Discussions at the recent National Council on Problem Gambling’s National Conference centered on the expansion of gambling and iGaming throughout the nation, exploring their potential impact on young people and problem gamblers, which aligns with the ongoing discussions surrounding the growth of U.S. sports betting and its potential societal consequences.
Gaming Expansion Worries Regulators
There is a cause and effect for everything. Those states that have approved and subsequently launched online sports betting and iGaming are all aware that with the millions upon millions of tax dollars gained, there will be some collateral damage in the form of problem gambling for a small percentage of the citizens they serve.
Nonetheless, there are plenty of legal products and services that can be used and abused by a certain segment of the population, yet, we don’t outlaw alcohol – because we know that worked out – nor cigarettes, cigars, or even marijuana, all of which are readily available for sale.
On the other hand, mass gambling is a relatively new phenomenon in the U.S. with 34 states and counting currently offering it to their citizens via retail sportsbooks and online sports betting platforms. And because it has been so successful, more and more states are regulating and taxing it.
Yet, iGaming, which is online casino table games and slots, is currently active in only six states; Connecticut, Michigan, New Jersey, Delaware, Pennsylvania, and West Virginia. However, more states are exploring it as another revenue source while others like Rhode Island have already approved it, and is expected to launch in 2024.
Gaming’s Future Discussed
David Rebuck, director of the New Jersey Division of Gaming Enforcement, attended the recent National Council on Problem Gambling’s National Conference and stated, “I think the real issue that the gaming world is looking at [is] what’s the future of gambling?”
“I have no idea, other than to tell you it’s coming,” Rebuck added.
Amanda Blackford, the director of operations and problem gambling services with the Ohio Casino Control Commission, echoed Rebuck’s sentiments and said, “We’re gonna see more iGaming. It’s gonna happen. We all are anticipating it happening. I think that’s one of the reasons why more market research is needed.”
More Information Needed
As regulators continue to tackle the issue of problem gambling related to the proliferation of retail and online gaming, more research will be undertaken and the data collected will assist states with how to diminish the deleterious impact sports betting and iGaming may have on certain members of society.
Most states have a designated amount of money earmarked for problem gambling and counseling services which comes directly from sports betting and iGaming revenue.
But as more information is gathered, states will be able to understand how to make the market safer and more secure for those who would be most susceptible. Advertising limitations are already in place in several markets and substantial fines have been meted out to those operators violating those standards.
Rhode Island iGaming Approval Spurs Debate
As stated above, Rhode Island is the most recent state to approve iGaming and the legislation was signed into law by Governor Daniel McKee with a launch anticipated for March 1st, 2024.
Yet, not everyone is a fan and one Rhode Island lawmaker, Rep. Teresa Tanzi, had this to say when she questioned the wisdom of legalizing online casino gaming, “Your wife or husband could be sitting next to you on the couch, and your husband or wife could be gambling away your house, your savings, your credit.”
Yet, the tax money generated is the carrot dangling at the end of the stick which is why so many states have been so quick to embrace a pastime that has finally shed its undeserved stigma. And with the unbridled success in virtually every market in which it has launched, online gambling is only getting bigger and spreading wider.
But groups like the National Council on Problem Gambling will continue to share its data with regulators throughout the country so they can craft their own rules that will mitigate the negative societal impact gambling can cause on a narrow segment of the population.
Calculators
