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16:10 Wednesday 27 January 2021
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  • NEWS
    China gives Philippines iGaming reprieve but POGOs not safe yet

    POGO tax payments up 11.7% in 2020

    SkyCity Auckland extends casino closure as second New Zealand COVID outbreak grows

    SkyCity Entertainment Group announces latest changes to leadership team

    Survey finds just 0.5% of adult residents in Yokohama suffer from problem gambling

    Number of operational pachinko halls down by 584 in 2020

    Sheldon Adelson: Supercharged by Asia

    Las Vegas Sands confirms Goldstein, Dumont to permanently head new-look leadership team

    Amendment to China’s criminal law targeting foreign casinos to include 5 to 10 year jail term

    China set to expand blacklist of overseas casino tourist destinations

    Scientific Games granted approval for latest Jin Ji Bao Xi game “Singing Cats”

    Scientific Games granted approval for latest Jin Ji Bao Xi game “Singing Cats”

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    • FEATURES
      2021: Japan IR – Crunch time

      2021: Japan IR – Crunch time

      In safe hands

      In safe hands

      A spirit of social responsibility

      A spirit of social responsibility

      Taxation tremors

      Taxation tremors

      10 years ago

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      Creating an RG culture beyond the boardroom

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      • PEOPLE
        Dave Smith: Smell of success

        Dave Smith: Smell of success

        Scientific Games insists liquidity position strong after adding US$480 million in debt, cutting costs

        Scientific Games appoints Eileen Moore Johnson as Executive Vice President and Chief Human Resources Officer

        Creation theory

        Creation theory

        Paltronics announces passing of Stephen Cowan, much-admired Managing Director

        Paltronics announces passing of Stephen Cowan, much-admired Managing Director

        Dark days

        POST-COVID2: The most transformative business shock of our lifetimes

        Dominic Laubach: Global explorer

        Dominic Laubach: Global explorer

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        • COLUMNISTS
          Memories of the man that was Sheldon Adelson

          Memories of the man that was Sheldon Adelson

          Big money

          A decade of differentiation

          A decade of differentiation

          How to set up for IR success

          How to set up for IR success

          Macau: Taking a sensible approach to responsible gaming

          Macau: Taking a sensible approach to responsible gaming

          Time to realign?

          Time to realign?

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          • TECH TALK
            Scientific Games granted approval for latest Jin Ji Bao Xi game “Singing Cats”

            Scientific Games granted approval for latest Jin Ji Bao Xi game “Singing Cats”

            Creation theory

            Sega Sammy Creation aiming for “maximum fortune” in 2021

            IGT launches new game for its strong performing Ying Cai Shen link

            IGT launches new game for its strong performing Ying Cai Shen link

            Jumbo given GLI certification for new Long Yi Fa jackpot link games

            Jumbo given GLI certification for new Long Yi Fa jackpot link games

            Aruze Gaming launches two new pachinko-inspired slot titles into Asia

            Aruze Gaming launches two new pachinko-inspired slot titles into Asia

            First-class showcase in the virtual space

            First-class showcase in the virtual space

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            • iGAMING
              Live-games integration as an effective marketing tool for increasing bets

              TVBET to enter the Montenegro iGaming market

              Manila restrictions ease as Duterte implements General Community Quarantine for National Capital Region

              Philippine police arrest eight alleged members of POGO-linked “kidnap for ransom” gang

              PAGCOR reveals substantial POGO revenue rise in 2018 as enforcement role defended

              Philippines court order preventing new 5% franchise tax could halt POGO exodus

              MGM Resorts looking to raise US$750 million via senior notes offering

              MGM Resorts considering US$13 billion takeover offer for Ladbrokes owner Entain

              Evolution launches world’s first online live Craps game

              Evolution launches world’s first online live Craps game

              Duterte extends “modified” quarantine measures across Metro Manila to 31 May

              PAGCOR sees regulatory fees from POGOs halved as Philippines online gaming industry shrinks

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              • EVENTS
                AIGF leaders join SBC Digital India’s high-level speaker line-up

                AIGF leaders join SBC Digital India’s high-level speaker line-up

                Winter wonderland

                Alex Pratt, Stuart Hunter take the reins as ICE organizer Clarion Gaming announces management changes

                Founders of leading Indian gaming companies among speakers at upcoming SBC Digital India

                Founders of leading Indian gaming companies among speakers at upcoming SBC Digital India

                Castle in the Sky

                Osaka IR & Inbound Business Seminar canceled due to COVID-19

                SBC launches new SBC Digital 2021 events program

                SBC launches new SBC Digital 2021 events program

                IAG named Lead Media Partner for Phil-Asian Gaming Expo (PAGE)

                Phil-Asian Gaming Expo says Manila’s SMX Convention Centre to be sole venue for PAGE 2021

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                • MACAU
                  Scientific Games granted approval for latest Jin Ji Bao Xi game “Singing Cats”

                  Scientific Games granted approval for latest Jin Ji Bao Xi game “Singing Cats”

                  Sheraton Grand Macao to remain in use as quarantine venues continue until end of April

                  Sands China’s Sheraton Grand Macao to stop accepting quarantine guests during Chinese New Year

                  Macau GGR falls 70.5% year-on-year in November to MOP$6.75 billion, slightly down versus October

                  Chinese New Year bookings cancelled as China’s COVID outbreaks see Macau visitation slow: analysts

                  “Grand Lisboa Macau” name used in illegal online gambling operation in Vietnam

                  China’s digital yuan to benefit Macau casinos, boost mass and premium mass: Bernstein

                  Zhuhai to accept Macau’s COVID-19 test results

                  Macau on alert as Zhuhai records case of COVID-19 in self isolation

                  All eyes on recovery as MGM China, UMAC hold seminar for MGM staff on mainland China consumption habits

                  All eyes on recovery as MGM China, UMAC hold seminar for MGM staff on mainland China consumption habits

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                  • JAPAN
                    Reports Yokohama to start RFP in late January

                    Yokohama publishes IR public tender requirements as lengthy RFP begins

                    Macau imposes quarantine restrictions on arrivals from Japan, German, France and Spain

                    Foreign visitor arrivals to Japan down 97.7% year-on-year in December

                    Amax shareholders approve company name change, mobile games apps sale

                    Japan IR contender Oshidori issues positive profit warning on expected US$300 million profit in 2020

                    Osaka Mayor Matsui calls for Tokyo Olympic Games to be postponed until 2024

                    Osaka Mayor Matsui calls for Tokyo Olympic Games to be postponed until 2024

                    Creation theory

                    Sega Sammy Creation aiming for “maximum fortune” in 2021

                    2021: Japan IR – Crunch time

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                      • Vietnam
                      China gives Philippines iGaming reprieve but POGOs not safe yet

                      POGO tax payments up 11.7% in 2020

                      SkyCity Auckland extends casino closure as second New Zealand COVID outbreak grows

                      SkyCity Entertainment Group announces latest changes to leadership team

                      Survey finds just 0.5% of adult residents in Yokohama suffer from problem gambling

                      Number of operational pachinko halls down by 584 in 2020

                      Sheldon Adelson: Supercharged by Asia

                      Las Vegas Sands confirms Goldstein, Dumont to permanently head new-look leadership team

                      Amendment to China’s criminal law targeting foreign casinos to include 5 to 10 year jail term

                      China set to expand blacklist of overseas casino tourist destinations

                      Scientific Games granted approval for latest Jin Ji Bao Xi game “Singing Cats”

                      Scientific Games granted approval for latest Jin Ji Bao Xi game “Singing Cats”

                      Trending Tags

                      • POWER 50
                        Power restored

                        Power restored

                        2020 Asian Gaming Power 50: Top of the World

                        2020 Asian Gaming Power 50: Top of the World

                        2020 Asian Gaming Power 50: Meet the panel

                        2020 Asian Gaming Power 50: Meet the panel

                        2020 Asian Gaming Power 50: Ones to watch

                        2020 Asian Gaming Power 50 list

                        2020 Asian Gaming Power 50: Number 4 – Lawrence Ho

                        2020 Asian Gaming Power 50: Number 1 – Francis Lui

                        2020 Asian Gaming Power 50: Number 4 – Lawrence Ho

                        2020 Asian Gaming Power 50: Number 2 – Sheldon Adelson

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                        • NEWS
                          China gives Philippines iGaming reprieve but POGOs not safe yet

                          POGO tax payments up 11.7% in 2020

                          SkyCity Auckland extends casino closure as second New Zealand COVID outbreak grows

                          SkyCity Entertainment Group announces latest changes to leadership team

                          Survey finds just 0.5% of adult residents in Yokohama suffer from problem gambling

                          Number of operational pachinko halls down by 584 in 2020

                          Sheldon Adelson: Supercharged by Asia

                          Las Vegas Sands confirms Goldstein, Dumont to permanently head new-look leadership team

                          Amendment to China’s criminal law targeting foreign casinos to include 5 to 10 year jail term

                          China set to expand blacklist of overseas casino tourist destinations

                          Scientific Games granted approval for latest Jin Ji Bao Xi game “Singing Cats”

                          Scientific Games granted approval for latest Jin Ji Bao Xi game “Singing Cats”

                          Trending Tags

                          • FEATURES
                            2021: Japan IR – Crunch time

                            2021: Japan IR – Crunch time

                            In safe hands

                            In safe hands

                            A spirit of social responsibility

                            A spirit of social responsibility

                            Taxation tremors

                            Taxation tremors

                            10 years ago

                            10 years ago

                            Creating an RG culture beyond the boardroom

                            Trending Tags

                            • PEOPLE
                              Dave Smith: Smell of success

                              Dave Smith: Smell of success

                              Scientific Games insists liquidity position strong after adding US$480 million in debt, cutting costs

                              Scientific Games appoints Eileen Moore Johnson as Executive Vice President and Chief Human Resources Officer

                              Creation theory

                              Creation theory

                              Paltronics announces passing of Stephen Cowan, much-admired Managing Director

                              Paltronics announces passing of Stephen Cowan, much-admired Managing Director

                              Dark days

                              POST-COVID2: The most transformative business shock of our lifetimes

                              Dominic Laubach: Global explorer

                              Dominic Laubach: Global explorer

                              Trending Tags

                              • COLUMNISTS
                                Memories of the man that was Sheldon Adelson

                                Memories of the man that was Sheldon Adelson

                                Big money

                                A decade of differentiation

                                A decade of differentiation

                                How to set up for IR success

                                How to set up for IR success

                                Macau: Taking a sensible approach to responsible gaming

                                Macau: Taking a sensible approach to responsible gaming

                                Time to realign?

                                Time to realign?

                                Trending Tags

                                • TECH TALK
                                  Scientific Games granted approval for latest Jin Ji Bao Xi game “Singing Cats”

                                  Scientific Games granted approval for latest Jin Ji Bao Xi game “Singing Cats”

                                  Creation theory

                                  Sega Sammy Creation aiming for “maximum fortune” in 2021

                                  IGT launches new game for its strong performing Ying Cai Shen link

                                  IGT launches new game for its strong performing Ying Cai Shen link

                                  Jumbo given GLI certification for new Long Yi Fa jackpot link games

                                  Jumbo given GLI certification for new Long Yi Fa jackpot link games

                                  Aruze Gaming launches two new pachinko-inspired slot titles into Asia

                                  Aruze Gaming launches two new pachinko-inspired slot titles into Asia

                                  First-class showcase in the virtual space

                                  First-class showcase in the virtual space

                                  Trending Tags

                                  • iGAMING
                                    Live-games integration as an effective marketing tool for increasing bets

                                    TVBET to enter the Montenegro iGaming market

                                    Manila restrictions ease as Duterte implements General Community Quarantine for National Capital Region

                                    Philippine police arrest eight alleged members of POGO-linked “kidnap for ransom” gang

                                    PAGCOR reveals substantial POGO revenue rise in 2018 as enforcement role defended

                                    Philippines court order preventing new 5% franchise tax could halt POGO exodus

                                    MGM Resorts looking to raise US$750 million via senior notes offering

                                    MGM Resorts considering US$13 billion takeover offer for Ladbrokes owner Entain

                                    Evolution launches world’s first online live Craps game

                                    Evolution launches world’s first online live Craps game

                                    Duterte extends “modified” quarantine measures across Metro Manila to 31 May

                                    PAGCOR sees regulatory fees from POGOs halved as Philippines online gaming industry shrinks

                                    Trending Tags

                                    • EVENTS
                                      AIGF leaders join SBC Digital India’s high-level speaker line-up

                                      AIGF leaders join SBC Digital India’s high-level speaker line-up

                                      Winter wonderland

                                      Alex Pratt, Stuart Hunter take the reins as ICE organizer Clarion Gaming announces management changes

                                      Founders of leading Indian gaming companies among speakers at upcoming SBC Digital India

                                      Founders of leading Indian gaming companies among speakers at upcoming SBC Digital India

                                      Castle in the Sky

                                      Osaka IR & Inbound Business Seminar canceled due to COVID-19

                                      SBC launches new SBC Digital 2021 events program

                                      SBC launches new SBC Digital 2021 events program

                                      IAG named Lead Media Partner for Phil-Asian Gaming Expo (PAGE)

                                      Phil-Asian Gaming Expo says Manila’s SMX Convention Centre to be sole venue for PAGE 2021

                                      Trending Tags

                                      • MACAU
                                        Scientific Games granted approval for latest Jin Ji Bao Xi game “Singing Cats”

                                        Scientific Games granted approval for latest Jin Ji Bao Xi game “Singing Cats”

                                        Sheraton Grand Macao to remain in use as quarantine venues continue until end of April

                                        Sands China’s Sheraton Grand Macao to stop accepting quarantine guests during Chinese New Year

                                        Macau GGR falls 70.5% year-on-year in November to MOP$6.75 billion, slightly down versus October

                                        Chinese New Year bookings cancelled as China’s COVID outbreaks see Macau visitation slow: analysts

                                        “Grand Lisboa Macau” name used in illegal online gambling operation in Vietnam

                                        China’s digital yuan to benefit Macau casinos, boost mass and premium mass: Bernstein

                                        Zhuhai to accept Macau’s COVID-19 test results

                                        Macau on alert as Zhuhai records case of COVID-19 in self isolation

                                        All eyes on recovery as MGM China, UMAC hold seminar for MGM staff on mainland China consumption habits

                                        All eyes on recovery as MGM China, UMAC hold seminar for MGM staff on mainland China consumption habits

                                        Trending Tags

                                        • JAPAN
                                          Reports Yokohama to start RFP in late January

                                          Yokohama publishes IR public tender requirements as lengthy RFP begins

                                          Macau imposes quarantine restrictions on arrivals from Japan, German, France and Spain

                                          Foreign visitor arrivals to Japan down 97.7% year-on-year in December

                                          Amax shareholders approve company name change, mobile games apps sale

                                          Japan IR contender Oshidori issues positive profit warning on expected US$300 million profit in 2020

                                          Osaka Mayor Matsui calls for Tokyo Olympic Games to be postponed until 2024

                                          Osaka Mayor Matsui calls for Tokyo Olympic Games to be postponed until 2024

                                          Creation theory

                                          Sega Sammy Creation aiming for “maximum fortune” in 2021

                                          2021: Japan IR – Crunch time

                                          Osaka IR bid included in ordinance for unified Osaka city/prefecture council

                                          Trending Tags

                                          • REGIONAL
                                            • All
                                            • Africa
                                            • Australia
                                            • Cambodia
                                            • China
                                            • CNMI
                                            • Europe
                                            • Hong Kong
                                            • India
                                            • Japan
                                            • Laos
                                            • Latin America
                                            • Macau
                                            • Malaysia
                                            • Nepal
                                            • New Zealand
                                            • North America
                                            • North Korea
                                            • Philippines
                                            • Russia
                                            • Singapore
                                            • South Korea
                                            • Sri Lanka
                                            • Thailand
                                            • Vietnam
                                            China gives Philippines iGaming reprieve but POGOs not safe yet

                                            POGO tax payments up 11.7% in 2020

                                            SkyCity Auckland extends casino closure as second New Zealand COVID outbreak grows

                                            SkyCity Entertainment Group announces latest changes to leadership team

                                            Survey finds just 0.5% of adult residents in Yokohama suffer from problem gambling

                                            Number of operational pachinko halls down by 584 in 2020

                                            Sheldon Adelson: Supercharged by Asia

                                            Las Vegas Sands confirms Goldstein, Dumont to permanently head new-look leadership team

                                            Amendment to China’s criminal law targeting foreign casinos to include 5 to 10 year jail term

                                            China set to expand blacklist of overseas casino tourist destinations

                                            Scientific Games granted approval for latest Jin Ji Bao Xi game “Singing Cats”

                                            Scientific Games granted approval for latest Jin Ji Bao Xi game “Singing Cats”

                                            Trending Tags

                                            • POWER 50
                                              Power restored

                                              Power restored

                                              2020 Asian Gaming Power 50: Top of the World

                                              2020 Asian Gaming Power 50: Top of the World

                                              2020 Asian Gaming Power 50: Meet the panel

                                              2020 Asian Gaming Power 50: Meet the panel

                                              2020 Asian Gaming Power 50: Ones to watch

                                              2020 Asian Gaming Power 50 list

                                              2020 Asian Gaming Power 50: Number 4 – Lawrence Ho

                                              2020 Asian Gaming Power 50: Number 1 – Francis Lui

                                              2020 Asian Gaming Power 50: Number 4 – Lawrence Ho

                                              2020 Asian Gaming Power 50: Number 2 – Sheldon Adelson

                                              Trending Tags

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                                              Online lifeline?

                                              Muhammad Cohen by Muhammad Cohen
                                              Wednesday 8 July 2020 at 20:11
                                              Online lifeline?
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                                              As Asia considers expanding online gaming to bolster revenue battered by COVID-19, Europe and the US show how to do it responsibly with stringent compliance.

                                              Amid the global coronavirus pandemic that has shuttered casinos and brought travel to a virtual standstill, one industry segment has shown massive growth: online gaming. With uncertain prospects for a return to business as usual without effective COVID-19 treatment or a vaccine, Asia’s simplest road to reviving gaming revenue and taxes and protecting industry jobs would be expanding online gaming. If Asian governments want to take that step, Europe and the US demonstrate that strictly regulated online gaming can thrive in domestic markets.

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                                              Across the world, online gaming revenue has soared as coronavirus spread (this coverage defines online gaming, or iGaming, as casino games including poker and other peer-to-peer play, but excluding sports wagering). From mid-March deep into May, with casinos closed nearly everywhere but Macau, travel restricted and major sports leagues shut down, online casino gaming has been virtually the only game in town. European iGaming action reportedly rose 20% this year from an estimated €7.9 billion (US$8.6 billion) in 2019. Online gaming revenue in the US state of New Jersey jumped 118% year-on-year to US$80 million in April and 124% in May to $86 million. In Pennsylvania, where iGaming launched in July 2019, May revenue of US$56 million more than doubled from US$26 million in March.

                                              Macau has so far resisted suggestions to embrace online casino gambling.

                                              While online gaming rose, gaming overall fell. With casinos closed and sports wagering crimped, New Jersey’s total gaming revenue in May fell by 65% to US$96 million, down by US$181 million. Other jurisdictions report similar numbers.

                                              The outlook for brick-and-mortar recovery remains cloudy. GGR in Macau fell 93% in May and 97% in June, as travel restrictions remained in place. Lifting restrictions won’t automatically mean people resume traveling, especially in public conveyances such as buses, trains and airplanes.

                                              SOUL KILLING

                                              Safety and social distancing proposals, including plastic dividers around tables and between machines, hardly suggest rapid revenue recovery. “When you take the social nature out of a casino, you are taking away its soul,” Global Market Advisors Partner John English says.

                                              Las Vegas Sands insists it remains opposed to online gambling, including in jurisdictions in which it operates in Asia.

                                              Gaming tables are likely to be reduced to three or four seats with alternate gaming machines and terminals deactivated.

                                              “They’re cutting operators’ GGR in half,” FootballBet.com President and CEO David Leppo says. “Until there’s a vaccine, if governments want to get back to pre-COVID-19 numbers, regulators are going to have to offer the customer online.”

                                              Many businesses and regulators have viewed online options as “the wave of the future,” Leppo says. “Well, the future got plopped in our laps three months ago.”

                                              Without online gaming, there’s no lifeline to support casino payrolls and no alternative revenue source for governments that are, in most cases, seeing expenditures soar while tax collections across the board plummet.

                                              HIDE OR SEEK

                                              Operators and officials may find online gaming a compelling option to counter the revenue drought, especially since it’s estimated Asian players annually lose some US$50 billion online, with the vast majority of play unregulated and untaxed by the countries whose citizens place the bets.

                                              “In Asia, governments have to make a decision: do they want to regulate this thing?” London based Tottenham & Co Managing Director Andrew Tottenham says. “The government can say: My citizens are gambling. I can either ban it and work with banks to stop it, block IP addresses, block payments. Or we can regulate it and make sure it’s fair.”

                                              So far, Asian authorities remain reluctant to embrace online gaming within their own borders, fearing potential oversight and problem gambling issues. Macau allows its residents (except civil servants and gaming employees) to gamble freely in casinos, wager on horse racing, bet sports online or by phone, but prohibits online gaming.

                                              “The government would listen to any suggestions that would help the development of the industry,” Macau gaming regulator DICJ replied in writing to questions from Inside Asian Gaming. “However, due to the risks of gambling through the internet or telephone, the government must carefully study the judgment.”

                                              “China opposed online betting in Cambodia, and it’s the cause of the tension between China and the Philippines,” 2NT8 Managing Director Alidad Tash, a longtime Macau casino executive, says. “So why would they allow it in Macau?”

                                              THAT GOES DOUBLE

                                              Macau’s leading casino operator doesn’t want it either. “The company is opposed to online gaming and has no plans to enter that business, regardless of city, country or continent,” Ron Reese, Senior Vice President of Global Communications and Corporate Affairs for Sands China parent company, Las Vegas Sands, tells IAG.

                                              Singapore, which offers a similar range of gaming options as Macau, albeit with a SG$150 (US$105) casino entry fee for its residents, banned unauthorized online gaming through the Remote Gambling Act enacted in 2015. Its Casino Regulatory Authority reiterated the ban to IAG, adding that Singapore Pools, the sole authorized provider for sports and lottery betting, suspended remote services as part of the national COVID-19 “circuit breaker” closure of non-essential services from April 7. Online betting resumed June 15, though retail betting shops remained closed.

                                              Singapore banned unauthorized online gambling in 2015.

                                              The Philippines embodies Asia’s prevailing attitude toward online gaming. Its citizens can gamble in casinos, play bingo and other games in betting shops and wager on sports in person, by phone and online. But online casino gaming is reserved for overseas players. Through licensed POGOs – Philippine Offshore Gaming Operators – regulator PAGCOR collected fees of Php6.4 billion (US$126 million) last year, suggesting gross gaming revenue in excess of US$5 billion, more than the US$4.3 billion GGR for Philippine brick-and-mortar casinos.

                                              BEGGARS BAN, QUIT

                                              Asia’s prevailing beggar-thy-neighbor iGaming has its limits. In Cambodia, Sihanoukville saw billions invested on the foundation of online gaming primarily targeting mainland China players, whose participation is illegal under Chinese law. When Beijing objected, Cambodia had no choice but to listen to its main economic benefactor and ban online gaming at the end of 2019, stopping the vast majority of those investments.

                                              In the long run, it will take domestic play to make online gaming sustainable in Asia. If Asian governments decide to permit online gaming in their own markets, successful models abound.

                                              “New Jersey since late 2013 has shown that online gaming can be effectively regulated by the state and responsibly offered by the operators,” Spectrum Gaming Group Managing Director Fred Gushin, a former New Jersey regulator, says. Pennsylvania and Delaware legalized online casino gaming more recently and other US states are considering it.

                                              New Jersey levies online gaming tax of 15% plus an additional 2.5% investment alternative tax, compared with 8% and 1.25% for brick-and-mortar play. Online licensees must be affiliated with a physical casino, but a casino may have multiple online affiliates. Servers and other internet game equipment must also be located on casino premises.

                                              DIGITAL TRAIL

                                              Online operators in New Jersey must satisfy anti-money-laundering and know-your-customer requirements and monitor play.

                                              Sihanoukville, Cambodia was undergoing a construction boom on the back of online gambling before China intervened last year.

                                              “Before one wager is made, the casino knows who their online customers are, where they live, their credit history, and can then track every wager made,” Klebanow Consulting Principal Andrew Klebanow says.

                                              “It’s a myth that just because you can see the person in a brick-and-mortar casino you can do better AML [anti-money-laundering],” Bird & Bird Partner Andy Danson, head of the law firm’s international gambling group, says. “It’s difficult to deceive proper [online] operators.”

                                              Players can only wager while physically located within New Jersey. “Geofencing and geolocation tools or third-party companies provide accurate reporting to identify if the customer is in a location where betting is legal,” English, GMA’s Managing Director of Sports Betting and Technology and a pioneer of legal mobile sports betting in the US, says.

                                              DIFFERENT STROKES

                                              The European Union allows member states to set their own internet gaming rules, giving Asian jurisdictions a range of examples. Jurisdictions vary on whether servers and banking functions must be located in the licensing country or simply within the EU.

                                              “For an operator, it’s a pain to have different servers and banking here and there,” Tottenham, who founded his firm in 1986, says. “But it gives peace of mind to the regulator.”

                                              Some countries, such as Belgium, require online license linkage to physical casinos; the UK and others don’t.

                                              “As a capitalist, I like the UK model,” London based Danson says. “But if you are trying to protect the brick-and-mortar industry, you’d use another model.”

                                              Recently, there’s been greater emphasis on compliance and responsible gaming, especially in the UK, according to Danson, starting with collecting more detailed information at the time of registration.

                                              “Regularly, operators will ask for a selfie plus a passport and use a credit checking agency for affordability checks. If people are spending a lot, it’s expected that operators get on the phone and check to see if they can afford it.”

                                              Jurisdictions on both sides of the Atlantic mandate responsible gambling messages as part of the registration and play processes.

                                              “The best sites will generally have multiple limit setting features – time and money; deposits and losses – a self-exclusion program, responsible gambling education content, and some sort of feedback tool that can give the player information based on a measured level of risk,” Washington State University responsible gaming expert Kahlil Philander says.

                                              Online gaming growth has been accompanied by expansion of online gaming disorder support.

                                              “Research supports the efficacy of online and telemedicine support and treatment,” Professor David Hodgins of University of Calgary’s Addictive Behaviors Lab says.

                                              Proxy paradoxy

                                              Macau proxy betting comeback in the cards?

                                              Macau appears unlikely to embrace online casino gaming anytime soon. But with coronavirus likely to stifle travel even after restrictions ease, some observers suggest proxy betting could help reflate gaming revenue. Macau banned proxy betting – giving wagering instructions by phone to a person placing those bets in a casino VIP room – in 2016. Macau’s ban boosted proxy betting in other jurisdictions, especially the Philippines, often adding live streaming for off-site participants.

                                              “Proxy betting is more acceptable, more palatable for the [Macau] government, as opposed to betting online,” 2NT8 Managing Director Alidad Tash says. “It’s turning the switch back on for something they’ve done before.”

                                              Macau’s gaming regulator DICJ tells Inside Asian Gaming it “will listen to any suggestions” to aid the hard-hit local gaming industry, but “due to the risks of gambling through the internet or telephone” consideration proceeds with caution.

                                              “Proxy betting was banned officially in 2016 and the main reason was due to the AML [anti-money laundering] concerns, in particular the identity of the gambler and their origin of funds,” MdME Lawyers Senior Associate Carlos Eduardo Coelho says. “I do not anticipate a comeback of proxy betting.”

                                              PRETZEL LOGIC

                                              Proxy betting supporters employ tortured logic to distinguish it from online gaming and to address compliance issues. They describe proxy bets as being placed legally in a casino, ignoring the actual customer off-premises to avoid acknowledging a remote gaming transaction. Supporters then contend the junket promoter’s relationship with the remote customer satisfies AML concerns, though the casino and regulator must deny there is a remote customer.

                                              “Proxy betting in casinos is designed to have players unknown to the casino betting in the casino,” Spectrum Gaming Group Managing Director Fred Gushin says. The former New Jersey regulator dismisses arguments distinguishing proxy betting from online gaming as creating “a distinction without a difference.”

                                              One substantive difference between proxy betting and online gaming is the target player.

                                              “Junket customers have the wherewithal to participate in proxy gambling. They have large credit lines and have demonstrated their worth from past trips to VIP rooms,” Klebanow Consulting Principal Andrew Klebanow says. “Online gaming targets low-end, mass market players.”

                                              Beyond proxy betting, Macau may have a tool to enhance gaming revenue while promoting social distancing. Technology can enable gaming away from tables and machines within the casino premises, using either a device issued by the casino or an app loaded onto a player’s device. With the app, dozens of players can use the same table without being crowded around it. Casinos could allow remote players to sit at empty tables, or as FootballBet.com’s David Leppo suggests, in lounges with F&B service.

                                              Attorney Coelho cites Macau administrative regulations that allow mobile gaming with approved devices within casino premises and give the government wide latitude to designate what constitutes “casino premises.”

                                              By imposing the same entry regulations as the casino floor, including no one under the age of 21, and other required controls, a restaurant or even a hotel wing could be designated as casino premises for mobile gaming.

                                              Tags: 2NT8Alidad TashAndrew KlebanowAndrew TottenhamAndy DansonBird & Bird PartnerCasino Regulatory AuthorityCurrent IssueDavid HodginsDavid LeppoDICJFootballBet.comFred GushinGlobal Market Advisors PartneriGamingJohn EnglishKlebanow ConsultingLas Vegas SandsPAGCORPOGOsRemote Gambling ActRon ReeseSihanoukvilleSpectrum Gaming GroupTottenham & Co
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                                              Muhammad Cohen is Editor at Large of Inside Asian Gaming, a contributor to Forbes Asia and wrote Hong Kong On Air, a novel set during the 1997 handover about TV news, love, betrayal, high finance and cheap lingerie.

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