It is a very exciting time currently for people in the US. Online gambling is becoming legal in more and more states, whether it is through sports betting, online casinos, and so on. Lawmakers realize the massive value that legalizing these types of activities can have on a state’s finances.
While it is great for the average person to have the ability to legally play their favorite casino games or place sports bets on regulated platforms, there are also some concerns about potentially rising levels of gambling addiction.
This is a very serious topic that can impact a lot of people if they are not careful. This article will look at how European markets that have mature online gambling sectors handle the topic of gambling addiction in comparison to the current state of the US market.
UKGC and GamStop
One of the strictest regulators in Europe today is the UK Gambling Commission (UKGC). It has not been promoting a gambling environment that is safe and responsible. Any licensees that breach UKGC rules and regulations are usually met with stiff financial penalties.
There are many ways in which the UKGC aims to protect online gamblers. There are strict rules in place on the types of features that games can offer. You also have to deal with stricter limits on bet sizes, while there are tight controls over the types of advertising that operators can do. Then you will discover that certain payment methods are banned from all gambling-related purchases, such as credit cards.
The UKGC works hand in hand with a non-profit organization called GamStop. This is an organization that gives people the ability to self-exclude from every single UKGC-licensed platform in one go. There is no need to individually self-exclude from each site. Once in place, the self-exclusion period is not reversible.
How the SGA and GlüStV Work
The Swedish Gaming Authority (SGA) and the main gambling regulator in Germany are similar in a lot of ways. Both take the matter of responsible gambling very seriously. The SGA in particular has a reputation for imposing strict deposit limits on online casino users, especially during the COVID-19 pandemic.
It also keeps a very close eye on the types of bonus offers and other incentives that gambling operators provide to regular players. In Germany, there is a big focus placed on quickly identifying online gamblers who might be at risk of problematic gambling behavior. Anyone who is triggering these types of controls will then be helped by the authorities in a variety of ways.
How MGA casinos work
The Malta Gaming Authority (MGA) is one of the regulators in Europe that is known for being a bit more relaxed when it comes to oversight. It largely allows operators to do as they please, except for ensuring that certain responsible gambling measures are in place.
All MGA licensees need to offer some basic responsible gambling tools, such as self-exclusion. While there is no mass self-exclusion program available as of yet for MGA licensees it is something that is currently being developed. As time goes on, it is likely that the MGA will roll out this program and require all licensees to sign up to participate.
Crypto Casinos
In recent years, crypto casinos have taken off massively in terms of popularity. People enjoy the great level of freedom that they provide. A lot of these types of platforms are going to be very lightly regulated, if they even have any license at all.
Most of the time, any responsible gambling oversight is going to be more or less non-existent for these types of platforms. It is largely down to the individual operator as to how many responsible gambling tools they want to offer users and the type of overall approach they take to tackling gambling addiction.
You will often see that crypto casinos are regulated by the government of Curaçao which is a very lightweight form of regulation and not something that will give many people pause for thought. A lot of people see this lack of oversight as being a big advantage, as they are not as confined when it comes to different types of restrictions and so on. You can read more here about crypto casinos.
What’s the best type of regulation for the US market?
As the US online gambling market is still in its relative infancy, there will likely be some growing pains along the way. Each state develops its own set of regulations for the sector, so the exact situation can change depending on what state you are in.
It is likely going to be the case that a lot of states see how their current rules are performing and look at the data on participation and gambling addiction before making any changes. A lot of them looked at other markets, such as those in Europe or in other US states as a guiding force when developing their own rules and regulations.
The exact frameworks also can change a lot from state to state. Some of them are very carefree when it comes to their regulations and oversight, while others are extremely strict and crack down on even the smallest deviations from the regulations. There really is no one size fits all solution for the US market, it will likely be more of a case of trial and error before coming across the best balance.
An exciting time
There is no doubt that it is an extremely exciting time in the US gambling sector. A whole wave of change is spreading across the country, slowly but surely. As time goes on, responsible gambling will likely become more and more of a topic of discussion.
For now, the focus is more on establishing these platforms in states and promoting them to a new audience. Down the line, it is likely that more of a focus will then go on the topic of responsible gambling.
