As gambling continues to expand across the country, the issue of problem gambling is being pushed to the center of conversation. Several states have growing concerns about a possible rise in the rate of gambling addiction. Making matters worse, there are some media outlets setting their sites on betting operators, with negative articles and editorials. But we have to ask if the disparaging comments are warranted? Or are they exaggerating the issue?
Regulated sports betting may lead to more gambling addiction. That’s the logic many states are adopting these days. They say it will be an “unintended consequence” of legalizing the activity. And recently, operators like Caesar’s, BetMGM, and DraftKings are facing fines in Ohio for violating advertising rules. That includes failing to include a responsible gambling message in a prominent location in their advertising.
Another more serious violation found DraftKings sending direct mail ads to people who aren’t old enough to gamble! Talk about a stupid (and preventable) mistake! And it could cost them $150,000 in fines. Now lawmakers in Virginia, Ohio, and New York state are taking actions to address problem gambling. They have formed committees to study gambling addiction, and they are hiring more counselors to deal with the problems.
Massachusetts Regulators are also concerned. Sports betting will launch there soon, there regulators have expressed concerns over gambling operators having Media Partnerships. Then, down in Kansas, sports betting has been up and running for a while. But there are legislators who feel the topic of problem gambling needs a fresh look, and that the state is grossly underfunded to deal with the problem.
All of this is happening as just as sports betting operators increase their media campaigns leading up to the Super Bowl. That could just end up creating a perfect storm.
