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Canada

PASPA – Five years on – did any initial predictions come true or not?

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With the fifth anniversary of the PASPA repeal on May 14th, we caught up with Compliable’s Chief Regulatory Officer, Justin Stempeck, who examines what was predicted in May 2018 and how accurate those initial guesses have proved to be.

“National regulation on sports betting”

When PASPA was overturned, the Supreme Court explicitly placed the power to regulate gaming in the hands of the states. It would be extraordinarily unlikely for our highest court to conclude that betting is not a federal issue, then have legislators introduce another national law, yet there were calls for this strategy from numerous stakeholders in 2018.

While the different approaches of each state were less than ideal, the industry was able to adapt and continue to advance in each new jurisdiction that has legalized.

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Despite the ‘patchwork quilt’ aspect of regulation there are far more commonalities than differences. Regulators have made some efforts to avoid reinventing the wheel, but it would be great to see wider momentum. As a former regulator, I understand that each state has its own unique pressures and competing interests to juggle, but ultimately, a push towards uniformity will be a success for everyone in the absence of national regulation of the sector.

“National Collegiate Athletic Association’s sports integrity concerns”

Betting on collegiate sports has always occurred but it took place offshore and in illegal markets before the repeal of PASPA. The expansion of sports betting includes official regulation, taxation and supervision of the activity, which can only be a good thing. A number of regulated entities are now actively ensuring there are no discrepancies in game performance and there is a vested interest in guaranteeing that everything is above board. With some states today allowing betting on collegiate sports, people have become more comfortable with the idea.

The NCAA continues to officially oppose sports betting, yet appointed former Massachusetts governor, Charlie Baker as its president this past March. Notably, Governor Baker was a proponent of legalized sports betting in Massachusetts and ultimately signed it into law.  The combination of a sports betting friendly president and a lack of major integrity scandals since legalization may shift their official stance in the future.

“Increased risk of match-fixing”

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As of yet, there have been no high-profile match-fixing scandals despite the existential threat and this is in large a testament to the leagues’ enforcement of its own integrity as well as the plethora of third-party monitoring services now available.

A match-fixing scandal would have a significant impact on the industry as a lot of bettors would likely be lost due to a lack of trust. With sports, the thrill and excitement lie in the possibility that anything can happen and underdogs can become winners, if that narrative is shown to be fiction, the reputational damage would be sizeable. The ripple effect of such an event would carry on for years as critics of sports betting could use a match-fixing scandal to argue against legalization.

“Responsible Gambling – a negative impact”

The expansion of betting and gaming is naturally going to lead to an increase in problem gaming. There is still a lot of data to collect and synthesize, particularly given that many regulated jurisdictions have only been up and running between one and three years.

Operators have started to take a focused view of responsible gaming and have dedicated internal teams, as well as funding research. Failure here is another existential threat to the industry and a big scandal could do a huge amount of damage to a nascent industry.

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I see responsible gambling being a cutting-edge issue as it is so critically important so it will only become more and more relevant moving forward.

“32 states to enact sports-gambling legislation by the end of 2023”

This was a very accurate prediction as gambling is now legal in 35 states. Expansion has slowed down a bit compared with the great momentum we saw between 2018-2020, but we will see additional states roll out legislation in the short term. Some states will never legalize of course, but eventually, we will have 80-90% of the US allowing sports betting.

California, Texas and Florida are the three remaining big states that everyone is now eagerly waiting for, offering huge potential due to their respective market size.

“International betting operators prohibited free access to the US”

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No rules or regulations have been implemented to specifically keep out remote operators or benefit local ones except those operating in black or grey markets. The US has been an open market for operators from Europe, but I have spoken to many companies who are finding the different rules across the regulated states extremely confusing and resource draining. The US is the equivalent of 50 countries and there is very little federal law that applies to gambling, making it difficult to operate if you are not a company with a dedicated compliance team or efficient tools to fill that need.

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Canada

ComeOn Group adds sportsbook to its offering in Ontario

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ComeOn Group announced a significant milestone in its sportsbook expansion journey with the addition of sportsbook to their offering in Ontario following the successful acquisition of the required permits. This addition represents a strategic advancement in the Groups sportsbook growth trajectory where they are set to double its sportsbook business in the coming years.

ComeOn Group is one of 51 active operators in Ontario. The Ontario market has experienced robust growth since its launch, reaching C$6.7 billion in revenue in 2023.* By 2029, the market is forecasted to grow by a total of 29%, with 2024 expected to close with a 20% increase.

ComeOn keeps investing in its sportsbook business acceleration that is powered by its proprietary sportsbook platform and in-house risk management and trading team. As a multi product vertical operator, ComeOn is striving to give its customer base a safe and exciting entertainment destination and this approach is now expanded to their Ontario audience.

Juergen Reutter, Chief Executive Officer at ComeOn Group, said: “We are very excited about the opportunities this new milestone opens up for us. As a casino-led operator it represents a key part of our sportsbook strategy to double our business in the coming years. Like in any of our other markets, we are striving for a differentiated sportsbook entertainment experience that is powered by our in-house technology. Our goal is to deliver top-tier entertainment to our players while fostering safe and innovative gaming experiences.”

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*Source – H2GC H2 Ontario Data 25.10.2024 (excl. Lottery)

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BCLC

INTRALOT Announces New Project with the British Columbia Lottery Corporation for Online Lottery Platform

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INTRALOT S.A. has announced the undertaking of a new project between the British Columbia Lottery Corporation (BCLC), the sole lottery operator for the Government of British Columbia in Canada, and INTRALOT Inc., its US subsidiary, for the provision of an online lottery platform. The project also includes the digitalization of the existing land-based network.

The solution will be based on the Player X platform, part of the Lotos X ecosystem, and adds to the company’s overall partnership with BCLC, which has been extended until 2028.

INTRALOT is a leading player in a changing world of gaming. With significant experience in looking forward and anticipating emerging trends, the company provides future-proof solutions to regulated lottery and gaming operators around the world.

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Canada

Relax Gaming joins forces with PointsBet to strengthen footprint in Ontario

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Relax Gaming, the iGaming aggregator and supplier of unique content, has significantly enhanced its presence in the Ontario market through an agreement with leading Canadian operator, PointsBet.

This partnership reinforces Relax Gaming’s aim to become a standout provider across North America, having already gained early success in Ontario. Relax became one of the first suppliers to deliver content to the region’s players in March 2022, debuting with over 120 games across multiple operators.

PointsBet pride themselves as one of Canada’s leading operators offering unmatched speed, ease of use, and a comprehensive array of pre-game and in-play sports betting options. This is complemented by a top-tier online casino which will now be boosted with the integration of Relax’s portfolio of slots and live dealer options.

With its authentic Canadian approach, PointsBet prioritises technology that minimises external dependencies to maintain control over its platform and has a commitment to responsible gambling best practices, ensuring a safe and secure environment for all players.

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Martin Stålros, CEO at Relax Gaming, said: “Since we launched in Ontario we have enjoyed tremendous success, with our content hitting the sweet spot for the broad range of players in the Canadian province. This partnership with PointsBet will strengthen our presence in the market as the region’s leading operator integrates our rich content portfolio which will engage its player base.”

Scott Vanderwel, Chief Executive Officer at PointsBet, added: “Relax Gaming has established a strong reputation across North America and in Ontario in particular. The impressive range of content that will be integrated into our platform will increase engagement within our online platform and we are delighted to be able to provide more immersive experiences to our audiences.”

Established as one of the industry’s leading B2B suppliers, Relax Gaming was awarded GGA’s Product Launch of the Year in February 2023 for Dream Drop Jackpots. Money Train 3 names the 2023 CasinoBeats Game Developer Awards amongst its 6 Slot of the Year titles, while the brand also won the award for Skill Games Supplier at the 2023 EGR B2B Awards along with the Innovation in Mobile award at the 2023 SBC Awards.

Relax Gaming provides more than 4,000 online casino games, from its high-performing proprietary slots to a significant, varied library of content from hand-picked third-party studios via its partnership programmes.

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