In an ideal world, people who like to gamble online wouldn’t need to think about how the online gambling industry is regulated. Unfortunately, we don’t live in an ideal world, and since online casinos don’t have to follow uniform regulations around the globe, it is worth thinking about. The online gambling industry is relatively new. It quickly rose in popularity in a way most lawmakers were wholly unprepared for.
Some countries still rely on outdated gambling laws that aren’t relevant. While the legal landscape for online casinos is improving, the industry has a long way to go before it is considered well-regulated.
Why Online Gambling Regulation is Important
The purpose of regulation in online casinos is safety, both for the consumers and the companies running online casinos. Millions of people worldwide deposit funds at online casinos, essentially giving their money to a “faceless” company. These people need to know that they are dealing with a reputable organization.
There are three purposes for online gambling regulation. It ensures online casinos operate within the confines of the law. It ensures that gambling sites are ethically run and that online gamblers are fairly and safely treated. All gambling sites should be compliant with the laws of their operating jurisdiction and engaged in ethical practices.
It’s difficult to stop rogue sites from doing what they please, so as the consumer, you have to remember that the regulations are there to protect you. This can only happen by using sites operating legally with the appropriate license.
Recognizing a Regulated Gambling Site
For this discussion, let’s say you live in the state of New Jersey and wish to place a bet at Caesar’s online casino. You visit the site and use your Caesar’s bonus code to receive a special sign-up offer. Before you make a deposit, you wish to ensure that the site follows the regulations for online casinos to ensure your money and your information are protected. A few characteristics can tell you if you are on a regulated gambling site.
Owners and Executives
Regulated sites will be open about who owns the gambling company overseeing the site. In this example, it’s Caesar’s, but each site has different ownership. Licensing authorities are strict about who is allowed to operate online casinos, so you should be able to find information about the site’s executives.
Accounting Procedures
A legal online casino will have safe-deposit procedures, often using a third party to protect your funds. There should be policies in place that ensure you will get your money back if the site goes out of business.
Game Fairness
Any responsible gambling site can demonstrate that its games are fair and that customers have a reasonable chance of winning. Software tests should be run by a third party to ensure that outcomes are random.
Handling Complaints
Most licensing authorities stipulate that there are defined complaint procedures in place for online casinos. These procedures must be made available to all customers.
Preventing Underage Gambling
Regulated online casinos must carry out some form of identity check on their customers to ensure they are old enough to gamble.
The Future of Online Casino Regulation
As the online gambling industry grows, regulation is also improving. Existing and new regulation is expected in the future to deal with laws that are outdated and irrelevant to online casinos. The hope is that industry regulation will focus on protecting both consumers and companies operating legal platforms.
