A recent study conducted by the University of Massachusetts Amherst reveals that the introduction of casinos in Massachusetts has not led to a surge in problem gambling, contrary to some expectations. 

UMass Research Shows Slight Decrease in Problem Gambling

The findings, presented to the Massachusetts Gaming Commission, indicate that despite the proliferation of gambling opportunities, the prevalence of problem gambling remained relatively stable.

The study, led by Rachel Volberg, a research professor at UMass Amherst, compared data collected before and after the opening of three major casinos in the state. Surprisingly, the results showed that the rate of problem gambling actually decreased slightly from 2% in 2013 to 1.4% in 2021 among the adult population aged 18 and over.

Volberg highlighted the impact of COVID-19 on gambling behavior, noting that restrictions imposed during the pandemic reduced overall gambling activity. However, even before the pandemic, the study found no significant increase in problem gambling despite the establishment of new casinos.

Volberg explained that they had hypothesized that exposure to casinos in neighboring Connecticut might mitigate any potential rise in problem gambling. She added that it was reassuring to see their hypothesis confirmed.

At-Risk Gamblers’ Concerns Highlighted in UMass Study

The study also revealed a decline in out-of-state casino patronage, with only 10.2% of respondents in 2021 reporting gambling outside of Massachusetts, compared to 21.5% in 2013. This suggests that the casinos succeeded in keeping more gambling revenue within the state, as intended by the 2011 Expanded Gaming Act.

However, there are concerns regarding the financial impact on at-risk gamblers, who show signs of potential gambling problems but are not yet classified as problem gamblers. The study noted that the proportion of gambling expenditures coming from at-risk gamblers increased significantly, highlighting the need for early intervention and support mechanisms.

Jordan Maynard, interim chair of the Massachusetts Gaming Commission, emphasized the importance of raising awareness about available resources for problem gambling. The study found a significant gap in public awareness of support services, indicating a need for improved outreach efforts.

Despite the overall stable rates of problem gambling, public perception of the gambling industry in Massachusetts has shifted. More residents now believe that gambling is too widely available, with 67.5% expressing this concern in 2021 compared to just 15.6% in 2013.

The study, funded by the Massachusetts Gaming Commission, surveyed over 6,000 adults to provide a comprehensive analysis of gambling trends in the state. While the findings offer reassurance regarding problem gambling rates, they also underscore the importance of continued monitoring and proactive measures to address potential harms associated with gambling.

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While nearly 40 US states currently offer legal sports wagering, not all of them permit all types of wagers. For example, some states allow betting on collegiate teams when it’s out of state, effectively restricting wagering on in-state collegiate sports. One such state is Massachusetts.

Currently, the state restricts in-state college sports betting with the exception of teams that participate in tournaments of four or more teams. Not unexpectedly, prop betting on in-state collegiate teams is also not allowed. Despite the established rules, breaches are not impossible, which is precisely what happened during the 2023 football season.

One of the major operators in the sports betting vertical in Massachusetts, BetMGM, is in hot water after allegedly accepting prohibited prop bets on individual college athletes. The alleged violation of the established rules was discussed during a meeting of the state’s gambling regulator, the Massachusetts Gaming Commission (MGC) last week. At the time, the Commission claimed that the sports betting operator accepted more than $200,000 worth of improper wagers. This translates to more than 15,000 bets allegedly accepted by BetMGM during the 2023 college football season.

It is not uncommon for breaches of the gambling regulations to be self-reported by the operators. Yet, Cathy Judd-Stein, the MGC’s chair, who was quoted by PlayMA, revealed that the alleged violation of BetMGM was uncovered as a part of an audit. She explained that prop wagers on collegiate athletes are a violation in Massachusetts, adding that the state has established clear rules that prohibit such wagers. Finally, Judd-Stein explained: “I know I’m personally interested in resolving this matter as quickly as possible for the protection of student-athletes.”

“Prop bets on students is a statutory violation here in Massachusetts.“

Cathy Judd-Stein, chair of the MGC

Adjudicatory Hearing Is Expected

Besides the alleged violations of BetMGM, the Investigations and Enforcement Bureau (IEB) uncovered details regarding two other minor breaches. The MGC heard that BetMGM’s retail sportsbook and Fanatics Sportsbook allegedly accepted two separate prohibited wagers for college games. Each of the bets was less than $10. The aforementioned breaches were sent back to the IEB.

On the other hand, considering the scale of BetMGM’s alleged breaches, the Commission decided to refer the matter to the IEB which will subsequently seek an adjudicatory hearing. This otherwise means that a court would hear the facts and determine if a penalty needs to be applied. Once this happens, the MGC will be able to either greenlight or reject a penalty that can vary depending on the severity of the breach.

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WynnBET, the online gambling venture of Wynn Resorts, seems to be preparing to exit Massachusetts’ gambling market, a recent announcement by the Massachusetts Gaming Commission (MGC) suggests.

As the MGC prepares for tomorrow’s meeting, the authority published its agenda for the event. The second entry under the Legal and Sports Wagering Division section reads that the regulator will discuss betr and WynnBET’s requests to exit the market.

As outlined in the document:

WynnBET Notice of Intent to Cease Operations pursuant to 205 CMR 258, including Request for Approval of Cessation Plan and Request for Waiver from 205 CMR 258.01(1).

MGC agenda excerpt

The news caused further concerns about WynnBET’s future among industry experts who fear that the app is failing to replicate the success of its parent company’s retail business. In 2023, Wynn Resorts announced that it would focus its online operations on states in which it already has a retail presence. However, considering that Massachusetts is one of its strongest retail states, this may mean trouble for its online brand.

WynnBET was already struggling to remain sustainable in multiple states and, in August, decided to exit a whopping eight states.

WynnBET’s downfall may be attributable to its parent company’s refusal to actively compete with other players in the market where it operates, which prevented it from gaining a significant market share.
If Wynn Resorts secures one of the downstate New York casino permits, there is a chance WynnBET might just be able to thrive. However, experts predict that the brand may be set to exit Michigan next since it already confirmed that it is reviewing its operations in New York and Michigan.

Betr Is Also Preparing to Leave

In the meantime, betr, the Miami-based newcomer to the US sports betting market, just announced its decision to exit the Massachusetts sports betting market by the end of the year. Co-founded by Joey Levy and Jake Paul, the micro-betting specialist struggled to gain traction in The Bay State.

Betr’s failure to capture the Massachusetts audiences also raised questions about the viability of the micro-betting model. While betr is optimistic about other jurisdictions, micro-betting has so far proven suboptimal in challenging established betting brands, such as DraftKings.

In other news, the Massachusetts Gambling Commission recently published the industry results for December, highlighting robust metrics.

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Sports betting powerhouse DraftKings is under fire in Massachusetts over depositing violations. The operator is now facing an adjudicatory hearing in the state.

As it turns out, DraftKings had accidentally allowed its users to use out-of-state credit cards to fuel their accounts, in violation of Massachusetts’ gambling rules. For reference, no gambling operators in the state can accept credit cards as a payment method.

DraftKings self-reported the issue to the Massachusetts Gaming Commission (MGC) in May this year. According to the operator, the mistake had allowed customers to bet with credit cards from March 10.

As a result, DraftKings implemented a tool that prevents the use of credit cards on its platform. However, it wasn’t until July 13 that DraftKings finally got the measure working properly. As a result, a total of 218 players used credit cards to place a total of 242 bets totaling $83,663.92 between March and July.

DraftKings told the MGC that the incident was due to an internal miscommunication. The operator also attributed its failure to get the necessary software working to the persistence of these alleged miscommunications.

The company explained that it had to introduce changes to three internal functions before being able to get the credit card prohibition underway. These included changes to its financial platform, account platform and sportsbook product.

MGC commissioner Eileen O’Brien commented on the matter, saying that she believes DraftKings’ negligence is egregious. O’Brien added that “this needs to be an adjudicatory hearing.” The other commissioners agreed. MGC commissioners said that this is the first instance of such a severe credit card-related violation. Because of that, the authority seeks to prioritize the matter.

This is not the only trouble DraftKings faces in The Bay State as it recently came under fire over a misleading promotion. The operator had promised a non-redeemable $1,000 bonus but had failed to clearly communicate that players would need to deposit $5,000 and wager $25,000 within 90 days to be eligible to receive the bonus.

Because of that, the company was hit with a class-action lawsuit led by the Public Health Advocacy Institute.

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The Public Health Advocacy Institute, which is the plaintiff, argues that the $1,000 bonus bet offer is unfair and that it misleads players into thinking that they are receiving $1,000 for free. In fact, the terms are near-impossible to complete, the lawsuit seems to allege.

Addressing the Nature of Bonus Marketing

To obtain the amount, a customer would need to deposit $5,000 and wager $25,000 within 90 days, and the bonus cannot be redeemed or transferred, which makes the terms even harder on players.

Although this is all true on the face of it, DraftKings does not seem to be deviating at all from what is a standard bonusing practice in the United States. The complaint filed by the Public Health Advocacy Institute outlines its objection:

DraftKings knew, or should have known, that its advertisement and promotion was deceptive to their target customers, who were new to sports betting and were extremely unlikely to understand the gambling lingo in the fine print.

Public Health Advocacy Institute,

The institute is generally looking to address omissions in the practices that companies that promote addictive products have in their marketing terms. For the most part, the institute has gone after cigarette companies, but as gambling is becoming more prominent, it’s likely to see more of these attempts to ensure that the industry is safe.

DraftKings Did Not Turn Players Into Addicts

Noteworthy, though, the institute is not accusing DraftKings of seeking to turn consumers into addicts, but rather that it should take a more cautious approach to its bonus wording to avoid confusion among players. DraftKings is not doing anything that it hasn’t already been doing in other states, however, the established company offering this bonus in 22 other states.

DraftKings is also a member of the American Gaming Association’s Have A Game Plan, a campaign designed to promote awareness for safe and responsible play and raise awareness among consumers about legitimate gambling products.

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Earlier this year, PENN Entertainment and ESPN joined forces for a new venture called ESPN BET. The new groundbreaking sportsbook, representing a rebranded version of PENN’s Barstool Sportsbook, secured a cash injection of $1.5 billion from the company to ESPN. As one of the most anticipated sportsbook launches in Massachusetts, ESPN BET is expected to deliver unrivaled experiences to bettors and sports fans in the state.

Yet, the discussions between PENN Entertainment and the gambling regulator in the state, the Massachusetts Gaming Commission, continue ahead of the planned launch for ESPN BET in November. As announced by Sports Handle, representatives of the gambling regulator queried why PENN hasn’t explained in detail its relationship with ESPN.

Cathy Judd-Stein, MGC’s chair, explained: “I’m waiting for the ask (from PENN) unless there is this notion that there doesn’t have to be an ask.” She was surprised why the Commission hadn’t received the information already and questioned “where the disconnect is.”

According to the recent report, the commission’s staff attorney, Catilin Monahan, explained that the rebranded sportsbook may not be cleared for launch in November unless it secures approval from the gambling regulator in the state. In other words, the launch of ESPN BET may potentially be impacted, unless PENN can resolve this matter with the Commission timely. Whatever the case is, with time running out this month, PENN is on a tight schedule to receive a green light from the gambling regulator.

The New Sportsbook Unveiled Its Logo

In anticipation of its debut in November, ESPN BET released its new logo last week. The new logo, offering mint green colors, fuses creatively the letter “E” inside the letter “B,” hinting to the betting partnership between PENN and ESPN.

According to ESPN Creative Studio’s vice president of visual storytelling, Chin Wang, the new ESPN BET logo symbolizes innovation and fun. It underlines the importance of the collaboration and the exceptional experiences the new brand is expected to bring for sports fans and bettors alike.

Amid the growth of sports betting, a legal form of the activity is now available across more than 30 US states. While the majority of states have already legalized and launched activity, several are yet to launch it, while a handful of states have no legislation.

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The Massachusetts Gaming Commission (MGC) has taken decisive action against three commercial casinos in the state for engaging in unauthorized sports betting activities. Encore Boston Harbor, MGM Springfield, and Plainridge Park Casino have been slapped with penalties amounting to $50,000 for accepting wagers on college games, which is strictly prohibited under state law.

The swift intervention by the MGC came after it was discovered that each of the casinos allowed bets on regular season games involving Massachusetts college sports teams, a clear violation of the state’s regulations. These bets managed to slip through the cracks due to various backend errors and system glitches, leading to the imposition of fines to maintain the integrity of the sports betting market.

One such incident occurred at Encore Boston Harbor, where a single sports bet was accepted on a women’s regular season basketball game between Boston College and Notre Dame. This wager was inadvertently allowed as the team was listed under two different names, with only one name appearing on the prohibited list. To prevent future occurrences, Encore’s vendor, WynnBet, has undertaken to conduct two daily audits, ensuring that no regular season games involving Massachusetts college teams are available for betting.

Similarly, MGM Springfield faced penalties for accepting wagers on two Harvard men’s basketball games. The casino‘s sports betting vendor, BetMGM, had erroneously designated the location of Harvard as Connecticut instead of Massachusetts, leading to the unauthorized bets. To rectify the situation, BetMGM swiftly corrected the error and committed to thoroughly reviewing all past sports wagers to ensure compliance with the rules.

Plainridge Park Casino also faced compliance issues, allowing 33 bets across 27 tickets on a men’s regular season basketball game between Merrimack College and Long Island University. A backend data entry error was responsible for this discrepancy, and the casino’s sports wagering vendor, Kambi, promptly rectified the mistake by correcting Merrimack College’s location listing from Florida to Massachusetts.

While the fines may seem relatively small considering the robust legal sports betting market in Massachusetts, the MGC is sending a clear message to all operators that adherence to betting rules is non-negotiable. As the state’s sports betting industry continues to thrive, the importance of stringent oversight and enforcement cannot be understated.

The MGC’s actions demonstrate its commitment to upholding the integrity of sports betting in Massachusetts, regardless of the scale of the violations. As the market continues to evolve, it is vital for all stakeholders to work together to maintain the highest standards of legality and transparency.

As operators adapt to the MGC’s strict compliance measures, the fines serve as a reminder that the regulator will leave no stone unturned to ensure the continued integrity and success of the state’s legal sports betting landscape. Cooperation from all parties involved will be crucial in shaping the future of sports betting in Massachusetts.
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In a groundbreaking move aimed at protecting minors from the influence of sports betting, Massachusetts regulators voted on June 29 to require sportsbooks operating within the state to incorporate age warnings on their logos displayed inside sports venues. 

New Regulation in Massachusetts Requires 21+ Warning on Sportsbook Logos in Arenas

The Massachusetts Gaming Commission (MGC) approved the policy change in a close vote of 3-2, after several months of extensive deliberations and public feedback. Under the new regulation, sportsbook operators will be given a 90-day grace period to comply with the requirement once it is officially published.

The mandate primarily targets standalone logos for sportsbooks in sports arenas, where minors are more likely to come across such branding. Popular venues like Boston’s Fenway Park will now be required to prominently display the age restriction warning to all spectators.

Sportsbook advertisements in Massachusetts already carry a disclaimer stipulating that individuals must be at least 21 years old to participate in sports betting. The newly passed change extends this requirement to standalone logos displayed at sports arenas. To comply with the new rule, sportsbook operators can simply add a clear “21+” label to their logos.

However, the mandate comes with certain limitations. It applies solely to fixed signage within sports arenas and does not encompass logos featured on apparel, letterhead, or business cards. Additionally, it does not extend to other public displays of a sportsbook’s logo, making the focus strictly on sports venue advertisements.

Massachusetts Sportsbook Logo Rule Puts Fanatics in a Bind

Among the companies significantly affected by this rule change is Fanatics, a well-known brand that utilizes the same logo for both its sportsbook and apparel business. To conform to the regulation, Fanatics will either need to design a separate logo exclusively for its sportsbook or add a “21+” disclaimer to all instances of its logo within stadiums if it chooses to maintain a unified brand image across all its products.

The commission’s decision to implement this new requirement garnered support from Commissioners Eileen O’Brien, Nakisha Skinner, and Jordan Maynard. However, Chair Cathy Judd-Stein and Commissioner Bradford R. Hill opposed the move. Judd-Stein expressed concerns about the potential effectiveness of the rule in deterring young people from engaging in sports betting and emphasized that Massachusetts is diverging from the approaches adopted by other states.

Nevertheless, the majority prevailed, with the commission emphasizing its commitment to protecting vulnerable age groups from exposure to gambling-related marketing in the sports arena. The move is expected to set a precedent for other states to follow suit in prioritizing the safeguarding of minors amidst the growing popularity of sports betting across the country.

The MGC keep striving to make gambling safer in the state with various initiatives. In April, it announced plans to involve sportsbooks in providing data to support research on gambling addiction and responsible gambling, while in March it introduced a voluntary self-exclusion program.

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Legal land-based gambling as well as sports wagering activities help raise tax revenue for states that offer such options. While there are always supporters and opponents of legal gambling, one major benefit of the activity is precisely the tax revenue and the fact that legal gambling helps reduce the share of the black market. Still, land-based casinos can bring much more benefits than tax revenue, considering that such locations can provide economic stimulus for counties or cities.

Now, as reported by The Republican, a new grant will help boost the tourism profile and stimulate the economic profile of Holyoke, Massachusetts. In 2019, the city secured a $200,000 grant that contributed toward its tourism plan, providing much-needed support. The current growth plan for tourism in Holyoke seeks to boost visitation to the city for certain events.

Per the plan, a shuttle will help transport MGM Springfield casino visitors to the city, allowing them to enjoy different annual events. This, in turn, is expected to have a positive effect on the overall visitation of Holyoke and see local businesses grow further.

To engage with its plan, the city secured a $200,000 grant from the Massachusetts Gaming Mitigation Fund. Securing the grant was contingent on acceptance from the City Council. Greenlight about the state grant came Tuesday, allowing the city to progress with its ambitious tourism and economic stimulus plan.

The Grant Is Expected to Have Long-Term Impact

Aaron Vega, the director of Holyoke’s Office of Planning and Economic Development, acknowledged the importance of the new $200,000 grant for the city. He explained: “We’re going to capitalize on the fact that more people are coming to Western Massachusetts due to the casino.” Moreover, he pointed to the city’s potential in offering a wide variety of food options saying: “One of our big focuses is cultural diversity, especially when it comes to our restaurants.”

According to Vega, the funding won’t benefit only short-term initiatives but play a key role in long-term processes. Ultimately, the city’s plan will seek to make it more appealing, attracting tourism and investment as well. He spoke about the different areas that will benefit from the funding saying that the city’s website, Explore Holyoke, will benefit.

Additionally, Vega noted that the grant will fuel different historic tourism initiatives, that are expected to attract new visitors and guests. Different art projects would also receive a boost from the latest grant from the Massachusetts Gaming Mitigation Fund.

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Massachusetts’ Gaming Commission (MGC) will say goodbye to executive director Karen Wells on July 14, the last day when the lead will carry the official title. Wells has announced she would be stepping down from the position at the end of a long and eventful decade spent at the wheel. 

A Friendly Closure 

The departure was most likely an amicable one, as expressed by the gushing praises that both Wells and the commission’s chair, Cathy Judd-Stein, offered to one another, as marked in the agency’s official statement regarding the news.

Wells, who received the unanimous vote to become the new executive director from MGC’s five commissioners on September 10, 2020, was described as “the model of a leader” by Judd-Stein. 

The chair, who spoke on behalf of fellow commissioners, also thanked Karen “for her contributions to the MGC over her ten years of service and for the leadership she has provided as executive director.” The regulator’s effectiveness, added Judd-Stein, was “a direct reflection of Karen’s efforts and her ability to build, motivate and direct the MGC team.” 

While getting ready to announce the process that would help them choose their new executive director at the end of a series of upcoming public meetings, the agency used the voice of its chair to praise Wells’ “strategic abilities and steady presence.” 

These, according to Judd-Stein, allowed the commission to build a sports betting industry fully committed to protecting consumers. At the start of June, the MGC assessed if the marketing tactics and language used by a Barstool promotion violated the state’s current regulations. 

Wells, “Forever Thankful for the Support”

During the same public statement, Wells took the opportunity to speak about the last ten years she “had the privilege of working” for the MGC, initially as director of the Investigations and Enforcement Bureau, which is the agency’s largest department, and as executive director over the last three years. 

Describing the agency’s current core responsibilities as “operating smoothly,” Wells expressed confidence in the agency’s ability to continue its excellent work. She also said she will be “forever thankful for the support” received from commissioners, colleagues, and licensees. 

At the start of the year, prior to the launch of the market, the MGC voted in favor of including extra additions to the sports betting catalog of events that consumers would be allowed to wager on. 

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