e-Sabong operator eyes ‘eKYC’ system

'Lucky 8 Star Quest' — one of the seven accredited e-Sabong operators in the country – is pushing for more regulation with the introduction of a stricter verification system to address public outcry about the so-called 'social costs' of the game on the Filipino people.

This comes amid the growing number illegal game operations and the seizure of a total of P2.6 million in cash and P2 million worth of video equipment from at least two gambling operators in Minglanilla Town, Southern Cebu recently.

The company's Risk and Compliance manager Rommel Cruz said that the recent apprehension of illegal gambling operators is a proof that illegal e-Sabong operations continue to exist thrive in many parts of the country to fill the void of the ban.

"These illegal eSabong operations are unregulated and will only result into further loss of revenue to the government. What is needed is for the government to implement more strict regulations to eSabong if reinstated," Cruz said.

Aside from the current regulations from the Philippine Amusement and Gaming Corporation, Lucky 8 Star Quest has been proposing to introduce the Electronic Know-Your-Client or eKYC process, where players will be authenticated in order to weed out players.

"With eKYC, the prospective players shall be required to submit and declare their basic information, recent photo, valid government ID, and sources of income to register. Likewise, an authentication process where a video call verification and an anti-money laundering screening has been put in place," said Cruz.

"More than just a declaration of the prospective player that he is at least a 21-year-old, cross checks will include review of name on form versus name on ID, and a face match where a review of submitted documents and photos is made. This added step can effectively prevent minors from participating in the game," he added.

These procedures also apply to players who register onsite, as in the case of our off-cockpit betting operators where supervisors perform first-line verification before endorsement to our customer service specialists for authentication.

eKYC data are digitally recorded and are stored in the company's central database and the company assured that the data bank remains secure and personnel are abreast with their responsibilities in maintaining confidentiality.

This is also what Jade Gaming Entertainment and Gaming Technologies — another eSabong accredited operator – is proposing.

Its chief executive officer, Joe Pisano, said that companies are willing to work with the government and lawmakers to help regulate the game better.

The eSabong industry generated around P640 million a month in early 2022 with a total of P2.03 billion in the first half of the year, according to PAGCOR chairman Andrea Domingo.