Macau Bans Proxy Betting as It Increases in Southeast Asia
Macau’s gambling regulators have recently prohibited proxy betting in Asia’s gambling capital.
Pierre is a French tourist in Macau. He’s favorite hobby used to be sports betting back in Frank. He hasn’t tried out traditional casino games such as poker or baccarat. He thinks he’s in a good position to try these games out here in Macau.
High Rollers Depend on Proxy betting
Pierre wants to play it safe. After hearing the recent Crown casino incident, he decides to engage in proxy betting. This will secure him in the Chinese corruption crackdown in Macau. He thinks this approach can make him win without the controversy.
Pierre thinks he can win big without being present at an actual baccarat game, unless Chinese gambling regulators finds out about his proxy betting approach.
Proxy betting has been an emerging trend in Southeast Asia now. Global Market Advisors has estimated that Macau’s proxy betting volume has increased 15% in the previous year. VIP revenue has plunged to 40%. Morgan Stanley has estimated that 8-10% of Macau’s VIP revenue came from proxy betting until the government banned it in Q2.
How Proxy Betting Works
Proxy betting is considered the simplest method of “clean gambling”; a high roller wouldn’t be present in the casino but gives instructions to an agent who plays the proxy bettor. Mobile devices play a crucial role in proxy betting as high rollers contact agents to wager on their behalf. Frequent agents are a trusted colleague, a junket agent, or even a casino staff. High rollers think that this approach is safest from a legal standpoint. Proxy betting is popular in Europe and is already becoming a trend in Asia.
A portion allotted for online gaming during the G2E Asia trade show had 63 participants. Every exhibitor had 38% of companies which were part of the online gaming industry. Guests mentioned that online gaming is the most popular with great interest in the gambling market today.
Mobile Technology Complements Proxy Betting
However, online gambling entails a number of issues which proxy betting avoids. Online punters have to create and fund their online betting account to wager. It’s essential for online gambling portals to implement advance software platforms in order to improve digital betting and account management security concerns.
What’s ironic is that proxy betting simply requires people talking on their smartphones or video calling from tables, which Macau has prohibited. This lead to installation of fax machines in several casinos. Will proxy betting be legalized in Macau or will just present a number of negative issues? Let us know in the comments.
