Social Media's Relationship with Gambling Remains an Issue - Newstbt.com

At a recent conference, Dan Clancy, the CEO of Twitch, highlighted the need for heightened oversight into the connection between gambling and social media. This viewpoint appears to have widespread support, as the more international focus on digital gaming will almost certainly have an impact on the regulation of the industry.

As social media usage continues to grow more widespread, other countries are looking to enact regulations that better safeguard the public against unregulated gambling adverts. The UK Gambling Commission is currently in talks with social media companies to create a “safer environment” online for British consumers. At the same time, the Brazilian Government has announced plans to limit the influence of social media in gambling.

As the use of social media increases, so does the need for regulations on gambling advertisements promoted by influencers. In recent years, many countries have seen a surge in the popularity of online gaming as users sought to cope with the isolating effects of the pandemic. This has led to an interest in regulating how operators leverage social media to advertise and market their services. France has taken the initiative with stricter laws to control the proliferation of unregulated gambling and product ads appearing on influencer pages. The United Kingdom, Brazil, and other countries are also beginning to take action to secure people from unregulated gambling ads on social media. The UK Gambling Commission is currently in discussions with social media companies to create a “safer environment” while the Brazilian Government is also planning to limit the impact of social media in gambling.

UK, Brazil, and Others Tackle Social Media

On Wednesday, the Betting and Gaming Council (BGC), the UK’s leading gambling and betting organization, asked social media companies to join its crusade to protect those at risk against gambling content. In a letter to MP Lucy Frazer of the Department of Digital, Culture, Media and Sport (DCMS), the BGC expressed that its members have committed to shielding minors from gambling-related advertisements and restricting promotions for individuals who have opted out of programmes such as GAMSTOP. With the consumer’s wellbeing in assessment, the BGC emphasized the necessity of social media platforms to ensure their protection, thus calling on Frazer and the DCMS to collaborate with social media operators.

The British Gambling Commission (BGC) has announced that the collaboration of self-exclusion programs, extending gambling ad bans to social media platforms like the one proposed by the BGC, would be advantageous for the 300K individuals who have previously opted out of gambling. In Brazil, influencer Daniel Penin has recently gained attention to the subject through his viral video, “BLAZE – Take from the poor and give to influencers,” which has reached over four million views and has spiked a conversation in the Brazilian nation. This is causing a major push in Brazil to review and potentially improve online gaming regulations, recognising that influencer marketing is not inherently evil.

Influencer Marketing Not Inherently Evil

Using influencers to drive traction for a company is not necessarily wrong – it has been a long-standing practice. However, there is not a clear set of regulations in place right now to oversee digital interactions. It is essential to be able to tell the difference between an actual ambassador and those who promote platforms solely to earn money. The former type of influencer is usually under some form of agreement with the company to represent it, while the latter can do whatever they please as long as they receive their paycheck. Stricter regulations will eventually come into play, beyond those already present on the platforms. Google has claimed to not allow gambling advertisements if the company does not have a valid license. Of course, some people may find this statement hard to believe. In the near future, Drake won’t be able to post his multi-million dollar bets on Stake.com on social media.

Twitch and TikTok celebrities won’t be able to promote a platform without a permit or some sort of credentials. Though the route to achieving this is quite long, it is already established. Government representatives have already begun to reprimand influencers and social media personas for advertising cryptocurrency entities. Kim Kardashian, Justin Sun, Lindsay Lohan, and more have been held responsible for advocating crypto. The US states that crypto classifies as a security. This has, as a result, caused obstacles within the gaming scene. In multiple localities, it is prohibited to distribute an unaccredited gaming platform, causing conflict with the authority. This concept has been under examination for years, but the amplified focus on igaming will bring this issue to the limelight.