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New Jersey to mandate RG standards for operators

Neha Soni
Written by Neha Soni

The New Jersey Division of Gaming Enforcement (DGE) has published a new set of proposed regulations that would make responsible gambling (RG) measures mandatory for licensed operators in the Garden State.

Announced during an iDEA Growth webinar on 16 September (Tuesday), the DGE’s Assistant Bureau Chief and Responsible Gaming lead Jamie McKelvey confirmed that the regulator is moving to formalise best practices already in place.

“Our responsible gaming best practices for internet gaming are being turned into regulations,” McKelvey said. The proposed regulations were published in the New Jersey Register this week and are open for public comment until mid-November.

New measures for operators

Under the draft rules, each online operator would be required to designate a Responsible Gaming Lead tasked with monitoring at-risk patrons. Operators would also be required to track a hard list of 10 player behaviour triggers to detect problem gambling trends.

The triggers include deposits above specific thresholds in short timeframes, multiple “cool-off” requests within a set period, three consecutive increases in deposit or loss limits within seven days, and sharp increases in session time or wagering volume.

Once a player is flagged as at-risk, operators must follow a three-step intervention process:

  1. Email the player with RG information.
  2. Block wagering until the player watches an RG tutorial video.
  3. Direct outreach from the operator’s RG lead via phone or video call.

If behaviour continues, the operator may be required to close the player’s account.

Years in the making

McKelvey noted that the initiative predates Governor Phil Murphy’s 2023 executive order establishing a Responsible Gaming Task Force.

“We’ve been working on them for several years,” she said. “The task force came about in part due to a Rutgers study showing that New Jersey residents had significantly higher rates of problem gambling behaviour than the national average.”

Although many operators already implement similar safeguards voluntarily, the new rules aim to standardise RG practices across the state’s regulated market.

Challenges for New Jersey

McKelvey also highlighted structural issues in New Jersey’s gambling landscape, including no universal self-exclusion list across verticals and different minimum gambling ages: 21 for casino and sports betting, but 18 for lottery, Daily fantasy sports (DFS) and horse racing.

While stressing the importance of stronger protections, McKelvey also warned against stifling operator innovation. “As a regulator, we must make sure that the industry meets certain milestones and standards, but we also need to allow flexibility as research and data evolves,” she said.

The DGE’s proposed regulations leave room for future updates, noting that additional behavioural triggers may be added based on data and operator feedback.

NJ’s stance on sweepstakes and micro betting

In August, Governor Phil Murphy of New Jersey signed bills A5447 and S4282 into law, outlawing sweepstakes casinos in the state. Gaming activists criticised the ruling, claiming it prioritises the interests of long-standing casino firms over those of customers. There are concerns about how the new law would affect players, operators, and the future of online gambling in New Jersey.

Sweepstakes casinos use a dual-currency system, which sets them apart from conventional online gambling sites. Sweeps Coins, which can be obtained through purchases or promotions and exchanged for cash, and gold coins, which have no monetary worth, are used by players for free play. This concept enabled Virtual Gaming Worlds (VGW)-operated platforms such as Chumba Casino, LuckyLand Slots, and Global Poker to operate in states where internet gambling is not strictly regulated. Legislators saw it differently from gamers, who saw it as a way to access casino-style games without directly wagering cash.

In another development, Assemblyman Dan Hutchison of New Jersey has proposed Bill A5971, which would outlaw micro betting in the state. The bill outlines penalties for operators who continue to provide these bets, defining them as wagers on specific plays or activities during a game. Hutchison argues that micro betting encourages impulsive gambling behaviour due to the rapid pace of wagers placed during live games. He cited a significant increase in calls to problem gambling helplines 277 per cent since sports betting was legalised in New Jersey, as a sign of growing concern.

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