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Compliance Updates

PayNearMe Wins Approval to Process Online Sports Betting and iGaming Payments in Arizona

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Payments platform PayNearMe has announced that it has been approved by the Arizona Department of Gaming to provide its services to licensed operators in the state.

Barstool Sportsbook, Penn Interactive’s mobile sports betting app with nearly 70 million hits per month, has been accepting cash deposits at retail locations with PayNearMe since September 2020 and is now among the first to go live in Arizona with the company. PayNearMe has launched four clients in Arizona, and is actively working to enable additional operators across the state to accept players’ cash and electronic payment deposits.

“Players want a frictionless deposit experience, and PayNearMe’s iGaming solution helps operators improve the iGaming experience by enabling players to quickly and easily fund their accounts using any tender they choose — including Apple Pay and Google Pay — via a smartphone. As more states legalize online sports betting, PayNearMe’s technology and electronic cash network make it possible for operators to get up and running quickly in each new state,” Michael Kaplan, Chief Revenue Officer and General Manager at PayNearMe, said.

“We are ready to rapidly expand the Barstool Sportsbook & Casino app across the US in tandem with states legalizing sports betting. PayNearMe’s technology makes it possible for us to quickly begin accepting cash deposits as states go live,” Jake Francis, Sr. Director of Operations at Penn Interactive, said.

Managing deposits and payouts is a complex process that requires technology designed specifically for the iGaming industry.

“We have deep expertise in the gaming industry and have worked closely with the Arizona Department of Gaming to ensure our service is compliant with all applicable statutory requirements,” Connor McNulty, Senior Regulatory Counsel and BSA/AML/OFAC Compliance Officer at PayNearMe, said.

Compliance Updates

NYSGC Appoints Terryl Brown to the New York Gaming Facility Location Board

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The New York State Gaming Commission (Commission) unanimously appointed Terryl Brown to the New York Gaming Facility Location Board (Board), which is overseeing the commercial casino siting process in the New York Metro region.

“The Gaming Facility Location Board’s work can be transformational for the State of New York. Ms. Brown brings a wealth of experience, expertise and public service to the team that will evaluate casino proposals. I thank her and the entire Board for its ongoing work and service to New York State,” Commission Chair Brian O’Dwyer said.

Terryl Brown currently serves as Vice President and General Counsel at Pace University. Prior to taking her position at Pace, Brown served as Deputy Commissioner of Legal Affairs and Administration for the New York City Fire Department, where she oversaw operations and legal matters for a department comprised of 17,000 employees. Brown has also been Chief Ethics Officer and Counsel with the New York State Attorney General’s Office, Acting Counsel to Governor David Paterson, First Assistant Counsel to Governor Eliot Spitzer, a Commissioner of the New York State Joint Commission on Public Ethics, Executive Vice President and General Counsel at the New York Power Authority, and a Partner at Harris Beach PLLC.

Brown graduated from Pace University with a bachelor’s degree in political science; earned a master’s from Villanova University; and a J.D. and M.B.A. from University of Pittsburgh. She completed an advanced finance program at the University of Pennsylvania.

Brown joins Vicki Been, Marion Phillips, III, Stuart Rabinowitz, and Greg Reimers on the Gaming Facility Location Board.

The Board is ultimately responsible for reviewing and evaluating casino applications and recommending up to three facilities for licensure.

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Compliance Updates

Jackpot Digital Receives Maine Gaming License

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Jackpot Digital Inc., the world’s leading provider of innovative dealerless electronic poker gaming solutions, has announced that it has received license approval from the Maine Gambling Control Unit (MGCU).

This milestone marks a significant achievement for the Company, as it is the first state-issued license it has received in the US. This state license allows the Company to install its casino machines throughout all of Maine.

“Receiving approval from MGCU is a major accomplishment. Until now, our U.S. licenses have been exclusively through our valued Indian Gaming casino partners, who issue licenses for their respective properties. A state license, however, grants us access to the entire state. We have several additional state licenses pending approval, representing a major expansion opportunity into larger state-regulated commercial casinos,” Jake Kalpakian, CEO of Jackpot Digital, said.

“More immediately, this MGCU approval enables us to offer Jackpot Blitz to gaming operators across Maine. We are excited to bring our innovative products to Maine’s gaming community and reinforce our commitment to delivering cutting-edge technology-driven entertainment,” Mr. Kalpakian added.

Jackpot Digital’s flagship product, the Jackpot Blitz ETG, offers a modern, dealerless, player-friendly poker solution that integrates traditional multiplayer poker games with cutting-edge digital technology. The MGCU license will enable the company to offer its innovative gaming solutions to operators throughout Maine, driving new revenue opportunities and enhancing player experiences.

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Compliance Updates

MGCB Issues Cease-and-Desist Order to BetNow

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The Michigan Gaming Control Board (MGCB) has issued a cease-and-desist order to BetNow.eu Sportsbook, Casino, and Racebook (BetNow), an offshore online casino operating illegally within the state. The site offers a range of casino games, including slots, poker, and live dealer options such as blackjack, roulette, and craps, as well as betting services for sports events and horse races.

“This unlicensed operator not only violates Michigan law, but also exposes consumers to significant risks. Our job is to protect Michigan residents by ensuring that all online gambling is conducted legally and responsibly,” MGCB Executive Director Henry Williams said.

BetNow offers numerous payment options for player deposits, including Visa, Mastercard, American Express, Zelle, Apple Pay, Google Pay, PayPal, Bitcoin, Ethereum, Litecoin, Tether, Bitcoin Cash, CashMG, and bank transfers. However, players must wager their entire initial deposit before becoming eligible to withdraw any winnings.

The MGCB’s investigation found that BetNow is in violation of several key state laws, including:

• Lawful Internet Gaming Act: Only licensed operators are permitted to offer internet gaming. Only Michigan-licensed casinos and federally authorized tribal casinos can apply for a gaming license under state law.

• Michigan Gaming Control and Revenue Act: Operating an unlicensed gambling business is a felony in Michigan, carrying penalties of up to 10 years in prison, a fine of up to $100,000, or both.

• Michigan Penal Code: Gambling, which involves payment based on the outcome of an uncertain event, is prohibited under state law. Accepting money with the understanding it will be paid based on a game of chance is illegal.

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