Online Gambling

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Regulation of online gambling

Regulation of online gambling

While a greater addictive potential of online gambling has a bearing on the substance of reg- ulation (suggesting a tighter stance than for offline gambling), the idiosyncrasies of online gam- bling additionally also matter to the enforcement of any regulation. Being of a virtual nature, online gambling is almost borderless, so it becomes much harder to hold operators liable that are located in an offshore jurisdiction and operate globally. Regulators are concerned that such operators may violate consumer protection standards, inflate their reported revenues to launder money, or be used for match fixing. On the upside, though, the regulation of online gambling may in fact be simpler to enforce in some respects. The abundance of electronic data makes it easier for the operator to implement and enforce responsible gambling tools, e.g. (self-)limita- tion and the exclusion of minors, and it also facilitates the regulator’s monitoring of the opera- tor, e.g. to prevent fraud. Aided by the fact that cash payments are not an option in online gam- bling, the electronic records furthermore help to combat money laundering. Indeed, controlling the electronic payment streams between players and operators is a major strategy in enforcing a (partial) ban of online gambling, a strategy pursued for example in the US under the Unlawful Internet Gambling Enforcement Act.
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Consumer engagement with and perceptions of offshore online gambling sites

Consumer engagement with and perceptions of offshore online gambling sites

Offshore websites may not comply with consumer protection regulations, and sites may contain unscrupulous practices that place customers at risk of fraud, identity theft, and lost funds. However, online consumers are becoming aware of risks and steps that can be taken to minimise such risks. For example, a large international survey found that 70% of consumers were aware and concerned about at least some types of online threats (Kaspersky Lab, 2016). However, 42% of respondents had been targeted by malware online, including from visiting a suspicious website, and from a trusted website being hacked. Gambling apps have been found to contain malicious code, and security vulnerabilities posing notable risks to consumers; numerous hacks and cyberattacks have targeted online gambling websites and their customers (McMullan and Rege, 2007). Many users lack the skills to discern safety or trustworthiness, and are misled by online operators (Ivanitskaya et al., 2010). Unregulated sites may appeal to consumers by offering services and products not available through licensed sites, and their desire for access, convenience, low cost, and privacy.
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Enabling Responsible Online Gambling by Real-time Persuasive Technologies

Enabling Responsible Online Gambling by Real-time Persuasive Technologies

In this article, we argue the case for enabling responsible online gambling with persuasive technologies that utilise the gamblers’ online behavioural, emotional and profile data. For instance, the real-time collection of a piece of information such as “the gambler has reached the monthly spending limit, is logged in, is navigating through the deposit page” can be used to trigger a message visualising their past betting behaviour and a reminder of a commitment already made. Also, other more complex scenarios can be envisaged. We are aware that many gamblers may not recognize that they are addicted to gambling, and therefore less likely to engage with real-time information. However, (1) they may nonetheless be aware that they are demonstrating problematic behaviour, and (2) we aim to reach individuals whose gambling is still under control. Making such data available will significantly enhance the positive image of online gambling sites as being managed by caring and responsible operators [14]. Online gambling behaviour data is a rich source for tailoring offers and marketing material in order to fit the potential interests of a gambler. There could be a fine line between the legitimate marketing and content customisation on the one hand and mis-selling and manipulation on the other. To increase fairness and transparency, we suggest that this same data is also made available in the same timing to support gamblers, their counsellors and their surrogate software, for the purpose of responsible and informed gambling and also a transparent gambling experience. This does not exclude further data that may be only of use for responsible and informed gambling and be offered solely for that purpose. Our argument is concentrated on the practical experience we have in the context of the EROGamb project 2 supported by three main gambling operators in Europe and two problem gambling recovery centres in the UK. The project is funded by a major independent charity for commissioning gambling research in the UK.
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PROHIBITION REINCARNATED? THE UNCERTAIN FUTURE OF ONLINE GAMBLING FOLLOWING THE UNLAWFUL INTERNET GAMBLING ENFORCEMENT ACT OF 2006

PROHIBITION REINCARNATED? THE UNCERTAIN FUTURE OF ONLINE GAMBLING FOLLOWING THE UNLAWFUL INTERNET GAMBLING ENFORCEMENT ACT OF 2006

On its face, the UIGEA may seem like a practical way of restricting Internet gambling in the United States, but in reality the Act has numerous problems and weaknesses. The biggest problem is that it does not itself criminalize online gambling; it is only an enforcement statute. 8 Thus, prosecutors cannot invoke UIGEA sanctions unless illegality is established through some other federal or state law. 9 A myriad of legislation, however, has created confusion as to what forms of Internet gambling are in fact legal versus illegal. The UIGEA acknowledges intrastate and tribal casinos, horse racing, state lotteries, and some fantasy sports as legal forms of online gambling, while explicitly outlawing betting on sporting events. 10 Traditional casino games like blackjack and poker, on the other hand, exist in a sort of “grey area” where questions as to their legality remain unanswered. 11 This uncertainty may cripple the effectiveness of the UIGEA because it becomes too difficult to determine financial transactions associated with legal online gambling versus ones made for illegal gambling.
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Breaking the Bank: The Tax Benefits of Legalizing Online Gambling

Breaking the Bank: The Tax Benefits of Legalizing Online Gambling

43 See Mark B. Dubnoff, State Bans on Internet Gambling May Be Unconstitutional, 12 G AMING L. R EV . & E CON . 207, 208–09 (2008) (arguing that the Travel Act does not apply to online gambling); Kraig P. Grahmann, Betting on Prohibition: The Federal Government’s Approach to Internet Gambling, 7 N ORTHWESTERN J. T ECH . & I NTELL . P ROP . 162, 168 (2009) (same). But see Susanna F. Fischer, Internet Gambling, in 2 H ANDBOOK OF I NFORMATION S ECURITY : I NFORMATION W ARFARE ; S OCIAL , L EGAL , AND I NTERNATIONAL I SSUES ; AND S ECURITY F OUNDATIONS 428, 435 (Hossein Bidgoli ed., 2006) (stating that commentators have argued the Travel Act should be interpreted broadly because it was enacted “to prohibit the use of interstate commerce for immoral or illegal purposes”).
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Online Gambling: Today’s Possibilities and Tomorrow’s Opportunities

Online Gambling: Today’s Possibilities and Tomorrow’s Opportunities

The development of technology and communication offers numerous possibilities to do business across large distances and opens up various market opportunities. Consequently, the traditional notion of market as a geographically relatively limited space has changed, market activities have moved to the global, geographically unlimited, virtual space. The opportunities of the rapidly growing virtual market were soon noticed by the gambling industry, and gambling services began appearing on the internet. The first to recognize the opportunity were traditional casinos, which saw online games as an addition to their traditional offer and a smart marketing move. As studies have shown, from the first operating site in 1995 to the more than 2500 internet sites currently offering virtual casinos, the online gambling market has been growing at a rate of 20% per year. The development of the internet and communications technol- ogy has given rise to the phenomenon of virtual casinos. The article deals with this phenomenon and its development in comparison with tradi- tional casinos, the characteristics of both the online and the traditional gambler, and their influence on the future of gambling.
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55 QUESTIONS & ANSWERS ON ONLINE GAMBLING

55 QUESTIONS & ANSWERS ON ONLINE GAMBLING

The main difficulty with banning illegal gambling sites is that illegal operators can very quickly redirect traffic to a new Internet address. As a result, all available possibilities to ban such offers should be used in order to be effective, not only Internet Service Provider (ISP) blocking. To this end, ECA strongly suggests two further means. First, a blacklist of all illegal gambling sites should be developed. Due to their AML obligations, financial institutions would then not be able to accept transactions to and from such clearly identified illegal operations. A second important avenue to pursue would be to enforce the regulation which states that illegal operations may not advertise their services. Given that advertising is the surest means of leading new customers to illegal websites, enforcing this law would be detrimental to connecting the demand for online gambling with illegal sites. As a result, it is only through a combination of enforced advertisement regulations and the banks that banning illegal operators becomes most effective.
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Affiliates in a changing online gambling world

Affiliates in a changing online gambling world

2 requirements, whereas in the good old days online gambling was still “protected” by the (arguably) more straightforward underlying EU principle on the freedom to provide services across member states, untrammelled by local rules that derogate from that general principle. Following the EU Presidency Report on illegal gambling and Mr Barnier’s announcement (and postponement) of a Green Paper on gambling, the Council of the European Union has unanimously backed EU online gambling regulation. This means that all the main EU institutions, the Council, the Commission and the Parliament, now back the regulation of online gambling at EU level. It should be made clear however that neither the Council nor any other EU institutions promote full harmonisation, but instead envisage member states sharing information. Bearing in mind data protection laws across Europe, it will be interesting to see how this information sharing will take place. It is hoped, however, that the various national licence requirements and application processes can be streamlined through a clear set of EU rules and closer cooperation between national regulators.
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Technical requirements for obtaining a license to provide online gambling in Denmark

Technical requirements for obtaining a license to provide online gambling in Denmark

As outlined above, the Danish Gambling Authority develops systems to be used in the control of online gambling, and Licence Holders must ensure to develop gambling systems that are capable of using interfaces to the Danish Gambling Authority’s systems. This will allow the Danish Gambling Authority to process data and check that online gambling takes place in accordance with regulatory requirements. It is a requirement that the Licence Holder uses the specified interfaces to the Danish Gambling Authority’s systems developed by the Authority for this purpose and that the Licence Holder sets up a SAFE to which the Danish Gambling Authority will be given access.
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EUROPEAN COMMISSION SUMMARY OF RESPONSES GREEN PAPER ON ONLINE GAMBLING IN THE INTERNAL MARKET

EUROPEAN COMMISSION SUMMARY OF RESPONSES GREEN PAPER ON ONLINE GAMBLING IN THE INTERNAL MARKET

The overall majority of commercial and public operators and the competent authorities of Member States concur that player accounts, together with registration, are a prerequisite for the protection of consumers together with checks that should be carried out on consumers opening an account. This is done with a view to mitigating the risks arising from non-face-to- face transactions. Identification checks and age verification are broadly carried out where an online account with a regulated operator can be opened. However, the level of due diligence procedures, including early detection measures and the verification methods vary across applicable regulatory systems. Responses by some Member States and operators state that checks that an operator is required to carry out can take place at different tiers, first and foremost to capture minors trying to open an online gambling account. Manual identification/documentation for the online account is required by some Member States and subsequently by the operators licensed in those Member States, whilst in some Member States use of third party suppliers for verification purposes is possible, other than digital verification. A number of Member States and several stakeholder responses, including ancillary ones highlight the audit trail possibilities of customers through the online account in terms of activity, behaviour, payment systems used, deposits and withdrawals for example.
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Behavioural tracking and the effects of responsible gaming tools and personalized feedback in online gambling

Behavioural tracking and the effects of responsible gaming tools and personalized feedback in online gambling

As normative feedback and information to aid self-efficacy appear to be essential aspects in influencing behavioural change, this study hypothesised that giving such information to gamblers might influence playing cessation if applied to pop-up messages while gambling. For that reason this study is a direct follow up to study 4. Self-appraisal feedback (i.e., information that helps an individual reflect on their own gambling behaviour), normative feedback (i.e., information the compares an individual’s own gambling behaviour with others), cognitive belief feedback (i.e., factual information given to the individual about false gambling beliefs), and self- efficacy feedback (i.e., information that provides help on how they can change their behaviour) have never together been empirically examined in any real-world online gambling setting. Therefore, the present study investigated the effects of a normative and self-appraisal pop-up message among online slot machine players on a real online gambling site. Using the same methodology as in study 4 the goal of the present study was to investigate whether enhanced content on a pop-up message has any additional effect on player behaviour (i.e., will more players stop gambling after seeing an enhanced pop-up message compared to a simple message). It was hypothesised that the enhanced message with enhanced feedback content would lead to an increase in gamblers terminating their gambling session after playing 1,000 consecutive slot games compared to those gamblers who viewed a simple information-based message.
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The effects of anxiety, aggressiveness and risk management on decision-making behavior in online gambling

The effects of anxiety, aggressiveness and risk management on decision-making behavior in online gambling

This paper is connecting four important factors involved in gambling activities and is meant to be a stranding point for building new clinical outcomes based on the modern type of gambling, the online gambling. In a society where aggressiveness is everywhere but is undesirable, anxiety must be overcome in any way because is also undesirable and the individuals with such symptoms are considered weak, sometimes gambling is the “solution” for all this. The virtual world is building a new individual, strong and capable of doing anything in a parallel world but with huge costs in real life. We, the psychologists should reveal the scientific reality in order to help the individuals maintain a balanced course of their life.
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Online Gambling in the UE: from Data Protection to Gambler Protection

Online Gambling in the UE: from Data Protection to Gambler Protection

proved correlations between problem gambling and the commission of crimes; whether gambling activities lead to a high level of crime among problem gamblers or whether the opposite is the case, is not clear. Criminals gamble more than others, and by doing so, they are at a greater risk of becoming problem gamblers. Regardless of this ‘chicken-egg problem’, it is a fact that problem gambling influences (or is affected by) a propensity toward criminal activities. Thus, in a data linking scenario, the personal data of problem gamblers with criminal records ought be available to the professionals in charge of problem gambling issues. Also, the availability of this type of data to online gambling service providers could improve the protection of this kind of problem gambler. This claim can be illustratively shown by considering Carol’s example. If Carol is a problem gambler with a criminal history, and previously collected and processed data indicates that she has no income and possess a very limited amount of personal wealth, her deposits of unusually high sums of money on her account, which are dedicated to betting, could form at least two suspicions. The first, is that she intends to breach her gambling prohibition (if it has been recommended or imposed). The second, is that she may have committed a crime in order to get that money that she has now dedicated to gambling. Making her data available, in this case, might help reveal a crime (if it was committed). If a robbery occured in Carol’s neighborhood, she could be placed on the list of suspects. Further investigation may even reveal that Carol did commit a crime. Revealing such a crime would not only be beneficial for the maintenance of public order, but also for individual-based prevention and, possibly, for Carol’s rehabilitation (under the presumption that the investigation proved that she committed the crime
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Internet gaming disorder and online gambling disorder: Clinical and personality correlates

Internet gaming disorder and online gambling disorder: Clinical and personality correlates

Background and aims: The recent growth of Internet use has led to an increase of potentially problematic behaviors that can be engaged online, such as online gambling or Internet gaming. The aim of this study is to better conceptualize Internet gaming disorder (IGD) by comparing it with gambling disorder (GD) patients who only gamble online (online GD). Methods: A total of 288 adult patients (261 online GD and 27 IGD) completed self- reported questionnaires for exploring psychopathological symptoms, food addiction (FA), and personality traits. Results: Both clinical groups presented higher psychopathological scores and less functional personality traits when compared with a normative Spanish population. However, when comparing IGD to online GD, some singularities emerged. First, patients with IGD were younger, more likely single and unemployed, and they also presented lower age of disorder onset. In addition, they displayed lower somatization and depressive scores together with lower prevalence of tobacco use but higher FA scores and higher mean body mass index. Finally, they presented lower novelty seeking and persistence traits. Discussion: GD is fully recognized as a behavioral addiction, but IGD has been included in the Appendix of DSM-5 as a behavioral addiction that needs further study. Our fi ndings suggest that IGD and online GD patients share some emotional distress and personality traits, but patients with IGD also display some differential characteristics, namely younger age, lower novelty seeking scores and higher BMI, and FA scores. Conclusions: IGD presents some characteristics that are not extensive to online GD. These speci fi cities have potential clinical implications and they need to be further studied.
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How blockchain and cryptocurrency technology could revolutionize online gambling

How blockchain and cryptocurrency technology could revolutionize online gambling

Related to this, blockchain sites are differentiated by the lack of a required player account. For example, on one of the earliest established sites, Satoshi Dice, players sent bitcoin to a specified address to place a bet. There was no need to visit a website, download software, or create a registered account. This system was modified such that players now have a unique URL they can use to deposit funds to bet. The service uses a random number generator to determine if the wager wins or loses and payouts are sent immediately to players, rather than deposited into an online gambling account that remains with the operator. For players, as they do not keep funds in an online gambling account, there is no risk that the site will be hacked, seized, or funds stolen from an online account. For operators there is no
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Online gambling and crime: a sure bet?

Online gambling and crime: a sure bet?

Cyberextortion presents a 'severe' threat to gambling organisations who seek to operate online (RSeconsulting 2006). The 'denial of service' (DoS) attack is a typical technique used in electronic extortion activities by crime syndicates who target internet gambling sites. DoS attacks occur when a network or server is inundated with thousands of requests that consume all available disk space, central processing unit time, bandwidth capability, or physical network components. Similarly, 'distributed denial of service' (DDoS) attacks originate from a group of compromised ‘zombie’ computers that flood systems with requests, overwhelming servers, crashing networks and shutting down sites. Attackers install software on zombie systems enabling them to be controlled by a master computer that directs a specific bandwidth assault against a chosen target. The infected zombie slaves form a ‘botnet’ that is herded into a single DDoS attack, which disrupts online gambling by denying access to the computer system for legitimate customers.
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An examination of participation in online gambling activities and the relationship with problem gambling

An examination of participation in online gambling activities and the relationship with problem gambling

tivities. Different online gambling activities have different characteristics. Therefore, a further aim of this study was to examine the participation of online gambling activities and the relationship with problem gambling behaviour. For ex- ample, compared with online sports bettors, online poker players may be completely different in terms of demograph- ics, motivations to gamble, and the experience of gambling. The results may also provide an insight into the relationship between a particular gambling activity and problem gam- bling. It was considered that the regular gamblers (irrespec- tive of gambling activity) would be more likely to be a prob- lem gambler, and those engaged in multi-gambling would be more likely to be a problem gambler. In terms of specific on- line activities it was hypothesised that playing online fruit (slot) machines and online casino games would be associ- ated with problem gambling. Although this study aimed to explore participation in online gambling activities and the relationship with problem gambling, it is important to clarify the context of online and offline gambling as used in this study. It is likely that a high proportion of online gamblers are also offline gamblers (Volberg, Nysse-Carris, & Gerstein, 2006; Wardle & Griffiths, 2011). A person may predominantly gamble online and occasionally gamble offline and vice-versa; or a person may choose to only use one form of gambling. Wardle et al. (2011, p. 340) speculate that a ‘broader taxonomy of online gamblers may exist, ranging from those who only use the internet to gamble, to those who gamble online and offline on the same activities, to those who engage in different activities in different envi- ronments’.
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Online Gambling Trends /2011

Online Gambling Trends /2011

13.2 The fastest growing gambling websites of the past 12 months 14 Local market players – do they spell the end of global operators? 14.1 Local operators dominate liberalised online gambling markets 14.2 Prominent examples of successful local market players 15 The future role of state lotteries and other incumbents

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Myths and truth of online gambling

Myths and truth of online gambling

The seductive appeal of online gambling and its propensity to cause more additions are stated to be due to the salient factors listed by Griffiths et al 41 42 that includes: anonymity, escape, immersion, event frequency, associability and “suspension of judgment” due to currency intangibility. 43 44 Unscrupulous operators may use telescopic windows where, upon ending one session, a player is met with another website usually offering hard-to-refuse, attractive promotional freebies thus enticing further gambling. 45 Targeted advertising with their often misleading glamorization of the prospect of life style changing win 46 and pop up messages 47 were also found to be instrumental in encouraging excessive play. Lack of social interaction is experienced more by online players but many are attracted to this form precisely to avoid contact with strangers 48 and a good proportion gambles online with friends or relatives 49 . Many websites offer interactive features allowing for instant messages or verbal chats between players which the individual can opt to use or disable according to personal preferences. Within the home environment it is easier to hide compulsive gambling but the punter is more likely to be surrounded by non-gambling family members who may be less inhibited to argue and have more incentive to intervene than in a land based casino where individuals are more likely to go either with like – minded friends or alone. The perception of temporary community and social connectedness felt in a casino may actually mask the true nature of the activity. The pressure of other casino goers to make decisions quickly, the encouragement of others to continue playing and the general unwillingness to show distress in public may in fact increase the amount of money spent. Even with the Internet’s interactive features, the “disinhibition effect” 50 isolates the players from those tensions. Online gambling does not offer the same glamour, sounds or lights, complimentary drinks or plush high roll rooms as land based casino but online providers work hard to match the experience with 3D colorful graphics, audio-visual stimuli and free bonus incentives. It better facilitates escape and full immersion uninterrupted by other people or by closing times; an aspect particularly attractive to problem gamblers. Further, online and offline casinos exploit people’s propensity to see intangible money as less valuable 51 . Land based establishments use chips or tokens and money in online account are converted into credits but the total loss of tangibility of Internet currency makes is more difficult for players to track their spending. 52 The monthly reminder in the form of credit card statement probably comes too late.
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Gambling Commission submission to the Australian online gambling review

Gambling Commission submission to the Australian online gambling review

10.8 The Commission is aware of the growing use of mobile phone technologies as a medium for gambling. Recently, new technology has been released by operators that provide an effective iPhone application for the 1.5 million plus Apple iPhones in the UK. This enables customers to access gambling websites and experience high quality network coverage similar to that of using a laptop or computer. The application introduced by Betfair (one of the first operator to introduce the technology) uses GPS technology to locate and verify a player’s location before their bet is approved. The GPS filtering system ensures that bets are legal and initially the application will only accept bets placed in the UK and Ireland. Research into online gambling and problem gambling
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