MAGAZINE E-PLAY AFRICA 1/2020

NR 1/2020

KENYA SCRAP

controversial 20% tax betting stakes

GAMING IN AFRICA POST COVID -19

HISTORY OF GAMBLING IN MAURITIUS

HISTORY: ONE ARM BANDIDS

Dear Readers, We present the first volume of Magazine E-PLAY Africa to read. It is a continuation of the previous two series of this periodical, the previous ones were published in Polish and concerned the gambling industry in this country.

Starting the Magazine E-PLAY Africa series, we want to interest our readers from the gambling industry in this continent and bring closer the events of this region. The magazine is a continuation of the website https://e-playafrica.com that we publish, in which we have been presenting news and interesting gambling events from various African countries for a year now.

The COVID 19 epidemic which shocked the whole world and inhibited all activities at most stationary game points and among bookmakers, due to the suspension of sports games; it also caused a business reshuffle on the market in many countries, including Africa. To this day, it is not possible to operate legally in shops and casinos in most African countries, which causes fear that the epidemic will spread beyond a controlled scale.

We, however, did not slow down and present fresh industry news on our portals every day, there is always something interesting going on that is worth bringing to our readers.

We want this Magazine to have a popular and scientific form, we will present not only news and events from the last period, we will also introduce and present interesting companies from the region and the world. We plan to publish a series of articles on forms of gambling, we will present the history of games and places where gambling was practiced around the world.

We will try to supplement the information provided on the portals, however, here it will be more studies and analyzes of events and our subjective judgments.

We cordially invite you to read the next editions of Magazine E-PLAY Africa, cooperation in the selection of topics for presentation is always welcome. Please contact the Editorial Office at office@e-play.eu I wish you a pleasant reading of the first volume our Magazine.

Iwo Bulski Publisher

In the issue: 5/7

Gaming in Africa You Should Know Post Covid-19

9/12

Market report

14/16

Everything you need to know about Daily Fantasy Sports

19/21

Mozambique makes revision to its Gambling Laws to attract investors

23/25

Casino security

27/28

History of gambling in Mauritius

30/31

Post COVID 19 could see crypto surge in Africa

33/35

Internet terminals for bookmakers

37/39

What you need to know about DR Congo

42/45

One-armed bandits – how the slot machines evolved

47/48

Lootbox – guilty or not?

50

SiGMA Group will launch SiGMA Africa in Cape Town

Gaming in Africa

You Should Know Post Covid-19 The region is the second most populous continent globally; the gambling industry in the area is one of the out sorted businesses that are experiencing exponential growth in the last five years. Especially the love-affair for sports, particularly the sub-sector football betting, is booming.

Adeleye Awakan Author E-play Africa, sports betting reviews, thoughtful leardership articles in Africa gambling industry, marketing gaming platforms in Africa with strong networking relationship with gaming operators in Africa, Expertise in PR, marketing communication, and consultant on gaming in Africa.

P

erhaps experts in the industry have come up with different opinions due to the tremendous growth of the African gambling industry as experienced, and some attributed to a vast demographic the region boast. In contrast, some experts said digital transformation, digital inclusion in sectors such as banks, Telecos, and the FinTech sector, such as mobile money access. Along with mobile-first, which is the norm among young African adults and internet penetration in the continent, as stated, Africa's demographically has the world's youngest inhabitant. By 2030, one in three on the planet will live in Africa, which will contribute to the massive success of the Africa gaming ecosystem over the next decade.

The African economy is another critical sector of the gaming ecosystem, the regional economy of the Covid-19 crisis will plunge compare to the 3.5%GDP growth the continent experience over the last five years. All could threaten due to the Covid-19 pandemic, which the COVID-19 crisis will threaten nearly 20 million jobs in

Africa both in the formal and informal sectors, which will result in youth unemployment that will, twice that of older adults, which Africa demographically has the world's young people. According to recent reports by (AFDBA) Africa Development Bank amid COVID-19 pandemic impact on the African economy outlook, real GDP in Africa projected to contract by 1.7 percent in 2020, which corresponds to a GDP drop of 5.6 percentage points from January 2020. Pre-COVID-19 projection in the worst-case scenario, if the pandemic continues beyond the first half of 2020, there would be a deeper GDP contraction in 2020 of 3.4 percent, down by 7.3 percentage points from the growth rate of 3.9 percent projected before the Covid-19. With the expected decrease of growth, Africa could suffer GDP losses in 2020 between $145.5 billion (baseline) and $189.7 billion (worst case) from the pre-COVID-19 estimated GDP of 2.59 trillion for 2020.

However, the report states the most affected economies on the continent projected to be those

with the weak healthcare system, those that rely heavily on tourism, international trade, and commodity exports, and those with high debt burdens and high dependence on volatile global financial flows. The overall impact of the pandemic on socioeconomic outcomes, however, remains uncertain. It will depend crucially on the unfolding epidemiology of the virus, the extent of its effects on demand and supply, the effectiveness of public policy responses, and the persistence of behavioral changes.

The AfCFTA, African Continental Free Trade is a lifeline, but still another sector that is threatened by the Covid-19 crisis. The initiative of the deal is the Africa Continental Free Trade Area (AFCTA) envisioned as the world's largest free-trade zone. That will unite 1.3 billion people, create 3.4 trillion economic blocs, and boost trade within itself. Heat commerce in the region removes all trade barriers, taxes, and free flow of goods in the area but expect to commence in July 2020. Still, due to the Covid-19 pandemic delay, the

5

implementation of this project but shifted to the later months of the year could boost the plaque economy of the region that has been affected by the crisis.

Leveraging on the Crisis However, the African gaming in-

6

dustry could use this crisis to its advantage; no doubt, the Covid-19 crisis had a significant impact in all sectors; still, the gaming brands could benefit from the pandemic.

Perhaps the economic situation plays a vital role in the gaming ecosystem, a robust financial position, will see players with full fi-

nancial staking power will increase because the amount punters will stake on gambling will increase. In contrast, we will see an increase in (GGR) Gross Gaming Revenue for gambling operators. However, in a situation where the economic situation is weak regarding this, it will result in small players in the sense

that the amount punters will stake on the bet will be minimal.

Perhaps this will have conundrum effects on gambling firms; it could also positively impact gambling brands. As stated above, with an estimated million people to lose their jobs due to COVID-19 in Af-

rica will see a new set of bettors emerging in such a precarious situation where a lot of youth will become jobless. These could create another window of opportunities for gambling firms as new sign-up of new customers, especially for those that lost their jobs. They will consider looking for other sources

of making money. Finally, based on the popularity of sports betting among young adults in sub-Saharan Africa, it is poised that several numbers of bettors will emerge along with the projected population in the continent. n

7

Market report Kenya scraps controversial 20% tax on betting stakes Kenya’s government has scrapped a 20% tax on betting stakes and winnings that was imposed on betting companies in 2018. The decision to impose the tax led to the closure of several betting companies including one of the biggest called SportPesa.

SportPesa at the time pulled out of all local sports sponsorship after it lost a court case challenging the government’s decision. The company however appealed the decision last year and a tribunal ruled that the tax should be charged on winnings, and not the stakes placed. Three-quarters of 17- to 35-year-olds in Kenya surveyed admitted to having placed a bet.

The government said it increased the tax on sports betting sites, because it was worried about the effects of gambling. The removal of the taxes now according to experts could once again breathe life back into sports betting industry Kenya. Kenyan officials last year also launched a major crackdown on betting companies suspending licenses of 27 of them. The act affected top betting brands like SportPesa and Betway, some of these betting firms sacked some of their staff. n

Angola authorizes betting and online gambling with licenses for 10 years

The Angolan Government published the regulation that establishes the rules for companies interested in the online gambling and betting business, practiced at a distance through electronic, computer, telematic and interactive media or by any other ways.

In the African country, the licenses will last for 10 years and anyone who has regularized contributory and tax status may apply. The authorization, signed by President João Lourenço, establishes that the so-called “remote online gaming” will be marked and framed in a perspective of supply and demand and in which the principles of preventing excessive gambling will be safeguarded.

Among the various conditions imposed on interested companies, they will have to have a bank account with an Angolan financial institution, as well as identify all their shareholders. It is also mentioned that the payment of the prizes will be made in national currency (kwanza) and through bank transfers. The new regulation establishes that the entities will have to install and maintain a technical system for the exploitation of online gaming and betting, create a registration and an account for each player, define the bonus allocation policy, as well as pay the prizes in the amount informed. n

Why gaming in Burundi is business as usual Burundi is an East African country, landlocked by bordering countries; DRC, Tanzania, and Rwanda. This country has a population of 12.7

million people as of 2019. The capital city is Bujumbura which is the pinnacle of gaming activities in the country.

Bujumbura hosts the largest casino in the country, the Lydia Ludic Casino. Gambling is illegal in Burundi however, casino gambling is allowed in one casino in the capital city based on the intention of job provision for the locals. There is a national lottery in Burundi as well, which is popularly known as LONA which is conducted for charity purposes. Most of these online lottery sites are illegal, however, the gambling community can access offshore online gambling sites. Other forms of gambling include sports betting, poker, and Bingo. The gambling industry is rather undeveloped since the locals are the major players in the only land-based casino. This is as a result of the soiled history by the wars between the Hutu and Tutsi communities. It’s quite obvious that tourists are not attracted to this country for these reasons. n

Exciting time ahead for Ivory Coast – lottery industry Ivory Coast is a West African country located on the Gulf of Guinea. The country boasts magnificent beach resorts and a legacy of French colonial architecture.

Just north of the business district in the nation major urban centre and de facto capital of Abidjan city, which is made up of 31 regions across the country, though gambling is legal as well as online gambling in the country. However, few

9

months ago, the Ivorian Delegation visited the Ghana authority to further understand the new business model, ongoing reforms and learn from Ghana success stories particularly over the period of three years from March 2017 up to date.

However, according to the Ivorian, they choose to learn from Ghana gaming authority due to the overwhelming credibility and integrity of the country’s Lottery systems.

Also, with the aim to learn further from the Ghana lottery board, their new business model which revolves around digitization and creation of a Cashlite system through E-kiosk concept and Android Point of Sale Terminals.

However, the whole motive behind these moves is how the government intends to utilize the era of digital transformation which is disrupting the Africa gaming ecosystem. The country board led by the Chairman of LONACI known as Mr. Dramaner Coulibally said after the tour, what they have gained during the process, and that the country plans to implement in few years’ time, some of which we include the E-kiosk concept is to better serve customers experiencing replacing the old wooden kiosk across the country. Part of what the kiosk would offer in service such as lottery products, banking, mobile money, receiving of remittance, payment utilities, courier service as well as payment of television fees. n

Kenya’s Casinos on the path to recovery as tourism reopens on August 1st Kenya is one of the top casino markets among the six African jurisdictions considered relevant in the gambling industry over the years.

Kenya’s casino scene has some of

10

the most alluring casino outlets you could find in East Africa, such as Casino Malindi, Florida Casino, Golden key Casino, Bollywood Casino, InterContinental Hotel Nairobi Casino, and Safari Park Hotel and many more. Kenya is also notorious for East Africa’s tourist hub as it boasts one of the top hospitality and possesses many tourist attraction sites. Kenya is one of the advanced economies with plenty of technical innovation and startups in East Africa. n

Ghana: NLA, VAG Grants Licenses to Private Lotto Operators The National Lottery Authority (NLA), in a collaborative agreement with the Veterans Administration, Ghana (VAG), has granted licenses to five private sector lotto operators in the country.

They are the Lotto and Lotteries Company Limited, Alpha Lotto Limited, From Home Company Limited, Vision 2000 Company Limited, and Rand Lotto. The Licensing of qualified private sector lotto operators were done under the approval of the Board of the National Lottery Authority(NLA). According to a statement from the NLA, the licensed lotto operators have been given the greenlight to operate lottery under Act 844 regulated by the Authority in accordance with Act 722. Accordingly, it said persons who engage in illegal lottery operations will be arraigned before lotto courts across the country.

The statement said the NLA will, in the coming days, publish a list of licensed lotto marketing companies under Act 722 and the second batch of licensed private sector lotto operators under Act 844 to the general public. n

Sports Betting in Uganda is Growing, but can eSports Surpass it?

People in Uganda just love sports.

They have a particularly soft spot for football and top tier European competitions. In fact, you would rarely see them miss an English Premier League derby match and most of them are loyal supporters of some of EPL’s Top 6 teams.

When sports and football betting exploded in popularity around the world a couple of decades ago, Ugandans accepted that phenomenon wholeheartedly. They took to betting like a duck takes to water and have not looked back since.

Betting operators have been working in Uganda for quite some time and the country already has one of the most developed networks of offline betting providers in Africa.

What is more, all legal bookies are regulated by the National Gaming Board and these days there are more and more companies accepting online bets. This is something which is of particular interest for Ugandans at the moment as they have to spend more time at home due to Covid-19 lockdown measures imposed on them. n

Sun Internationals begins to reopen some of casinos in South Africa Sun International’s urban casinos are reopening in South Africa with restricted tables and slot machine capacities, and with physical shields

installed between slot machines and between seats at gaming tables.

Every second slot machine has been disabled to ensure appropriate physical distancing between guests on the casino floor. Safety measures include temperature tests conducted at entrances, while only members of Sun International’s loyalty program – Most Valued Guests (MVGs) – will be allowed access onto the casino floor for the foreseeable future. They will also be required to complete a medical screening questionnaire in advance of their visit. n

The proliferation of football lottery in Nigeria and its social and spiritual consequences One of the fashions that is taking the youth sub-culture like wildfire in Nigeria today is the art of football lottery. The art of sports lottery and football lottery, in particular, has been a global phenomenon, especially in western countries with organized and successful sporting programs. It is a multi-billion pound industry in

England and the USA. The introduction of the European football leagues on TV in Nigeria and the large followership that ensued promoted the business of sports lottery. A lot of investors came on board while a lot of fans have been initiated into the lottery with some making huge sums of money from it. Football lottery has no doubt created a lot of job opportunities for the Nigerian youths who run betting outlets as agents. However, on the flip side, it has opened the door to crime and some anti-social acts which if not controlled, can have a negative social and spiritual effect on the youths in the future. The industry has been licensed by the Nigerian Lottery Commission and so it is legal to engage in sports betting in Nigeria. However, there is a need to sensitize the youths on the social and spiritual consequences of betting which falls under the ignoble act of ‘gambling’. n

Casino business in Tanzania to pick up

The country’s commercial capital, Dar es Salaam, as reopening the entire economy after the government gave the directives to revive all essential sectors of the country’s economy, especially the tourism industry.

After, which there have witnessed a significant reduction in coronavirus cases.

The Tanzania economy that has been on two months lockdown due to the Covid-19 pandemic outbreak, after the directives of the government, over the past few weeks we have seen tourists industry returning to normal.

Whereas, the country now allows for an international flight land in the country industrial city Der es Salaam. While also they are the first East African nation to fully reopen the economy, definitely Tanzania government as shown others how to manage the virus.

They are recharting a new path in the management of the deadly virus that has infected more than 5.1 million people across the globe while it has killed over 333,000 in about six months. In contrast, the Tanzania airspace has opened up for international arrivals which entrants into the country will now only have their temperatures checked on arrival, as per new guidelines issued by the Ministry of Health. n

11

youth in the country. Which 68% of the people age less than 25 years, an estimated 56 percent of the Democratic Republic of Congo urban population is underemployed. n Sports betting booming in DR Congo but comes with addiction cost Sports betting is legal in the Democratic Republic of Congo. Sports betting is a monopoly of the state-run SONAL, the Congolese national lottery 60% owned by SONAL. And the remaining 40% in private hands, much like the National Lottery in the UK, proceeds from running it after winnings been paid out, to fund socio-economic activities and causes that serve the public interest. However, the Democratic Republic of Congo has never been one of Africa’s gambling hot spots, but the popularity of sports, particularly football which is the home to enthusiastic football fans. Both local and international matches at the same time high unemployment have also made gambling a popular way to make quick money among

12

The status of gambling in Madagascar Gambling is legal in Madagascar, all various forms of gambling activities, from casinos games to sports betting and lottery are permitted in the country.

Madagascar officially named the Republic of Madagascar; the island country located in the Indian Ocean, off the coast of East Africa.

Madagascar had been a part of the French Colonial Empire from 1897 until it gained its independence in 1960. Today French remains an of-

ficial language in the country along with the local language, Malagasy.

The country’s population of over 26 million people, the capital city is Antananarivo and some of the largest city, Toamasina, Antsirabe, Franarantsoa, Mahajanga and Toliara.

Online casino gambling is not explicitly regulated at the moment by country’s gambling laws.

The current gambling laws were passed before online casino gambling gained its current popularity; therefore, the legislators had not deemed it necessary to specify what regulations apply to the online version of casino games. However, recently the Ministry of the Interior and Decentralization, the body supervising casino gambling in Madagascar proposed to revise and actualize the Malagasy casino gambling regulations. n

You can always read the latest news on gambling industry in each African country at: https://www.e-playafrica.com

Everything you need to know about

Daily Fantasy Sports Peter Situma is a lover of football and a staunch supporter of Chelsea Football Club. He has been working as a sports betting and casino gambling writer for over 5 years. He is also interested in technology and playing FIFA

Daily Fantasy Sports involve contests in a variety of fantasy sports games that take place in a few days as opposed to the traditional betting that occurs during an entire season. Players compete with each other by placing bets with online sites to win. DFS involves building teams by selecting professional players and athletes from a pool of players. The bettor earns points according to the performance of the individual players in their team.

Africa is increasingly adopting this kind of betting in various countries.

DFS at a glance Daily Fantasy Sports are arguably games of skill as opposed to traditional sports betting which is majorly a game of chance. Good skills

14

in DFS are necessary especially the knowledge of various sports and the performance of the individual professional players. Before you can bet on a player you need to understand their skills and how

they compare to those of other players. In Africa, gamblers place bets players of the most popular leagues such as La Liga and the English Premier League every season. These championships

are amongst the well-paying, and elite players portray great abilities worth supporting. The popularity of these kinds of sports in Africa is, therefore, attracting attention from various providers. This is especially because some of the players are of African descent, thus receiving the unwavering support from their home countries and the entire continent at large.

for brands like Betland, Supabets, 360Bet amongst others. These brands are among the most reliable and popular bookies offering their services in different countries in Africa.

The nature of these sports has necessitated the formation of different levels of betting. One can bet on a level that best suits their skills. For instance, a beginner can start placing bets in beginner-level contests, which require less or intermediate skills. This is a much better way to start as you climb up the ladder.

The booming of the DFS betting industry has been attributed to the fact that most of the time players tend to lose, therefore, most of the money goes to the operator. This has prompted many operators to consider offering this kind of betting. Although, the good news is that we are arming our players by providing crucial information on the subject to make sure next time both new and old players get to win. Now that you know what DFS betting is all about, I will guide you on how to play.

Intelligent Gaming and Technology companies are partnering with bookies to provide fantasy sport across Africa. Intelligent Gaming, for instance, is the gaming provider

How to place daily fantasy bets Daily fantasy is offered in some clubs, land-based casinos, and most online betting platforms.

Creating an account is very easy

since all you need is a mobile application. Once you open an account, build your team by selecting players carefully, place your wager, and collect your winning after the results. We always advise you to read carefully through the rules and regulations of every site before considering using their services.

Make use of betting guides offered by the site. Below is a step-by-step guide on how to place a DFS bet.

1. On a DFS Website, Create an account.

The very first step is to choose a site from the option s available. After settling for your best site, open a bettor’s account on the site.

Make sure you read the beginners’’ guides offered by the site. Explore the site and understand the interface to make it easier to maneuver the account during actual betting.

2. Select a contest, sport, and game style.

Your selection of the above three

15

things will depend on your skills and preferences. If you are a beginner, just go for the beginner-level contest, which is easier and less complicated and has a higher probability of winning. Select your favorite sport. This is because you are more likely to know your players well. Usually, most sites offer contests for football, basketball, hockey, soccer, and baseball.

There are a variety of game styles to choose from, which I like to call “bets”. This is because they resemble types of bets in the traditional sports betting. These styles include “Head-to-head”, which involves playing against a single seasonal opponent, and “Double- Up” games, which are more promising.

This is because the latter assures you 100% payout if all your players finish among the 50% of all players.

3. Build a team This is the most crucial part of the process. You need to build a team from the list of professional players. The stronger the team, the higher the chances of winning. You can select any players but within the salary cap. Remember you

16

earn points from your team’s performance, so choose wisely.

Top 3 countries in Africa with the most established fantasy sports.

1. South Africa South Africa has a couple of offshore sites that accept its gambling residents. Fantasy sites operating in the country include FanTeam, The Six Daily Fantasy Soccer, TheFantasyFootball, and PlayOn 2. Kenya

The largest fantasy sport platform is Kocha Pro. This platform is known for its simple interface, and a great player combination for the teams.

3. Nigeria

There are 3 sites for fantasy sports in Nigeria. These sites include Fansbet, Draft Kings, and Bethard.

Conclusion Daily Fantasy sports are an interesting and relatively new form of gambling. These fantasy sports involve you making your team of

your favorite professional players.

You earn according to the performance of your team's players in real-world sports. Competitions, usually referred to as "contests" are normally conducted over a short period of time, such as one day or a week. Punters earn their pre-determined share from the "pot" of funds contributed by all punters as their entry fees. DFS is still very young in Africa and only a few gaming brands offer these services. Punters get to place a maximum budget on their athletes.

This cost varies from the most elite players to the least elite players.

This means that gamblers have a safe limit for gambling, therefore, not likely to be exposed to problem betting.

E-play Africa is a platform that gives you accurate updates on all gambling activities and related news. DFS requires that you have a great knowledge of players from your favorite teams. Whether you are football, netball, baseball, or basketball player, we provide you with incredible news and detailed histories of these players. This is just what you need to create a winning DFS team. n

Wazdan launches its newest game

Infinity Hero™

Wazdan introduces a new title to its sizeable portfolio of over 120 games – Infinity Hero™. The new game, based on its comic book title character, provides an exclusive mix of a distinctive and enjoyable design with unique in-game features and multipliers, giving players an opportunity for infinite entertainment.

W

azdan is a well-acclaimed brand, known in the iGaming industry for its passion for games produced with the utmost attention to details – their latest launch Infinity Hero™ is a perfect example of both. The company’s commitment to delivering immersive experiences to players results in a truly entertaining story and artwork, together with a wide array of fun bonuses that create a one of a kind atmosphere in this 5-reel, 20-paylines slot that pays up to 13 000x player’s bet.

The latest launch from Wazdan offers a set of Unique Wazdan Features, which give players freedom to customize their gameplay. Infinity Hero is injected with Wazdan’s world-first Volatility Levels™ feature, a Unique Gamble Feature which allows players to interact with the game’s lead character in

a mini-game with the chance to double their wins, and a Free Spins feature with Infinite Multiplier that increases the win-multiplier with every win.

Players who do not wish to wait for the Free Spins with Infinite Multiplier bonus to trigger, now have an opportunity to enjoy it at any time they want. Wazdan’s innovative Buy Feature allows players to purchase the bonus – without needing to wait for it to be triggered, which greatly adds to the overall gameplay experience. „We are excited for Infinity Hero™ to join our portfolio of more than 120 HTML5 slots. Infinity Hero utilizes a super hero theme that takes comic book slots to the next level with easy on the eye fun graphics, and our exclusive Unique Wazdan Features, all sure to guarantee this game will be much loved by our players and operators alike. It has been a busy year for our team, but we are still pushing forward and have plenty more big news to come for 2020.” says Andrzej Hyla, Head of Sales at Wazdan.

Be sure to follow all the latest news at www.wazdan.com ABOUT WAZDAN: Wazdan is a popular game producer, de-

18

veloping innovative casino games that deliver an original, fun and truly omni-channel player experience. Offering an extensive game library of over 120 HTML5 slots, table games and video poker games, Wazdan is gaining popularity in the iGaming market thanks to the great quality of their games, interesting themes and engaging gameplay. Wazdan’s game portfolio consists of such popular titles as Magic Stars 3, Great Book of Magic Deluxe, Magic Target Deluxe, 9 Lions and Fruit Mania Deluxe as well as amazing new slot games, including Reel Hero™, Sonic Reels, Lucky 9™, Black Horse™ Deluxe, Neon City™ and Butterfly Lovers™ among others. Wazdan releases new, exciting titles on a regular basis and equips them with Unique Wazdan Features: innovative Volatility Levels™, Ultra Lite Mode, Ultra Fast Mode as well as the latest Big Screen Mode. Wazdan holds a number of European trademarks including a trademark for their world’s-first Volatility Levels™. Their extensive portfolio of clients includes some of the top gaming operators in the industry. The company is headquartered in Malta and holds licenses issued by the MGA, the UKGC, Romanian National Gambling Office ONJN and Curacao eGaming, and is certified to offer their products in Estonia, Latvia, Lithuania, Portugal, Romania, Spain and Sweden. Furthermore, their games use the RNG certified by the GLI, which ensures reliable, fair and secure gameplay.

Follow Wazdan on social media: Twitter, Instagram, Facebook and Linkedin.

Mozambique makes revision to its Gambling Laws

to attract investors

Adeleye Awakan

Mozambique's president has signed into law revision to its gambling legislation that legalizes online gambling, along with new land-based operation to permit slot machines in non-casino areas and permission for casinos to be built anywhere in the country. Part of the new law includes provisions cutting the minimum company investment required from the previous $15 million to $8 million this week.

H

owever, the move came as something of a surprise to the industry stakeholders, as the country legalized online gambling in 2009 and received

nowhere near the attention that its more significant and more influential neighbor South Africa has been given. The South African industry that has an impressive so-

phisticated financial and technical infrastructure has been researching the legislation of online casino gambling. The development of an online gambling jurisdiction for

19

literally years with the much-anticipated research has been delayed bedeviled by political debate, fact-finding missions, and generally slow official progress. However, part of the Mozambique mission is to make the country hub of the gambling industry by promoting its tourism sector while allowing for the online casino gambling legislation in the country. To meet up with the standard of its neighbor, while the government is putting all measures in place to enable an enabling business environment to attract international gambling brands operating and outside the country to come to invest in the sector.

Previous legislation & Current Challenges All forms of gambling are legal in

20

Mozambique since 1994, regulated by the state, the gambling act of 1994 and online since 2009.

The act of 1994 had stringent restrictions like all casinos have to be 50km away from a city, being part of at least 250-room hotel, and a minimum investment of $15 million. Perhaps, an amendment of 2009 to the law of 1994 made some changes regarding the casino business, sports betting, and lottery. It lifted previous restrictions that made certain areas off-limits for gambling operations.

Simultaneously, the 2009 amendment, which sees online gambling operation, becomes legal in the country, which part of the changes state that online casinos may only be operated in the country. If only they obtain a gambling license from Mozambican gambling au-

thority, the ComissĂŁo Nacional de Jogos.

Meanwhile, some of the recent years' changes have attracted investors from South African hotel giant Tsogo Sun in Maputo. The country's Portuguese-styled capital, while the country first casino the Polana opened its doors in the capital city in 1996, the most massive local brick-and-mortar operation in the country, boasting 120 gaming machines which spread across over 4,000 square feet.

In contrast, the casinos are seen as legitimate, regulated entertainment sources, situated near high-class restaurants and hotels, and local reports indicate that the country's growing middle class and the influx of Chinese and Indian workers

have provided consistent revenue to the capital's casinos. Moving out of the capital, properties located in beach-side towns such as Namaacha and Beira attract a steady stream of South African and Zimbabwean tourists, looking to take advantage of Mozambique white's sand beaches and tropical reefs.

However, there are still challenges that the government must address to ensure sustainable growth in the sector apart from the revision of gambling laws—the staffing and bureaucracy amongst the critical concerns for operators. Mozambique comparatively underdeveloped casino sector means that there are few experienced staff available to man venues. The casino operators tend to hire from abroad, particularly supervisors and managers, as it can be challenging to train people. Perhaps the bulk of these workers are from nearby South Africa. Its hoped that a more streamlined approach to hiring foreigners would be implemented within the government. Operators argue that skilled staff is necessary to maintain high standards of operation on the casino's floors.

Another issue is the bureaucracy surrounding the licensing process initially, which could take months forever to get this is partly due to being in the early stages of establishing a modern legislative framework in the wake of the political upheaval during the last few decades. However, the government is proving flexible in its approach to attract commerce, growth that is happening slowly in the country.

Presently, a lack of manufacturing capacity means that Mozambique relies on imported machines, predominately from China, a similar scenario that is facing several African nations.

vulnerable. In regards to that, a responsible gambling policy would need to form part of any future reform of a country's gambling regulation. Incorporating measures to restrict minors from gambling, which address gambling addiction, for instance, is that even in the case of the existing laws the country already has, which there fail to enforce them, which applies to many areas. It is essential the country address some of these challenges in due course even if laws amendment to attract foreign investors into the country.

Mozambique Economic Outlook 2020 Amid Covid-19 The pandemic expected to significantly impact Mozambique's economy, interrupting a nascent recovery following the economic slowdown in 2019, mainly due to the negative impact of cyclones Idai Kenneth. To mitigate the pandemic's impact and preserve macroeconomic stability, the government has taken several steps to increase health spending, strengthen social protection to the most vulnerable, and support micro, small and medium-sized businesses. After which the (IMF) International Monetary Fund ap-

proved a disbursement under the Rapid Credit Facility (RCF) of SDR 227.2 million (about US$ 309 million). The country's GDP estimated to grow by 1.9%. The economic activity slows down in 2016-18, to an average of 3.7%, compared with 6.7% for 2015. this reduction resulted mostly from a decline in public and foreign direct investment according (AFDB) Africa Development Bank. The Mozambican GDP projected to grow by 5.8% in 2020 and 4.0% in 2021, with offshore gas discoveries estimated at 180 trillion cubic feet. The country has the opportunity to diversify its economy while enhancing its resilience and competitiveness. The gas sector which the investment of $23 billion projects.

To export Mozambique natural gas handled by TOTAL, this project as been touted to upgrade the country's subsistence agriculture into agribusiness. And support Mozambique's electrification. Through different energy solutions and foster other industries such as fertilizers, fuels, and metal mechanic. It could also enhance macroeconomic stability, with higher revenue contributing to fiscal surpluses and a sovereign wealth fund buffering external shocks. n

However, gambling is a good source of income to the government, provided that due enforcement of the law carried out and that it protects those who are

21

Casino security

how casinos around the world protect their money?

Iwo Bulski. Issues related to the gambling business is engaged in more than 30 years. My empirical experience gives me the opportunity to present events and companies from this business with full knowledge and industry knowledge.

One of the most important aspects when operating a casino is the security of cash flow operations carried out there during games. But how is the safety of the casino itself ensured?

Why is it so safe in casinos?

Security is a very detailed part of casino management, because it is essential for the protection of money, property, employees and casino players. The risk of crime, theft and improper behavior is higher in casinos than in other commercial fa-

cilities due to the large amount of money that goes through the casino and are kept daily in the casino.

At the beginning of gambling activities in these places of debauchery, over the safety of the casino, he was in charge of a few bulky bodyguards who were permanently on

hand to cope with troubles. There were also paddocks above the casino, which allowed the security personnel to pass the entire length and width of the casino floor at the ceiling level to keep an eye on the players and the croupiers.

However, as the industry was becoming more and more profitable

23

wrong age enters the casino. More sophisticated facial recognition software helps casinos to identify all blacklisted, casino-specific or suspicious people who entered their premises.

and more money was being traded in the casino, it became clear that improved technologies and other means were needed to fight crime.

What security systems are used in casinos?

The protection of the casino in the present modern era now consists of two independent factors - a physical team consisting of trained security and protection specialists and the most modern CCTV system.

A team of specialists can physically cope with problems in the casino and immediately react if a threat or signal is observed from the supervisor. CCTV works as an "eye

in heaven" and can observe more subtle attempts to break the rules of the casino. The American casino located on the Strip in Las Vegas, such as MGM Grand, can have over 2,000 cameras active simultaneously, which are connected to more than 50 monitors and viewed by many people from the security section.

The evolution of technology has also seen the possibility of using a range of other casino protection support systems that are implemented in them all over the world. These are scripts to check the identity of the player to preliminarily ensure that no-one at the

Most casinos have their own list of excluded players. This is due to the prevention, after finding unfair activities during the stay in the casino but also after the self-reported player who thus wants to protect himself from the impact of the addiction. Casinos that do not respect these arrangements are at risk both legally and financially, if despite the entry on the list, however, allow the player to stay and play. The player who will be on the list of exclusions, regardless of whether it is their own will, or on the request of a third party, playing on the machines or at the tables breaks the rules. That is why it is important that the list of exclusions and people on it are constantly updated and trained staff are constantly monitoring new arrivals. In casinos operating the registration and registration system, this is captured during entry, but in casinos where there are no accounting rules, these accounting systems are excluded. Failure to eliminate the excluded may result in the casino being fined or even suspended or, in the worst case, revoked license.

The security technology used by some casinos is sometimes very passive. Simply managers follow the rule: watch and wait. Arresting suspects may be quite a terrifying experience for other casino players. It can be assumed that the initial reaction of casino protection would be the most appropriate way to ensure security and eliminate the threat. However, casinos instead try to maintain their safety in a different way. In the event of danger or identification, the perpetrators of fraud use their digital technology to get as much information about the incident and the people involved as possible, and

24

then allow those who pose a threat to leave the casino.

ed to pay a certain limit depending on the casino regulations.

What do the casinos do with their money?

Why is this happening?

How do casinos keep their money?

The casinos are finally set up for profit. The phrase "the casino always wins" is commonly used because it is not far from the truth.

The casino is supposed to make a living for it, and finally the legislator, the licensor, assumes that the activities carried out in it will result in due profits in the form of taxes.

The money stored by the casinos serves not only to replenish the stock on the spot, but also to pay employees, improve safety at the casino and invest in the company itself. From the time when there were murmuring deals in the Wild West, buzzingly called Casino, to these days, these taboos in which gambling is protected are better than many embassies of a foreign state. The safety of every professionally run casino is the highest priority.

The casino knows that any confrontation can lead to a sudden ending of such an event that is not in the best interest of employees or players in this casino. Protection and safeguards begin when only the offenders leave the casino area. The perpetrators of fraud are very often detected by CCTV and evidence collected from eyewitnesses. We also analyze the habit of spending and suspicious activity, which can often be traced by paying attention to tokens or cash stolen from the casino. Persons who prove such a practice are inscribed on the list of the excluded and their identity is sent to other casinos as part of cooperation in the field of protection.

How much money does the casino keep in the vault?

This is one of the questions that the answer really depends on the rules and guidelines of the jurisdiction of the country in which the casino operates. For example, in the US, the Nevada Gaming Commission claims that the casino must have enough cash in its area (treasury) to cover every token that is in play on its site. This number may vary depending on the season and days in which casinos are particularly crowded. Big casinos in Las Vegas, such as Bellagio or Caesar's Palace, will try to keep anything over $ 70 million in the average day of the week. This number is approaching $ 100 million every weekend.

However, on great occasions, such as sports fights, Spring Break or March Madness, this number can go up to around $ 150 million. It is obvious that this number in smaller casinos is much lower, but even the smallest casino should store at least $ 20 million on the spot. In other casinos, the principle is to have cash in the cash supply need-

The money stored in the casino is available in two forms. These are chips dedicated to every casino and cash. The chips are used mainly on the tables for a live casino game.

These tokens are specially tracked and recorded. Thanks to this, all tokens that are the object of robbery after finding this fact will be marked. If they are used again in a given casino or another casino of this network, it will be recorded in the future and the person paying with them will be punished.

The cash reserves of casinos are stored in a number of safes in casino vaults. Undoubtedly, the most famous is the classic Hollywood movie, such as "Ocean's Eleven", whose plot revolves around the break-in to one of these vaults and the theft of money located inside.

Film as a kind of fiction presents only an approximate scale of security to protect these secured funds against theft. The reality is completely different but it is not the casino's business to cheat on it.

Why this is happening, the answer is very simple - because there is money. And these have always been the object of interest of everyone, from gamers to casino owners to concession grants - the state. n

25

History of Gambling in

Mauritius

Adeleye Awakan and Peter Situma

Gambling is officially legal in the island country of Mauritius. Not to be confused with Mauritania, the Republic of Mauritius is an island nation located in the Indian Ocean off the coast of Southeastern Africa.

M

auritius consists of two larger island, Mauritius and Rodrigues, as well as several small ones. The country has had a rather interesting history due to its strategic location of its undeniable island appeal. Mauritius was first visited by the Arabs during the medieval period and later by the Portuguese. The country was unpopulated until the Dutch Republic established a colony in 1638 naming the country after Prince Maurice Van Nassau. The Dutch colony was abandoned in the early18th century but the country became a French colony shortly after and named Isle de France.

The British gained control over the territory in 1810 which they

named the country Mauritius while in the year 1812 the British introduce the horseracing the Champ de Mars which is one of the oldest racecourses in the world the then British colony remained in charge until 1968 when Mauritius became independent.

The country adopted a new constitution and became a republic within the Commonwealth in 1992.

Mauritius laws are the combination of French civil law and British common law. Mauritius does not have an official language but due to the French and British rule the most widely spoken languages in the country are French and English.

The dominant religions Hindu 48%

and Christian 32% of its people, however, gambling in Mauritius pretty much became legal in 1973 while in 2007 the Gambling Regulatory Authority Act (GRA) was established by then president Sir Anerood Jugnauth to regulate the booming gambling industry the main responsibilities of the GRA are to control and regulate gambling and gaming activities and to ensure that such activities are conducted in a fair and transparent manner.

The GRA is administered by the Gambling Regulatory Board (GRB), under the Prime Minister’s Office, although online gambling is legal in the country under the regula-

27

tory Act of 2007. However, it is interesting to know that Mauritius one of the oldest horserace in the world and one form of horserace betting as been in existence in the country since 1812 which was introduced by the then colonial master while today the most common forms of gambling is legal in Mauritius to name a few casino, poker games slot games, bingo, lottery and sports betting.

Gambling is legal in this country, and the forms of gambling allowed include casinos, lotteries, sports betting and horse race betting. Every gambling facility operates within the stipulated laws and regulations and has to be licensed. The legal age for gambling in Mauritius is 18 years and above as it is with most African nations.

History of Land-Based Casinos in Mauritius Soon after gaining independence, in 1973, the government established the Gambling Act that legalized casinos in Mauritius. The Gambling Regulatory Bill of 2007 regulates all casino facilities and provides licenses for all gaming facilities. The government uses these taxes and levies for economic purposes. The Bill for Gambling also provides all casinos with the games that are legal and allowed in the country which every casino should adhere to avoid penalties such as revocation of licenses. The legal games include Blackjack, Oasis Stud, Roulette, and Punto Banco. Usually, both slot machines and table games are available for gambling in most casinos.

The Lottery MAULOTO is the National Lot-

28

tery operator in Mauritius that operates under the guidelines laid down by the Gambling Bill of 2007. This national operator does not operate as a monopoly, but instead, the laws allow for other types of lotteries such as private and society lotteries. The very first draw was conducted in Turf Club on 13th April 1940 and a second one followed the same year soon in June at the Hotel de Ville de Rose Hill in Port Louis. The national lottery is played by selecting a combination of 6 numbers between 1 and 60 (6/40 game). In 2009, the Lottotech was awarded a license to conduct the National lottery by the Gambling Regulatory Authority of Mauritius. Initially, the gamblers used to buy scratch cards with a combination set with 6 numbers which would determine the winner of the jackpot once the draw was conducted. This system was however replaced by the use of electronic tickets which players can buy online and have a chance to select the numbers before buying the ticket.

History of Sports Betting Horse races and football are the most gambled sports in Mauritius.

The capital hosts one of the oldest horse race tracks, the Champ de Mar. Usually, betting is available online or in a sportsbook in the hotel. The country has made legal most of the sports betting activities since 1973. In September 2004, a gaming act was passed to regulate and provide guidelines for sports gambling activities. Horse race betting takes the lead in Sports betting as one of the oldest sports dating back to 1812 with the very first race held at Champ de Mars.

Automatic Systems Ltd introduced the Tote system of betting in 1991 which was succeeded by the Totelepep in 2006. For this particular sport, phone betting was available as introduced for the Tote in 1994 and later in 2002, bookmakers took over phone betting. n

Post Covid-19

could sees Crypto Surge in Africa Adeleye Awakan

Africa set to be the next battleground for major crypto-asset exchange. The conditions on the continent are favorable for digital currency; South Africa, the leading and advanced economy in sub-Saharan Africa, could lead the charge in this digital crypto transformation.

In

contrast, due to current Africa's precarious economic situation caused by the pandemic crisis that projected that millions of job losses and shrinks the economy along with high inflation, that will result in the weak currency in the region. Could shape the local crypto markets, and in regards to these millions of the

30

people that are on the brink losing their jobs due to the Covid-19 pandemic would consider for other sources of income. While based on the popularity of crypto trading in some African countries, significant numbers of youths could turn to crypto trading. Perhaps, the continent is not new to crypto, that has to gain momentum over the years;

the interest of crypto investment, particularly bitcoin use, could surge in region known has been the second-most populous continent, and 60% of the people are below age 25.

However, as stated above, the high inflation rate, the economic situation could trigger crypto trading in

the region. In contrast, in traditional investment, Africa may not be bright spot unlike other continents, but the projected economic growth for 2020 still has threatened due to the pandemic crisis. Data from the International Monetary Fund (IMF) shows that Africa's real GDP expected to have an annual growth of 3.7% this year- higher than the global growth forecast of 3.3%. The IMF also forecasts that by the year 2023, Africa's economic expansion will accelerate to 4.1%. Still, all have hampered with the recent data from (AFDB) Africa Development Bank economic outlook 2020 amid the Covid-19 pandemic impact on the African economy outlook, real GDP in Africa projected to contract by 1.7 percent in 2020, which corresponds to a GDP drop of 5.6 percentage points from January 2020. Africa's growth prospects may appear in shatters for some investors; due to inflation problems projected to reach 9.38 percent in 2020, that could be higher due to the crisis.

Further, Africa's average inflation rate has been relatively contained and much lower than that of other developing economies. It observed that over an extended period, specific inflation rates across the continent show high political instability and economic issues still post COVID-19 in most of the countries in sub-Saharan Africa is expected to experience it. The inflation rate in these African countries can be as high as double or even triple digits. When the inflation rate is surging drastically, businesses face the challenge of appropriately pricing their goods, which significantly reduces consumer buying power.

many African citizens use bitcoin to counter hyperinflation in their country. It expected that the numbers would increase further due to the pandemic.

The report also says Nigeria, South Africa, Botswana, Ghana, Kenya, and Zimbabwe were among the African countries with the highest Bitcoin penetration rates. At the same time, other countries like Uganda seen gaining interest in cryptocurrency. An excellent example is Lagos, Nigeria; data from Google Trends shows that Lagos ranks as the number one city based on the volume of online searches for Bitcoin (BTC). Simultaneously, this data may indicate a high level of interest among the city's approximately 21 million people.

Another example is South Africa, a study that shows 10.7% of internet users in South Africa own crypto, making the country the highest ownership rate of crypto users globally, a review from which we are Social and Hootsuite. Also, crypto trading will surge in the region over the years, while its use would create opportunities for brands that accept crypto, unlike the gambling industry where prominent gambling brands allow the use of crypto on their platform to enable customers to deposit using cryptocurrency.

However, a weak currency leads to high crypto ownership, while a country's currency's strength could add another dimension to the crypto development in Africa.

n

This is where Bitcoin (BTC) and crypto come in to play, the high inflation landscape plus weak economic situation have provided an ideal environment to foster crypto markets in Africa. According to blockchain experts, the UN's Africa Renewal publication states that

31

Internet terminals for bookmakers

Iwo Bulski

Since the operation of bookmakers who have placed bets on a special elevation at horse or greyhound races, many years have passed. The allembracing technique and popularity among those willing to bet and the understanding of the legislator in many countries has led to the creation of a higher and more convenient form of betting without the need for a trained bookmaker's staff.

It

is understandable that the technique forces people to take a comfortable approach to many life issues by facilitating, modifying or replacing human work with a device or machine. This was not avoided by the companies that offered bets - even searching for solutions, how to replace human error, lasted for years. What's

more, modern devices allow for the integration of many functions necessary for quick and reliable use of the possibilities offered by the Internet - placing bets, deposits and withdrawals, payment card services - generally speaking - cooperation with online gambling.

At the present time there are sev-

eral producers of such devices that can provide service to licensed bookmakers. Each of the suppliers is able to provide technologically advanced and reliable devices for any recipient, following a simple rule: deposit - play - win - pay off.

The first presented by us such a producer is the Austrian company

33

CASHPOINT which is part of the holding Gauselmann - MERKUR and its flagship product - Bet Solo.

These terminals support the bookmaker's network called XTip and are mainly located in Germany, Austria and Denmark.

The BetSolo terminal makes it easy and secure to place bets on most

sporting events in the world. The possessed software of this device is linked with a convenient large interface and the betting service is updated twice a week. The only drawback of this device is the need to provide a fast Internet connection, which in the current coverage of most areas of Europe via Internet and telephone is not a major obstacle. BetSolo additionally allows you to make bets without the need for an employee to operate the premises, it is only necessary to take care of the technical efficiency of the device.

The second company that has in its offer devices that allow betting in real time is Sports Betting Solutions, also an Austrian company NOVOMATIC GROUP. These terminals are primarily characterized by: the dynamism of betting, the possession of three monitors on which you can follow TV channels or courses simultaneously. An additional feature is the equipment of terminals with a variety of options: RFID card reader, ticket scanner,

34

coin and note acceptor or ticket printer. These devices work with the Crown SlimChange system regulating cash management for bookmakers. In addition, this device allows withdrawals directly from players account, allows you to buy valuable tickets, presents the customer's balance on an individual card and has a high capacity cash resource. Putting a few of such terminals at the gaming point together with the financial device eliminates the human factor to a minimum.

The third company rated by me is Best Gaming Technology, which is owned by Playtech - one of the largest producers of online slot games. The company's terminals obtained permission to operate in accordance with the law of many jurisdictions around the world.

They are characterized by a double touch screen and are integrated in a wide range of financial mechanisms and identification protocols in their service. They can be used due to their facilities from regular

bars to online casinos and service at bookmakers around the world.

Working with tablets that easily integrate with the existing POS system, they enable the use in many locations: press, cigarette or kiosk sales points or bars.

BGT with more than ten years of experience allows bookmaker customers, thanks to their terminals, to bet anything at any time. The number of devices enabling operations on four continents has long exceeded the number of 20,000 units.

tomers can choose special sizes of tablets, which can safely enclose the touch screen on a special arm mounted on the meter. On the other hand, the integrating unit can close many OEM devices: printers, credit card readers, RIFD for proximity cards, SCRA memory card reader, and finally the banknote acceptor. Full use of Full Kiosk allows you to use it in bookmaker's points as a place for betting and online casinos. The credit card reader system there, which makes deposits and withdrawals, enables simple online gaming settlement.

The last of the presented in this assessment is the British company imageHOLDERS and its Full Kiosk.

These are modular terminals built from two key elements - a tablet case and an integrated unit. Cus-

The use of terminals for bookmakers' services is, however, related to the legislation of a given country, which either allows betting with the use of modern technology, thereby increasing players'

potential and turnover achieved with these devices, or does not allow exploitation, putting licensed bookmakers in outsider position.

The use of these technologies combined with precise settlement of the bets and their financial activities gives the legislator full convenience in recording the revenues. The "responsible gambling" assumptions are also met, which, thanks to the age record and the player's involvement, controls and eliminates unwanted behaviors.

Internet terminals with the option of cooperation with bookmakers are the future of this market, just like running licensed online betting. This technology enforces the use of such solutions, providing full control for the organizers, players and the legislator - that is, the state treasury issuing the concessions.

Unfortunately, it is currently observed how these devices are operated only in technologically advanced countries, where gambling legislation is stable and not subject to political revolutions. Like any other branch of the economy, gambling does not like rapid changes and uncertainty of investments incurred after the consent of the State. The State of Law. n

35

NIGERIAN JACKPOT WE HAVE THE WINNER!

WILL YOU BE NEXT? #JoinUsToWin www.9jackpot.ng www.facebook.com/9jackpot.ng

What you need to know about

DR Congo Gambling Industry Adeleye Awakan

The Democratic Republic of the Congo, also known as Congo-Kinshasa, is a country located in Central Africa, and it was formerly called Zaire. It is by area, the largest country in sub-Saharan Africa, the second-largest in all of Africa (after Algeria), and the 11th largest in the world with a population of over 84 million inhabitants, the Democratic Republic of the Congo is the most populous officially Francophone and the French language country in the world in which the average population is young and rejuvenating over 68% of people aged less than 25 years, a majority of whom live in rural area.

It

is fascinating to know that gambling is legal in the Democratic Republic of Congo.

Games of Chance first regulated in DR Congo in 2005, and the law has amended a few times, but ba-

sics remain the same. Gambling permitted in the country, and gambling establishments need to be registered and pay the associate taxes. The gambling law regulates games of chance, various lottery

types, and casinos, slot machines explicitly. However, there is no word on games of skill, and whether poker is considered a form of gambling. Perhaps, online gambling is not expressly regulated or

37

ously, the SONAL agrees with the French horse race wagering company, Pari Mutuel Urbain, which allows players of the country to wager on French horse races. The Democratic Republic of Congo also welcomes foreign investment with a somewhat forgiving regulatory framework. These make it easy to create Congolese companies and prove enticing to investors of gambling brands.

stated in the Democratic Republic of Congo's gambling laws. It is not too surprising as most countries in Africa don't have legislative rules guiding online; neither have regulated online gambling.

Although locals are free to access international gambling sites as there are no laws that prohibit players, it is fair to say internet penetration is still low in the country, which accounts for 8.3 percent. However, retail is still the widely most accepted form of gambling where you'll often see several numbers of people gather in shops, or kiosk placing wagers.

Some of the popular types of

gambling in the country are casinos, sports betting, and lottery.

The largest casino establishment in the country is the Grand Hotel Kinshasa, located in the capital city games on offer includes several slot machines and table games like roulette, blackjack, and pontoon (a blackjack variation) and poker the other licensed casino Carnaval also located in Kinshasa.

In contrast, sports betting is a monopoly of the state-run SONAL, the Congolese national lottery.

SONAL offers two types of betting players may bet on various local events or international sports events with fixed odds. Simultane-

As stated, casinos are permitted and can freely establish; this is following the inter-ministerial orders. No JMS/CAB/2100/ ANT/0020/2005 and No 059/ CAB/MIN/FINANCES/2005 from the 25th June 2005 fixing the rates of rights, taxes, and royalties to collect from the initiative of the Ministry in charge of Youth and Sports. Further, the country article 10 of the order mentioned above goes far by defining companies interested in games of chance or lottery as authorized establishments in exploiting various lottery games like the lottery of instantaneous bills, the lottery of the matched number as the sports, betting. Casino operators with slot machines are allowed and do operate without a problem.

Licensing of Gambling Business in Congo (Casino) Beyond the documents which constituted the brand statues, it is required to get these documents hereafter: � An interested company should constitutive act of the company (Statute) � Notarize constitutive act of the company (5 copies). The law requires that the company’s statues, signed by the founders, be notarized by a public notary before registration with the Commercial Registry. A confirmation certificate of deposited document obtained from the notary must be annexed to the file. � Obtain extracts of the criminal

38

record of the first directors: The criminal records of the first directors should be obtained from the criminal police of the tribunal’s judicial inspection department. � Obtain a certificate of residency: This document is required only from the company’s managing director; the other founders are not required to provide the document. � Register with the Commercial Registry: To register with the Commercial Registry, the following documents must be filed: - Identity card or passport (one copy).

Certificate of non-civil-servant status (one). - Certificate of residence (one).

Specimen of signature in two or three samples (one). - Declaration of conformity to the law, dated and signed by each founder. Letter addressed to the divisional clerk of the Business Court If the founders are foreign, the company registration form of the New Commercial Registry (nouveau registre de commerce). � Register the company for tax with the “Direction Générale des Impots” New companies must register with the “Direction Générale des Impots” to notify it of the company’s legal existence and to obtain the national identification number. This formality is done by sending a formal letter to the Tax department.

operational and the fee is 5000 USD. Taxation of Gambling/Casino in Congo During the operating, the company will get rates and taxes, customs taxes and some other royalties due to the treasure hereafter: According to the inter-ministerial order mentioned above, the authorization/ permit for casinos and lottery costs 5000FF = USD 5000; The country annual authorization renewal fee: 1000FF = USD 1000; According to the country urban order No 026/BUR-MAIRIE/ VILLE/L’SHI/2007 from the 10th May 2007 relating to the fixing of the taxes and the collection of the fiscal tax on the casino in the provinces/cities, the amount of 350.000 Congolese francs = Approx.

USD. 400 as fiscal tax on the casino should annually be paid in the City account number.

Tax [Tax ad valorem] on the players benefit: 10% on the benefit realized paid to the Minister of finance account in a Bank account.

However, it is quite interesting to know that the country's gambling license is transparent, and the government is open for more foreign investors to come to establish and tap from the abundance of opportunities in the country. The economic situation of the Democratic Republic of Congo is not the best in Africa, having been faced by civil unrest over the years due to its abundant resources it posses.

Still, the Democratic Republic of Congo is widely considered one of the world's wealthiest countries in natural resources; its untapped deposits of raw minerals estimated to worth more than US$24 trillion.

The Congo has 70% of the world's coltan, a third of its cobalt, more than 30% of its diamond reserves, and tenth of its copper. Despite such vast mineral wealth, the Democratic Republic of the Congo's economy has declined drastically since the mid-1980s. According to AFDB Africa Development Bank, Real GDP growth dropped to 4.3% in 2019 from 5.8% in 2018 due to a slowdown in extractives, the main economy driver despite a fall in some raw materials (copper and cobalt). n

Note: After one has obtained the certificate to operate, then there are certain taxes payable to the local authorities like: 5 Years operating License from the Ministry of Environment; Single tax on establishment of a business activity from Town Council at approx. USD 100 per year.

For the permit / authorization per se, the company need to obtain the permit from the Environmental Division at: USD 1500.

After which, there is need of applying for permit to the Minister of Youth and Sports in order to be

39

One-armed bandits

‒ how the slot machines evolved Iwo Bulski

The history of slot machines comes from 1891. During this period, Sittman and Pitt, who were residents of the East Coast of New York, invented a machine that became the precursor of modern slot machines. The classic machine was mainly based on a game of poker to get cash by drawing on the popularity of the game. The machine had fifty cards and proved to be a hit in the gaming world at the time.

The

main obstacle for the machine was the lack of a direct payment method. To solve this problem, the machine manufacturer has developed an innovative solution, inventing a variety of combinations that replaced ten

42

cards with 5 symbols (spades, diamonds, freedom bells and horseshoes). In addition, he accepted the existence of three drums in the machine to reduce the complexity of the combination in reading the winnings. Mechanical poker machines, unfortunately, could not

pay out prizes. The winners had to wait for someone who could verify the winnings and withdraw the winnings.

The first machines in a modern sense were invented by the born in Bavaria American inventor Charles

August Fey, then a mechanic in San Francisco, who in 1894 built his first coin-operated game machine. Placing the machine in the local salon made this a success, Fey soon gave up his job and opened his own factory to produce more units. In 1898, Fey built the Card Bell, the first machine with three reels with automatic payouts. Card Bell had a handle that put the reels in motion. The machine played by placing card combinations in the queue for the poker player's hands.

His next Liberty Bell was built in 1899 and used his horseshoe and bell symbol to match the reels.

Three bells in a row meant the highest payout. Due to the earthquake that hit San Francisco in 1906, only 4 of the over 100 Liberty Bell machines built by Fey have survived to the present day. Frey's machine was a great success and soon filled most of the bars and pubs in San Francisco, but because gambling was illegal in California, Frey could not patent his machine.

Other producers, including Mills Novelty Company from Chicago successfully copied and distributed the machines to the game throughout the US, adding on their spools an image of a chewing gum packet (soon stylized as a well-known "bar" symbol). Mills Novelty Company also invented the "jackpot" in 1916, so that some combinations of symbols on the reels returned all the coins currently in the machine.

It also increased the attractiveness of slot machines, thus increasing interest in this form of gambling.

Due to its attractiveness, simplicity and reliability, slot machines quickly spread throughout the country.

To circumvent the law prohibiting gambling in bars, many of them seemed to buy gums, chips or fruit shopping vouchers.

"It's probably where the fruit symbols on the reels of slot machines started," said David

Schwartz, director of the Games Research Center at the University of Nevada in Las Vegas, who wrote Roll the Bones - the history of gambling.

In the 1920s, slot machines were popular in many parts of the United States, particularly in the spa regions, and were still popular during the Great Depression of the 1930s. However, the knowledge that the distribution of gaming machines was often controlled by organized crime led to increased legislation limiting their sale and transport, as well as their exploitation, with the exception of private social clubs. The ban on slot machine play in the USA except Nevada, which legalized gambling in 1931, was virtually complete until 1951, although illegal activities, especially in private pubs and cafes, were widely ignored.

Machines despite the ban were common in clubs, cigar stores and other places until 1951, when Congress adopted a law that prevented their transportation across the US. "This law limited their presence and exploitation only in Nevada, a state where gambling was legalized," said David Burritt from Colorado, who runs an online store and a price guide for collectors of vending machines.

payment of up to 500 coins, in comparison with the maximum of 50 cents paid by Fey's machines, and also eliminated the mechanical side lever which gave the slot machine the nickname "One-armed bandit". Even though the leverage still existed in subsequent editions of the machines, being visible for many years, it was no longer necessary. Electromechanical gaming machines allowed for many new payout systems, such as multipliers of 3 and 5 coins, where the payout sizes are proportional to the number of coins inserted before starting the game.

A computer revolution in machines.

In 1976, Fortune Coin Co. based in Las Vegas, introduced the first real video game machine, which uses a 19-inch Sony Trinitron screen and logic boards to operate gaming machines. After the initial rehearsals in the Hilton Las Vegas lobby and some modifications, the videogames were approved by the Nevada State Gaming Commission, paving the way for their huge popularity in Las Vegas and casinos around the world. In 1986, elec-

After the Second World War, the machines found their way around the world, because governments were attracted by the prospect of tax revenues from the emerging popularity of gaming machines. In 1988, gaming machines were allowed in French casinos to end the 50-year ban.

The first electromechanical slot machine The first electromechanical slot machine, Honey Money, was developed in 1963. It enabled the

43

Slot machines are by far the largest profit generator for almost every casino, bringing an average of 30 to 50 percent. In the USA, only about 200,000 gaming machines are registered in the state of Nevada alone. As the gambling regulations were relaxed at the end of the 20th century, legal gambling was allowed in the Native Americans area and the revenue capability in many US states was expanded, the number of electronic gaming machines (which also included video poker devices as well as modern slot machines) ) has increased significantly.

tronic systems connecting multiple slot machines in different locations were introduced, thanks to which a small fraction of each coin thrown into the machine goes to a common "super jackpot", which could reach a very large size. For example - in 2003, one of the machines in Las Vegas paid a lucky player nearly $ 40 million.

By the end of the first decade of the 21st century, there were over 830,000 electronic gaming machines in the United States, and the capital generated from these devices increased from 40% of total casino revenues in 1970 to around 70 percent in 2010.

At the beginning of the 21st century, casino operators were worried that the popularity of physical slot machines in traditional casinos would be threatened by the rapid growth of online casinos where customers deposit money to make bets and play different gambling games using personal computers. Their fears have not been confirmed, and gaming machines continue to enjoy uninterrupted popularity. Especially those placed in bars, although the restrictions applied give, however, a sense of independence, this is a hindrance in casinos and arcade games salons where records are kept and players' identity checked.

Slot machines, or "slots" (from the name of the hole to the coin inlet to the machine), are still at the peak of popularity. The evolution that followed the production of the first mechanical machine to the currently manufactured, fully computerized with three touch screens, payment and withdrawal systems through the use of tickets

44

or cards, giving the opportunity to play the machine and also after going to the bar to continue playing on the tablet or phone, constant desire to use and tempt fate by playing on them.

Currently, the machines are divided into many different types: ‒ poker games - requiring symbols whose value is the same as in poker ‒ bingo - the player selects randomly selected numbers on the purchased cards and wins when the line is selected, multiple lines or all numbers in the set ‒ Multi-lines machine - a machine with many lines of the bet, their number, bet lines and the sequence of symbols is variable and depends on the characteristics of the given machine ‒ Automatic reel machines - mechanical like electronic ones that have reels whose number of coils can change depending on the game, forming different game combinations.

In many cases in video machines, the motifs are based on the characters of movies, images of stage stars or TV programs, additionally promoting the given media event.

There were also producers, such as NOVOMATIC GROUP, a global producer and operator of gaming machines, whose position on the game market is still growing.

NOVOMATIC currently has over 260,000 machines operating in the world, employing over 29,000 employees, which clearly shows the way the game industry has gone from the first Fey's factory to the present day.

Only the name "one-armed bandit" remained, even though the appearance of a modern slot machine does not resemble these old devices. Perhaps it is by sentiment, after losing, when he leaves the machine, he is to be reviled and to blame the responsibility for his own lack of happiness. n

Lootbox ‒ guilty or not?

Iwo Bulski

Lootbox is a word taken from computer games. It describes a chest containing random set of objects. Depending on the game, it can be obtained in-game or outside of it, given to the player for completing a goal such as levelling up or simply bought online with real money. Moreover, some productions offer items that give the player advantage, whilst others sell products just for visual joy, like character skins or different backgrounds.

O

bviously, the lootbox scandal doesn't concern harmless experience-based obtainables, but the ones that can be bought with real money through microtransactions. And that is a new hot-topic on the internet.

Electronic Arts, who changed the

dynamics of their popular series of soccer simulators FIFA by adding lootboxes with character cards, lost several percent of the company's value in the last three months.

For a company worth over 30 billion dollars- it's quite a lot. In the case, two matters are worth men-

tioning. First- most market analysts recommend buying EA shares. Presumably, the scandal will fade out quickly and players will come back to EA games. Second- the one who benefited the most from the lootboxes is the one who lost the most due to the scandal.

47

Another crucial issue in the lootbox scandal is whether they are an example of gambling. Among those in favor stands a popular youtuber, Jim Sterling, who not so long ago marvelled at the lootboxes in Overwatch. It seems the Brit not only doesn't understand gambling, but also doesn't acknowledge the consequence of legal regulations.

According to Juniper Research, a company analyzing market trends, in 2018 players all over the world will spend around 30 billion dollars on lootboxes and skins. By 2022 the number will go up to 50 billions.

What exactly are lootboxes? � Players can unlock special characters, weapons or gears by simply buying chests with real money through online transactions. � The objects drawn from the lootboxes are randomized, so one can pay 10$ and get a bunch of useful things, while the other will spend 100$ and get almost nothing. Just like coin-op games. � Lootboxes have grown more popular and now can be found in games such as Call of Duty, PlayerUnknown's Battleground or Rocket League.

48

According to Belgian Gaming Commission, video games containing lootboxes operate against the gambling laws. The crates that can be bought online with real money have to be removed from videogames in Belgium. Corporations like Electronic Arts can be now penalized by criminal law. Commercial distribution of illegal lootboxes may cost the company up to 800 000€ and five years of prison.

Belgian Minister of Justice, Koen Geens, says that "mixing gambling and gaming, especially at a young age, is dangerous for the mental health of the child". He calls up several problems. For example- virtual, in-game currency can be exchanged for real money. Also, some crates contain objects so powerful the lootbox users become unbeatable comparing to other players.

Different stands are taken by Great Britain and United States, who don't see the danger behind

lootboxes claiming they are consistent with gambling regulations.

Nonetheless, in November 2017, Hawaiian politic Chris Lee disapproved of lootboxes. He criticized aggressive tactics of the gaming companies, focusing mostly on EA's Battlefront II and calling the game "a Star Wars-style casino made for children to lose money".

For the authorities of the United States lootboxes don't count as gambling because a player gets a prize opening each and every one of them. In Great Britain Gambling Commission declared that lootboxes cannot be considered gambling because money comes in and stays in the game, unlike "real-life" gambling, where a player can spend money, but also make money.

On the other hand, last month in Germany Bavarian Parliament received a proposal of strengthening security of minors in online games with special consideration of lootboxes. According to its authors, this kind of tools are examples of illegal gambling. Gambling of treacherous kind, the one that's using psychological tricks leading to addiction in minors.

And once again the law is dragging behind the internet, leaving space for plenty speculation and interpretation. n

NE XT LEVEL ENTE RTAIN ME NT MERKUR GAMING Borsigstrasse 22 | D-32312 Luebbecke | Phone +49 (0) 5741 273 6930 www.merkur-gaming.com | sales@merkur-gaming.com MERKUR GAMING AMERICAS +1 954 531 1729 www.merkur-gaming.com | sales@merkur-gaming.com

SiGMA Group will launch

SiGMA Africa in Cape Town, Ghana and Kenya over a three-year period SiGMA Group is pleased to announce the launch of SiGMA Africa. The event is set to take place in March 2022, with the first show opening in Cape Town, South Africa. SiGMA Africa will also launch its super show in Kenya and Ghana, bringing East and West Africa together throughout 2023 and 2024 respectively. friends at Clarion are doing a sterling job in Johannesburg and we simply didn’t want to provide more of the same, despite the latter being the business capital. Cape Town, however, lends itself exceptionally well as a tourist destination, coupled with the fact that several gaming companies are also based there. It’s safe, fun and the facilities there are exceptional.

An

event calendar across four continents places SiGMA Group front and centre of the international gaming sector.

SiGMA believes that setting the show in multiple regions will offer attendees a more inclusive and comprehensive overview of the vast and widely diverse African markets, increasing opportunities for investment and industry development.

The summit will follow in the footsteps of past events, replicating a successful formula of high-end conferences, carefully curated expo floors, and premier networking opportunities throughout the event, with a prestigious and international

50

guest list expected to attend.

Regulatory debate will be high on the agenda, especially as online gambling is currently explicitly allowed or regulated in less than 20% of the African jurisdictions.

SiGMA Group Founder, Eman Pulis (left) said, “Africa offers an exciting and diverse marketplace, ripe with opportunity. Opening a show in Africa feels like the right move at a time when SiGMA is expanding its portfolio of events. With events in Asia, LatAm and Europe, and a revamped website offering translation into 6 different languages, Africa brings us full circle as a truly international brand.

"Why have we chosen Cape Town for our inaugural summit? Our

Covid-permitting, I can't wait to head to Cape Town myself as soon as possible to check the facilities out!”

Boasting a population of 59 million, South Africa offers industry stakeholders a fast-emerging, tech-savvy marketplace, with plenty of potential for development - leaving the doors wide open for future opportunities in this sector.

Kenya is also closely linked to SiGMA’s charitable arm - the SiGMA Foundation, having supported the Kilimanjaro Challenge in financing several educational projects in Ethiopia and Kenya through almost twenty years of expeditions, and raising a million euro towards kindergartens, schools, clinics and water projects in Ethiopia and Kenya.

L ATA M ( D I G I TA L )

E U R O P E ( M A LTA )

Sept 22-23, 2020

N o v 1 7-1 9 , 2 0 2 0

ASIA (MANILA)

A F R I C A ( C A P E T OW N )

M a y 2 7- 2 8 , 2 0 2 1

March 22-23, 2022