Essay on Internet Gambling, Regulation, and Harm Minimisation

This essay provides a comprehensive analysis of the escalating growth of internet gambling and its profound implications for regulatory frameworks and harm minimisation strategies. It begins by defining gambling as a recreational activity and highlights the increasing responsibility of governments and gambling operators in implementing public health-based harm-minimisation measures to curb excessive gambling behavior. The essay explores the evolution of internet gambling, examining its impact on regulation and harm minimisation. It compares the competitive performance and operation of major gambling forms, identifies key stakeholders and their roles, and evaluates the challenges and opportunities they face. The discussion covers the acceptance of gambling as a recreational activity, influenced by socio-political and technological factors. It also examines licensing practices, pricing, taxation regulations, and constant interventions as harm minimisation approaches. The essay concludes by emphasizing the importance of a three-tier approach to harm minimisation, including primary, secondary, and tertiary prevention strategies.

Running head: INTERNET GAMBLING AND HARM MINIMISATION
Growth of Internet Gambling and its Implications for Regulation and Harm Minimisation
Name of the University:
Name of the Student:
Authors Note:

2INTERNET GAMBLING AND HARM MINIMISATION
Introduction
Gambling is a recreational activity that when restructured to certain affordable limits that
is experienced as an enjoyable socially acceptable leisure activity. For majority of the
individuals, participation within gambling is comparable with the purchasing and participating
within a range of certain recreational activates. Considering same, it has been evaluated that
through recognising the public harm, governments along with the gambling operators have an
increase responsibility of public heath based harm-minimisation measures.1 This is designed to
decrease excessive gambling behaviour along with its negative implication across every strata of
the general population. In gambling there is no stake or specific level of participation which can
be expressed in consideration to time and monetary expenditure that is basically associated with
harm like excessive gambling. The objective of the essay is to analyse the growth of internet
gambling and the related implications for regulation along with harm minimisation. Focussed on
such subject, the essay will also focus on comparing the competitive performance, management
along with operation of the major gambling forms along with evaluating the opportunities and
challenges faced by them. This will also consider identifying the major stakeholders along with
understanding their roles and responsibilities within the pervasion and management of casinos
and clubs.
1 Baxter DG, Hilbrecht M, Wheaton CT. A mapping review of research on gambling harm in
three regulatory environments. Harm reduction journal. 2019 Dec;16(1):12.

3INTERNET GAMBLING AND HARM MINIMISATION
Discussion
According to views presented by2it has been revealed that gabling is referred as an act of
wagering a value item that is typically money on any outcome of any event which is determined
by chance. Gambling is observed to be widely accepted being a renowned entertainment or the
recreational activities. Such gambling normalisation is observed to take place because of certain
economic and socio-political influences along with technological transformations. This has
resulted in high liberalisation of the attitudes and liberalisation, high density along with
distribution of venues along with gaming machines. This offers increased assessing along with
availability of gambling along with the market penetration of PC-based internet along with
mobile communication facilities. From the data provided by 3 it has been gathered that gambling
is a million dollar global industry that has legalised annual global gambling revenue anticipated
to increase suitability reaching US$ 155 Billion at the end of 2022. More than 65-90% of the
adults internationally report gambling on a level with majority of them involved in ambling as
recreational activities and in the absence of significant negative consequences. Moreover it has
also been evidenced that around 1 to 5% of the adults in general population address criteria of
pathological or problem gambling. Problem gambling is characterised through existence of
2 Binde P, Christensen D, Delfabbro P, Dixon M, Euston D, Gainsbury S, Hodgins D, Johnson
M, Kairouz S, Kim HS, Leonard C. Alberta Gambling Research Institute Conference 2018:
Current Issues in Gambling Research.
3 Deans EG, Thomas SL, Derevensky J, Daube M. The influence of marketing on the sports
betting attitudes and consumption behaviours of young men: implications for harm reduction and
prevention strategies. Harm reduction journal. 2017 Dec;14(1):5.

4INTERNET GAMBLING AND HARM MINIMISATION
excessive money or the time spent in the gambling process in a way that adverse consequences
encompassing significant distress or life disruption for gamblers.
Certain modifications are observed to be made in various gambling forms that might
encompass addition of several features that facilitates players to tracking their gambling items of
money and time spent on the internet gambling. In the interest gambling identifying along with
modifying the features of internet gambling has made the game appealing and appealing and this
is likely to disrupt the negative impacts of gambling4. Such modifications on the internet
gambling encompass modifying the screen size along with decreasing the audio and visual
features in order to avoid the prompting gamblers for initiating the gaming sessions. The table
below indicates the top five nations in online gambling from the year 2010 to 2013 and from this
analysis it has been gathered that Australia has positioned itself as the fifth top nation in online
gambling that includes online Casio, online beigo and online poker. With increasing online
gambling, Australian Government is observed to introduce “Australian Interactive Gambling Act
(IGA)” in the year 2001 that bans online gambling process in Australia. As per this act, offering
certain interactive gambling service to the individuals that are physically present in Australia is
deemed to be an offense. Moreover, a person involved in such restricted online gambling activity
offense, he is subject to a penalty of $220000 per day in case he offers services to other
individuals. Moreover, a penalty of around $ 1.1 million each is imposed on an individual day if
he serves the corporate parties5. Conversely, online wagering along with lotteries is not observed
to be restricted in Australia.
4 du Preez KP, Landon J, Bellringer M, Garrett N, Abbott M. The effects of pop-up harm
minimisation messages on electronic gaming machine gambling behaviour in New Zealand.
Journal of gambling studies. 2016 Dec 1;32(4):1115-26.

5INTERNET GAMBLING AND HARM MINIMISATION
Figure 1: Top Five Online Gambling Countries
(Source:6 )
7evidenced that the regulation along with enforcements of the age limits fir internet
gambling is observed to be challenging as age verification takes place focussed on the users in an
online setting. For this reason, agreements between the gambling operators along with domestic
and international jurisdictions must be ensured in regulating online gambling with a system
which is able to cross check the age verification against the existing global database. The harm
minimisation guidelines are observed to be followed in the Australian online gaming platform is
5 Gainsbury SM. GAMING‐GAMBLING CONVERGENCE: RESEARCH, REGULATION, AND
REACTIONS. Gaming Law Review. 2019 Jan 30.
6 Gainsbury SM. Online gambling addiction: The relationship between Internet gambling and disordered gambling.
Current addiction reports. 2015 Jun 1;2(2):185-93.
7 Ginley MK, Whelan JP, Pfund RA, Peter SC, Meyers AW. Warning messages for electronic gambling machines:
Evidence for regulatory policies. Addiction Research & Theory. 2017 Nov 2;25(6):495-504

6INTERNET GAMBLING AND HARM MINIMISATION
focussed on taking care of protecting consumer identity based on which the data encryption
programs can be used in safeguarding the confidential details. Agreements between the
international regulars for cross-checking age along with identification documents might be
consistent with the generally held policies of safeguarding the vulnerable minors from the harms
of online gambling.
Licensing Practices for Harm Minimisation of Internet Gambling
With the growing rate of internet gambling globally and specifically in Australia and its
potential negative impact, implementation of licensing regulations are deemed necessary to be
imposed on the internet gambling businesses. Licences are basically needed for production,
distribution along with sales of services or commodities that has an addictive potential and it also
serves as an increased opportunity for the harm minimisation strategies. There has been string
evidence that monopoly along with the licensing policies is important in minimising harms of
internet gambling. For instance, in the European Union, 9 out of the 27 member states had
attained a capped number of licences foe the gambling halls and casinos in the year 20148.
Among them six nations had monopoly policies for the casinos, sports betting and internet
gambling. Moreover, for internet gambling, national jurisdictions within Australia is observed to
set limits on the number of licenses that might be attained fir online gambling services or in
making the decision of banning them. 9evidenced in their findings that as certain difficulties are
observed in prohibiting internet gambling in Australia, certain jurisdictions in the nation in the
8 Hancock L, Ralph N, Martino FP. Applying Corporate Political Activity (CPA) analysis to Australian gambling
industry submissions against regulation of television sports betting advertising. PloS one. 2018 Oct
16;13(10):e0205654.
9 Griffiths M, Derevensky J. The liberalisation of the lottery market in the Netherlands: A report on potential
psychosocial impacts and how to minimise harm

7INTERNET GAMBLING AND HARM MINIMISATION
form of providing licenses for some form of internet gambling is deemed less harmful. This
includes sports based wagering but not the in-play wagering that facilitates the rapid paced
internet betting on the outcomes rapidly determined10.
Moreover, the Australian operators are needed to provide some form of responsible
internet gambling along with harm minimisation tools such as “Self-exclusion”. Such person
related with licence internet gambling facilitates in decreasing the appeal of illegal offshore
gambling that might not offer any harm minimisation approaches. Considering same,
implementation of licensing systems which encompass requirements regarding responsible
gambling along with consumer protection strategies related with gambling is supported and is
deemed to be implementable.
Pricing and Taxation Regulation Implications of Internet Gambling
From the views presented by 11it has been revealed that the rationale behind tax
imposition along with other pricing regulations on the risky products such as internet gambling
in order to decrease consumptions along with related harm. Restrictions on internet gambling are
ensured through increasing the economic cost of the internet gambling that can decrease its
demand. It has been argued by 12 that the internet gambling operators must be taxed at a rate that
10 Thomas SL, Randle M, Bestman A, Pitt H, Bowe SJ, Cowlishaw S, Daube M. Public attitudes towards gambling
product harm and harm reduction strategies: an online study of 16–88 year olds in Victoria, Australia. Harm
reduction journal. 2017 Dec;14(1):49.
11 Hellman M, Örnberg JC, Livingstone C. Gambling policy studies: a field that is growing in size and complexity.
12 Hing N, Sproston K, Brook K, Brading R. The structural features of sports and race betting inducements: Issues
for harm minimisation and consumer protection. Journal of gambling studies. 2017 Jun 1;33(2):685-704.

8INTERNET GAMBLING AND HARM MINIMISATION
can facilitate them to remain competitive within the illegal offshore market as or is considered
important for the players to employ regulated sites which encompass responsible gambling tools
along with stratus lured by increased prizes accessible through the sites of illegal internet
gambling. For instance, in France it has been observed that high tax rates for betting leads to an
increase difference between the payout ratio on the illegal and legal gambling websites where the
illegal market accounts for 75% of the overall market13.
Tax increases along with the price regulations are imposed by the Australian operators
within the internet gambling in order to decrease the gambling activities and the related harm.
For instance, gambling operators in Australia considers paying to attain a licence, pay tax along
with making necessary contributions to the community benefit funds. Tax increases are than
passed on to the internet gambling players through decreasing the price to be won. In addition it
is also considered by the Australian operators to make changes to the recoup funds that can
decrease all the consumer interest. Suitable levels of taxation is deemed important in case of
internet gambling as certain online gambling operators can be relied on the jurisdictions that
have extremely low tax rates that facilities them to overdue increased returns to the players14.
Constant Interventions as Harm Minimisation Approach of Internet Gambling
Constant interventions are observed to be time-bound and structured therapy that is
directed towards a particular intervention objective and can employ several harm minimisation
techniques along with treatment modalities for internet gambling. Certain evidences were also
13 McCarthy S, Thomas SL, Bellringer ME, Cassidy R. Women and gambling-related harm: a narrative literature
review and implications for research, policy, and practice. Harm reduction journal. 2019 Dec;16(1):18.
14 Tanner J, Drawson AS, Mushquash CJ, Mushquash AR, Mazmanian D. Harm reduction in gambling: A
systematic review of industry strategies. Addiction Research & Theory. 2017 Nov 2;25(6):485-94.

9INTERNET GAMBLING AND HARM MINIMISATION
found on effectiveness of brief interventions that includes internet based treatment for certain
addictive behaviours that includes online gambling. It is also gathered from such evidence
analysis that brief interventions are deemed to be cost-effective for the gamblers along with
intervention service providers that are effective at increasing motivation for change and they are
convenient to complete. It is also revealed by 15that certain online options that offer anonymity
that is considered vital to overcome any harm in internet gambling.
After valuating various negative effects if internet gambling that influences
implementation of harm minimisation strategies it is realised that harm minimisation is a public-
heath strategy implemented by the organisations that serves as an attempt to decrease pervasive
impact of certain additive behaviours among individuals such as internet gambling. It is also
realised that there also exist a three-tier approach for harm minimisation that is implemented
across jurisdictions. From gathering relevant data from certain authentic interne resources, it is
learned that certain primary, secondary and tertiary harm prevention strategies are developed in
dealing with gambling problems. According 16findings it can be represented that primary harm
prevention is possible through conducting player and public education along with attaining
provision of correct information on machine learning. Moreover, it is also realised that as
secondary harm minimisation approach certain modifications can also be made in the player
15 Miers D. Social responsibility and harm minimization in commercial gambling in Great Britain. Gaming Law
Review and Economics. 2016 Mar 1;20(2):164-76.
16 Parke A, Harris A, Parke J, Rigbye J, Blaszczynski A. Responsible marketing and advertising
in gambling: A critical review. The journal of gambling business and economics. 2015 Apr
28;8(3):21-35.

10INTERNET GAMBLING AND HARM MINIMISATION
environments that can safeguard against excessive internet gambling. A viewpoint is also
developed that some tertiary harm prevention strategies such as close liaison with the serve
providores treatment in cases of self-execution can facilitate in decrease harm caused from
internet gambling.
Conclusion
The objective of the essay was to analyse the growth of internet gambling and the related
implications for regulation along with harm minimisation. It was gathered from the essay that
problem gambling is characterised through existence of excessive money or the time spent in the
gambling process in a way that adverse consequences encompassing significant distress or life
disruption for gamblers. Moreover, it has also been revealed that the regulation along with
enforcements of the age limits fir internet gambling is observed to be challenging as age
verification takes place focussed on the users in an online setting. Considering same, strategies it
is realised that harm minimisation is a public-health strategy implemented by the organisations
that serves as an attempt to decrease pervasive impact of certain additive behaviours among
individuals such as internet gambling it has been realised that there also exist a three-tier
approach for harm minimisation that is implemented across jurisdictions. Considering same,
implementation of licensing systems which encompass requirements regarding responsible
gambling along with consumer protection strategies related with gambling is supported and is
deemed to be implementable.

11INTERNET GAMBLING AND HARM MINIMISATION
References
Baxter DG, Hilbrecht M, Wheaton CT. A mapping review of research on gambling harm in three
regulatory environments. Harm reduction journal. 2019 Dec;16(1):12.
Binde P, Christensen D, Delfabbro P, Dixon M, Euston D, Gainsbury S, Hodgins D, Johnson M,
Kairouz S, Kim HS, Leonard C. Alberta Gambling Research Institute Conference 2018: Current
Issues in Gambling Research.
Deans EG, Thomas SL, Derevensky J, Daube M. The influence of marketing on the sports
betting attitudes and consumption behaviours of young men: implications for harm reduction and
prevention strategies. Harm reduction journal. 2017 Dec;14(1):5.
du Preez KP, Landon J, Bellringer M, Garrett N, Abbott M. The effects of pop-up harm
minimisation messages on electronic gaming machine gambling behaviour in New Zealand.
Journal of gambling studies. 2016 Dec 1;32(4):1115-26.
Gainsbury SM. GAMING‐GAMBLING CONVERGENCE: RESEARCH, REGULATION,
AND REACTIONS. Gaming Law Review. 2019 Jan 30.
Gainsbury SM. Online gambling addiction: The relationship between Internet gambling and
disordered gambling. Current addiction reports. 2015 Jun 1;2(2):185-93.
Ginley MK, Whelan JP, Pfund RA, Peter SC, Meyers AW. Warning messages for electronic
gambling machines: Evidence for regulatory policies. Addiction Research & Theory. 2017 Nov
2;25(6):495-504.

12INTERNET GAMBLING AND HARM MINIMISATION
Griffiths M, Derevensky J. The liberalisation of the lottery market in the Netherlands: A report
on potential psychosocial impacts and how to minimise harm.
Hancock L, Ralph N, Martino FP. Applying Corporate Political Activity (CPA) analysis to
Australian gambling industry submissions against regulation of television sports betting
advertising. PloS one. 2018 Oct 16;13(10):e0205654.
Hellman M, Örnberg JC, Livingstone C. Gambling policy studies: a field that is growing in size
and complexity.
Hing N, Sproston K, Brook K, Brading R. The structural features of sports and race betting
inducements: Issues for harm minimisation and consumer protection. Journal of gambling
studies. 2017 Jun 1;33(2):685-704.
McCarthy S, Thomas SL, Bellringer ME, Cassidy R. Women and gambling-related harm: a
narrative literature review and implications for research, policy, and practice. Harm reduction
journal. 2019 Dec;16(1):18.
Miers D. Social responsibility and harm minimization in commercial gambling in Great Britain.
Gaming Law Review and Economics. 2016 Mar 1;20(2):164-76.
Parke A, Harris A, Parke J, Rigbye J, Blaszczynski A. Responsible marketing and advertising in
gambling: A critical review. The journal of gambling business and economics. 2015 Apr
28;8(3):21-35.
Tanner J, Drawson AS, Mushquash CJ, Mushquash AR, Mazmanian D. Harm reduction in
gambling: A systematic review of industry strategies. Addiction Research & Theory. 2017 Nov
2;25(6):485-94.