Online casinos have had to tackle several challenges since they first started to emerge 30 years ago. Although they have resulted in remarkable transformations and created a more interconnected market, there are still varying levels of regulation that have developed over the last couple of decades.
For instance, the UK has some of the most transparent and robust legislation anywhere in the world. The pioneering UK Gambling Act 2005 has only experienced a few slight amendments since it was introduced 20 years ago, and it has acted as a blueprint for other countries that have legalised and legislated gambling in the years since.
While India is currently far behind the likes of the UK, in such a fast-moving market, this gap could close quickly as India’s economy booms and online casinos look to capitalise.
Dealing with a global market
While the regulatory approach in online casino gaming might not be as internationally streamlined as we see in other industries, there are regulators who have taken steps in India to try to regulate this industry. The Indian market is the largest in the world. It is a country with over one billion people, and multiple different states and regions that have polarised approaches to gambling.
There are some regions where gambling is heavily frowned upon. At the same time, other states have taken steps to legalise some forms of betting, such as the lottery, but have stopped short when it comes to properly regulating online casinos. Other states essentially leave online casinos to their own devices, so long as they do not breach any laws or other regulations by operating within the Indian market.
Implications of site security and proper regulation
Even in countries where gambling is heavily regulated with clear and concise regulations, rogue operators appear to try to take advantage of the market’s popularity. The best online casino in India is subjective for many people; it can boil down to the game you enjoy the most.
Experts use a fine-tooth comb to scour the web and locate the online casinos that they think have the best offering all around. Many of these experts have been in the market for 20 years, having witnessed the shift from desktop to smartphone, from basic slots to 12×12 grids and the adoption of alternative payment options, such as cryptocurrency.
There are multiple variables to consider here. Firstly, modern cybersecurity continues to focus on browser security and ensuring that customer data is protected. This is particularly important in the casino gaming industry compared to many other sectors. Not only do casinos need to verify your photo ID, and will often request a driver’s license or passport, but they also require proof of address, such as utility bills, and they have information that pertains to your preferred payment option.
When an industry is regulated correctly, your data is held in accordance with this regulation. There are overseeing governing bodies and third-party agencies that can be used as a contact point for online casinos that operate in India, boosting security and helping the industry gain further legitimacy in the eyes of the public.
Capturing a tax base
For years, many US states have shied away from the idea of regulating online casinos as they grapple with some of the social harms of responsible gambling and the benefits that can emerge from a properly regulated industry. It is a divisive topic that still causes debate, even in countries where gambling has brought in billions of dollars of tax revenue.
Ultimately, this is where the acid test is. If a state or nationwide regulator can bring in a set of laws and rules that fairly regulate online casino gaming, and there are clear, tangible benefits that arise from this tax revenue, such as better public services, then it’s usually the lesser of the two evils.
States like California have the economy and size to pick and choose what they regulate. Some states are not as lucky, as they do not have the diversified economy California does, given that it is home to some of the world’s most prominent tech giants and oil companies.
Although there will always be a market for illegal gambling, some estimates have stated that the illegal gambling market in California is worth around $9bn, but obviously, it’s difficult to accurately estimate. California’s economy is slightly larger than India’s, so it is a good case study for what could be down the road if regulators are slow to react to the significant changes that online casinos have brought into the digital economy.
Final thoughts
Many countries have highlighted just how difficult it can be to adequately regulate online casinos. Some experts believe the UK approach is best, while others believe that Nevada’s approach allowing only land-based casino licenses is a better model.
Others believe it should be harshly regulated and strictly controlled, off limits to the majority of the population. While it can be a stimulating form of debate, it is also crucial to get it right. On the surface, it might seem that Indian regulators have been slow to act; however, you can guarantee that there’s a lot of discussion behind the scenes to ensure they make the right decision.