Controls for detecting problematic gambling behavior
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An important aspect of responsible gambling is being able to stop damaging behavior before it seriously affects a player. Therefore, online casinos have to be on the lookout for warning signs. This means implementing three specific measures for detecting gambling addiction.
When onboarding players, online casinos must check if their names appear on self-excluded lists. If so, the casino must bar them from entry. Self-excluded lists may belong to a specific casino or be part of broader, national self-restriction schemes, such as GAMSTOP in the UK.
Ongoing monitoring and addictive gambling triggers
Detecting the signs of gambling addiction is an ongoing process, lasting throughout the customer lifecycle. Addictive behavior can manifest itself on multiple occasions, such as when players chase losses, play high stakes, or show erratic gambling patterns. Once problematic behavior is detected, online casinos must restrict the affected player from their service and, ideally, direct them towards help.
When checking sources of funds/wealth for casino AML compliance, casinos must analyze whether a player displays behavioral patterns associated with problem gambling. For example, a warning sign could be when a person spends €3k ($3.1k) every month, while earning only €2k ($2.1k).
Casinos should have special programs to enable players to protect themselves
Access limiting. Users can restrict their gambling activity to the amount of hours they consider appropriate.
Activity alerts. Notify users if they have been playing for too long. What’s considered ‘too long’ is also determined by the player. Some countries, like Sweden, make these alerts mandatory for all players.
Deposit limits. Players put a certain limit on their deposit amounts in order to stick to their budgets and avoid overspending.
Time-outs. Users have the option to put their accounts on temporary hiatus for an amount of time that works best for them.
Nationwide self-exclusion. Users enter their name onto a national self-exclusion list to block themselves from accessing any gambling website in their country.In the UK, for instance, all online casinos are required to have GAMSTOP membership.
Permanent self-exclusion. Players can block themselves from an online casino forever and irreversibly, requesting to cease any contact and no longer receive marketing promotions.
There are many more initiatives that countries can take to protect their nationals. Denmark, for example, requires all online gamblers to pass an online test revealing if they are addicted to gambling.
During the COVID-19 pandemic, regulatory measures have toughened worldwide in a bid to further protect problem gamblers. For instance, Sweden imposed a weekly deposit limit of 5k SEK ($493) and the UK issued strengthened its guidance in response to data showing that players are spending more of their time and money on gambling.
Online casinos must avoid targeting vulnerable groups, such as children, teenagers, or self-excluded players. Similarly, gambling can’t be normalized through sponsorship of sports or any other medium that could be associated with youth culture.
These marketing restrictions can also affect the timing of casino advertisements. For example, new rules for online gambling platforms in Germany forbid ads between 6 am and 9 pm. The UK is also ready to introduce curbs on advertising, given findings that 96% of 11-24 year olds in the UK had been exposed to gambling ads in February 2020, leading them to place bets soon after.
In September 2020, the UK made it mandatory to teach students about online gambling risks at school. The same is expected of online casinos, who must educate users on the dangers of gambling through videos, blog posts, webinars, and other initiatives aimed at raising gambling addiction awareness.
7. Key security standards and practices
Soccer BetFraud has become a real menace for the gambling industry, with schemes like bonus hunting, multi-accounting, account takeovers and illicit chargebacks on the rise.
enforce age verification requirements without slowing down the onboarding process.
Online casinos already have to deal with criminals attempting to steal unprotected data. Worse yet, data can be leaked due to poor management and frequent turnover of staff. That’s why online casinos must implement appropriate controls aimed at protecting players from unnecessary risk.
1) Information Security Management System (ISMS)
An Information Security Management System (ISMS) is a set of procedures to systematically manage a company’s sensitive data. The goal of an ISMS is to reduce risk and ensure business continuity by preemptively limiting the impact of a security breach.
In most online gaming jurisdictions, information security requirements are based on the ISO/IEC 27001:2013 standard, which specifies the requirements for establishing, implementing, and improving an ISMS within the entity.
ISO/IEC 27001:2013 lies at the heart of an Information Security Management System, since its main focus lies on the integrity, availability and confidentiality of sensitive company information. At the same time it covers information backup, along with access control, disaster recovery, incident management procedures, the security of the software cycle and network security controls, and security in supplier relationships. ISMS helps gambling and betting operators minimize security breaches and cyber attacks while reducing the costs associated with keeping information safe. If online casinos are ISO/IEC 27001 certified, jurisdictions such as Colombia, Denmark, Great Britain, the Czech Republic, Greece, Portugal, Romania, Spain, Sweden and Switzerland waive certain security auditing requirements if the company decides to operate abroad.
ISO/IEC 27001:2013 lies at the heart of an Information Security Management System, since its main focus lies on the integrity, availability and confidentiality of sensitive company information. At the same time it covers information backup, along with access control, disaster recovery, incident management procedures, the security of the software cycle and network security controls, and security in supplier relationships. ISMS helps gambling and betting operators minimize security breaches and cyber attacks while reducing the costs associated with keeping information safe. If online casinos are ISO/IEC 27001 certified, jurisdictions such as Colombia, Denmark, Great Britain, the Czech Republic, Greece, Portugal, Romania, Spain, Sweden and Switzerland waive certain security auditing requirements if the company decides to operate abroad.
2) Data processing responsibilities
Falling under the scope of digital service providers, online casinos must comply with certain data protection principles. Therefore, online casinos have to ensure players understand that their data is going to be processed and, in the case of suspected illegality, potentially shared. To stay compliant, casinos have to acquire explicit consent from players before onboarding them. The same goes for acquiring consent from players prior to sending them any marketing materials—something that the gambling sector is often blamed for neglecting.
3) Data Security Standards
Because online casinos process sensitive customer information, such as credit/debit card details, they have to monitor for security breaches, analyze criminal attacks, and identify potential vulnerabilities. It’s essential to conduct penetration tests at least twice a year in order to identify weaknesses and blindspots. Remember that, if there is a security breach, online casinos may be liable for any resulting damages, depending on applicable data protection regulations.
Based on what we observe, online casinos shouldn’t expect regulations to loosen in the near future. On the contrary, more countries are seeking to develop a more tightly regulated online casino industry, with the aim of protecting vulnerable users from problem gambling. So the best move would be to stay on top of these shifting regulatory demands and be ready for whatever comes next.
8. Regulations around the globe
As gambling regulations get stricter, some businesses consider moving to more “tolerant” jurisdictions. Other businesses choose the opposite route, moving to more reputable regions to attract more customers.We’ve broken down several popular betting jurisdictions
Gambling is a great form of adult entertainment. It provides laughs, relaxation and the joys of victory. Sometimes, it also provides the agony of defeat and addiction in the worst cases. Before you start gambling anywhere, especially over the Internet, there is one indisputable fact that you should keep in your mind: the odds related to online casinos, are always in the house's favor. While the degree of the house's advantage may vary from one game to the next, the simple fact remains that casinos stay in business by winning over the long haul.
Of course, that doesn't mean you are without a "chance." That's why they are called "games of chance." There is always a chance you can defy the odds and come out a winner at the end of the day, in some cases, a big winner. For the sake of your sanity, we recommend that you approach gambling as a mode of entertainment for which you might have to pay a little money to enjoy, kind of like going to the movie theater. In some instances, you will come out a winner, making the time spent that much more enjoyable.
