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Federal Oversight Needed to Address Evolving Gambling Industry
Industry leaders speaking at an IC360 webinar asked for federal assistance in addressing responsible gambling challenges and regulatory gaps caused by emerging technologies
Integrity and compliance specialist formed through the merger between US Integrity and Odds On Compliance, Integrity Compliance 360 (IC360), hosted a recent webinar where stakeholders emphasized the need for a cohesive federal approach to address the constantly evolving online gambling challenges.
Speakers also highlighted the rapid growth of in-person and online gambling, urging federal authorities to implement stronger tools for responsible gambling and establish clearer regulations for emerging gaming platforms.
The Need for a National Digital Self-Exclusion List
Since 2018, nearly 40 states have legalized sports betting, and seven have allowed real-money online casinos.
With the industry handling billions in wagers annually and investing heavily in advertising, concerns about problem gambling are intensifying.
IC360 panelists noted that although the national rate of problem gambling remains in the low single digits, expanded access to gambling increases the number of individuals affected.
“Legislatively, something’s going to have to be done because every year or two, something new comes along that you’re going to have to continue to deal with,” said Matt Heap, managing director of ProhiBet, a company that offers “the sports betting industry’s first and only prohibited bettor solution.”
“The fact of the matter is it moves so fast, a regulated government entity cannot keep up with that at the speed that it changes and new things,” Heap added.
The MD went on to say that, provided the industry will not have a national self-exclusion program “sometime in the near future,” they will deal with a larger number of people “falling through the cracks” with no help from the tools “they desperately need” to recover.
“It’s Insane That We’re Still Doing Things Like That”
Heap also criticized the current state-by-state approach, which allows problem gamblers to circumvent restrictions by traveling to neighboring states.
“It’s insane that we’re still doing things like that,” Heap commented.
The New Jersey Division of Gaming Enforcement’s former director, Dave Rebuck, explained that the Garden State has adopted a comprehensive strategy to address gambling-related disorders.
However, he highlighted that federal involvement is crucial to supplement these efforts.
Panelists also called for federal action to regulate innovative gambling formats that state governments are unable to address effectively.
Examples included sweepstakes and social casinos, as well as prediction markets such as Kalshi, which offers contracts on political outcomes, and digital trading platforms like Crypto.com, which enables betting on Super Bowl futures and recently introduced additional NFL prediction markets.
These platforms exploit loopholes in existing federal laws, creating what Heap described as a growing issue that demands legislative attention.
“It’s an innovation that’s turning into a problem that has to be addressed with legislation,” he said.
While panelists broadly supported federal intervention in areas like responsible gambling, they remained opposed to sweeping federal controls on advertising and licensing, advocating instead for targeted policies that address unregulated online offerings.
Last May, IC360 launched Alert360, a platform meant to give players, coaches, and officials a simplified way to report harassment without fear of retaliation.
During the same month, the company also unveiled a strategic partnership with Radar, a recognized leader in geolocation technology.
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After finishing her master's in publishing and writing, Melanie began her career as an online editor for a large gaming blog and has now transitioned over towards the iGaming industry. She helps to ensure that our news pieces are written to the highest standard possible under the guidance of senior management.
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