In March 2024, the government of New South Wales, Australia, initiated a trial introducing cashless gambling technology in select hotels and clubs across the state. This trial, overseen by the Independent Gambling Reform Panel, involves 14 venues and 32 players. Concerns have been raised about the trial's effectiveness due to the limited number of participants.
By allowing players to use digital methods such as player cards or mobile apps instead of cash to load credits onto gaming machines, the trial aims to enhance the transparency of gaming operations and reduce the potential for illegal activities. Currently, gamblers must use physical cash to load credits or withdraw winnings.
Limited Participation
Since the trial began in March 2024, the number of participants has been significantly lower than initially expected. According to The Guardian, out of 200 people who initially signed up, only 32 have actively participated in the trial. Additionally, the number of participating venues has decreased from 27 to 14, with several venues withdrawing due to the costs and challenges of integrating new technology with existing infrastructure.
Opponents have criticized the low participation rate, questioning whether the trial will yield meaningful insights. Kevin Anderson, a spokesperson for the Coalition Party on gambling, expressed concerns that the restrictive nature and technical difficulties of the trial might render the collected data unusable. "With only 32 people signing up across the entire state of New South Wales, it raises a question: why would people participate in just a research project?" Anderson said.
Government Remains Optimistic
Despite setbacks, David Harris, the Minister for Gaming, remains optimistic about the potential of the trial to provide valuable insights. He explained that the trial is still in its early stages, and feedback from participants and those who opted out is crucial for shaping the future of cashless gambling in the state. "We are very clear about what methods are effective and what methods have flaws," Harris stated, acknowledging that the technology is still evolving.
The Future of Cashless Gaming
Cashless gambling is considered a potential solution to gambling addiction and financial crime. The Independent Gambling Reform Panel will report its findings to the New South Wales government in November 2024 and make recommendations on whether the program should be expanded or adjusted based on the results of the trial.
The trial will also investigate the impact of widespread implementation of cashless gaming on employment and the industry, infrastructure requirements, and potential challenges.
This trial is part of a broader reform agenda that also includes reducing the cash input limits on new gaming machines and restricting the number of slot machines in New South Wales. These reforms aim to address issues highlighted in a report by the New South Wales Crime Commission, which found that billions of dollars in "dirty money" were being laundered through the state's slot machines.
