sports gambling: presentation title · 2019-12-16 · book – an establishment that accepts bets...
TRANSCRIPT
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Presentation TitleDatePresenter Name, TitleUnit/Division
Sports Gambling:Who is licensed & regulated?September 12, 2019Tina Griffin, Assistant DirectorBrian Considine, Legal & Legislative Manager
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Book – An establishment that accepts bets on the outcome of sporting events.Future – Odds that are posted well in advance on the winner of major eventsEsports - a multiplayer video game played competitively for in-person and online spectators.Geo-fence - a virtual geographic boundary, defined by GPS or RFID technology, that enables software to trigger a response when a mobile device enters or leaves a particular area.
2WASHINGTON STATE GAMBLING COMMISSION
Sports Betting Terms
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Handle – The total amount of bets taken.Hold – The percentage the house wins.Juice/Vig – The bookmaker’s commission, most commonly the 11 to 10 bettors lay on straight point spread wagers.Kiosk – Self-service electronic devices that facilitate wagering.In-play wagering - Opportunity to place bets during a sporting event
3WASHINGTON STATE GAMBLING COMMISSION
Sports Betting Terms
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4WASHINGTON STATE GAMBLING COMMISSION
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5WASHINGTON STATE GAMBLING COMMISSION
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6WASHINGTON STATE GAMBLING COMMISSION
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7WASHINGTON STATE GAMBLING COMMISSION
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8WASHINGTON STATE GAMBLING COMMISSION
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9WASHINGTON STATE GAMBLING COMMISSION
Possible Operational Models
Sports Book Mobile InternetKiosk
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10WASHINGTON STATE GAMBLING COMMISSION
WAGER
RISK CONTROL
RESULTOPERATORDATA FEEDODDS/LINES BOOKMAKING SYSTEM
BETTOR
MANAGED SERVICES*
*MANAGED SERVICESPAYMENT PROVIDERS
FINANCIAL INSTITUTIONSKNOW YOUR CUSTOMER
GEOFENCINGCUSTOMER SUPPORT
MARKETING
INTEGRITY MONITORING
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Odd setting information
Historical Event Data
Game, Player & Play-by-play Statistics
Records all data from event
Resulting, bet clearing, post-match analysis
Can include official league data
Data Feeds
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Accept wagers from playersBrick-n-mortar, website, mobile appReview internal & external info to set lines/odds
Move lines/odds based on wagering activity and event info
Segment players and analyze wagers
Ensure book makes money: monitor vig, juice or commission built into bet spreads
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Sports Betting Operators
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Bookmaking SystemSoftware provides wagering information, accepts wagers & processes payments
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Data analytics used to review operations
Institutes automated decision-making where possible
Customer management – Monitor for unusual wagering activity
Customer data analysis
Risk Control
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15WASHINGTON STATE GAMBLING COMMISSION
State Examples
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16WASHINGTON STATE GAMBLING COMMISSION
Upfront Licensing Fees & Tax Rates
UpfrontLicensing Fee Effective Tax Rate
Mississippi $1,000 - $5,000 11-12%Nevada $50,000 - $500,000 6.75%
New Jersey $100,000 9.57% (Land-based)14.25% (Online)
Pennsylvania $10,000,000 36%
*Source: "US Sports Betting Tracker", July 2019, by Gaming Compliance
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New JerseyApplication Fee License Term Resubmission Types of Services Provided
Sports Wagering License
$100,000 & $250,000 retainer for start-up
regulatory costs1 year $100,000 Operates sportsbook
Casino Service License $5,000* Does not expire Every 5 years
Providers of internet gaming to the casinos; manufacturers
of gambling equipment
Ancillary Casino Services License $2,000* Does not expire $2,000 every 5 years
Provides critical services but not operators such as Geolocation and KYC
Vendor Registration No fee Does not expire No resubmission All vendors of goods and services to the casino
* Must pay actual cost of investigation and lab review
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NevadaApplication
FeeLicense
Term Renewal Types of Services Provided
Operator of Interactive Gaming License
$500,000 2 years $250,000Operates interactive gaming systems, including servers
and databases running the games, storing game and gaming account information
Manufacturer of Interactive Gaming Systems License
$125,000 1 year $25,000 Manufactures, assembles or produces an interactive gaming system
Manufacturer of Equipment Associated with Interactive Gaming License
$50,000 1 year $25,000 Sells, transfers or offers equipment associated with interactive gaming
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ApplicationFee
License Term Renewal Types of Services Provided
Interactive Gaming Service Provider License
$1,000 1 year $1,000 Acts on behalf of an establishment licensed to operate interactive gaming
Operator of Mobile Gaming System License
$500 1 year $500
Consideration is paid for the right to place a mobile gaming system, to engage in the business of placing and
operating a mobile gaming system within a licensed gaming establishment and who is authorized to share in
the revenue from the mobile gaming system
Operator of an Information Service License
$6,000 1 year $6,000Sells and provides information to a licensed sports pool that is used primarily to aid the placing of wagers on events of any kind. Includes: line, point spread or odds
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Nevada
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MississippiApplication Fee License Term Renewal Types of Services Provided
Casino $5,000 1 year $5,000 Authorized to offer sports wagering on premises only
Manufacturer $1,000 1 year $1,000Provides operational, technical or
other associated support with sports wagering at the casino
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21WASHINGTON STATE GAMBLING COMMISSION
Pennsylvania (Interactive Gaming)
Initial Fee Application Fee
License Term Renewal Types of Services Provided
CertificateHolder $10,000,000 $5,000 5 years $250,000 Slot machine licensee authorized to offer interactive
gaming
Operator $1,000,000 $5,000 5 years $100,000 Operates the interactive gaming platform on behalf of the interactive gaming certificate holder
Manufacturer $10,000 $5,000 5 years $10,000 Manufactures interactive gaming devices & associated equipment
Supplier $10,000 $5,000 5 years $10,000 Provides products or services related to the interactive gaming devices
Service Supplier $5,000 $2,500 5 years $5,000
Not required to be licensed but provides goods or services to the interactive gaming certificate holder or operator for
the operation of interactive gaming
Registration $2,500 $500 5 years $2,500 Provides goods or services for the operation of sports wagering but not required to hold another type of license
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Pennsylvania (Sports Wagering)
Initial Fee Application Fee
License Term Renewal Types of Services Provided
Operator $50,000 $5,000 5 years $50,000 Licensed to operate mobile sports wagering on behalf of the slot machine licensee
Manufacturer $50,000 $5,000 5 years $50,000 Manufacturers sports wagering device or equipment used to operate sport wagering
Supplier $10,000 $5,000 5 years $10,000 Provides products or services related to sports wagering or associated equipment to a licensee
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Presentation TitleDatePresenter Name, TitleUnit/Division
Questions?Tina Griffin, Assistant DirectorBrian Considine, Legal & Legislative Manager