How Does Nj Online Gambling Work

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When online gambling became available to all players age 21 and older in New Jersey, the casino websites had to be able to verify that their players were only logging in from New Jersey, as per the rules set forth by the New Jersey Division of Gaming Enforcement. To ensure this, the state contracted third party geolocation services to do the job. This job is known as a Know Your Customer, or KYC, verification service.

The New Jersey Division of Gaming Enforcement licensed multiple geolocation services to serve gambling websites hosted in the state. Central Account Management System, or CAMS, xyVerify, GeoComply, and Locaid are all geolocation service providers who have been authorized to verify players’ locations.

To prove that they’re in New Jersey, all players must download a WiFi plug-in from the website where they’d like to play. This plug-in helps to verify their location by giving a stronger, directed signal right back to the geolocation service’s server. It is a piece of software that must be downloaded to the player’s computer before he or she can log into a casino website and play. This method of verification was chosen by the New Jersey Division of Gaming Enforcement because it is much more accurate than relying on cell phone service towers to locate players. In Nevada, approximating players’ locations through cell tower service works fine because its borders are very sparsely populated. This type of verification is accurate within about a mile’s space. In New Jersey, using this method would cause problems for thousands of players. Some of New Jersey’s most densely populated areas are along the New York and Pennsylvania borders. WiFi-based verification is accurate within feet of where the player’s signal is emitted from.

Geolocation Problems

This method is verification was accurate, but not foolproof. Within a day of legalized gambling, hundreds of New Jerseyans reported problems with geolocation. At first, this was about ten percent of people who tried to log into gambling websites in New Jersey – a large enough portion of the population that casinos’ profits would be significantly cut, as well as their reputations damaged, if they didn’t act fast.

What was happening was, even with the plug-in, some players’ WiFi signals were still too weak to reach the geolocation service providers’ servers. Others had a more difficult problem to fix – no WiFi. These players accessed the internet through hard ethernet cables, either by choice or because they were working on older machines that required an ethernet connection. These players were greeted with an error message stating that the website could not verify that they were in New Jersey, barring them from gambling online.

To fix this, large gambling websites like 888Poker.com, NJPartyPoker.com, and WSOP.com offered WiFi dongles, or adapters, to players who were having trouble logging in to play. These devices boosted, or in some cases, created, users’ WiFi signals, making previously-unreachable customers able to log onto gambling websites and play.

Locking Out Players Means Losing Business

A happy player is a loyal customer, and the casino sites knew they needed to act quickly to retain the players who experienced problems. The cost incurred by the giveaway, approximately $10 per dongle, was insignificant compared to the amount of money they would have lost by alienating these players. Once the companies began giving WiFi dongles to players, reports of geolocation errors decreased. They haven’t completely been resolved, but currently, about 5% of players still report issues trying to verify their location and log into casino websites.

There is currently a buffer zone in place around New Jersey’s borders, which is where the 5% of locked-out players reside. The Division of Gaming Enforcement worked with geolocation providers to create this border, and is in the process of shrinking it until it is accurate down to the exact state line, allowing players on the New Jersey side of its borders to play. Since the initial geolocation problems were fixed, gambling revenues have grown and are expected to do so as the state works to eliminate the buffer zone completely, allowing all eligible New Jersey gamblers to log on and play for real money online.

How Does Nj Online Gambling Work In

More on Geolocation

Geolocation technology has changed the way we interact with and perceive our surroundings. Nobody uses a paper map to reach their destination anymore – just plug where you want to go into the GPS and a friendly voice will give you step-by-step directions to get there. It’s the technology at play when you check into a location on Facebook or Foursquare and how apps like Gasbuddy know the closest gas stations to suggest to you.

Because geolocation has made it possible for a website or mobile device to determine its user’s physical location, it also made it possible to restrict certain sites’ usage to people only within, or outside of, a specific area. Right now, online gambling is only legal within the borders of Nevada and New Jersey. To operate within the law’s parameters, gambling websites use geolocation technology to ensure that their players are within these states’ borders. If a website cannot prove that its users are within the area where it’s authorized to operate, it may not legally continue to do business.

How Does Geolocation Work?

Although it sounds simple, geolocation is actually a complicated process that is prone to flaws. Since online gambling became legal in New Jersey in 2013, some users reported problems with the websites verifying that they were, in fact, logging in from locations within New Jersey. Others reported being able to log in, only to have an error message interrupt them in the middle of a poker match, stating that the website could not verify that they were in New Jersey. To understand how these errors occurred, you need to know a bit about how geolocation technology works.

Smartphones and tablets have GPS chips inside them, which use satellite data to calculate their position on Earth. When the sky is clear, these satellite signals can reach mobile devices easily and accurately provide a user with her or her geographic location. When the weather’s less clear and the satellite signals can’t reach mobile devices as easily, tablets and phones use the signals from nearby cell phone service towers to approximate the device’s position. This is a slower, less accurate process, but is usually able to determine a device’s location fairly closely.

Laptop and desktop computers handle geolocation a little bit differently, though. When you use the internet on a computer, your browser is what determines your location. It does this by gathering information through your IP address and WiFi connection location. This is what’s happening when certain websites prompt you to share your location with your browser – it’s the browser’s way of locating you to be able to give you a more tailored experience with the site. For example, say you type “Chinese food” into a search engine without specifying where you’re located or where you’re looking to purchase this Chinese food. If you’ve shared your location information with your browser, your top search results will be the Chinese food restaurants that are closest to you. When a user consents to sharing his or her location with their browser, their location information is sent to Google Location Services, the database that stores the information used to produce search results like the Chinese food example above and useful tools like Google Maps. Mozilla, Safari, Internet Explorer and Chrome all share information with Google Location Services, helping to create a comprehensive map of the world.

New Jersey sports betting is here, both for physical sportsbooks and now for online wagering, including for the Super Bowl.

What online sportsbooks are currently live in NJ?

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  • playMGM
  • William Hill
  • Hard Rock
  • PointsBet
  • Resorts

Who launched when in NJ?

DraftKings Sportsbook was the first mobile platform to launch on Aug. 1, and it held a monopoly on the market for more than three weeks.

The playMGM sports betting app went live on Aug. 22, and the arrival of SugarHouse Sportsbook a day later brought the running count to three. A week later, both FanDuel Sportsbook and William Hilljoined the online sports betting realm.

Caesars added mobile betting on Sept. 6, just in the nick of time for NFL season. The following Monday, 888 Sportsbook appeared in the market. Then came BetStars, incorporating sportsbook functionality into its existing PokerStarsNJ platform.

Casinos and racetracks are permitted to form as many as three online partnerships apiece — and several are in place — but they must have a physical sportsbook first. Eight NJ casinos and racetracks have retail sportsbooks at the moment.

Here’s the current landscape for both brick-and-mortar sportsbooks and their associated online brands:

Resorts Atlantic City and DraftKings Sportsbook

Resorts AC has multiple sports betting partnerships under its belt. One of them involves DraftKings Sportsbook, which was officially the first to market with a legal online sports betting site and app.

The DraftKings sports betting soft-launched on Aug. 1, and the full launch came on Monday, Aug. 6. The app and browser-based online sportsbook are fully functional, offering a wide variety of traditional and in-game bets.

In November, DraftKings announced it would operate the retail sportsbook inside of Resorts — its first brick-and-mortar implementation.

Get a look at the online/mobile platform here.

Resorts and BetStars

Resorts has been the most active of the Atlantic City casinos, evidently the first to use up its allotment of three online brands.

Early in August, the casino expanded its long-standing partnership with The Stars Group to include sports betting. The group has years of experience with Resorts, offering NJ online poker and casino platforms under the PokerStars brand.

BetStars sportsbook launched on Sept. 13. Its iOS app launched Oct. 20.

SBTech, too

Resorts also has a new partnership with B2B heavyweight SBTech. Under its stewardship, the retail sportsbook opened on property in early August.

Resorts launched its self-branded online/mobile platform in January 2019.

Borgata and playMGM

In the Marina District of Atlantic City, the beautiful Borgata launched sports betting on property on June 14. A little more than two months later, it started offering online wagering via a standalone playMGM sports betting app. First available only on Android, the iOS version went live Oct. 20.

Borgata is using its existing racebook as a temporary, hybrid space on property, but expansion is on the horizon. Back in December, MGM said the property would invest $7 million in a new standalone sportsbook. Timeline? Uncertain right now.

Borgata is owned by MGM, which serves up mobile betting in Nevada through playMGM, as well. The brand is also available as a NJ online casino, but the products are separate for now.

Meanwhile, MGM has formed partnerships with GVC and Boyd Gaming that will lead to additional branded sports betting apps and sites in multiple states.

Golden Nugget (and SugarHouse, previously)

The Golden Nugget has a couple significant partnerships in place, but once again, the implementations aren’t fully clear yet. It does have a land-based sportsbook, though, a permanent space that opened just in time for football season.

In May, Churchill Downsannounced partnerships with both the Nugget and SBTech, charting its course into New Jersey. Whether this is a turnkey partnership or just a skin deal (more likely) remains to be seen, and launch is not especially imminent — maybe early next year.

The Nugget also had a deal with Rush Street Gaming, which operates the PlaySugarHouse NJ online casino. On Aug. 23, SugarHouse added sports betting to the platform, making it the third to go online. The SugarHouse Sportsbook is available statewide on web and mobile devices.

Golden Nugget itself operates live and virtual sportsbooks in Las Vegas, so it likely won’t need to hire a new supplier. It should be noted, though, that ties to the Houston Rockets will preclude the Nugget from taking bets on NBA games in New Jersey.

In October, SugarHouse switched partners and aligned with Monmouth Park, likely to get out from under that NBA restriction.

Monmouth Park and William Hill

Monmouth Park began making plans for sports betting way back in 2013, securing a partnership with William Hill. The William Hill mobile sports betting app soft-launched on Sept. 2.

Years after their initial union, the property opened the state’s first sportsbook and printed the first legal ticket on June 14. The governor was on site to christen the NJ sports gambling industry and bet on the World Cup.

The partnership figures to bode well for Monmouth Park’s endeavors in the digital realm. Based in the UK and with a US arm in place, William Hill is richly equipped with resources, and its US team already operates a Nevada sports betting app. There’s no reason to expect anything different in New Jersey.

Monmouth Park and William Hill launched mobile sports betting last fall.

And SugarHouse

As mentioned above, SugarHouse joined the Monmouth Park family in October as a license partner.

Meadowlands Racetrack and FanDuel Sportsbook

If you could choose a spot to build an NJ sportsbook, you might pick Meadowlands Racetrack.

The property lives in the shadows of MetLife Stadium, home to the New York Giants and Jets. Owning a sportsbook near the border is enviable right now and NJ captures plenty of New York traffic. Expect fandom and geography to drive busloads of visiting traffic this year.

Like its competition in Oceanport, Meadowlands is putting together an ambitious plan for sports betting. It recently entered into a long-term partnership with Betfair US, the domestic arm of Paddy Power Betfair.

Best Online Gambling Sites Nj

In the meantime, PPB acquired daily fantasy sports brand FanDuel to serve as the face of its US products. The FanDuel Sportsbook at the Meadowlands Racetrack opened on July 14.

As with the retail operation, the online/mobile platform is branded as a FanDuel Sportsbook. The product launched on Sept. 1.

PointsBet

Australian company PointsBet arrived in the United States in late 2018 with a different kind of sports betting product. PointsBet partnered with Meadowlands Racetrack to operate under its license as one of its three available skins.

PointsBet does offer traditional sports betting, but makes its name on a product that allows bettors to win or lose big on every wager.

Ocean Resort Casino

Down on the Boardwalk, the new Ocean Resort Casino is the other place you can wager right now.

When Bruce Deifik bought the property in January, he said he wanted it to be the “best in market” for sports gambling. Although the ORC is brand new, it looks like Deifik is working to make good on those plans.

The physical sportsbook opened for business in the center of the casino floor on June 28, occupying the large footprint of the former nightclub.

Sportsbook operations for ORC are also powered (and branded) by William Hill US. Mobile sports betting is available through Ocean as well.

Hard Rock Atlantic City

A name change and a renovation have turned the old Trump Taj Mahal into the beautiful new Hard Rock AC property just a few strides down the Boardwalk. The hotel launched its retail and mobile sports betting operation in January 2019.

At the grand opening in June, Chairman Jim Allen confirmed Hard Rock would be in the business of sports betting. We also learned that company is subject to some additional restrictions due to its relationship with the NFL and the Miami Dolphins. Hard Rock will not be able to “set the bet” as Allen put it, needing a third party to manage the action.

In July, a new partnership between HRAC and Bet365surfaced in documents filed with the DGE. Bet365 is an enormous outfit based out of England, and Hard Rock will provide its entry point into the US market. You’ll see its mobile app hit the virtual shelves at the appointed time, whenever that time may come.

Hard Rock also struck a partnership with Kindred Group — best known for its Unibet brand. Both deals are pure branding deals, however, so neither provided insight into Hard Rock’s own plans.

In October, Gaming Innovation Group (GiG) announced it signed a letter of intent to power those Hard Rock platforms. The alliance covers both retail sports betting on property as well as online/mobile channels.

Caesars, Bally’s, Harrah’s

Caesars has opened brick-and-mortar sportsbooks at Bally’s and Harrah’s, the former also serving its eponymous casino on the Boardwalk. As it formed a new partnership with Scientific Games, Caesars announced that mobile/online betting would follow “quickly.”

About a month later, it delivered. Caesars added sportsbook functionality to its existing NJ online casino app on Sept. 6, just hours before NFL kickoff.

Under Caesars’ casino license, the mobile 888 Sportsbook went live the following Monday. The 888 iOS app went live on Oct. 20.

Nj Online Gambling

Tropicana

How Does Nj Online Gambling Work Permit

Apart from Freehold Raceway, that leaves Tropicana as the only other property we haven’t mentioned.

Eldorado Resorts runs the gaming operations, and it recently entered into a partnership with William Hill for operations. The on-site sportsbook opened in October.

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