GGRAsia – Macau ‘smart’ play a data protection challenge: lawyer

Macau ‘smart’ play a data protection challenge: lawyer

Apr 10, 2024 Newsdesk Latest News, Macau, Top of the deck

“Navigating” data protection regulations “presents a multifaceted challenge for casino gaming concessionaires looking to integrate” so-called ‘smart’ tables, including radio frequency identification (RFID) technology, in their operations, says a freshly-published paper from Macau-based lawyer Pedro Cortés.

Such effort would have to emphasise “the utmost importance of safeguarding customer data,” as well as “adhering to regulatory requirements, and cultivating an environment of trust and transparency within the continuously evolving realm of casino gaming,” wrote Mr Cortés.

His paper, ‘Navigating Regulatory Waters: The Implications of RFID Gaming Chips in Macau Casinos’, was published on Tuesday in Lexology, a website of United Kingdom-based Law Business Research.

Mr Cortés, of Macau law firm Rato, Ling, Lei & Cortés, referred in his article to recent commentary by Macau’s casino regulator, the Gaming Inspection and Coordination Bureau, that it was encouraging operators to “achieve a more comprehensive management with technology, such as increasing smart gaming tables”, and to “enhance the efficiency of their management, while at the same time working with the government electronic administration functions”.

Mr Cortés wrote: “Under Macau['s] Personal Data Protection Act (Law 8/2005) controllers of personal data are mandated to embrace the fundamental tenet of carrying out the processing transparently and with strict respect for the privacy of life, as well as for the fundamental rights, freedoms, and guarantees established in the Basic Law of the Macau Special Administrative Region.”

He also noted that the Personal Data Protection Act “highlights the importance for controllers to collect, store, and process only necessary customer data to minimise privacy risks and enhance data security”.

The lawyer further observed: “Encryption plays a critical role in protecting customer data, requiring robust protocols to maintain data integrity, prevent unauthorised access, and strengthen overall security measures.”

Mr Cortés noted that Macau casino gaming concessionaires would also have to “align with general data protection rules which include encompassing transparent data processing practices, securing customer consent, and upholding data subject rights to safeguard customer privacy and data accuracy”.

Neglecting any of these practices, he added, could “result in significant harm and consequences for the industry, as trust and credibility within the gaming ecosystem is key for the success”.

With a wider use of RFID gaming chips in Macau, “regulatory entities are likely to enhance oversight frameworks, audit procedures, and compliance monitoring mechanisms tailored to this technology,” said the lawyer.

He added: “Macau’s reputation as a global gaming hub relies on its innovation and competitiveness within the industry and embracing RFID gaming chips propels Macau to the forefront of technological advancements, enhancing operational efficiencies, refining customer engagement strategies, and fortifying security measures.”

The issue of personal privacy for Macau casino customers was raised in 2019, after a Bloomberg article that claimed digital technology – including facial-recognition tools – was being used in some Macau casinos to track the players most drawn to risk when gambling.

Macau’s gaming bureau said at the time, in a statement emailed to GGRAsia, that “some” of the city’s casino concessionaires were using facial recognition technology inside their gaming venues.

The regulator had added that “according to information collected” by it, facial recognition technology had been undergoing “preliminary testing”.

It added such testing needed “to follow related privacy protection laws strictly, and can only be used for the protection and safety of persons and property”.