting perspective,” Snowden said. “We’re also in the process of converting our existing retail sportsbooks inside of our casinos and our sports bars to Barstool branded sportsbooks and sports bars.”

Gros though wondered if the edgy comedy of Barstool founder Dave Portnoy would cause problems for the operation. “They’ve been at it for 17 years and everything he has said is on video for those last 17 years,” Snowden noted. “I talk to Dave extensively about it and he’s said this publicly that times change. And he looks back at some of the things that he did or said in 2008 or 2011 or 2013 that if it were today he probably wouldn’t have said.”

He concluded: “But the vast majority of the content they created is entertaining – they’re entertainers and comedians. I’ve yet to meet or listen to an entertainer or a comedian that thinks everything they said or did hit the mark when they did it.” 

For many, the global Coronavirus lockdown has meant a huge change to work, health and life in general. The restrictions of places of work, general public freedom and even familial contact has been a huge change to the routines of millions.

Poker players, however, have always had what might be loosely termed an alternative lifestyle.

Poker players rise at the weirdest times, work long unsociable hours from home and yet only really rely on a strong WiFi signal to be able to make money.

Ideal conditions for a life in lockdown? It’s hard to disagree with that when you see players like Ryan Depaulo committed to the game wherever he can find signal, even if it a Whole Foods parking lot.

It’s been two years since Louisiana voters, for the most part, agreed to allow legalized daily fantasy sports (DFS) into their parishes. Since then, the state has been trying to figure out how to tax the activity, finally coming up with an equitable solution earlier this year. With the signing of the guidelines yesterday by the state’s governor, Louisiana residents can now possibly look forward to setting up legal DFS leagues ahead of the upcoming NFL season this September.

Things could have been worse – Louisiana laws state that tax issues can only be addressed every odd year, which means that a solution may not have been until next year. Thanks to an exception to the rules, which allow for an “extraordinary session” if necessary, Louisiana legislators pushed forward on laying out the tax framework this year, and Louisiana Governor John Bel Edwards yesterday gave the bill the final signature needed. To say that the coronavirus has called for the extraordinary session would be an understatement.

92% of the state had agreed to allow DFS in 2018 and, last year, lawmakers didn’t seem to think the matter was urgent enough to be taken up for consideration. That all changed when Louisiana suddenly found itself missing out on revenue typically provided by casinos, many of which are now back on lockdown because of COVID-19. Representative John Stefanski, who introduced the tax bill, explains, “I think there was urgency last year, but it got caught up in some inner fights, particularly with sports betting. [Lawmakers] tried to package them together and it didn’t work.”

Going forward, the Louisiana Gaming Control Board will oversee DFS regulations. It is required to establish its procedures for how it will handle its responsibilities by August 1, and the bill also stipulates that licenses will be issued for three years at a cost that ranges anywhere from $5,000 to $40,000. That figure depends on the size of the operator – a point that won’t make many larger companies happy – and will most likely fall only to national sportsbooks like FanDuel and DraftKings. There will be an 8% tax on the net revenue of all DFS contests, with the money earmarked for the Louisiana Early Childhood Education Fund. 

Last month, Spanish gaming operator Codere announced that it had worked out a deal to receive some much-needed money to keep it running while it overcame serious pitfalls caused by the coronavirus. At the time, the arrangement was expected to give the company somewhere between $135 and $169.5 million at a relatively accessible 7.25% interest rate. However, now that a final agreement has been reached, the new deal is substantially different from the original, which is both good and bad news for Codere.

First, the good news. According to SBC News, Codere now will have access to about $285.9 million (€250 million) in cash that will help keep the company moving forward for the next year or so. The arrangement comes as Codere reached agreeable terms with its U.S. bondholders, including Blackrock, Dryden Capital, Invesco and Jupiter AM, to approve the financial arrangement. The money will be in addition to an existing $914.5-million long-term note (€800 million) the company current has open, and the new loan was approved by the majority debt-owners behind Codere, including private equity funds Abrams Capital and Silver Point.

Codere had hoped to be able to restructure some of its current debt last month, turning to Bank of America to help negotiate an update to existing debt of about $114.33 million (€100 million). However, at the time, Abrams and Silver Point balked at the idea, which left the global gaming operator in a very precarious situation as bills continued to pile up.

Now for the bad news. Instead of paying its normal and modest 6.75% interest, or even 7.25% interest, the approved interest rate is almost double what it pays on the existing €800-million note. Codere will have to pay 12.75% interest on the new financial injection, which means the company has to make serious improvements if it expects to cover all of its outstanding debt. 

If you’re going to be stuck anywhere while the coronavirus pandemic runs its course, fewer locations are as inviting as the Maldives. The island nation, located in the heart of the Indian Ocean, has always been a favorite with globetrotters and is now ready to start getting things back to normal. As of today, the Maldives is open for business, with very few restrictions and no mandatory quarantines for international travelers. 

The Maldives is comprised of 26 atolls that span around 115 square land miles. It is considered one of the world’s most unique sovereign states and has seen a number of changes since it was first inhabited 2,500 years ago. It has gone through Buddhist and Islamic periods of rule, and has also seen Portugal, the Netherlands and Britain try to take control. It officially became a republic in 1968, leading to the creation of an international island hotspot for tourists. 

Now highly reliant on tourism, as well as fish exportation, for its survival, the Maldives is ready to embrace travelers, with virtually no questions asked. While other countries require quarantines or health clearances, none of this will be necessary for arrivals to the Velana International Airport in Male, the country’s capital – the Maldives is collaborating with the resorts to ensure that they offer the necessary protections. There will also not be a requirement to obtain a new visa or pay additional fees normally associated with travel.

As liberal as the new travel policies are, there will be a couple of restrictions. Primarily, international visitors will have to remain on the resort islands and at a single property. In other words, no island hopping in the short-term. However, this restriction will be lifted as progress is made and the country sees that it isn’t slipping backward with its control over the coronavirus. Exceptions will be made for travelers who have to move from one location to another due to their journey’s required stops. 

Lots of different kinds of gambling firms want to get in to the Latin American market, but each face their own unique challenges. One particularly lucrative market for the football-mad continent is sportsbook, so on the sidelines of the SBC Digital Summit Latin America conference, our Becky Liggero Fontana spoke with Domenico Mazzola, Commercial Director for Altenar, who has very relevant experience on the subject.

Mazzola began by explaining exactly what it is his company does. “Altenar is providing a fully managed sportsbook solution in different countries, but we are focused on Europe and South America,” he said. “If you ask me about South America, I would name just a couple of operators that we have there, which one of them is probably, if not the biggest, second largest in Colombia, Wplay.co that is using our sportsbook. We have an operation, Playdoit.mx in Mexico. We do have already a couple of operations as well in Peru, Nicaragua, soon we will launch another one in Ecuador, we have a project running in Jamaica, and we do have some traffic as well through some partners in Brazil and other South American countries.”

While LATAM mostly shares the same language, localization is still very important. “It’s a really tough challenge for a sportsbook provider to manage to adopt its solution to different countries because, you know, most of the people believe that when you discuss about LATAM, they have indeed in their mind about only one region, or even one country sometimes,” Mazzola said. “But unfortunately, or fortunately, it’s not like that because you have people speak in different languages, because if you compare Colombians with the Brazilians, they speak a different language, and then you have, let’s say people having different behaviors, having different approaches to the business, so it is really a nice challenge to have with the possibility to, let’s say adapt your solution to all their requirements, all their needs. And we managed, I would say pretty well because we had and we still have now the size to support tier 1 operators, and on the other side, having the flexibility to adapt and to adjust our solution to what is required in terms of sportsbook offering, in terms of sports product, to a specific region. And I will add on top of that, if you allow me to do so, that it’s not only about the market, it’s about a specific need of a specific operator, because you can have different operators in the same region and they can have different requirements, because maybe one is more focused on the online operation rather than having another one that is more focused on the land-based operation.”

[youtube https://www.youtube.com/watch?v=ZO4EgE31TRE?feature=oembed]

The former Hard Rock Café in Las Vegas has undergone a lot of changes in the past two years. After being purchased by Richard Branson to be converted into the first Virgin Hotels property in Sin City, the new Virgin Hotels Las Vegas teamed up with Mohegan Gaming & Entertainment (MGE) to run its gaming operations. Now, MGE, the tribal gaming operator behind the Mohegan Sun brand, is ready to add a sportsbook and decided to look across the pond for the most suitable option. There are a number of U.S. sports gambling operators active in the country, but MGE has decided that the U.K.’s Betfred would be a better fit. 

The deal was announced yesterday by MGE, which added that the U.S. arm of Betfred, Betfred USA, will make an ideal partner. Aviram Alroy, MGE’s VP of Interactive Gaming, added, “We’re excited to work with Betfred, one of the leading Sportsbook operators in the U.K. and Europe. Our affiliation will introduce new and attractive competition to the Las Vegas market. Betfred will create a seamless and best-in-class experience on our gaming floor, which will cater to both domestic and international visitors.”

Betfred USA came about last year, ready to take the U.S. sports gambling by storm. It set up its headquarters in Las Vegas, a decision that has proved to be a smart move given the new deal with MGE. The sportsbook will offer luxury seating, an innovative video wall, over-the-counter bets and self-serve kiosks. It will also support online sports gambling products in Nevada. 

Adds Betfred Chief Operation Officer Mark Stebbings, “Given our collaboration with two outstanding operators in Mohegan Gaming & Entertainment and Virgin Hotels Las Vegas, we are confident that our first foray into the Las Vegas Sportsbook market will be a great success. Through our shared expertise, we will be offering a top class service for sports bettors in the entertainment capital of the world.”

The Casino du Liban in Lebanon may not be on the radar for most gamblers, but it has been a major source of revenue for the government since it opened. Located about 13 miles outside of Beirut, the gambling property was once the stomping ground for people like Aristotle Onassis, Elizabeth Taylor, David Niven and others, and was responsible for the area once being referred to as the Monte Carlo of the Middle East, according to Blominvest Bank. More than 70 years after first opening, though, it is reportedly struggling as a result of the coronavirus, and its revenue losses also bring heavy losses to the state government, due to the latter’s ongoing claims to 50% of the gross take. With things spiraling downward as tourism drops, rumors are beginning to circulate that Lebanon might sell its share in order to pick up some much-needed cash. That, ultimately, could also help in restoring the property to its former days of grandeur. 

The Middle East Eye reported earlier this month that the government could consider selling either all or part of its holdings if it can find an adequate buyer. The government owns 52% through a joint-stock company with government shares and has relied heavily on the venue to feed its coffers over the years. However, the casino was forced into an 80-day shutdown as a result of the coronavirus (despite assertions that there were no coronavirus concerns). That closure is only now being lifted; however, activity is limited to just slot machines – other gaming activity and the venue’s restaurants remain off-limits. 

The casino has also suffered due to local issues, such as citizen riots for political issues and a major drop in the value of the Lebanese pound. The country’s finance ministry began exploring options for the government to recuperate lost revenue stemming from various activities, including the casino, this past April and has begun to gather appraisals on its assets, possibly as a first step toward an ultimate sale of different holdings. 

Some feel that selling the casino to a private casino operator would give it a huge boost. It would be able to capitalize on that company’s experience and reach, and could turn Lebanon into an international tourism destination once again – the same as it was when performers like Duke Ellington and Julio Iglesias performed there. It would also be an opportunity to break a trend of reported corruption that is preventing the state from benefiting appropriately from its operations. 

Indonesia’s anti-online gambling efforts could soon get a technical boost as the government seeks greater control over its ability to block unauthorized websites.

On Monday, Indonesia’s Ministry of Communications and Information Technology announced plans to beef up its so-called ‘web crawler’ to better police the interwebz for content that the government doesn’t like, which ranges from pornography to gambling to dangerous political ideas.

The Ministry is looking to enhance its existing Cyber Drone 9 – which sounds like straight-to-video Seal Team 6 knockoff but is actually the government’s online artificial intelligence system –  into an omniscient Judge Dredd censorship titan by sometime next year. That is, if the Ministry’s Dr. Evil-inspired request for ONE BILLION RUPIAH (US$69.2m) in funding meets with the approval of the government’s budget hawks.

Indonesia’s government seems to have grown weary of asking local internet service providers and telecom outfits to block websites the government has identified as posing a threat to societal order. Since 2018, Cyber Drone 9 has tagged 1.3m websites with its scarlet letter, of which 220k involved some form of gambling.

California’s cardroom operators want their governor to order the state’s tribal casinos to close, ostensibly to “protect the health and safety of Californians,” but mainly because there’s no love lost between these factions. 

Last week, Kyle Kirkland, president of the California Gaming Association (CGA), sent a letter to Gov. Gavin Newsom regarding his July 1 order that forced all non-essential retail businesses – including cardrooms – in 19 counties to close for at least three weeks following a spike in COVID-19 infections.  

The state’s tribal casinos are run by sovereign nations that aren’t subject to Newsom’s orders, and Kirkland’s letter notes that “all tribal casinos in the targeted counties remain open.” Kirkland calls this ‘inconsistent” and suggests that Newsom actually has “the authority to order ALL casino operations, including tribal casinos, to cease operations in the affected counties.”

Kirkland cites a clause in the standard tribal-state gaming compact that says tribes “shall not conduct Class III Gaming in a manner that endangers the public health, safety, or welfare.” Kirkland argues that if Newsom truly believes “that gambling facilities pose a risk to the health and safety of the public in certain counties, we ask that you call upon ALL gaming operators in the targeted counties to close.” [Emphasis in the original.]