Age of majority
The age of majority is the threshold of adulthood as recognised or declared in law. It is the moment when minors cease to be considered children and assume legal control over their persons, actions, and decisions, thus terminating the responsibilities of their parents or guardian over them.
Betting
Staking or wagering money, or something else of value on an uncertain event, such as a sportsbook match, race or suchlike.
Bingo
A game of chance where players pick numbers on a card, or an electronic representation of a card Numbers are then drawn at random, with the winner being the person who first has all their numbers drawn.
Casino
A place where casino games such as slot machines, non-card table games (for example roulette) and card games (for example poker) are available. Also, see land-based casino and online casino definitions.
Casino games outside casinos
Casino style games, such as poker, roulette and blackjack, slot machines played in venues where it is permissible to participate in casino games, but which are not classified as casinos in legislation. An example is a hotel which holds poker tournaments. In this report, slot machines are excluded from this definition.
Cheating
Is a type of illegal gambling activity in which a gambling provider or player undertakes actions which are prohibited by gambling regulations. Cheating seeks to gain an unfair advantage. Cheating can include, using a rigged roulette wheel by a gambling provider, or players colluding or card marking.
Daily fantasy sports
A sub-category of fantasy sports/manager games where contests are based on performances over shorter period of time than, for instance, an entire sports season. These contests are usually held daily, or occasionally weekly.
Digital currencies
Also known as cryptocurrencies, digital currencies are underpinned by blockchain or distributed ledger technology to form a new type of payments system which is not controlled by a central bank or other centralized authority. Bitcoin betting was the first and remains the most well-known digital currency.
eSports
eSports, also known as esports or e-sports, are competitive video game matches between players or teams. Popular eSports include Call of Duty, Counter Strike and the FIFA Ultimate Team series.
Fantasy sports
manager games is a type of online game where participants assemble imaginary or virtual teams of real players of a professional sport. These teams compete based on the statistical performance of those participants’ players in actual games, or an entire playing season. Performance is converted into points that are compiled and totalled according to the team selected by the fantasy team’s manager. Increasingly, opportunities exist to bet on the performance of these teams.
Foreign investment
The flow of capital from an entity based in one country, to an entity based in another country.
Fraud
Conduct intended to deceive, usually for financial or personal gain.
Gambling addiction
Also known as gambling disorder, compulsive gambling or pathological gambling. The behaviour is a registered addiction in the Diagnostic and Statistical Manual of Mental Disorders (DSM-5).
Illegal gambling
Gambling which is unlicensed or prohibited by law.
Internet Protocol (IP) / website blocking
A restrictive tool to limit the supply of illegal online gambling. It can involve internet protocol (IP) blocking or domain name system (DNS) filtering. IP blocking prevents a connection between a server/website and one or more IP addresses. DNS filtering is where a system filters a predefined list of internet addresses. So-called ‘black lists’ or ‘block lists’ are usually required to indicate which websites to restrict access to.
Jurisdiction
In this report jurisdiction refers to a geographic area which has competence to regulate and enforce gambling laws and refers to an entity registered with IAGR.
Land-based casino
Land-based venues where casino games such as slot machines, non-card table games (for example roulette) and card games (for example poker) are available. Land-based casinos range from small stand-alone establishments, to hotel associated premises, to large-scale international resorts which have a range of entertainment, retail, accommodation and business facilities. Some jurisdictions also licence sea-based casinos (eg casinos on cruise ships) under this definition.
License models
The type of scheme in place to award gambling licences. Licence models can range from an unlimited commercial model in which there are no limits on licence numbers, to more restrictive models based on public ownership requirements (state monopolies) or the requirement to be not-for-profit organisations (charitable licence models).
Tribal-owned and run casinos in North America are considered in this report to be a type of non-private licence model.
Lotteries
All forms of games based upon the drawing of lots, including scratch-cards, with a pre-defined winnings pool from which prizes are awarded.
Match-fixing
Also known as the manipulation of sports competitions, is a type of corruption which threatens the integrity of sports in which sports results are manipulated. Match-fixing can be by an intentional arrangement, act or omission which is aimed to improperly alter the result or course of a sports competition.
Money-laundering
Is the processing of proceeds of crime to disguise their illegal origin. Money-laundering involves the placement of proceeds of crime into the financial system, the layering of criminal proceeds to convert or distance them from an illegal source, and the integration of criminal proceeds into the legitimate economy.
Online casinos
Also known as internet casinos or remote casinos, online casinos are internet-based platforms on which players can access casino-style games. Online casinos can host games generated by software, such as simulated slot machines; or live casino games, which are streamed from studios in which real gambling equipment, such as roulette wheels, are used to facilitate the online gambling.
Operator
A gambling operator typically describes an entity licensed to provide gambling products and services. Operators may be state/public, private (ie commercial) businesses or charities.
Payment blocking
A restrictive tool to limit the supply of illegal online gambling by imposing restrictions on payment service providers or financial institutions in facilitating the deposit or withdrawal of funds to and from illegal online gambling providers.
Post-tax revenue distributions
The destination of gambling revenues once gambling taxation has been levied.
Problem gambling
Problem gambling is gambling behaviour which causes distress or problems. It is usually characterised by a difficulty in limiting money or time spent gambling which has adverse consequences on the gambler, their family or community.
Return to Player
The percentage of money which some games of chance, such as slot machines, are required to return to players as winnings over time.
Self-exclusion
Self-exclusion, or voluntary exclusion, usually refers to a facility enacted by some gambling regulators, trade bodies and/or individual operators as a way of addressing the issue of problem gambling. In areas that operate selfexclusion schemes, an individual (or in some cases other persons on behalf of an individual) can request that their name be added to a self-exclusion scheme. The person in question would then be excluded from gambling.
Skins betting
Is the betting on the outcome of eSports or other forms of wagering or gambling using digital commodities or items (such as accessories or ‘skins’ for in-game weapons) which can be won or purchased within the confines of computer games. These so-called ‘skins’ can therefore be considered a form of virtual currency to wager with.
Slot machines
Slot machines are typically defined as machines that are designed or adapted for use by individuals to gamble.
Also known electronic gaming machines, fruit machines or jackpot machines, most slot machines are either of the reel-based type, or are computer-based. Cash or credits are inserted into the machine and buttons or a lever are used to place bets. A random number generator determines the position of the symbols on the machine’s play screen, which correlate to wins or losses for bets placed.
Social gaming
Are games that people play over the internet, often via mobile phones, and which are built on social networks.
Some are focused on looking like gambling without the characteristics that would make them gambling (real money stakes or a prize of money). Some offer real money prizes, or the ability to trade virtual items. However, in such cases, another element which would qualify the game as gambling is absent (such as the element of chance).
Sports integrity
Sports integrity refers to the process of ensuring sporting competitions are honest and genuine in their results and dealings. Sports integrity seeks to combat match-fixing.
Virtual currencies
Are generally issued and controlled by their creators, and used and accepted among the members of a specific virtual community or game. Where they can be exchanged for cash or traded for items of value, they are normally considered money or money’s worth.
The Future of Online Gambling
In recent years, the gambling industry in many jurisdictions has been marked by innovation and change; typically driven by developments in technology, including the advent of online channels. The survey asked IAGR members to rate the following issues which have emerged as challenges for regulators: betting on eSports, skins betting, fantasy sports games and social gaming.
Betting on eSports.
Betting on eSports is wagering on the playing of computer games, which can range from play by two individuals to professional competitions.
Skins betting.
Skins betting refers to betting on the outcome of eSports or other forms of wagering or gambling using digital commodities or items (such as accessories or ‘skins’ for in-game weapons) which can be won or purchased within the confines of computer games.
These so-called ‘skins’ can therefore be considered a form of virtual currency to wager with.
Fantasy sports/manager games.
A fantasy sport is a type of online game where participants assemble imaginary or virtual teams of real players of a professional sport.
These teams compete based on the statistical performance of those players’ players in actual games or an entire playing season. Performance is converted into points that are compiled and totalled according to the team selected by the fantasy team’s manager. Increasingly, opportunities exist to bet on the performance of these teams. A sub-category of fantasy sports is known as daily fantasy sports (DFS). DFS contests are based on performances over shorter period of time than for instance, an entire sports season. DFS first came to prominence in the United States, following the passing of the Unlawful Internet Gambling Enforcement Act of 2006, as that act expressly excluded fantasy sports participation from the definition of a ‘bet or wager’.
Social gaming (with and without real money prizes).
Social games, at the simplest level, are games that people play over the internet, often via mobile phones, and which are built on social networks. Some are focused on looking like gambling (eg free to play electronic roulette), and allow the player to win additional spins or credit or tokens, without the characteristics that would make them gambling (real money stakes or a prize of money). Some do offer real money prizes, or the ability to trade virtual items (eg points credited) as a form of digital currency, however, in such cases, another element which would qualify the game as gambling is absent (such as the element of chance).
Of these trends, the most pressing challenge reported by regulators is betting on eSports.
Other issues.
Other concerns highlighted by regulators were:Digital currencies. Digital currencies, or cryptocurrencies are underpinned by blockchain/ distributed ledger technology to form a new type of payments system which is not controlled by a central bank or other centralised authority. Digital currencies can be traded or used as a means to facilitate payments and are therefore usually considered money or money’s worth.
Bitcoin was the first and remains the most well-known of over 1,500 cryptocurrencies.
Virtual currencies. By contrast, virtual currencies are generally issued and controlled by their creators, and used and accepted among the members of a specific virtual community or game (eg a social casino). Where they can be exchanged for cash or traded for items of value, they are normally considered money or money’s worth.
Miscellaneous. Some jurisdictions also highlighted concerns over:
skills-based gaming (games which incorporate a skill based element, rather than chance, often with variable pay-out percentages),
proxy betting (where a person outside of a gambling venue, normally a casino, gives betting instructions to an agent inside),
cross-border marketing of online gambling services and products, and
general challenges posed in regulating online sales channels (whether they are permitted or not).