After a decade of skyrocketing growth in both brick-and-mortar and virtual gambling, the federal government will have to step in to solve emerging issues plaguing the gaming sector. This was the conclusion reached by industry stakeholders during a recent webinar hosted by IC360. Experts highlighted the necessity of updated regulations and more stringent, responsible gaming mechanisms to keep the sector in touch in the face of innovation.

A key motivator for legislative action, according to panelists, is the rapid growth of gaming, which includes new offers and expanded accessibility. According to ProhiBet Managing Director Matt Heap, regulated government agencies may not always be able to keep up with the rate of development. The present system has difficulty adapting fast enough, he said, stressing the need for legislative actions to handle the constant stream of fresh ideas.

While the gaming industry continues to innovate, experts agree that a comprehensive federal framework is critical to maintaining its integrity and societal acceptance. Without robust measures to address problem gambling and regulate new offerings, the industry risks losing public trust.

An Escalating Issue

Gaming has grown in significance to the American economy, with 40 states having legalized sports betting in one way or another since 2018 and seven allowing internet casinos to accept real money. But with more options available, compulsive gambling has also become more of a public health concern.

There may only be a small fraction of the population that has gambling problems, but the sheer number of people who play the game means that the number of people impacted is growing. One proposed solution is a national digital self-exclusion list, which would prevent problem gamblers from circumventing state-level restrictions by crossing borders.

Beyond responsible gaming tools, the panel discussed the proliferation of new gambling formats that evade state-level oversight, such as sweepstake casinos, social casinos, and prediction markets.

These developments show how complicated the gaming industry is becoming, as advances in technology sometimes outstrip regulatory changes. With no effective regulation of these new marketplaces at the state level, the panelists contended that federal rules are required.

At the end of the webinar, there was an obvious need for action: the federal government of the United States has to take the lead in developing consistent laws that promote responsible gambling and guarantee inclusivity in a dynamic business. A future for American gambling that is sustainable will ultimately be shaped by cooperation among players, operators, and regulators.