A new trade group, the Social and Promotional Gaming Association (SPGA), has recently launched in the US and is backed by some major players in the social and sweepstakes gaming industry. The association aims to present a united front in the push for well-defined regulations to guide the industry while encouraging members to enhance player protection through responsible gaming features.
Social and promotional games allow users to enjoy online games with no purchase necessary. Online casino games like slots, poker, baccarat, blackjack, and roulette are available on most sites. However, these services have come under fire in recent times, with a few notable events like:
By establishing the SPGA, participating operators hope to prevent such events from reoccurring by promoting transparency, setting operating guidelines, and fostering communication with other government regulators.
Sweepstakes Casino Companies Part of the New SPGA Trade Body
The SPGA consists of companies that offer social and promotional gaming services to US residents. Currently, the association has 11 members, namely:
What Big Names Are Missing?
Despite the potential benefits operators can get from the SPGA, a few big players are not members. These include operators like Yellow Social Interactive (Pulsz Casino and Pulsz Bingo), VGW (Chumba, Global Poker, and Luckyland), B2Services (McLuck, Hello Millions, etc.), and more.
The absence of VGW and other notable operators may show differing views on how to deal with the current challenges in the industry, or a step back to see what the SPGA can achieve before joining the association.
Rationale Behind This Industry Development
There are several justifications for creating the Social and Promotional Gaming Association. Still, it all boils down to one thing – the creation of a responsible social and promotional gaming environment. To achieve this goal, the association has outlined several requirements for its members, including:
Another notable reason for this industry development is the need for a body to provide legal guidance to social gaming operators. With the SPGA to provide the needed guidance, operators hope to maintain best practices and keep up with changes in legal and regulatory requirements for their operation.
Player Safeguards and Regulatory Compliance Committees
The SPGA has set up two committees with distinct functions to meet its goals. The first is the Regulatory Compliance Committee, which communicates with regulators to help them better understand the industry operating model. This committee is also tasked with creating new policies that comply with state and federal laws.
The Player Safeguards Committee is the second, responsible for improving player security, creating educational materials, dealing with complaints, and promoting responsible gaming.
Targets of the SPGA Trade Body
The formation of the SPGA is a welcome development that should have happened long ago. Beyond its goals of improving the industry’s transparency, educating players, and ensuring legal compliance, the SPGA is what the industry needs to filter out untrustworthy operators in the sector. Furthermore, I believe that as the SPGA becomes well-established, the association may try its hands at legislative lobbying.
Author: Ross Timmins
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