Regulation round-up 7 January 2014
The biggest regulatory news from the egaming industry in the last seven days (1 January to 7 January 2014)
Sportingbet switches to Maltese regulator
GVC-owned sportsbook transfers licence from Alderney regulator after closing its Channel Islands operations
Sportingbet has announced it will switch regulatory regimes this week to be licensed by the Lotteries and Gaming Authority of Malta, following the closure of the operator’s Channel Islands-based operations.
The move to the Maltese gambling regulator will take place on Thursday 9 January and will result in the termination of Sportingbet’s current operating licence with the Alderney Gambling Control Commission.
The decision to swap regulators was taken after the sportsbook closed down its Guernsey operations following last year’s takeover by GVC Holdings, with many of the roughly 100-strong staff transferred to GVC’s Malta base.
Sportingbet notified its customers of the decision over the weekend with the switch to result in website downtime of seven hours from 5am on Thursday while necessary amendments are made.
UK licence applications to be sped up by regulator references
Online gambling firms could have their application for a UK licence fast-tracked after the country’s Gambling Commission confirmed it will request ‘statement of insurance’ references from overseas regulators.
In its recent response to the remote operating licence application consultation, which took place late last year, the Commission said it had been working closely with a number of regulators in order to avoid duplication when the UK application process opens later this year.
Under proposed legislation within the Gambling (Licensing and Advertising) Bill, all egaming operators and suppliers with UK-based customers will have to apply for a licence from the Commission.
Seven days in regulation:
Pennsylvania scraps Camelot lottery privatisation contract
UK lottery operator Camelot Global Services’ hopes of securing Pennsylvania’s lottery privatisation contract were dashed last week after the latest extension for the deal to be revised expired.
Camelot was initially awarded the 20-year contract in late 2012, under which it promised to deliver at least $34.6bn in profit over the course of the contract.
However Pennsylvania attorney general Kathleen Kane later rejected the deal, claiming Governor Tom Corbett had overstepped his authority and contravened the state constitution by signing the contract as it had not yet gained legislative approval.
California online poker worth more than $200m, report finds
California’s online poker market could be worth well in excess of $200m in its first year of operation, according to new research which also claims it is the only US state large enough to sustain a market without pooling players across state lines.
A joint study by research firm Academicon and rankings site PokerScout.com estimates that under the intrastate model, the California online poker market would grow from roughly $217m in the first full year of operations to $263m in year 10.
Many expect the state, easily the largest and most lucrative in the US, to finally make regulatory progress in 2014 after several years of stalemate between the legislature and powerful Native American tribes over online poker.
Opinion: NJ was a job well done for Boyd but it is merely the start
Former US Congressman Jon Porter says key stakeholders in North American egaming sector must work together in order to make progress in 2014
The successful launch of online gaming in the state of New Jersey on November 26 is a watershed moment in the evolution of the American gaming industry “ the most significant step yet in the establishment of regulated online gaming in the United States.
As our first venture into real-money online gaming, our New Jersey launch is an exciting moment for Boyd Gaming Corporation and Borgata “ one made possible by the tireless efforts of our New Jersey online team.
There have undoubtedly been challenges during the early days, particularly with respect to payment processing options and geolocation technology. These challenges were no surprise, considering that many solutions were modified to meet the unique specifications set by state regulators.