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Compliance Updates

First and Only GLI-GSF-1 v1.0 Gaming Information Security (GIS) Common Controls Audit Re-Released for Public Comment

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Gaming Laboratories International (GLI®) has achieved another milestone, releasing the first and only gaming information security standard, “GLI Gaming Security Framework Module 1 (GLI-GSF-1): Gaming Information Security (GIS) Common Controls Audit.” Now the company has re-released the draft of the module for initial industry-wide comment.

“GLI developed the GSF to address the industry’s strong demand for a comprehensive framework for gaming security,” said Joseph Bunevith, GLI’s Vice President of Government and Regulatory Affairs. “To create the GLI-GSF, we drew on 35 years of knowledge and insights into the gaming industry and conducted a thorough review of global best practices for information security. We worked closely with Bulletproof Solutions and gathered feedback from industry stakeholders to establish this framework for gaming security.”

The draft of the GLI-GSF-1 is provided to industry stakeholders for review and comment. Stakeholders include wagering, gaming and lottery regulators, suppliers, test laboratories, security firms, operators, and industry trade associations. The previous comment period was to familiarize stakeholders with the CIS Controls, while this second comment period will introduce additional common controls specific to the gaming industry, along with Gaming Implementation Group indications.

The comment period is underway and concludes on August 31, 2024. Written comments are encouraged and should be recorded in the comment template linked below and submitted to the “GLI Compliance” mailbox at [email protected].
GLI-GSF-1 v1.0 Public Comment Draft
GLI-GSF-1 v1.0 Comment Template

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GLI will process the comments received from industry stakeholders and collaborate as needed to address their interpretation, evaluation, and resolution in the context of the revision to this module.

This module of GLI-GSF sets forth the common controls necessary for auditing a gaming organization. These common controls apply to all forms of gaming, effectively replacing the technical security controls previously established in GLI-27 for land-based gaming operations and, in the near future, will replace the technical security controls previously established in Appendix B of GLI-19 and GLI-33 for interactive gaming and event wagering as other modules are released.

This module of the GLI-GSF integrates the CIS Controls, developed by the Center for Internet Security (CIS), as foundational components to ensure robust security measures across all aspects of gaming operations. The CIS Controls represent a globally recognized set of cybersecurity best practices designed to help organizations bolster their security posture and defend against a wide range of cyber threats. These controls serve as foundational pillars for building a resilient and secure gaming environment, safeguarding against evolving cyber threats, and ensuring the integrity of gaming organizations. The CIS Controls are available for free download at www.cisecurity.org.

Each module in the GLI-GSF is a culmination of industry best practices and is continually updated based on industry feedback. The GLI-GSF was created using a collaborative approach that involved thousands of gaming industry stakeholders. This framework was intended to assist regulators by creating baseline security guidelines that they can adopt and/or utilize as they see fit. In addition to assisting regulators, this framework is of tremendous value to gaming organizations seeking comprehensive guidance and recommendations for enhancing security across all aspects of gaming operations, saving both time and expense.

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Compliance Updates

AGA Statement on Introduction of SAFE Bet Act

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American Gaming Association Senior Vice President of Government Relations Chris Cylke issued the following statement in response to Sen. Richard Blumenthal (D-CT) and Rep. Paul Tonko (NY-20) introducing the SAFE Bet act, which would implement a “nationwide prohibition” on sports betting:

“Today’s regulated sports wagering operators are contributing billions in state taxes across the U.S., protecting consumers from dangerous neighborhood bookies and illegal offshore websites, and working diligently with over 5,000 state and tribal regulators and other stakeholders to ensure a commitment to responsibility and positive play. Six years into legal sports betting, introducing heavy-handed federal prohibitions is a slap in the face to state legislatures and gaming regulators who have dedicated countless time and resources to developing thoughtful frameworks unique to their jurisdictions, and have continued to iterate as their marketplaces evolve.”

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Compliance Updates

Public Health Advocacy Institute (PHAI) and Congressional Leaders Unveil the SAFE Bet Act to Address Sports Betting Risks

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Public Health Advocacy Institute (PHAI) at the Northeastern University School of Law has supported Congressman Paul D. Tonko (NY-20) and Senator Richard Blumenthal (D-CT) last week in introducing the SAFE Bet Act, which addresses the risks associated with legalized gambling.

The SAFE Bet Act is the first federal legislative initiative to address the vast public health implications of mobile sports betting since sports betting was legalized in 2018. When the SAFE Bet Act is enacted, federal standards will be set to create a safer and less addictive betting environment. While still allowing the freedom for those who wish to participate, these standards will include addressing advertising, affordability, and artificial intelligence issues.

PHAI’s President and Northeastern University Distinguished Professor of Law, Richard Daynard, said: “PHAI’s mission is to serve the greater good by seeking big ideas to advance public health and justice. That is why we’re fully dedicated to playing a leading role in work to bring about a comprehensive public health response to the looming crisis presented by the out-of-control gambling industry.”

“The gambling industry is following a playbook developed by the tobacco industry and this is a direct threat to public health. At PHAI, we will work tirelessly to address this threat and protect public health. Supporting the SAFE Bet Act is part of this effort,” Daynard added.

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PHAI Executive Director Mark Gottlieb said: “It is my desire to play an important role in national and international efforts to develop and implement a public health approach to regulating the gambling industry and online gambling. At PHAI, we utilize a wide range of resources—including litigation and advocacy—to protect public health. It has become apparent that the gambling industry and its partners act with conscious and reckless disregard for public safety. Collaborating with Congressman Tonko and Senator Blumenthal to create the SAFE Bet Act is one part of how PHAI will bring a public health response to the gambling industry.”

“As the Director of Gambling Policy with the Public Health Advocacy Institute it is my role to develop comprehensive public health strategies and advocacy efforts to address the looming crisis being caused by the unprecedented expansion of the gambling industry and online gambling. The ‘responsible gaming’ model of industry self-regulation is unethical and an abject failure. At PHAI, we will help lead a growing movement to expose the failures of the gambling industry’s responsible gaming model. In doing so, we will develop and help implement a series of comprehensive public health reforms designed to regulate the gambling industry, prevent harm, and protect individuals and families. It is a privilege to support Congressman Tonko and Senator Blumenthal as we work to advance the SAFE Bet Act,” said Dr. Harry Levant, PHAI Director of Gambling Policy.

“Since their inception, sports and sporting events have been a chance for family, friends, and strangers to gather together in celebration of beloved teams and athletes in a great American pastime. But now, every single moment of every sporting event across the globe has become a betting opportunity. That resulted in a frightening rise in gambling disorder, which has in turn enacted a horrific toll on individuals, many of whom have lost their home, job, marriage, and their lives. We have a duty to protect people and their families from suffering the tremendous harm related to gambling addiction. Our SAFE Bet Act gets the job done and gives sports back to the American people,” Congressman Tonko said.

At the press conference, Senator Blumenthal said: “Right now, states have legalized gambling, but they failed to protect citizens against those excesses, abuses, and exploitations. State regulation is faint-hearted and half-baked. That’s why we need a national standard–not to ban gambling–but simply to take back control over an industry that is out of bounds.”

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Compliance Updates

Esports suppliers must lead from the front – PandaScore’s Colorado licence

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Esports suppliers must lead from the front – PandaScore’s Colorado licence

 

Esports betting in the United States is a yet to be fully tapped, and with more regulatory progress the total market and opportunity in esports continues to grow.

It’s why at PandaScore, we recently acquired our first license in the lucrative American market, in the esports-friendly state of Colorado. The move is a strong signal of our ambition in the US, but it also sets out our methodology for solving the uncertainty problem that US esports betting currently suffers from.

Supplier licensing should lead the way

The unknowns about what markets and lines can be offered are a key piece of the puzzle in many jurisdictions. Uncertainty around the legislation means operators are tentative to jump in with both feet. At PandaScore, we’re helping operators navigate US esports betting regulation on a state-by-state basis, so they can make business led decisions in markets with right balance of stability and opportunity.

Except for a few states, esports betting regulation is relatively  new: there’s not a great deal of precedent to work from, and its quickly evolving nature means there’s likely more work to be done in the future. We plan to be at the forefront of making sure that esports betting works for the whole ecosystem: operators, suppliers, regulators and the betting public.

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The regulatory framework across the country may be shifting at different paces, but almost all states are going in one direction: expansion.

Esports suppliers have a duty to show operators the way and give them the tools, knowledge and expertise to make the right decision. We don’t believe in going all guns blazing, but entering markets with some certainty around esports in a considered fashion.

We can be more confident that those specific markets are built for esports, with Colorado being PandaScore’s first step for several reasons.

Why Colorado

When deciding which market to enter, we consulted heavily with our customers and whittled it down to states that had the right mix of commercial opportunity, solid regulatory environment and straightforwardness in licensing.

Since regulating esports, Colorado has had a friendly framework for esports. The catalogue for regular betting includes a wide range of esports titles based on approved games and tournaments by the publisher or regulator – which follows some similarities to how traditional sports betting is structured.

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The process itself was simple and clear, with clear terms and commercials that promote investment, entrepreneurship and innovation – all key ingredients for growing new markets and ambitious organisations to build new audiences.

Colorado is the natural next step in PandaScore’s service-minded, client-first approach. There’s already a generation of bettors who are seeking out esports betting products, esports suppliers need to be the source of knowledge and expertise that helps guide and amplify the esports ambitions of their clients.

Service-minded approach, client-led growth

We bring operators into the licensing conversation from the outset, exploring the licenses most valuable to them and then leveraging our lean, efficient operating model to get it done.

We’ve proven we’re serious about the US market, and that we can get a license efficiently, so if an operator desires a specific jurisdiction, we base our decisions on the revenue potential, give them a clear, no-spin picture of the market, and put in the hard work of licensing to provide our services in the US.

Player age verification as a mandatory service

A huge part of that no-spin picture is addressing the concern and risk around player age verification in esports. Compliance is paramount for suppliers and operators alike, so knowing the requirements from state to state is essential.

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PandaScore has been offering player age verification for years and is well established on this front thanks to years of servicing jurisdictions like Australia and Sweden. We already have an API that clients use for peace of mind, and are beefing it up as a standalone service intended to support regulators and governing bodies to ensure compliance, confidence and growth.

Suppliers need to lead from the front for US esports betting to succeed. It’s not just about having the best product – they need to be an expert on relevant regulation, genuinely serve the expansion interests of clients and be a truly safe pair of hands that actively supports and serves operators, bettors and regulators alike.

 

Author: Oliver Niner, Head of Sales at PandaScore.

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