US lawmakers want to ban sports betting, Kalshi to offer polticial bets, Evolution buys new studio

Much is happening once again, and the United States is focus on most of the recent developments. For starters, a pair of lawmakers in the country have pitched the SAFE Bet Act, which is an ambitious and widespan legislation that seeks to first ban sports gambling in the country in its current form.

Senator Richard Blumenthal and Representative Paul Tonko have argued that current efforts to regulate the industry are falling short. Instead of leaving the buck to individual states, the onus should be on the US Department of Justice and the US Attorney’ General’s Office to regulate the industry.

The SAFE Bet Act is unlikely to pass in its current form, as it would significantly damage state economies. However, certain aspects of it, that pertain to protecting consumers, could be pursued by a broader coalition if the lawmakers muster sufficient support.

The Riverside Hotel Resort & Casino suffered a cyberattack back in July 2024, which was brought to state authorities’ attention in Nevada only recently. The property was impacted by a cyberattack which compromised the personal information of 55,000 customers in its database.

To make matters worse for Riverside, a lawsuit has been filed in Nevada, blaming the property for offering insufficient training to its staff in such matters. Cybersecurity is a significant issue for casinos, as even companies such as Caesars Entertainment and MGM Resorts International have been compromised.

Kalshi has won a major reprieve in its efforts to introduce political betting, or as the platform refers to them, prediction markets. Kalshi has been suing with the Commodity Futures Trading Commission (CFTC) over the regulator’s lack of clarity and continuous assault of prediction markets featured by the platform.

After the CFTC sought to block the listing of prediction markets on US elections for two weeks, US District Judge Jia Cobb sided with the company, allowing it to start listing its markets. The CFTC will explore further legal prerequisites to block the company from offering those markets in the country, but for the time Kalshi will continue.

Responsible gambling

The Grattan Institute in Australia has suggested a AU$500 mandatory loss limit for gambling, which is seen as the cut-off threshold to provide players with the best level of protection.

In the meantime, the Responsible Online Gaming Association has launched a new responsible gambling program targeting colleges, with the campaign focusing on equipping college students, rather than student-athletes, with financial literacy skills as well as a stronger understanding of gambling.

In related news, Mindway AI, an RG specialist, and Burendo, a tech platform, have teamed up to strengthen their joint offering which will provide partner operators with cutting-edge industry tech that focuses heavily on safer gambling practices.

Business & investment

Evolution has acquired Arcadia Game Solutions for €2.5m, marking the third M&A deal for the company this year, after Evolution bought out Galaxy Gaming and Livespins. The purchase further strengthens Evolution’s reach in the innovative part of the iGaming and gambling experience.

Sega Sammy Creation, a Sega Holdings Inc. subsidiary, has received the go-ahead from the Nevada Gambling Control Board to proceed with the acquisition of GAN Limited which was announced in November 2023.

The deal now needs to receive approval from the Nevada Gaming Commission due on September 26. Sega Sammy Creation has vowed to rectify any structural and financial problems that regulators fear GAN may have.

Wynn Resorts has raised private debt worth $800m to help strap the company’s finances, recovering previously issued bonds, while also mustering the capital needed to settle a record enforcement action by the US Department of Justice, which will see the company pay $130m.

Meanwhile, Entain has reported that it maintains its growth projections in the H2 2024, as part of its comprehensive financial reporting. Online net gaming revenue has been steadily growing, the company reported.

The voice of the industry

This week we had the opportunity to catch up with a crop of industry insiders. We had the opportunity to chat with Jody Bechtold, the President of the International Gambling Counselor Certification Board, who spoke about the increasing realization that to address problem gambling and gambling-related harm, people who work with patients ought to undergo a rigorous training and certification process.

We also hosted an opinion piece by EvenBet Gaming CEO Dmitry Starostenkov who spoke in high terms of the iGaming market in the Netherlands and explained why the market continues to appeal to outsiders and established insiders even if the regulatory climate is toughening. His insightful data-driven analysis is worth reading in its entirety here.

Not least, we were excited to host BOS Secretary General Gustaf Hoffstedt who spoke of the changing gambling landscape in Sweden, with the land-based sector coming under assault, as the interactive gambling market forges ahead. Can the brick-and-mortar sector be revived? Perhaps, but if only concentrated effort is made. Read Hoffstedt’s opinion on the matter here.

Image credit: Casino Guru News