Daily Archives: May 11, 2024

As gambling stalemate continues, former governor has suggestions on how it can succeed next year – wvua23.com

Posted: May 11, 2024 at 2:09 pm

By WVUA 23 News Reporter Zoe Blair

Alabamas 2024 legislative session adjourned Thursday with one major thread left hanging: A comprehensive gambling bill once again falling shy of Gov. Kay Iveys desk.

Odds of Ivey calling for a special session on the matter are next to zero, which means getting a lottery, sports betting or gambling of any kind in the state wont be on the docket again until 2025 at the earliest. And thats only if a bill makes it onto said docket.

The state has been back and forth over lottery legislation for decades, with the closest-ever effort shut down by voters in 1999.

Then-Gov. Don Siegelman ran for office in 1998 on a platform touting a lottery. His goal at the time? A mirror of the system successfully enacted in Georgia in 1993. That states system was all-in on education funding, with 100% of lottery proceeds going toward free pre-kindergarten education and college scholarships for Georgia students.

The proposal that I made was a copycat of the Georgia Lottery that did not have anything to do with schools or sports betting, Siegelman said. It was strictly a lottery that would establish free early learning preschool for children so they could gain the intellectual ability to succeed in grades K through 12 and then to provide free technology, laptops for kids and free college education.

Alabamas House Bill 151, which stalled at 20 out of 21 votes in the Senate after passing the House, allowed for more than a lottery and would have sent revenue into areas outside education. Siegelman said that was his primary problem with the bill.

Some Tuscaloosans said they agree with Siegelman on where the money should be going, but they also have other ideas for the millions of dollars gaming legislation could bring.

I think that more money for education would have been great, but it could also help with housing, Tuscaloosa native Damien Chandler said. Just because we have a lot of homeless here too. A lot of people stay on the street, and that lottery money could help find them housing to stay in.

Other residents said the money would be useful if it went toward infrastructure and reproductive rights in addition to education.

According to recent numbers from the U.S. Bureau of Labor Statistics, Alabama ranks among the lowest states in the nation for labor participation. That means fewer Alabamians who are able to join the workforce are doing so.

Siegelman said many of those residents opting out of the workforce arent doing it by choice because many parents who cant afford day care have no choice but to stay home with their children thanks to the high costs.

If the legislature were to pass this, the money should be focused on providing every child the opportunity to reach their God-given potential through education, Siegelman said. That means free early learning and free preschool so parents can drop their kids off in the morning and pick them up in the afternoon knowing that theyre going to be better educated and better able to succeed in grades K through 12.

Tuscaloosa resident Damien Chandler said the lack of child care is something a lottery could help solve.

I think that would be fantastic if we had it, Chandler said. I have a lot of family and friends that have young kids, and they do struggle with having a place for their kids to go while they work. Sometimes they cant work because they have to watch their kids.

Siegelman said he believes the money should also benefit students later in their academic careers. The Georgia Lottery funds free higher education for anyone who maintains a B average throughout high school, including students attending community college or trade schools. Thats what Siegelman said hed like to see in Alabama, too.

Where the money goes isnt Siegelmans only issue with the bill, he said. He also raised concerns about casino locations, gambling commissioner appointments, casino licensing and how the legislature votes on each form of gambling.

He said potential casino locations should be decided by free market economics, not politics. HB-151 contains seven predetermined locations for casinos based on existing dog racing properties throughout the state, including Greene Countys facility formerly called GreeneTrack.

It makes no sense, Siegelman said. If youre going to open the state up to casinos, then let the casino owners, the people who buy the licenses, work with elected officials in the district into which they wish to locate. For example, in Mobile, rather than locating on McDonald Road in Theodore, they might want to locate on the causeway between Mobile and Baldwin County. Instead of locating in Greene County next to the Mississippi line, they may want to locate on the Alabama River in Montgomery or Selma. They should be able to decide that.

He also said the gaming commission and board of directors for the lottery should each be free from politics. Business-minded people should be on the board, he said, not current or former elected officials.

His final major concern with may bills that have come up on gambling is that theyre too broad, meaning they cover not only a lottery but casinos, bingo, sports betting and table games. It would be easier to pass bills focused on each form of gambling separately.

Siegelman said he sent a letter to the House Tourism Committee ahead of the 2024 Alabama legislative session outlining his concerns with the bill.

Ultimately, he said he hopes the legislature can bring a bill to the floor that will benefit Alabama where its needed most.

My focus is really trying to take care of the kids and parents, working families, Siegelman said. I think if the legislature will focus on what working families are asking for, then they will come to the same conclusion, and that is that we need to provide the money to establish a free, early learning preschool for all children.

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As gambling stalemate continues, former governor has suggestions on how it can succeed next year - wvua23.com

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Better Markets Applauds CFTC’s Proposed Ban on Election Gambling To Prevent Election Interference and Protect … – Better Markets

Posted: at 2:09 pm

WASHINGTON, D.C. Cantrell Dumas, Director of Derivatives Policy, issued the following statement in connection with the Commodities Futures Trading Commissions (CFTC) open meeting to consider a proposed rule regarding event contracts.

We applaud the CFTC for taking steps today to clarify and strengthen the rules governing event contracts and specifically election gambling contracts. Gambling on elections is unacceptable for many reasons, including that it will likely incentivize election interference, further erode Americans trust in elections, and threatens investors with an inevitable onslaught of predatory platforms designed to lure them into a manipulated market. Worse, the CFTC already has a vital public mission that is important to all Americans. It simply does not have the budget or expertise to be regulating and policing elections, which should be done by others like the Federal Election Commission (FEC) and the states. Finally, such contracts are clearly against the public interest and a new rule to address this is appropriate.

We will review the proposal in detail to make sure that it adequately deals with these issues and threats. If sufficiently strong and clear, todays proposed rulemaking will not only safeguard the core values of our democracy but also act as a barrier against the gamification of our democratic outcomes, ensuring that speculative betting doesnt tarnish the integrity of our electoral processes or the CFTC. The CFTC was right to reject Kalshis proposal to allow wagering on the partisan control of Congress, and if adopted, this rule will help clarify the law and reiterate that they are impermissible. By taking this stand, the CFTC reaffirms that derivatives markets should fulfill their intended rolesupporting economic activities and providing risk management solutions related to those activitiesnot serving as platforms for excessive speculative gambling on political outcomes.

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Better Markets is a non-profit, non-partisan, and independent organization founded in the wake of the 2008 financial crisis to promote the public interest in the financial markets, support the financial reform of Wall Street and make our financial system work for all Americans again. Better Markets works with alliesincluding many in financeto promote pro-market, pro-business and pro-growth policies that help build a stronger, safer financial system that protects and promotes Americans jobs, savings, retirements and more. To learn more, visit http://www.bettermarkets.org.

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Better Markets Applauds CFTC's Proposed Ban on Election Gambling To Prevent Election Interference and Protect ... - Better Markets

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Advocates seeking more revenue for problem gambling in MD will have to wait – Maryland Daily Record

Posted: at 2:09 pm

Sports betting contributes millions of dollars monthly $5.7 million in April to Marylands public education plans, but a push to divert 1% of the revenue to help fight problem gambling has met a lack of consensus in the legislature.

The legislature set up a problem gambling fund in 2007 with the legalization of casino gambling. But as the state has rolled out other forms of betting, lawmakers havent added revenue streams for the fund.

Unclaimed prize money from in-person sports betting goes to problem gambling resources, but 98% of money wagered on sports in Maryland is through mobile apps, which automatically pay out winners.

Longtime state Sen. Katherine Klausmeier, a Baltimore County Democrat who has pushed for 1% of the states sports wagering proceeds, or roughly $3.5 million annually, to go to problem gambling resources, said the state has an obligation to provide necessary support to those suffering from an addiction.

Problem gambling has become widespread, and I think so much more since sports gambling, Klausmeier, also vice chair of the Senate Finance Committee, said in a phone interview Friday. I would like to have the opportunity to help those people who are in the midst of having gambling problems.

Both the state Senate and House of Delegates voted during this years 90-day session to distribute a percentage of sports betting revenue to problem gambling resources, but a last-minute disagreement derailed the bill in the sessions final hours.

Klausmeier said she didnt know the details of the disagreement, and neither of the top Democrats whose apparent differences killed the bill Senate Budget and Taxation Committee Chair Guy Guzzone and House Ways and Means Committee Chair Vanessa Atterbeary could immediately be reached for comment by phone call Friday.

Since its inception in December 2021, sports betting has brought in $75.7 million for public education, according to the Maryland Lottery and Gaming Control Agency.

Hundreds of millions of dollars from the states six casinos also go to public schools, including nearly $623 million last fiscal year.

Sports betting revenue goes to a dedicated fund for the Blueprint for Marylands Future, a plan to boost education systems and student performance statewide by starting childhood education at an earlier age, increasing pay for teachers and bolstering career and technical education opportunities.

Lawmakers have set aside money to cover the Blueprint for the next three years, but the plan lacks a permanent funding stream and is expected to be a major driver of multibillion-dollar operating budget deficits in later years.

Top Democrats have maintained full-throated support for the plan despite the fiscal uncertainty, and last year they shied from taking 1% of sports wagering proceeds from the Blueprint.

With annual fees from slot machines and table games, problem gambling proceeds usually reach between $4 million and $5 million each year.

Between $2 million and $2.4 million goes to the Maryland Center of Excellence on Problem Gambling to pay for a 24-hour helpline, an outreach program that includes a voluntary exclusion list, treatment and prevention programs offered for free or at a reduced cost, and staff research.

Director of Operations Mary Drexler has said that, while the center has generally had a large enough budget to assist the more than 600 people seeking help at any given time, it lacks money for adequate preventative measures like public service campaigns and advertising.

She said those services would help the center inform people suffering from a gambling disorder about the resources available to them.

Drexler wrote to lawmakers in February that a dedicated funding stream from sports betting proceeds would help the center boost marketing to counter the gambling industrys multibillion-dollar campaigns.

It would also help the center attract more treatment providers to the states no-cost network and launch public awareness campaigns to target people who are especially prone to problem gambling, like veterans with PTSD, Drexler wrote.

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New Regulations For Gambling Consumer Protection Are Here! – Latest Casino Bonuses

Posted: at 2:09 pm

The Gambling Commissionhas announced sweeping changes aimed at enhancing safety and empowering consumers within the gambling industry. These changes, outlined in alignment with theGovernment's High Stakes: Gambling Reform for the Digital Age White Paper,encompass various aspects crucial to fosteringresponsible gambling practicesand customer protection.

One of the key initiatives introduced by the Commission involves the implementation of financial vulnerability checks. These checks target online customers with a net deposit exceeding 150 per month on gambling activities. Initially set at500 per month from August 30, 2024,the threshold will subsequently reduce to 150 per month by February 28, 2025.This phased approach ensures a smooth transition for operators while prioritizing enhanced protection for financially vulnerable individuals.

In parallel, the Commission is conducting apilot program for frictionless financial risk assessments.These assessments focus on high-spending online accounts to identify and mitigate potential risks of harm associated with excessive gambling expenditures. Collaborating with credit reference agencies and gambling businesses, the Commission aims to refine assessment criteria during the pilot phase. The data-driven approach will inform decisions on the permanent implementation of these assessments, ensuring they align with the overarching goal of promoting safer gambling practices.

Furthermore, the Commission is introducing measures to improve consumer choice and age verification protocols. Gambling businesses will now provide customers with options to opt-in to specific product types and marketing channels, empowering individuals to control their gambling-related marketing exposure. This requirement, applicable to online gambling,will take effect from January 17, 2025.

''It will also change the good practice code to say licensees should have procedures that require their staff to check the age of any customer who appears to be under 25 years of age, rather than under 21 years of age.''

In premises, all gambling land-based licensees, including smaller operators, will be mandatedto conduct age verification test purchasing.This initiative, along with changes in good practice codes, aims to strengthen age verification processes and enhance responsible gambling practices.

The industry has responded positively to these initiatives, with a Betting and Gaming Council interim measure designed to streamline processes and reduce unnecessary document requirements. However, challenges remain, particularly concerning the implementation of frictionless financial risk assessments and the gradual reduction of net deposit thresholds.

The Commission's careful approach, with changes implemented in four stages starting from August 2024, reflects a commitment to balancing consumer protection with industry adaptability. As the pilot programs progress and regulatory measures take effect, stakeholders anticipate a more robust framework for responsible gambling and enhanced consumer safety within the gambling landscape.

Source:

''New rules boosting safety and consumer choice'', gamblingcommission.gov.uk, May 01, 2024.

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After gambling standoff, Alabama lawmakers pass $9.3 billion education budget – Alabama Daily News

Posted: at 2:09 pm

MONTGOMERY, Ala. Both chambers of the Alabama Legislature adopted the $9.3 billion 2025 education budget Thursday after hours worth of negotiations on legislation that could have legalized gambling in the state, legislation that ultimately failed to secure enough support before both chambers adjourned.

In the House, the first spending bill to come up for a vote was House Bill 144, a $681.2 million supplemental spending package for the current fiscal year. Among the bills largest expenditures include $109 million for local boards of education, $22 million for school nurse salary increases, and $17 million for Career & College Readiness grants.

Rep. Danny Garrett, R-Trussville, the chair of the House education budget committee, explained changes in the bill, including $5 million that the Senate originally allocated for the state employee retiree trust fund being split among several different items, such as $1.1 million to the Alabama Historical Commission for grants, or $1.1 million to the Alabama Arts Council.

Several bills were filed late this session to give cost-of-living adjustments for state retirees, but none advanced. House Minority Leader Anthony Daniels, D-Huntsville, told Garrett he was very disappointed that lawmakers were unable to secure any raises for state retirees.

Garrett said it was simply a matter of numbers, and that that state could not afford to do so this year.

What I think what the retirees want is a true COLA, I think thats what they really want, and Im going to go through the numbers and just show you how that really is not something we can afford to do, Garrett said.

Now were trying to address some of their concerns, but let me just give you some facts.

Garrett said that the Retirement Systems of Alabama Trust Fund is currently 67% funded, and has a $14 billion deficit, $2 million of which he directly attributed to COLAs adopted in the early-to-mid 2000s.

We all want to help retirees, were understanding of that, but we cannot afford a COLA. Garrett said. A 1% COLA is $200 million. What we dont have is a source of revenue to feed that money.

I hear you, but there are a lot of things that were funding that I dont see us getting a return on, Daniels responded.

These people put their health and their lives on the line for all these years, and were not showing appreciation. Im sick and tired of us flirting with them every year, telling them that were going to do something for them next year.

Rep. Chris Blackshear, R-Phenix City, who sponsored one of the gambling bills that passed out of the House but stalled in the Senate, pressed Garrett on why the Senate even bothered to allocate $5 million to the retirees trust fund, something he argued would not benefit anyone at this time.

I believe that they wanted to let retirees know theyre not forgotten, that were thinking about them, Garrett explained.

Fine, but I dont think this gesture of $5 million, which would get a 25-year retiree theoretically $50, is doing anything. I think its an insult to be honest.

Circling back to his gambling legislation, Blackshear said the Senates failure to pass his gambling bill directly hurt state retirees, who with the gambling proceeds, potentially could have seen significant raises.

Rep. Juandalynn Givan, D-Birmingham, also spoke against the Senate for its failure to pass the gambling legislation, specifically on its impact on state retirees.

We are spending $200 million across the street on a new State Capitol; we just spent a billion dollars on a prison that still hasnt been built, Givan said.

There are many avenues that we can take in the state of Alabama that we could have allowed for the citizens who have served this state, our state employees and educators, to reap the benefits of seeing some type of cost-of-living raise.

Several more lawmakers spoke on the bill, using their time to criticize the Senate for killing gambling and its revenues for the foreseeable future. Nevertheless, House members voted to concur on the supplemental spending bill in a vote of 98-1, with Givan being the lone dissenting vote.

Also approved was House Bill 145, the $9.3 billion education budget.

They really didnt change anything substantial from the House budget, they did not delete anything that we had submitted, Garrett said when introducing the bill.

The bill has minor, inconsequential changes made to it when it came out of conference committee earlier this week, such as moving $1.5 million for school safety mapping from the Education Department to the Alabama Law Enforcement Agency.

Another change Garrett highlighted was $14.9 million for a proposed teachers compensation for teachers, which was contingent on a bill that ultimately failed, reverting to education operating expenses.

I think this is a good education budget with the exception of raises for the retirees, but I guess Im a little bit frustrated here on this last day, said Rep. Barabara Drummond, D-Mobile.

We have been talking and talking about education, and we had an opportunity. I applaud all of those who voted for gaming, but was particularly gratified because of the money that would have been generated for education.

The education budget ultimately passed the House unanimously, and was later concurred with by the Senate, sending it off to Gov. Kay Iveys desk for final approval.

House Speaker Nathaniel Ledbetter, R-Rainsville, shared in the disappointment of some of his members that the gambling legislation had failed this year. House members overwhelmingly thanked Ledbetter for his efforts, however, and gave him a standing ovation before voting to adjourn for the year.

Alabama Daily News later asked Ledbetter what he considered to be the highlights of the budgets lawmakers adopted Thursday.

Youve got to be excited about the budgets, he said.

Giving teacher pay raises is a big deal, giving state employees pay raises is a big deal. This is the fourth year in a row that weve been able to give pay raises, which I think is probably as long of a run as the states had.

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Best Bet For Saturday (May 11th): UFC St. Louis Predictions – SGPN

Posted: at 2:09 pm

Saturdays mean the UFC, and this week is no exception. But this week, the UFC octagon is on the road for a Fight Night at the Enterprise Center in St. Louis. For my best bet for Saturday (May 11th): UFC St. Louis Predictions, Ive got a play on one of the main card heavyweight fights.

Regardless of the sports, the Sports Gambling Podcast Network has you covered. Weve got shows and winning picks for every sport under the sun. No one around is delivering free picks for the entire year and working with you to battle Corporate Gambling. Today and every day, we are delivering best bets, free picks, and stone-cold locks. Sean and Kramer also are ready to Let it Ride, check out their best bet video below.

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Start Time 4:00 pmEST

The main card portion of Saturdays UFC action (start time 7:00 pm EST) opens and closes with big boys swapping leather. Weve got heavyweights in the main event and heavyweights in the curtain jerker. And its the main card opening fight that Im headed to for my best bet for Saturday.

Robelis Despaigne is just getting started on his MMA journey, with only five pro fights (all five fights ending with him knocking out his opponent), which is odd considering hes 35 years old. However, he was busy before this winning an Olympic bronze medal in taekwondo for his native Cuba. Hes a knockout machine who is going to turn opponent Waldo Cortes-Acostas lights out (his T/KO prop play is not much better than his moneyline, currently sitting at -170).

Best Bet: Robelis Despaigne (-240)

Overall Record: 44-23 (66%) Profit (based on $100/bet):$1,786.94 Return on Investment: 27%

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Gambling constitutional amendment dies with the Senate declining to – 1819 News

Posted: at 2:09 pm

MONTGOMERY The 2024 legislative session ended on Thursday without the Senate taking another vote on a gambling constitutional amendment developed by a conference committee last week.

The Senate was one vote short of passing a lottery and gambling constitutional amendment last Tuesday. The House passed the proposal easily last week.

The Senate vote failed by a 20-15 margin. It needed 21 votes to pass due to constitutional amendments requiring a 60% threshold in each chamber. However, according to Senate Secretary Pat Harris, a vote on the amendment could've been called again in the Senate since a majority of members voted in favor of adopting the conference committee report.

Eric Johnston, president of the anti-gambling conservative Southeast Law Institute, said a lawsuit could be filed if the constitutional amendment was brought back up again before the session ended.

"I have not heard of what that rule is or the citation of that rule that would've allowed them to bring that bill back. That vote failed. That was the end of that bill, and it should not have come back," Johnston told 1819 News on Thursday.

However, no second vote on the constitutional amendment ever happened last week or this week before the legislative session concluded. Both the House and the Senate passed differing lottery and gambling packages earlier in the session.

"I'm quite disappointed because we were so close yet so far," Senate Minority Leader Bobby Singleton (D-Greensboro) told reporters on Thursday. "It is what it is."

Separate legislation legalizing historical horse racing gambling machines in Greene County died in the House without a vote after passing the Senate in April.

To connect with the author of this story or to comment, email caleb.taylor@1819News.com.

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Betting on the US market; the IT infrastructure of gambling – DatacenterDynamics

Posted: at 2:09 pm

If you have ever been to a Las Vegas casino, its likely you will remember the experience vividly. The lack of windows, and clocks. The sound of coins jingling, of slot machines, of cries of delight and angry frustration. If you arent a gambler, you may have marveled at the sheer lack of seats available for anything other than betting or playing.

Casinos are an experience all of their own, like a candy store where the sugar high comes from the constant flow of money rushing to and from - though lets face it, mostly to - the house. The chance, however small, of myriad financial problems being solved by a single spin of the roulette wheel means gambling remains an enticing prospect for many, so it is no wonder that the sector seems endlessly popular, and this popularity is spreading to the online, virtual world.

This happened earlier in Europe than in the US but slowly, state by state, online gambling - also known as iGaming or simply gaming by those in the industry - has opened up on the other side of the Atlantic too.

As with anything based on the Internet, iGaming needs to be hosted somewhere, and that appears to be where significant complexity has arisen.

Continent 8 Technologies is one company providing the digital infrastructure for the gaming industry. It offers colocation and cloud services specifically to the gaming and online gambling markets. Its a credit to our founder [and former Telecity CEO], Michael Tobin, says Justin Cosnett, chief product officer at Continent 8, of the businesss move into the US market.

Michael always had the ambition to service the US market once it was regulated. He took the incredibly unusual step of getting a casino license in Atlantic City to service New Jersey and then build a data center in Atlantic City.

From there, Continent 8 has been opening colocation sites as each state legalizes the online gaming industry.

We do data centers where other people wouldnt, because lots of other data center providers are looking for cheap power and great connectivity. We dont actually need to be in those places, we go where the vertical takes us and locations are needed for regulatory purposes.

This technique of keeping a keen eye on where new locations are opening up is also being followed by competitor Internet Vikings. Rickard Vikstrm, founder and CEO of Internet Vikings, told DCD that, similarly, the company is attempting to offer its services in every state applicable.

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Internet Vikings is based in Sweden, and along with Continent 8, began its operations in Europe as the market is, according to Vikstrm, 10-15 years ahead of the US in terms of regulations.

This is not to say that gambling was not popular in the US, but that a variety of federal and state laws have held the sector back. In 1961, the Interstate or Federal Wire Act was established, prohibiting the transmission in interstate or foreign commerce of bets or wagers or information assisting in the placing of bets or wagers on any sporting event or contest or a communication that enables the recipient to receive money or credit for bets or wagers via a wire communication facility.

The Wire Act prevents you from placing bets on sporting events across state lines, explains Cosnett. Its meant that each state has to regulate and have that transaction happening in the state - so even users on their mobile devices using a mobile app have to be in that state.

Beyond that, there was the Professional and Amateur Sports Protection Act (PASPA) of 1992 which effectively outlawed sports betting nationwide excluding a few states, and then the 2007 Unlawful Internet Gambling Enforcement Act which prohibited gambling businesses from "knowingly accepting payments in connection with the participation of another person in a bet or wager that involves the use of the Internet and that is unlawful under any federal or state law."

In combination, these three laws make the US a hostile environment for online gambling, and sports betting - both major parts of iGaming.

However, in 2018 PASPA was overturned, thus freeing up states to begin making their own choices. This has created an extremely challenging market, with each state having its own regulations, and hosting service providers must get licensed to comply with every set of rules.

It depends on which state you are in. Its so fragmented because every state has its own rule book so it's impossible to just know In this state, you do this or do that, explains Vikstrm. Ive had to send in fingerprints and tax returns for the last 10 years, Ive had interviews with investigators. Everything in my life has been gone through. Then they need to check the servers and our company to make sure we are a good supplier, and also the shareholders behind us.

These regulations slow down the process of business expansion for the likes of Internet Vikings and Continent 8, but they have both now made the process as efficient as possible.

According to Cosnett, Continent 8 was, at one point, opening new locations once every two months over a period of six months as new states added wiggle room for iGaming activities.

Theres no guarantee that every state is going to regulate, but all of our customers that want to come to the US want to be first to market, so weve had to compress our ability to open up a new location to between two and six weeks we can be ready for customers to start installing their equipment, explains Cosnett.

Currently, Continent 8 has been leasing space in other colocation facilities - always at a Tier III-quality site with good connectivity and capacity availability - but in the future, the company is looking to acquire and own its premises.

Not only do the likes of Internet Vikings and Continent 8 need to be licensed, but in some states the colocation facility they operate from will need licensing.

That is a bit of a competitive differentiator, argues Cosnett. We might look like we're just buying or leasing someone else's data center, but we're also bringing that regulatory approval to operate and provide our customers as well as the network and cybersecurity.

But even beyond the complex regulatory landscape, iGaming as a sector has a key set of needs.

Justin Cosnett, Continent8 Continent8

According to Vikstrm, iGaming is very similar as a sector to e-commerce in terms of its IT needs.

Its more about security, more about making sure it's always online, rather than a lot of capacity needed because, at the end of the day, it's not that much data, says Vikstrm.

Cosnett reaffirms this, noting that Continent 8 has been offering services including DDoS (distributed denial of service) protection, WAF (Web App Firewall), and has added a SOC and SIM service and end-point protection.

It's a rich target for cyber attacks, says Cosnett. We've seen that in the press in the land-based casino world over the last year or so.

While he does not explicitly name any particular incident, one heavily reported on was in September 2023, when a cyber attack against MGM Resorts brought down the casino and hotel groups slot machines and hotel room key systems in Las Vegas, as well as its website.

Cosnett continues: It is just as viable a threat to an online business as it is to a land-based casino. Almost more so because all these guys are doing is servicing the bet, so every second that a site is down or unable to service its customers, significant potential revenue is lost. And thats not just for the gaming company, but for the regulator in tax revenue as well.

Beyond security implications, latency is a key consideration. Online sports books, in particular, have a competitive advantage by having low latency connectivity and being able to deliver the user the latest possible betting odds and information about a game, particularly with options like cashing out, says Cosnett.

Because of this, Continent 8 drags its multiprotocol label-switching (MPLS) network to all of its locations to try and speed things up. Label switching can be faster than a routing table lookup because switching can take place directly within the switched fabric and avoids CPU and software involvement.

Depending on the data center in question and its location, which is sometimes impacted by the state it is based in, this could be even more important.

The debate in each state as to whether they should legalize iGaming is a complicated one. Currently, iGaming is only fully legal in seven states, though several more allow online sports betting and other limited gambling services.

A major driver in favor of iGaming is, predictably, money. Once something is regulated, it can be taxed, and such a popular sector has the potential to bring in a lot of tax revenue. There are few industries in the world that tell a regulator or a state or government, please regulate us, please take our tax money, says Vikstrm.

New York is one market the vendors are studying closely. Late last year it was revealed that it is expecting its budget deficit to reach $4.3 billion. Senator Joseph Addabbo proposed legislation to authorize iGaming and iLottery in New York, arguing that it could produce $1bn in tax revenue for the state. Despite this, the state has not included the sector in its 2024 Senate Budget Proposal.

While iGaming as a whole is not allowed in New York, online sports betting is, though only from a few select locations - the casino resorts.

The transactions have to happen inside an actual casino, so we havent yet managed to get to a position where we could take a data center or even build a data center in a casino property, explains Cosnett. Instead, Continent 8 intends to provide casinos that already have their own servers with better connectivity.

That could help them connect with iGamers elsewhere in the state, and also potentially the hyperscale cloud providers as many online gaming platforms use cloud services.

According to Vikstrm, New York currently has four licensed locations. There are a lot of rules, and it costs a lot of money to set up commercial operations there, he says. These casinos do not have a secret and vast colocation data center in their basements for this purpose - Vikstrm suggests it is closer to a few racks than a big commercial data center.

As with anything with limited supply, these casinos are able to charge a premium for hosting there. At the end of the day, we [Internet Vikings] are not paying for it, it's the operators. We forward that cost to them, and they then forward it to the player, says Vikstrm.

DCD reached out to the licensed casinos in the state, but did not receive any comment.

Notably in New York, those casinos that are licensed for sports betting exclude any on Native American land, in line with the Indian Gaming Regulatory Act.

A Native American casino operator that asked not to be named confirmed this limitation to DCD, adding that some are in negotiations with the state for a new Compact - an agreement with the state that Indian Gaming sites need to operate - that would enable tribal casinos to take part.

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The tribal casinos are, in many states, a motivation to not allow iGaming, according to Vikstrm. The reason states dont want to legalize it is the Native American tribes, he says. Tribal gaming and casinos have a big influence politically, and online casinos would cause them to lose a lot of money.

"The government would then have to give something back to the Native American facilities.

The history connecting Native Americans with casinos and gambling is complex and rife with colonialism, dating back to the invasion of the US by European countries in the 1500s, which led to conflict with tribes and saw many Native Americans displaced as their land was annexed.

Centuries later, Native American reservations were established by treaties and executive orders, returning some of that land that should never have been stolen in the first place. Inequalities prevailed, though, with federal and state government, regulations and grant funding often leaving the reservations with few options and limiting their ability to empower themselves.

In the late 1970s and early 1980s, many Native American tribal governments began establishing casinos and gambling locations which brought in significant revenue to the reservations.

In 1988, the Indian Gaming Regulatory Act (IGRA) was established; a federal law dictating the jurisdictional framework governing gaming sites on tribal land. According to the act, its purpose is to protect gaming as a means of generating revenue for the tribes and to boost economic development. But the IGRA states that all Indian gaming must take place on native land, which is problematic for igaming, which is mobile by nature.

An example of such can be found in the 2018 court case of the State of California vs Iipay Nation of Santa Ysabel. The federally recognized Indian tribe tried to revitalize its gaming revenue stream by establishing a server-based bingo game over the Internet.

Those servers were located in Iipays casino on tribal lands, which has since closed down. The casino had an on-site staff member who was supposed to act as a proxy for the patron by placing bets.

While the proxy and the server remained within tribal lands, judges ruled this was in contravention of the act, as the patron would not necessarily be within tribal land. Thus, the Iipay Nation was not allowed to continue its operations of the online bingo game.

DCD contacted several tribal gaming establishments and gaming regulatory boards for comment, but none were willing to do so.

Another important layer for digital infrastructure providers in the sector is the ethics of gambling itself. The phrase the house always wins is well-known, and not inaccurate, because the business model of casinos relies on them winning more money than they lose.

At every level of iGaming, each service provider, be it the gambling platform or the IT hosting company, relies on the customer continuing to place bets that will end in failure. Cosnett is philosophical about this.

Everyone will have their own personal view, he says. Continent 8 isnt a company that is full of gamblers. We are a technology provider, rather than a gambling company ourselves. My normal response is that what weve seen is that the best regulation and regulated companies will offer the best consumer protection.

Continent 8 remains in favor of regulation, with Cosnett saying that, if asked by regulators, they will switch customers operations off. Total prohibition has been tried in certain environments, and it's not necessarily successful, he adds. People respond accordingly, they carry on doing it but in ways that arent necessarily the most suitable to the providers or the consumer.

This philosophy is further supported by Internet Vikings Vikstrm. For me, its easy. It needs to be regulated, licensed, and controlled by someone because it's an industry that can come with a lot of implications, like alcohol, tobacco, or anything like that. People will always do it, so it's much better that it's regulated, he says.

Regulations mean you have to prove things such as source of funds, Vikstrm says. If you want to bet with $100,000, you need to prove that it is legal money and that you actually have an income that can support that kind of gambling.

In unregulated gaming, they will try and squeeze as much money out of every single person as possible.

Indeed, besides Nevada, which is home to Las Vegas, there does not seem to be a clear link between a states friendliness to gambling and gambling addiction statistics - the results are mostly scattered, but the data itself is also hard to establish. It relies on self-reporting, which many gambling addicts would not do.

The US is unlikely to see a widespread opening up to iGaming. Cosnett puts this down to politics: At a federal level, trying to get approval has been almost impossible, he says.

We [Continent 8] view it as part of the entertainment industry but, morally, you can have different views on gambling, and no one is going to win votes by legalizing and or making gambling easier.

While the politics in some states means legalization of iGaming is unlikely to ever happen, there does seem to be a continuous trickle of states changing their policies, with Rhode Island among those joining the legalization list this year.

Be it for better or worse, demand for iGaming is unlikely to go away.

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RIP GAMBLING 2024: House closes session by approving the education – 1819 News

Posted: at 2:09 pm

MONTGOMERY The Alabama House of Representatives closed out the 2024 regular legislative session Thursday after briefly holding up the Education Trust Fund budget in hopes of securing a compromise on the now-dead gambling package.

The House had delayed voting on the ETF budget for some time while House legislators attempted to negotiate a compromise with the Senate over a comprehensive gambling package the Senate rejected last week.

SEE: Lottery, gambling constitutional amendment falls one vote short in Senate

The House spent most of Thursday in recess while lawmakers scrambled between caucus meetings and negotiations to leverage the ETF vote for some compromise on gambling. Some House lawmakers suggested delaying the vote on the ETF budget bills until after the session, which could force a special session and possibly another vote on the gambling package.

SEE: House passes ETF supplemental after bashing Senate for killing gambling package 'This House bows down to the Senate too often'

Ultimately, the negotiations fell through, and the House passed the ETF budget and swiftly adjourned Sine Die.

The ETF budget emerged from a conference committee between the House and Senate, and the House passed it with minimal changes last week.

RELATED: House easily passes education budget, appropriations totaling nearly $11 billion

Several lawmakers used debate time to complain about the Senate, a common theme for the last several weeks. However, the House eventually passed the ETF budget unanimously right before adjourning for the final time. The Senate swiftly followed suit, and Gov. Kay Ivey signed the bill later that evening.

House Speaker Nathaniel Ledbetter (R-Rainsville) said that House members attempted a last-minute push for some gambling compromise on Thursday but quickly discovered that was not possible.

"I think there was some ideas of maybe they could get something for the people," Ledbetter said. "That's kind of what they were trying to do. And, when they seen it wasn't going to happen, it's time to move on. That was kind of it. I mean, it wasn't a major push. It was just something that they seen some opportunities, and certainly, we listened to those and give that a chance to look at it, but it just wasn't possible."

"We talked about it. As I said, we've passed it out twice; we could have passed it again, but, you know, It just wasn't meant to be in this session at this time," he continued.

Apart from gambling, Ledbetter stated he was "excited" about the ETF and General Fund Budgets advanced by the legislature this year.

"Both the chairmen did an outstanding job," Ledbetter continued. "And certainly, the education budget being as strong as we've ever had, and the general fund as well. I'm very proud of those people, the chairmen, and their committees for the work they've done."

"Giving teacher's pay raises is a big deal. Giving state employees pay raises is a big deal. You know, this is the fourth year in a row that we've been able to give pay raises, which I think is probably as long a run as the state's had, so I'm proud of that. I'm proud we're able to support our employees and give them the raises that they deserve.

Gov. Kay Ivey also applauded the final passage of the ETF budget.

"Ensuring every Alabama student receives a quality education is my number one priority, and I am proud we are once again, for a sixth straight year, investing a record amount in education," Ivey said.

"From fully funding critical programs like the Literacy and Numeracy Acts to supporting the Turnaround Schools program to increasing our investment in special education to prioritizing workforce development needs like career coaches and dual enrollment, this budget wisely invests in the spectrum of education. I am proud we are jumpstarting priority projects like the Alabama School of Healthcare Sciences. We are giving more Alabama families the ability to choose the school that best suits their child's needs through my education savings account program. We are ensuring students are protected by investing in their mental health care and in the safety of our schools."

To connect with the author of this story or to comment, email craig.monger@1819news.com.

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MGM National Harbor gambling revenue down 10% – WTOP

Posted: at 2:09 pm

After Maryland casinos posted their fifth-best month ever for gaming revenue in March, gamblers pulled back in April.

After Maryland casinos posted their fifth-best month ever for gaming revenue in March, gamblers pulled back in April.

Total gaming revenue from the states six casinos fell 6.6% from a year earlier to $163.2 million last month.

Gaming revenue from slot machines and table games at MGM National Harbor led casinos with $68.1 million, though that was down 9.8% from a year earlier.

Baltimores Horseshoe Casino had $14.7 million in April gaming revenue, down 10.8% from a year ago. Live! Casino & Hotel at Arundel Mills had the smallest year-over-year decline, with $60.1 million in April gaming revenue, down 1.9% from April of last year.

April results were mixed at the states three smaller casinos, up 6% at Hollywood Casino, down 7.6% at Ocean Downs and down 20.6% at Rocky Gap Casino.

Casinos contributed $69.8 million to Maryland, with the majority of it going to the states education trust fund.

April figures were down from March, when the states casinos had a combined $178.1 million in gaming revenue.

Maryland Lottery and Gaming posts monthly and year-to-date gaming revenue figures and contributions to state programs online.

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