The global money laundering and terrorist financing watchdog, the Financial Action Task Force (FATF), confirmed Friday that it has decided to suspend the membership of the Russian Federation. The watchdog confirmed that the country remains accountable for its implementation of FATF Standards and must meet its financial obligations.

Despite the decision, the FATF confirmed that the Russian Federation will continue to be an active member of the Eurasian Group on Money Laundering (EAG) and at the same time keep its rights as such a member. The FATF vowed to continue to monitor the topic and reassess, lift or modify restrictions during future Plenary meetings depending on changes within the vertical.

“The FATF strongly condemns the Russian Federation’s war of aggression against Ukraine. Over the past year, the Russian Federation has intensified its inhumane and brutal attacks targeting critical public infrastructure,”

explains a statement released by the FATF

Back on February 20, 2022, Russia launched a full-scale military invasion against Ukraine, an action that was classified by the FATF as an “illegal, unprovoked and unjustified full-scale military invasion.” The financial watchdog acknowledged the devastating impact of the invasion that brought an unprecedented loss of lives and destruction in the country, saying that the Russian Federation continues with its “brutal attack on Ukraine.”

“The Russian Federation’s actions unacceptably run counter to the FATF core principles aiming to promote security, safety, and the integrity of the global financial system,“

added the FATF

The military invasion, according to the FATF, is against its principles for a global financial system that is safe and secure. “They also represent a gross violation of the commitment to international cooperation and mutual respect upon which FATF Members have agreed to implement and support the FATF Standards,” added the watchdog. The FATF urged all jurisdictions to be on the lookout for any safety, security and integrity threats to the global financial system that may arise from Russia’s aggression against Ukraine.

Gibraltar Continues to Be a Part of FATF’s Grey List

Coinciding with the announcement about the Russian Federation, the FATF confirmed that Gibraltar, a famous gaming jurisdiction, remains on its increased monitoring list, also known as the grey list.

Gibraltar was added to the watchdog’s list last summer. This coincided with the removal of Malta from the grey list. Remaining part of the list means that the country will be under increased monitoring by the FATF and will continue to collaborate with the watchdog to resolve “strategic deficiencies in their regimes to counter money laundering, terrorist financing, and proliferation financing.”

Gaming and betting technology supplier Betby announced a change within its executive team as former Chief Sportsbook Officer, Sergey Tsukanov, assumed the role of Chief Product Officer.

New Challenges Ahead

The appointment of Tsukanov as Chief Product Officer for Betby will see the company’s former sportsbook executive extend his position and influence within the business, assuming the responsibility to provide oversight for Betby’s Risk Management and Trading functions.

Commenting on his new role within the business, Tsukanov expressed how excited he felt at the opportunity “to take new challenges and drive even greater success” for the company he had been working for in the past few years.

“I am grateful for the opportunity to serve in an expanded capacity and look forward to working with everyone to build on our past successes and drive future growth,” he said.

As Chief Product Officer, Tsukanov will be based at one of the company’s offices – in Riga, Latvia – and will be expected to leverage his industry experience and help the business to pursue its strategy and achieve its objectives.

Tsukanov joined Malta-headquartered Betby in July 2008 as Head of Sportsbook and spent more than four years perfecting the role before being promoted to Chief Sportsbook Officer now.

Trial and Error in His Early Career

Tsukanov, who holds an Engineer Diploma in Applied Mathematics from the Moscow State University of Instrument Engineering and Informatics, now part of the Moscow University of Technology, began his career in February 2010, when he assumed the role of Live Trader with betting operator Liga Stavok.

Based in the Russian capital, Moscow, Tsukanov stayed in the role until October 2016, gaining more than six years of betting industry experience with the leading Russian bookmaker.

After ten months on the sidelines, his career resumed in August 2017 with the sports betting affiliate FortunaLive, where he assumed the role of Head of Trading but stayed with the company for just four months.

After the short stay with Ukrainian-based FortunaLive, Tsukanov remained unemployed for eight months and in search of his next career move, until he finally joined Betby in 2018 where his career began to flourish.

In January, Betby opened a new office in Montenegro to expand its geographical footprint and operational capabilities. Located in Budva, the modern facility marked the tech supplier’s second European office, besides its headquarters in Sliema, Malta, and has the capacity to expand further and meet future scaling personnel needs of the business.

The development also marked an encouraging start to the new year for the company which managed to double its headcount to more than 80 people in 2022.

L’Autorité Nationale des Jeux (ANJ), France’s gambling authority, wants operators to reduce the gross gaming revenue (GGR) they make from problem gamblers. Echoing Kindred’s Journey To Zero initiative, the French regulator hopes to implement a similar safer gambling initiative on a national scale.

The ANJ claims that it is imperative to solve what it believes to be the biggest danger to the French gambling industry. According to the regulator, companies should do more to lower the income they receive from excessive gamblers or minor players. Statistics from 2019 demonstrated that 38.3% of GGR comes from problem gamblers, out of which 20.7% comes from excessive gamblers.

The initiative comes as France continues to struggle with high problem and underage gambling rates. According to L’Observatoire des Jeux, there were around 1.4 million at-risk players in 2020, 400,000 of which were problem gamblers.

Furthermore, while underage gambling is illegal, it is a grim reality. According to OFTD’s latest EnClass study from 2021, between one in four college students claimed to have already gambled at least once that year. Another study conducted by the SEDAP had a whopping 34.8% of minor respondents say they are active gamblers.

Licensees Must Do Better

The ANJ hopes to drastically reduce the money operators have taken from problem gamblers in 2022 and told its licensees to take immediate and definitive action to improve their practices. The regulator outlined a few criteria, ordering companies to make improvements in four categories.

The regulator told licensees to improve their underage gambling prevention protocols and protect minors from the dangers of gambling harm. Operators will therefore have to communicate to players that only adults are allowed to play and check user IDs.

Gambling companies will also have to modify their measures concerning the detection of excessive players and take action once such customers are identified. Better monitoring systems will help operators prevent problem gambling. Diversification of the problem player support measures will also lower risks, the ANJ said.

In addition, companies will have to examine their games and be careful with offerings that might appeal to minors. Operators might have to reevaluate their portfolios and avoid games of addictive character.

Lastly, gambling companies should make sure to better inform clients of the dangers of excessive gambling, while making sure to promote responsible gambling tools to their clients. The ANJ also asked companies to include detailed information about the chances of winning or losing.

Licensees must provide the ANJ with an update on their results in reducing the GGR they take from excessive gamblers. At a later date, the ANJ will publish a practical guide on the identification and support of problem gamblers. The guide will be consulted with various stakeholders before being published.

Sports betting and gaming operator BetMGM announced that its marketing and advertising campaigns will feature responsible gaming messages starting from March 1.

Responsible Gaming Messaging

The brand co-owned by MGM Resorts and Entain will align with the Problem Gambling Awareness Month initiative by introducing responsible gaming messages within its mobile app and across all advertising channels.

“As the legalized sports betting and online gaming industry continues to expand, it is vital that we not only equip players with tools and resources for how to play in a responsible and safe manner but that we also make a significant commitment to showcasing responsible gaming in our advertising,” commented BetMGM’s CEO Adam Greenblatt.

Developed in partnership with GameSense, responsible gaming messages will appear on physical billboards, prints and on-property signage within BetMGM Sportsbooks in the US and Canada, as well as on television, radio and BetMGM’s digital and social platforms.

GameSense’s integration with BetMGM’s digital platforms allows the gaming operator to provide its customers with spending limit tools, information about the basic rules of gambling and access to highly trained GameSense Advisors, essentially guaranteeing the same experience GameSense ensures for them at MGM Resorts properties nationwide.

Moving in the Right Direction

The president and CEO of MGM Resorts, Bill Hornbuckle, and the CEO of Entain, Jette Nygaard-Andersen, also commented on the announcement, highlighting the importance of responsible gaming for both the industry and its consumers.

“With the continued growth of sports betting and iGaming, it’s imperative that our industry remain committed to supporting the best interests of our guests and customers,” said Hornbuckle, commending BetMGM for their commitment to responsible gaming.

“Technology is the key enabler in providing a safety net for our customers [and] building these tools with GameSense into the BetMGM platform is the best way forward,” said Nygaard-Andersen, reiterating Entain’s commitment to providing the safest gambling platforms.

The launch of responsible gaming messaging represents a significant step forward for BetMGM and the gambling industry in the US as it continues to grow but it is just the beginning of a process that requires continuous efforts to progress and evidence to step on, underscoring the essential role of research to tackling problem gambling.

To support research-based evidence and ensure the highest level of protection for players across the country, BetMGM partnered with the International Center for Responsible Gaming (ICRG) in November and provided a $180,000 grant to support the organization’s objective of educating people about the threat posed by problem gambling, the role of gambling advertising and best responsible gaming practices.

As the junket industry in Macau is continuing to adjust to the new reality, more than 90% of people who were previously employed with junket operators have not returned to the gaming industry.

Junket Operators Staying on the Sidelines

The figure was revealed by the president of the Macau Association of Gaming and Entertainment Promoters, Kwok Chi Chung, who also said that the majority of junket operators are currently staying on the sidelines, waiting to see how the VIP sector would restart under the new law.

With less than 10% of junket employees returning and just a few junket operators having resumed operation so far, the prospect of the sector is unclear. Kwok noted that he was not in a hurry to resume operation with his company either.

“As the profit of all the junkets comes from a 1.25% commission (on rolling chip turnover) and there is no more profit sharing with the casino operators, we are figuring out the new start under the new gaming rules,” Kwok stated as quoted by Asia Gaming Brief.

It seems that the resurgence in visitations to the Special Administrative Region (SAR) is not helping the junket sector to recover, but is in alignment with the new reality pictured by the local government, in which Macau’s focus is shifted away from VIP gambling and into a mass-centric model, and the once gambling Mecca is re-branded as a tourist destination.

Kwok also noted that most of the former employees of VIP casino rooms would gladly return to the sector as they do not feel the same level of financial security at their new jobs as taxi drivers or local food delivery personnel, wrongfully considering that their old jobs would pay the same level as before.

Kwok admitted that VIP room operators would not be able to pay the same remuneration for their employees as the new junket law limited junket operators to one source of revenue only – the 1.25% commission – and employees cannot participate in gaming revenue share schemes.

Difficulties Finding Jobs in the Sector

Information that former VIP workers find difficulties to return to the sector was confirmed by data released by the Macau Gaming Industry Employees Home related to a survey the workers union conducted in March last year.

According to the data, 85.1% of respondents confirmed they could not find work at the time, and for 70% of those who managed to find a new job in the sector, it took them more than six months to do so.

Yet, the majority elected to start working in retail or as taxi and delivery drivers, earning far less than they have earned before and are still being owed termination compensation.

The Bay State’s current gambling laws prohibit revenue share and cost per acquisition (CPA) agreements, effectively curtailing all affiliate programs. However, the Commission appears to recognize the value of such arrangements and has agreed to hold talks with operators before putting the matter to vote. Sportsbooks like Caesars are known for their extensive affiliate programs, so an amendment to existing regulations would be a substantial boon.

The MGC Will Hold Talks with Affected Companies

Massachusetts’ sports betting regulations currently prohibit all sports wagering operators from entering into agreements with third parties when compensation depends on the volume of clients, wagers, or the outcome of specific bets. These restrictions severely hinder all traditional affiliate schemes, restricting advertising, marketing, and branding opportunities.

The MGC recently announced an upcoming revision to that regulation, allowing cost-per-acquisition (CPA) and revenue share agreements. The regulator did not share what prompted their sudden change of heart. Many high-profile operators preparing for the 10 March online sports betting launch run extensive affiliate programs, which may have influenced the Commission’s decision.

Despite its initial confirmation, the Massachusetts regulator remains cautious. The MGC announced it would gather representatives of affected companies on 26 February to discuss the matter in-depth, collect necessary data, and gauge the overall sentiment towards current measures. On 23 March, the Commission will hold its final vote regarding the proposed changes and announce its decision shortly afterward.

Allowing Affiliate Agreements Will Significantly Bolster Operators

As 10 March draws near, the Massachusetts Gaming Commission is funneling most of its resources into ensuring a smooth and hassle-free online sports betting launch. However, the ongoing efforts do not appear to have impeded its primary function, as it recently tackled its first operator violations. The current drive to allow affiliates proves that the regulator can successfully handle many different tasks, which boards well for the future.

A lift on affiliate bans would significantly benefit many leading operators eyeing the upcoming online launch. Caesars, which relies heavily on such programs, would be one of the greatest beneficiaries of the proposed amendments. The operator has already launched its sportsbook app, offering wagering fans a preview of what they can expect.

Online betting in the Bay State will commence at 10 a.m. ET on 10 March and will be available via seven licensed sportsbooks, with two more launching in May. The delayed launch has allowed the MGC to test its procedures, review its first few violations and establish a constructive dialogue with operators, which is crucial for a well-functioning sports betting market.

VICI’s savvy choice of investments continues to pay off as its shares keep rising and net income soars. The REIT maintained its momentum during the last quarter, demonstrating substantial boosts across the most relevant metrics. Such impressive financial results provide a stable foundation for the investment trust to provide its shareholders with sustainable growth and rising value.

Financials Exceeded Expectations

Q4 revenues rose an impressive 100.9% year-over-year, reaching $769.9 million. Profits for the fiscal year 2022 also grew significantly. VICI made a total of $2.6 billion, an increase of 72.3% compared to 2021. Such a substantial revenue bump coincided with a sharp increase in adjusted funds from operations (AFFO), which increased 61.7% from last year to $1.7 billion.

These metrics are generally positive for VICI’s shareholders. Net income attributable to common stockholders rose to $1,117.6 million compared to $1,013.9 million for 2021. However, per-share prices dropped to $1.27 from $1.76. VICI attributed the decline to increased CECL allowance and the higher weighted average share count, which rose 51.4% year-over-year in Q4.

High-Profile Investments in 2022 Bolstered VICI’s Momentum

Such a meteoric rise in revenue is the direct result of VICI’s many successful partnerships throughout the year. In the fourth quarter alone, the REIT invested $51.9 million in Century Casinos in Missouri, acquired assets, completed the acquisition of the remaining 49.9% interest in MGM Grand/Mandalay Bay, and made a new lease agreement with Hard Rock related to Vegas’ Mirage Hotel & Casino, among others.

We… announced and originated approximately $4.5 billion of investments…, diversifying our relationships and expanding internationally.

Edward Pitoniak, CEO of VICI Properties

CEO Pitoniak was very pleased with 2022’s results. He shared that VICI was the only S&P 500 REIT to report a positive shareholder return and was now among the top 10 REITs in the RMZ REIT Index. Pitoniak was proud of the transformational acquisitions across Las Vegas, which made VICI the leading real estate owner in the Strip, laying a solid foundation for the coming year.

We are confident that our 2022… achievements will continue to put VICI in position for sustainable accretive growth and value creation for our shareholders into 2023 and beyond.

Edward Pitoniak, CEO of VICI Properties

VICI has successfully utilized its scale and liquidity, allowing for a flexible investment approach and a carefully curated portfolio of gaming and non-gaming assets. The recent acquisitions of four PURE casinos marked the REIT’s first foray into Canada, increasing the number of its gaming properties to eleven. With more expansions planned for 2023, VICI is well underway to maintain its upward trajectory.