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Compliance Updates

Gambling.com Group Limited Welcomes Legalization of Online Sports Betting in North Carolina

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Gambling.com Group Limited (Nasdaq: GAMB), a leading provider of player acquisition services for the regulated global online gambling industry, today noted the signing of House Bill (HB) 347 to allow legal, regulated online sports betting across North Carolina – becoming the 28th state to do so. HB 347 requires the state lottery to publish online sports betting regulations by January 8, 2024, and to authorize sports betting operators to start accepting wagers within one year from today.

The legalization of online sports betting in North Carolina is a highlight for Gambling.com Group Limited’s co-founders and Charlotte natives, Charles Gillespie and Kevin McCrystle, who during their time at UNC Chapel Hill started the business that would become Gambling.com Group Limited in 2006. With no regulated online gambling in the United States at the time, Gillespie and McCrystle left North Carolina to build a fully-licensed performance marketing business focused on online gambling with the regulated United Kingdom and Ireland markets as the group’s initial core.

In 2018, the Gambling.com Group Limited turned its focus back to the United States after the Supreme Court invalidated the federal prohibition on sports betting. In the years since, Gambling.com Group’s business in North America has grown from under $2 million in revenue in 2019 to nearly $36 million for the 2022 full-year period.

Today, the Gambling.com Group Limited has its primary United States office in Charlotte, which the Charlotte Business Journal described as one of the ‘Best Places to Work’ in 2022. In his role of Chief Operating Officer, McCrystle is now once again based in Charlotte and leads the local North Carolina team in addition to overseeing the group’s global operations, which employ over 400 full-time employees and contractors.

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“Kevin and I started our journey to build the pre-eminent online gambling affiliate operator in 2006 from an idea that formed in a dorm room in Chapel Hill and which quickly led us abroad to find regulated markets where we could apply our expertise and passion,” the Chief Executive Officer for Gambling.com Group Limited, Charles Gillespie, said. “Our journey to building one of the world’s leading online gambling performance marketing companies has now come full circle with the legalization of online sports betting in North Carolina. I applaud and congratulate the state’s General Assembly leaders and Governor Cooper for making regulated online sports betting a reality. The next generation of North Carolina entrepreneurs will be able to dive straight into opportunities in this exciting industry.”

Gambling.com Group Limited stands ready to apply its proven formula in North Carolina to help residents and visitors identify, assess and access the online sportsbooks that will be regulated by the North Carolina Lottery. The group helps licensed online gambling operators acquire players through its portfolio of websites including Gambling.com, Bookies.com, RotoWire.com and the soon-to-launch Casinos.com as well as state-specific websites like BetCarolina.com, which the group launched in March of 2022 to help residents find up-to-date information on North Carolina-specific sports betting topics such as legislative updates, breaking news about the push for regulation and betting coverage of local teams as well as through the Charlotte Observer, Raleigh News & Observer and the Durham Herald-Sun via the group’s media partnership with The McClatchy Company.

“After traveling all around the world helping to expand regulated betting markets, it is amazing to finally be home in North Carolina and have access to legal online sports betting,” McCrystle said. “Our talented team in North Carolina and across the globe are well positioned to help operators and customers in the ‘Tarheel State’ succeed as the legal North American sports betting industry continues to grow and succeed.”

Performance marketing companies, or affiliates, such as Gambling.com Group Limited, are a critical tool for regulators to channel customers toward their new legal sports betting options and away from offshore sportsbooks, which are subject to minimal oversight, are not taxed and provide risks to players’ deposits and winnings. As an online resource for sports betting, affiliates help millions of customers make informed decisions on where to place their wagers and therefore must be held to stringent standards of responsibility and safety. Gambling.com Group Limited works hand-in-hand with regulated sports betting operators and is an integral part of the ecosystem in establishing and maintaining the sustainability of the legal market, which will begin to provide consumer protection for North Carolina sports bettors.

Gambling.com Group Limited believes that North Carolina will not only grow jobs in the state but will keep revenue that is currently flowing to neighboring states such as Virginia and Tennessee where sports betting has been regulated for years, not to mention offshore websites.

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North Carolina’s population of nearly eleven million adults has the potential to become one of the largest sports betting markets in the United States. Legislators forecast more than $100 million in tax revenue a year within five years of sports betting launching in the state. Gambling.com Group Limited enables sportsbook operators to acquire customers without broadcasting highly-visible advertising on television, which impacts everyone, including young people. Because affiliates predominantly provide resources to motivated consumers actively seeking out information, companies like Gambling.com Group Limited are an ideal alternative to traditional advertising in the industry.

According to a recent survey conducted by BetCarolina.com, nearly 16% of North Carolina adults already bet on sports and 31% said they are either ‘very likely’ or ‘likely’ to bet when the state launches sports betting statewide. A quarter of those surveyed said they would bet at least monthly and nearly half said they would bet at least once a year.

Compliance Updates

GLI Becomes First Laboratory to be Accredited in Maranhão, Brazil

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Gaming Laboratories International (GLI) has become the first laboratory to achieve accreditation in Maranhão, Brazil. The accreditation allows GLI to perform tests and certification for the gambling and lottery industry interested in working with lottery and fixed-odds betting operators in the state of Maranhão.

The milestone is the latest in a series of regulatory achievements for GLI in Brazil. Lottery of the State of Maranhão is the third jurisdiction in Brazil to accredit laboratories, and GLI is accredited in all and the first to be authorized in all.

Cassiano Pereira Junior, president of Maranhão Parcerias (Mapa), highlighted the importance of the partnership between the Maranhão State Lottery (Lotema) and GLI. “Every day we strive to make Lotema even better, providing greater security for its users. The partnership with GLI is a concrete way of achieving this goal, as its certification laboratories play an important role for the gaming and lottery industry, guaranteeing the conformity, security, and integrity of the products and systems used by Lotema,” Cassiano explained.

“We are grateful to the Lottery of the State of Maranhão for granting GLI the laboratory accreditation, becoming the first to be authorized in Maranhão. It is extremely gratifying to see how Lotema empower themselves by trusting the technical compliance process to provide transparency, integrity, and accountability to all the industry stakeholders through the certification process. The laboratory accreditation is the first step for a successful implementation of the certification based on jurisdictional standards, and the reason why we at GLI take this step very seriously and with great priority every time a new jurisdiction opens. We feel responsible for being part of the solution towards a fast and efficient implementation of regulations, thus supporting further local industry development and sustainable growth. We are grateful to Lotema and excited to be part of its thriving industry,” said Karen Sierra-Hughes, Vice President of Latin America, Caribbean, and Spain.

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GLI has been working with regulators, lotteries, and industry stakeholders across the Latin American and Caribbean region for more than 26 years in their efforts toward regulation, sustainable growth, and eradicating illegal gaming. In Brazil, GLI has been side by side with government entities and all industry stakeholders for nearly 20 years, participating in public hearings in the Senate, Chamber of Deputies, and State government level, and in recent years, adding strategic local representation to strengthen their local support.

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Compliance Updates

Betano Receives Licence to Operate in Colombia

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Kaizen Gaming Colombia, owner of the Betano.co brand, was authorized by Coljuegos to operate online betting in the country. With this new operator, there are now 16 web platforms that have the approval of the entity to market games of chance online.

“We continue to strengthen the online gaming industry. We hope that, with the entry of this new operator, we can continue to increase transfers for the health of Colombians. At this time, the platform is already operating for the betting public,” said Marco Emilio Hincapié, president of Coljuegos.

The entity is also in the process of authorizing an additional operator called Bingo Casino, which is expected to begin offering bets in the coming weeks.

It is worth mentioning that, by 2024, it is estimated that online betting portals will pay around $419,527 million to Coljuegos for exploitation rights, which represents an increase of 31% compared to the same period in 2023. All of these resources are transferred to the health system.

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“We are seeing that online betting is a sector of the economy that has driven the growth of the country’s Gross Domestic Product. That is why we are working to make the market even more attractive and to provide more options to bettors,” said the president.

According to financial projections, this new operator is expected to pay Coljuegos around $21.513 billion over the next five years for operating rights and administration costs, resources that can be transferred to subsidize health and scientific research.

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Compliance Updates

Chris Christie bets on Texas to approve OSB in 2025

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Former New Jersey Governor Chris Christie has backed Texas to legalise online sports betting in the state’s next legislative session. 

Christie helped pave the way for sports betting liberalisation across the US by bringing the Supreme Court case that led to the repeal of PASPA.

The case was fought and won by prominent conservative lawyer Ted Olson, who Christie hired to argue the case for states to make their own decisions on sports betting. Olson died last week at the age of 84.

After Missouri became the 39th US state to legalise sports betting in some capacity, attention has quickly turned again to the big three states of Texas, California, and Florida.

“I think it’ll happen in Texas in the next legislative session,” said Christie, speaking to Covers.com. The next session is due to commence in Texas on January 14, 2025.

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Christie is less confident about California, however, where competing sports betting ballots failed in 2022 amid a bitter dispute and lobbying war between online operators and local tribes.

California is seen as essential to the future prospects of US sports betting operators, given its size and wealth and dramatic impact on the country’s total addressable market (TAM).

“I don’t know about California,” said Christie. “This really takes gubernatorial leadership, and Gavin Newsom has got to decide if this is one of the issues he wants to lead on.

“Without gubernatorial leadership, the legislature won’t do it because they’re pulled like taffy in too many directions by too many different interests. Without the governor pushing for it, I just don’t think it’ll happen.”

Despite another potential setback in California, Christie has backed sports betting to penetrate pretty much every state eventually.

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“I really believe sports betting is inevitable to go just about nationwide, because people in America love their sports, they just do,” he said. “I think it is in the leagues’ best interests to grow their audience. The government gets some piece of the pie out of that which they enjoy, and the public seems to be pretty happy for the most part.”

Depending on expansion, US sports betting could, in theory, reach every state. It would then become a national issue, but Christie has warned the federal government not to interfere.

“Let the states handle it,” he said. “The states are doing fine. You haven’t heard of anything awful or irreversible happening since each state has been involved and they should have the ability to decide whether they want gambling or not.

“I don’t think the federal government should have anything to do with it and I don’t think they ever should have. I don’t think they have to be babysitters for the governors of the country.”

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