Compliance Updates
Gaming Americas Q1 2024 Meetup: Balancing Slot Mechanics and the US Legislation Roundup
HIPTHER’s Virtual Quarterly Meetups for the Gaming industry have officially returned for 2024! The Gaming Americas Q1 Virtual Meetup took place on February 28, featuring an informative panel on Innovating Slot Mechanics, and our staple US Legislation Round-up.
HIPTHER’s Co-Founder, Zoltan Tuendik, hosted the first session about Slot Mechanics, featuring Connor Blinman, Head of Games at Gaming Corps, and Raph Di Guisto, Founder at Silverback Gaming. For the Q1 US Legislation Roundup, the “usual suspects” Martin Lycka, SVP for American Regulatory Affairs & Responsible Gambling at Entain, Bill J. Pascrell III, Esq, Partner at Princeton Public Affairs Group Inc, and Jeremy Kleiman, Gaming Attorney and Member at Saiber LLC, reunited for a session that offered ample insight into the latest regulatory updates in the United States.
The first part of the Meetup primarily focused on the future direction of the gaming industry, including emerging trends in slots and game mechanics, the potential of virtual reality and multiplayer technology in the casino industry, and the game development process. The US Legislation Roundup walked us through the challenges faced by the online gambling industry due to the popularity of unregulated offshore sites, the sports betting industry, the legalization of iGaming in various states, the regulation of online gambling and sports betting, and the future of online sports betting and iGaming services.
Innovating Slot Mechanics: Balancing Novelty with User Experience
Connor and Raph discussed the game development process, highlighting the importance of understanding the target audience, conducting market research, and introducing innovative mechanics. They anticipate a trend towards medium volatility games with increased player engagement. They also discussed the potential of skill-based and personalized gaming experiences, as well as integrating multiplayer technology. The conversation underscored the complexities of the market and the need for continuous innovation. They discussed the challenges of introducing a new feature in the competitive slots game market and the importance of adapting and innovating. They also focused on reducing player fatigue and burnout and adapting to evolving market needs. The discussion ended with a focus on measuring the success of new game mechanics after their release using player feedback and data analysis.
Q1 US Legislation Roundup: Online Gambling Challenges, New Markets,Taxation, and Sports Betting Industry
Jeremy discussed the difficulties faced by the online gambling industry due to the popularity of unregulated offshore sites among players in regulated markets. He questioned the incentives for players to switch to regulated sites and acknowledged this as a challenge for both the industry and regulators.The conversation between Jeremy, Bill, and Martin revolved around sports betting, particularly in New York and North Carolina, with a focus on tax rates and policy. The need for investing in consumer protection, innovation, and improved customer experience was emphasized.
Bill Pascrell discussed the challenges and progress of online gaming in various states, including the potential tax increase proposed in New Jersey and the readiness of other states to legalize iGaming. The conversation primarily focused on the introduction of sports betting legislation in various states and its potential impact. The panelists also briefly touched on the possibility of regulating online casino and poker games in Maryland. The conversation emphasized the importance of bringing in interested operators, incentivizing them with bonuses, deductions, and reasonable tax rates.
Bill, Martin and Jeremy had a wide-ranging discussion about the sports betting industry. They highlighted the role of Senator Hoskins and his support for the industry. They also touched upon the public perception of the industry and the need for responsible gambling. The conversation explored the challenges of regulating the Black Market and the potential for increased tax revenue. The group also acknowledged the need for the industry to proactively educate the public about its benefits. Towards the end, they discussed the difficulty of creating a positive narrative around the industry.
Bill, Jeremy, and Martin discussed the regulation of online gambling and sports betting, emphasizing the need for a balance between industry growth and job creation, and addressing concerns about dysfunction and stakeholder engagement. They also touched on the potential of technological innovation and the risk of entrenched market shares. The conversation concluded with a reminder about the importance of integrity, compliance, legality, and responsible gaming in the industry. The trio discussed the need to respect tribes and engage with them in negotiations. The issue of betting on college sports was raised, highlighting potential risks for players and the need for regulation. The discussion ended with a brief mention of the NCAA tournament and the importance of commercial operators’ support for legislation.
The panel concluded with thoughts on the future of online sports betting and iGaming services. The speakers emphasized the importance of agreements with individual states and the federal government to offer these services. The role of human interaction in understanding stakeholders’ interests and pain points was highlighted, and the potential for legalizing sports betting in California and other states was discussed, while acknowledging the problems with the black market. The need for a more efficient way to engage with tribes and the necessity of regulation were stressed as next steps to drive out the black market.
Coming up Next:
Watch the recording of the Gaming Americas Q1 Meetup on HIPTHER TV, and keep an eye out for our next Gaming Americas Quarterly Meetups for 2024!
Compliance Updates
Michigan Gaming Control Board Orders MyBookie.ag to Cease Operations in the State
The Michigan Gaming Control Board (MGCB) has issued a cease-and-desist letter to Duranbah Limited N.V., the operator of MyBookie.ag, based in Curaçao. The site offers a variety of casino-style games, such as slots, poker, and live-dealer games like blackjack, roulette, and craps. It also allows users to place bets on sporting events and horse races.
MGCB Executive Director Henry Williams stressed the agency’s dedication to safeguarding consumers and ensuring compliance with Michigan’s gaming regulations.
“Our investigation into MyBookie.ag found that their operations were accessible to Michigan citizens, which violates state laws. We are taking strong action to uphold the principles of fair and legal gaming,” Williams said.
MyBookie.ag offers numerous payment methods for deposits and the funding of players’ accounts, including Visa, MasterCard, American Express, PayPal, various cryptocurrencies (Bitcoin, Ethereum, Litecoin, and others), and MoneyGram. However, withdrawals can only be made via Bitcoin or bank wire transfer.
The MGCB’s investigation revealed that MyBookie.ag’s operation of online casino-style games for paying customers, without a valid Michigan gambling license, breaches several state laws, including:
• Lawful Internet Gaming Act: Internet gaming is only permitted by licensed operators. Only casinos licensed under the Michigan Gaming Control and Revenue Act and federally authorized tribal casinos within Michigan may apply for such a license.
• Michigan Gaming Control and Revenue Act: Operating a gambling business without an MGCB-issued license is a felony, carrying penalties of up to 10 years in prison, a fine of up to $100,000, or both.
• Michigan Penal Code: Gambling, which involves consideration, prize, and chance, is broadly prohibited. Accepting money or anything of value with the understanding that it will be paid based on the outcome of an uncertain event is illegal.
Duranbah Limited N.V. has 14 days from receipt of the letter to cease offering gambling services to Michigan residents, as required by the cease-and-desist letter. If the company fails to comply, the MGCB is prepared to collaborate with the Michigan Attorney General’s Office for further legal actions.
Compliance Updates
MGCB Executive Director Applauds Reappointment of Board Member Deidre A. Lambert-Bounds by Governor
The Michigan Gaming Control Board (MGCB) has announced the reappointment of Troy resident and Board member Deidre A. Lambert-Bounds by Gov. Gretchen Whitmer. This reappointment reaffirms the governor’s confidence in Lambert-Bounds’ dedication, integrity, and invaluable contribution to the agency’s mission of ensuring a fair and transparent gaming environment.
MGCB Executive Director Henry Williams expressed deep appreciation for the governor’s decision, noting that Lambert-Bounds’ continued leadership will greatly benefit the agency.
“Board member Lambert-Bounds has consistently demonstrated exceptional commitment and insight in regulating Michigan’s gaming industry, and we are thrilled to have her continue as a vital part of our Board. This reappointment is a testament to her unwavering dedication to upholding the highest standards of integrity and fairness,” said Williams.
Reappointed for a term expiring Dec. 31, 2028, Lambert-Bounds is the president and co-owner of Ignite Social Media LLC, and the chief operating officer and co-owner of its sister company, Carusele Media. She also serves on the executive boards of the Sphinx Organization, International Women’s Forum, and the Michigan Partnership for Equity and Opportunity.
The reappointment is Lambert-Bounds’ second four-year term of serving on the MGCB, representing Independents, for a term expiring Dec. 31, 2028. She previously served from July 22, 2021, through Dec. 31, 2024, and succeeded Barbara Smith, whose term expired Dec. 31, 2020.
The MGCB is responsible for implementing, administering, and enforcing the provisions of the law related to the licensure, regulation, and operations of the three authorized Detroit casinos — MGM Grand Detroit, MotorCity Casino, and Hollywood Casino at Greektown. The agency also licenses and regulates fantasy contests, regulates pari-mutuel horse racing and casino-style charitable gaming (millionaire parties), and audits tribal gaming compact agreements for the state’s 12 federally recognized tribes.
The Board comprises five Michigan residents appointed by the Governor, with one member designated by the Governor as the chairperson. Under the Michigan Gaming Control & Revenue Act, no more than three members may belong to the same political party.
Compliance Updates
BMM Testlabs Earns Accreditation in Maranhão, Brazil To Test Fixed Odds Betting Systems and Lottery Platforms
BMM Testlabs, the world’s original gaming test lab renowned for exceptional product compliance and testing services, today announced its official accreditation to test systems and games for the Brazilian state of Maranhão.
This new accreditation allows BMM Testlabs to test fixed-odds betting systems and lottery platforms for the Maranhão market. The Company is now authorized in every Brazilian jurisdiction that has regulated at state-level online fixed-odds betting.
The Maranhão accreditation, issued by Maranhão Parcerias SA (MAPA/LOTEMA), authorizes BMM Testlabs to work with lottery operators in the state to ensure compliance and quality standards for the gaming and lottery industry through end-to-end product compliance testing for Maranhão’s standards.
Additionally, Brazil’s Secretaria de Prêmios e Apostas has federally authorized BMM Testlabs to test betting systems, live gaming studios, and online games used by fixed-odds betting operators.
BMM Testlabs’ Marzia Turrini, President of iGaming & Cybersecurity, said, “We are excited and deeply honored that the State of Maranhão’s official lottery has entrusted BMM Testlabs with the responsibility of testing products for their new online fixed odds betting program, knowing that we’ll do so with the highest levels of impartiality, technical expertise, transparency, efficiency, and, most of all, integrity.”
With the Maranhão accreditation, BMM Testlabs solidifies its position as the leading independent test lab in Brazil. BMM Testlabs is accredited in all jurisdictions that have authorized fixed-odds betting for online gaming and sports betting.
BMM Testlabs brings 44 years of global leadership in product compliance across regulated markets and is trusted by games, systems, and lottery manufacturers, suppliers, developers, and regulators worldwide.
In addition to product compliance testing, BMM Testlabs provides end-to-end cybersecurity protection solutions. Through its sister company, RG24seven Virtual Training, BMM also offers compliance-grade virtual training on responsible gaming, anti-money laundering, and other important topics – presented by industry experts and available in English, Spanish, and Portuguese.
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