In March 2024, the government of the Australian state of New South Wales (NSW) launched a trial to introducein a selection of hotels and clubs across the state. The trial, overseen by the Independent Panel on Gaming Reform, involves 14 venues and 32 players. Concerns have been raised about the trial’s effectiveness due to the limited number of participants.
By allowing players to load credits onto gaming machines using digital means such as a player card or mobile app instead of cash, the trial aims to improve transparency in gaming operations and reduce the potential for illicit activities. Currently, gamblers must use physical cash to top up credits or withdraw winnings.
Limited participation
Since the trial began in March 2024, participation has been far below initial expectations. Of the 200 people who initially signed up, only 32 have actively engaged in the trial, reports the Guardian. Additionally, the number of venues involved has dropped from 27 to just 14, with several withdrawing due to the costs and challenges of integrating the new technology with their existing infrastructure.
Opposition figures have criticised the low participation, questioning whether the trial will yield meaningful insights. Kevin Anderson, the Coalition’s gaming spokesman, expressed concerns that the restrictive nature of the trial and technical difficulties could render the collected data unusable. “Only 32 people in all of NSW have signed up, which begs the question: why would people participate when it’s nothing more than a research project?” Anderson said.
Government remains optimistic
Despite the setbacks, Gaming Minister David Harris remains optimistic about the trial’s potential to provide valuable insights. He explained that the trial is still in its early stages and that feedback from both participants and those who opted out will be essential in shaping the future of cashless gaming in the state. “We’re getting a really good picture of what works and the pitfalls,” Harris stated, acknowledging that the technology is still evolving.
Future of cashless gaming
Cashless gaming has been presented as a potential solution to both gambling addiction and financial crimes. The Independent Panel on Gaming Reform will report its findings to the NSW government in November 2024, offering recommendations on whether the initiative should be expanded or adjusted based on the trial’s outcomes.
The trial will also investigate the impact on employment and industry, infrastructure requirements, and potential challenges that come with implementing cashless gaming on a wider scale.
The trial is part of a broader reform package, which also includes reducing cash input limits on new gaming machines and limiting the number of poker machines available in NSW. These reforms are designed to address issues highlighted in a report by the NSW Crime Commission, which found that billions of dollars in “dirty cash” were being laundered through the state’s poker machines.
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