Eilers & Krejcik Gaming Says New Payment Options Bring New Fraud Opportunities on Casino floor
Last week, the American Gaming Association (AGA) released a report titled “Principles for Casino Gaming Payments Modernization,” showcasing a framework for regulatory flexibility to enable digital payments on the casino floor. On Monday, boutique research and consulting firm Eilers & Krejcik Gaming has released a document providing further insights and comments on each one of the AGA’s principles.
Authored by Managing Director of Electronic Money Movement Jerry Rau, the report says that responsible gaming limits in the online world for deposits, session times and betting are well developed, but their effectiveness will be limited due to the continued presence of the anonymity of cash.
“We believe that the empowerment of self-monitoring could be valuable for the willing customers. In addition to customer imposed alerts, we suggest that anomalous betting or payment patterns alert the player so they can be aware that they may want to consider adjusting their behavior,” Eilers & Krejcik said.
Furthermore, the consulting firm warns that adding convenience adds opportunity for problem gambling.
“Funds that are not available because of daily limits for cards associated with a bank account could be made available with the addition of a higher limit bank transfer option on the casino floor,” Eilers & Krejcik said.
Eilers & Krejcik also says new payment options bring fraud opportunities that do not currently exist on the casino floor.
“Converting stolen cards to cash is one of several vulnerabilities that will present themselves. The innovation of cashless options far outweighs the issues, but we need to have mitigating controls to offset the risk,” Eilers & Krejcik said.
