The New York State Gaming Commission is mulling over a number of new regulations that will dramatically enhance the protection for sports bettors within the state. New York regulators are looking to protect bettors from developing gambling addiction, as well as to reduce access by underage individuals to the sports betting market.
If successfully proposed, licensed betting operators would no longer be permitted to use artificial intelligence to target and tailor betting offers. Operators would be required to identify players that are at risk and limit their direct marketing to them, as well as implement an official intervention program. Each operator would also be required to implement a system to automatically flag these players and trigger an intervention process based on certain behavioral indicators; such as excessive deposits, too many canceled withdrawals, and an unusually large increase in betting activity.
Governor Kathy Hochul said:
Mobile sports wagering is everywhere, enticing everyone including our youth to place bets without fully considering the consequences. We need strong regulatory safeguards to prevent those under 21 from gambling, keep artificial intelligence from preying on gamblers, and require sports wagering operators take real action if one of their customers is showing signs of gambling harm.
Regulators are also investigating the possibility of using biometric identification to help prevent underage gambling, as well as aid in account security via face recognition or fingerprints, in addition to creating stronger geolocation controls and imposing penalties on individuals who permit underage minors to access a sports betting site or a retail betting location.
NYSGC Chair Brian O’Dwyer said in a statement:
As Governor Hochul rightly highlighted: No other form of gambling has pervaded our consciousness like sports wagering, and impressionable kids are constantly exposed to the practice. Per her direction, we have identified additional ways to protect our youth, help those who need it at the point of crisis, and keep legalized, regulated gaming safe for all New Yorkers. We look forward to hearing from the public on these important proposals.
The draft regulations are currently out for public comment until 12 PM in mid-May, while New York puts player protection at the forefront of its burgeoning sports betting industry.
