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Compliance Updates

ASA Bans 7 Crypto Ads in the UK

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UK advertisements watchdog has banned seven cryptocurrency ads by categorising them as “red-alert priority”. The banned ads include ones by Coinbase and Papa Johns.

The Advertising Standards Authority (ASA) said its rulings follow proactive monitoring of cryptoasset ads, and form part of a wider project that will eventually shape specific guidance around advertising these products in 2022.

It added that consumers need to know about the risks of investing in cryptoassets and companies should make sure that their ads aren’t misleading or socially irresponsible, and don’t take advantage of consumers’ lack of awareness around these “complex and volatile products”.

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A Twitter bio for a cryptocurrency trading platform Coinburp, cryptocurrency promotion by Papa John’s and a digital poster for online cryptocurrency exchange Payward were all banned, mainly for “irresponsibly taking advantage of consumers’ inexperience.”

The Coinburp ad also failed to illustrate the risk of the investment, ASA said.

A YouTube video promoting Exmo Exchange, an in-app ad for Luno Money, a paid-for Facebook ad for Coinbase Europe, along with an ad for eToro were also among the offenders.

“We’ll continue to review cryptoasset ads over the next few months, not just for cryptocurrencies but also for nonfunglible tokens and fan tokens, and this will feed into our future enforcement work and guidance,” the authority said.

“Cryptoassets are a red-alert priority issue for us, so we’re conducting proactive monitoring and interventions where we find issues,” said Miles Lockwood, director of complaints and investigations.

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“Our rulings published today and over the next few weeks will shape follow-up enforcement work in the new year to bring all cryptoassets ads into line with our expectations and will form the basis of updated guidance.”

“We won’t hesitate to take action against ads that break our rules. We encourage anyone with any concerns about ads they’ve seen to get in touch.”

Elizabeth Rayment, director at Your Mind Media, said the ban of the crypto-related ads by the UK watchdog “comes as regulators move to set up rules around the crypto industry in general, be it trading or advertising to protect retail users”.

“While cryptocurrencies have gained significant popularity recently they are still unknown to many consumers. The understanding of cryptocurrencies, their financial impact and the risk they involve remains limited among the general public and as such, advertising to them can be seen as concerning.”

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BMM Testlabs

BMM Testlabs Earns Accreditation in Maranhão, Brazil To Test Fixed Odds Betting Systems and Lottery Platforms

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BMM Testlabs, the world’s original gaming test lab renowned for exceptional product compliance and testing services, today announced its official accreditation to test systems and games for the Brazilian state of Maranhão.

This new accreditation allows BMM Testlabs to test fixed-odds betting systems and lottery platforms for the Maranhão market. The Company is now authorized in every Brazilian jurisdiction that has regulated at state-level online fixed-odds betting.

The Maranhão accreditation, issued by Maranhão Parcerias SA (MAPA/LOTEMA)authorizes BMM Testlabs to work with lottery operators in the state to ensure compliance and quality standards for the gaming and lottery industry through end-to-end product compliance testing for Maranhão’s standards.

Additionally, Brazil’s Secretaria de Prêmios e Apostas has federally authorized BMM Testlabs to test betting systems, live gaming studios, and online games used by fixed-odds betting operators.

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BMM Testlabs’ Marzia Turrini, President of iGaming & Cybersecurity, said, “We are excited and deeply honored that the State of Maranhão’s official lottery has entrusted BMM Testlabs with the responsibility of testing products for their new online fixed odds betting program, knowing that we’ll do so with the highest levels of impartiality, technical expertise, transparency, efficiency, and, most of all, integrity.”

With the Maranhão accreditation, BMM Testlabs solidifies its position as the leading independent test lab in Brazil. BMM Testlabs is accredited in all jurisdictions that have authorized fixed-odds betting for online gaming and sports betting.

BMM Testlabs brings 44 years of global leadership in product compliance across regulated markets and is trusted by games, systems, and lottery manufacturers, suppliers, developers, and regulators worldwide.

In addition to product compliance testing, BMM Testlabs provides end-to-end cybersecurity protection solutions. Through its sister company, RG24seven Virtual Training, BMM also offers compliance-grade virtual training on responsible gaming, anti-money laundering, and other important topics – presented by industry experts and available in English, Spanish, and Portuguese.

The post BMM Testlabs Earns Accreditation in Maranhão, Brazil To Test Fixed Odds Betting Systems and Lottery Platforms appeared first on Gaming and Gambling Industry in the Americas.

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Compliance Updates

UKGC Issues Urgent Warning on Unlicensed Platforms and Operator Responsibility

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Tackling unlicensed gambling is central to the UK Gambling Commission’s objective of preventing gambling from being a source of crime and disrupting this illegal activity at scale.

The Commission has become aware of casino games supplied by licensed operators appearing on unlicensed websites available to the British consumers illegally.

Those markets are unregulated, and do not provide the same safeguards that are required of operators. They often target vulnerable customers, such as those who have self-excluded via the GAMSTOP scheme. The websites may have inadequate social responsibility and Anti-Money Laundering (AML) controls in place and leave customers open to risks of fraud, data privacy issues and unfair practices. It is therefore imperative that the Commission, in collaboration with the gambling industry and key partners take all possible steps to mitigate risk to GB consumers.

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Operators providing Business-to-Business (B2B) gaming solutions including live games, live casinos and slots (B2B operators) can help the Commission tackle the illegal market by reviewing their own practices. The Commission has found that, in some instances, third party resellers are distributing games supplied by operators to the illegal market, often in breach of their contractual obligations. Commission licensees may have been negligent in allowing them to do so and in the process, place their own licence at risk.

The Commission advised operators to actively monitor their business relationships to ensure any partners are not participating in offering illegal gambling facilities to the GB market, and where identified, terminating relationships where non-compliance has occurred.

It is critical that licensees also actively engage with the Commission where such activity is identified, setting out the preventative measures adopted to ensure such activity ceases immediately. Actively notifying the Commission and setting out a clear plan to mitigate the issue at pace is a minimum requirement.

The Commission is adopting a proactive approach to this matter and may decide at any point to conduct test purchasing activity to evidence potential breaches.

The post UKGC Issues Urgent Warning on Unlicensed Platforms and Operator Responsibility appeared first on European Gaming Industry News.

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Compliance Updates

The Isle of Man Gambling Supervision Commission Appoints Mark Rutherford as its New Chief Executive Officer

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The Isle of Man Gambling Supervision Commission has confirmed the appointment of Mark Rutherford as its new Chief Executive Officer.

His role is to oversee and maintain the Isle of Man’s regulatory standards for Gambling and Medicinal Cannabis and ensure the integrity, transparency and effectiveness of the Island’s regulatory framework, safeguarding both the reputation of the sector and the protection of consumers.

Having worked within the Isle of Man GSC for 15 years, Mr Rutherford’s experience spans multiple roles within the Island’s public service, including having served in the Income Tax Division before joining the GSC as the Director of Policy and Legislation.

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Acting chair of the GSC, David Butterworth, said: “I am pleased to announce the appointment of Mark as Chief Executive of the GSC. His transition into this role comes at a crucial time, ensuring we uphold the highest standards of transparency and protection while adapting to the sector’s evolving challenges.

“With his extensive experience and clear vision for improvement, Mark is a valuable asset who is committed to strengthening our regulatory approach to meet the Island’s needs and those of the sectors it represents well into the future.”

Mr Rutherford said: “I am grateful to the GSC Board for their confidence in me as CEO. I have lived and worked in the Isle of Man in both private and public sectors and my role as a public servant has been dedicated to serving the Isle of Man. I am committed to ensuring the effective, transparent and secure regulation of gambling and the production of medicinal cannabis here in the Island.

“There is an important opportunity to strengthen the Isle of Man’s defences against financial crime and I am embarking on an ambitious programme of reform to reinforce the powers we have to supervise and regulate the gambling sector. I am also working closely with partner agencies to understand the emerging threat that faces the Island’s gambling sector.

“It is imperative that we continue to review and adapt our approach to stay aligned with evolving challenges, including the emerging risks and typologies arising from particular markets. I shall be examining those threats closely to ensure that we are alert to them and manage the risk.

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“I will also be further expanding our international cooperation and domestic inter-agency working and the GSC will continue to play its part in the network of authorities that detect and disrupt criminal activity in the Island. It is vital that we maintain alignment with the international standards’ requirements for combatting financial crime as they continue to be evolve.

“Over the last 25 years the Island has built a global reputation as a high-quality regulatory regime for eGaming and we have seen the sector grow and diversify. I am keen that we support responsible growth in this important sector by licensing quality operators who share our values of safety and fairness.”

The post The Isle of Man Gambling Supervision Commission Appoints Mark Rutherford as its New Chief Executive Officer appeared first on European Gaming Industry News.

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