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Does Regulation Affect Innovations in the Gambling Industry?


— March 26, 2020

Innovations in online gambling also raise questions about privacy concerns. The more digital options players have, the more personal data they may be required to give.


Attitudes towards gambling legislation seem to be relaxing more and more. For example, in the U.S., many states have recently taken steps to legalize online gambling. Other states now look set to follow the likes of Delaware, Nevada, and New Jersey. Meanwhile, countries like Japan and Morocco are looking at how gambling can become more accessible and are hoping to legalize gambling across all platforms. Countries in South America are looking to relax their gambling laws soon as well. But the more innovations occur, the more new-regulations will become required.

Types of Gambling Innovations

The digital age has opened up new possibilities for the gambling industry. For instance, online casinos, where you can play table, slot, and jackpot games, have become hugely popular in recent years, and some countries have already amended their gambling laws and regulations to accommodate online users. A wide range of gambling innovations are happening right now, such as concierge apps for real-life casinos, advanced mobile platforms, face recognition, and virtual reality games.

There are currently a few select online casinos that enable you to play slots and table games with wearable technology. Yes, VR games are no longer a thing of science fiction. And, with prices starting to fall, coupled with the development of technology, more people will be playing VR games sooner than you may think.

How Regulations Affect Innovations in the Gambling Industry

As VR gambling games continue to spread, laws and regulations need to keep up. And, VR technology raises some interesting questions about breaking the law. Take the example of the woman who, a few years ago, attempted to file a lawsuit after she was groped by a player in a virtual reality game. Because the VR headset replicates reality, the attempted groping caused the woman as much stress and anxiety as it would have in the real world. But, because there was no physical touching involved in the incident, the offender was unable to be prosecuted. As VR gambling games continue to develop, you can expect to see more nuanced laws coming into effect.

Woman using black VR headset; image by Hammer and Tusk, via Unsplash.com.
Woman using black VR headset; image by Hammer and Tusk, via Unsplash.com.

Players of VR and online gambling games may also become subject to many more terms and conditions in the future. So, just like social media platforms, online casino users could unknowingly give their rights away because they have not reviewed and understood what they are signing.

Innovations in online gambling also raise questions about privacy concerns. The more digital options players have, the more personal data they may be required to give. Countries around the world are currently considering implementing new laws and regulations concerning personal data. Many countries look set to follow the UK’s new General Data Protection Regulation, which strictly determines how and when personal data can be used.

Gambling regulations have already been positively used in many ways. For example, in 2016, regulators in Nevada adopted amendments that enabled companies to place beta-mode games on casino floors for months at a time. That has enabled game manufacturers to test their products on the Las Vegas Strip before rolling out the product.

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