In an effort to curb underage gambling and assist problem gamblers, New York has proposed sweeping changes to sports betting across the state.
Following a directive from Gov. Kathy Hochul, the New York State Gaming Commission has unveiled plans to utilize biometric data for every sports bet placed within state boundaries. According to the proposal, biometrics would be required before users log into sports betting accounts.
Hochul spoke on the proposed changes, which are available for public comment through May 15.
“Mobile sports wagering is everywhere, enticing everyone — including our youth — to place bets without fully considering the consequences,” Hochul said in a Legal Sports Report news post.
“We need strong regulatory safeguards to prevent those under 21 from gambling, keep artificial intelligence from preying on gamblers, and require sports wagering operators to take real action if one of their customers is showing signs of gambling harm.
“I’m thankful to the Gaming Commission for putting forth comprehensive measures that achieve these goals and protect New Yorkers. As a reminder: Only legal, regulated gaming has such safeguards in place.”
New limits on AI targeting and ads
As Hochul noted, the new provisions include restrictions on using AI to track customer activity and target ads toward potential bettors. The rules would not, however, ban AI for tracking signs of problem betting behavior.
Some of the updated rules include:
- Age assurance controls: Mechanisms to restrict minors from downloading betting apps.
- Biometric requirements: Mandatory biometric data to open an account, with forced closure of accounts that do not provide it within 60 days of the new rule’s implementation.
- Geolocation tools: Enhanced tracking to identify when an account attempts to log in from a different device.
- Strict penalties: Permanent exclusion from New York betting for anyone who provides minors with gambling access.
Responsible gaming intervention triggers
The rule changes also institute triggers that key in on problem betting, such as:
- Depositing more than $10,000 in 24 hours.
- Depositing more than $100,000 over three months.
- Three or more visits to the self-exclusion page without completing the process.
- Ending a betting session with less than $1 in the account twice or more in a week.
- Increasing app usage by 50% or more compared to the previous two weeks.
If flagged, bettors would be subject to a three-stage intervention process. The first step involves the customer receiving information on responsible gaming features. In the second phase, the bettor is required to view a responsible gaming tutorial.
The third component includes a mandatory meeting with the sportsbook’s responsible gaming lead; the account remains suspended until the meeting occurs. Subsequent problem gambling behavior would lead to permanent account closure.
New York is the largest state in the U.S. with legal sports betting, and officials are taking aggressive action to tighten regulations on gambling outlets.