Regulatory Framework For The Remote Gaming Platform Of Traditional Bingo

PAGCOR

i-Gaming Licensing and Regulation Group E-Games Licensing Department

REVISED REGULATORY

FRAMEWMORK FOR THE

REMOTE GAMIING PLATFORM

OFTRADITIONALBINGO

Rev. No: 1 Effectivity:1 5 Nov 2023

change of logo. All provisions, terms well as applicable penalties under the Revised Regulatory Framework for The Remote Gaming Platform by the Board on November 03, 2022, shall remain in force and effect. *Revision pertains only to the form, i.e. Traditional Bingo which was approved and conditions, table of offenses, as O1

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numerous transactions have evolved accordingly, including that of gaming as a Bingo games. With the advancement of technology, particularly with the internet, various whole. This regulatory framework shall govern the conduct of online live Traditional

With the aim of realizing the objectives of PAGCOR to create an environment that propels the development of the Philippine gaming and amusement industry, establish

become a responsible and responsive partner of the national government in its nation- and enforce a regulatory framework that preserves the integrity of the same, and building programs, the regulatory guidelines for the Remote Gaming Platform of Traditional Bingo is hereby laid down.

All PAGCOR-licensed Traditional Bingo Games Operators (Operator/s), i.e licensed casinos and brick-and-mortar traditional bingo gaming sites, are hereby allowed to develop and implement their respective traditional bingo remote gaming platform.

that allows players, through the internet, to remotely access and to participate in an online live traditional bingo game or session streamed from a PAGcOR- authorized traditional bingo gaming site/hall. Traditional Bingo Remote Gaming Platform refers to the online gaming channel

RemoteGaming Platform. traditional bingo operations may not implement its own Traditional Bingo Under these guidelines,PAGCOR internal gaming such operated casinos and

2 All applications for approval of Traditional Bingo shallbe processed and handled

by the E-Games/E-Bingo Licensing Department.

3. The Operator shall prepare a Comprehensive Mechanics for its Traditional

Bingo Remote Gaming Platform and submit the same to the EGLD for evaluation.The Comprehensive Mechanics must adhere fully to this framework and must provide the following minimum processes: a.Procedures on the selling of cards to the players;

b. Procedures on declaring the winner, including Sleeper rule; and C. Bingo program and prize configurations.

The payout percentage shall neither be less than sixty percent (60%)nor exceed ninety percent (90%).

Along with the submission of the above Comprehensive Mechanics, the Operator shall pay the non-refundable Processing Fee of Two Million Five Hundred Thousand Pesos (PhP2,500,000.00)

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5. Only one (1) traditional bingo remote gaming platform shall be allowed for each

Operator, where a website and/or mobileldesktop application may be used which shall not accept bets emanating outside the Philippines and shall not be accessible in any way whatsoever outside the Philippines.

For the above purpose, the Operator shall submit the following certifications from an independent gaming laboratory:

a. Certification attesting that the remote gaming platform was extensively

tested and evaluated and has been found compliant with the following standards:

i. All data are captured, accounted and reported by the system; and, Game is fair, secure and able to be audited and operated

correctly.

b. Certification attesting to internet protocol (IP) blocking applied to the

platform for all other IP addresses excluding Philippine IP addresses.

Note: The above certifications are reguired to be submitted within three (3) months from commencement of live commercial operations of the platform. A Certification under Oath of the proponent attesting to the above including the application for such may be submitted initially.

6. Only Traditional Bingo Machines/Consoles/Equipment shall be used in

generator shall not be allowed whatsoever. calling/drawing of bingo balls/numbers. The use of electronic random number

emanate from PAGCOR-authorized traditional bingo gaming sites/halls. Ball drawing or the feeds used for the game/platform shall only and strictly

Feeds must be live and not pre-recorded.

The Operator must ensure, as will be monitored by PAGCOR, that the ball drawing as well as the eguipment used is clearly visible during streaming. The Operator is under obligation to ensure the authenticity of each and every game.

8 Onlineandonsitetraditionalbingooperations may be- conducted

simultaneously.

by the directives of competent authority, the Operator may still offer or implement However, in instances that conduct of onsite traditional bingo games is restricted online live traditional bingo, provided that in-person

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participants/players shall not be allowed at the venue.

9 Only registered members of a particular Operator or its affiliate-Operators may

avail of the approved Traditional Bingo Remote Gaming Platform.Only one(1

is registered or will be registered as a member. account shall be allowed per player per Remote Gaming Platform. A player's account shall be particularly designated/tagged to the gaming site where he/she

Full Name, Date of Birth, Contact Number, Current Address, Nationality Occupation, Source of income, recent photograph and one (1) valid The Registration Process of members must at the minimum reguire the Player's

further be required in order to confirm the identity and the submitted information and ID of the prospective player prior to registration. It is also during this video screenshot as part of the player's account requirements. government-issued ID. Both In-Person and Remote Registration shall be allowed. With respect to Remote Registration, a video calling/conferencing shall calling/conferencing that the player's recent photograph shall be taken via

Minors and persons included in PAGCOR's National Database of Restricted Persons (NDRP) shall not be allowed to avail or access the platform.

10. Account Log-in and Identity Verification Process - the Operator's traditional

bingo remote gaming platform must have the capability to ensure that only the registered player is using his/her account. Accordingly, any one of the following functionalities for verification must be implemented:

O Video calling prior to log-in or; O Biometrics verification, such as

OTP verification where the system sends a randomly-generated which must be accurately entered by the player to allow access to the platform. onetime-PIN (OTP) to the registered contact number of the player Iris scanning; Facial verification; Fingerprint scanning; or,

11. Account funding to and withdrawal from remote accounts shall be processed by

bythe Banko Sentral ng Pilipinas shall be considered legitimate and shall be the Operator through AMLC-compliant channels, such as over-the-counter and services. Only those payment solutions or money transfer services accredited online banking, eWallet systems, and through other legitimate money transfer

utilized under these guidelines.Only funding,withdrawals,and/or transfers from and to a payment/banking solution account under the registered player's name

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shall be allowed.

12. Initial Buy-In Reguirement -- Online Traditional Bingo Players shall post an initial

deposit in the amount of One Thousand Pesos (P1,000.00) for those to be registered under brick-and-mortar traditional bingo gaming sites and Five after which the Player may utilize the same at will. casinos, which shall be sustained as maintaining balance for thirty (30) days Thousand Pesos (P5,000.00) for those to be registered under licensed or

13. Minimum Purchase -- The minimum purchase per transaction that a player may bingo card or a package of cards or for multiple games. make in the Remote Gaming Piatform is PhP100.00 which may be for a single

14. The following minimum operational and technical standards for the traditional bingo remote gaming platform shall be adopted and implemented:

b. For purposes of using electronic bingo cards, the Operator may only use a. Electronic-version bingo cards may be used in the platform. one (1) permutation series for every game/session. The Operator shall submit to the Compliance Monitoring and Enforcement Department (CMED) the electronic database/file of the permutation series for

C. Cards may be sold randomly or by choice to players, provided that in no monitoring.

e. The platform shall have the following reporting capability d. Auto-daubing functionality may be implemented in the platform. case shall a particular card be sold to and played by two (2) or more players in a game.

Determination of the Gross Sales as well as Gross Gaming cost per card/package. Revenue in any given game, session, or day, including the

Determination of how many cards were sold and/or used in any

Determination of the card/s sold to and used by a player for particular game and/or session. given game or session; and

Record of each of the game's winner/s, the winning card/s game. number/s, and series of the balls/numbers called during the

v. Record of each game's total actual payout.

15 Once the documentary requirements are evaluated as compliant with the

foregoing, the application shall be submitted to PAGCOR's Board of Directors for consideration.

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16.The Operator shall be informed whether the application is approved or denied If approved, the Operator shall additionally be notified to prepare for the actual

inspection, walkthrough and testing of the approved Traditional Bingo Remote Gaming Platform and to inform EGLD of its readiness for the same. The inspection,walkthrough and testing shall be conducted by the PAGCOR Team, composed of representatives from EGLD, Compliance Monitoring and Enforcement Departmentfor I-Gaming(CMEDI-Gaming),Information Technology Department (ITD),and Internal Audit Department(IAD)

17. If the traditionai bingo remote gaming platform is evaluated as compliant with

may proceed with its commercial operations. theminimum standards provided in this framework, the Applicant shall post to PAGCOR the required cash bond of Fifty Million Pesos (PhP50,000,000.00) whereafter a Notice to Commence shall forthwith be issued and the Operator

18. Operators shall provide PAGCOR CMED for I-Gaming back-office access to its

monitoring purposes. The Traditional Bingo Remote Gaming Platform shall traditional bingo gaming platform for purposes of determining the accurate Gross Gaming Revenue in any given game, session, or date, and for any other

monitoring. likewise be integrated into PAGCOR's Third Party Audit Platform for close

19. An Operator of a Traditional Bingo Remote Gaming Platform may integrate other PAGCOR-licensed traditional bingo Operators as affiliate/participating partner- Operators.The Operator shall provide EGLD with documents of the partnership

and shall be recorded in the Main Operator's file relative to its approved Remote Gaming Platform. The registered affiliate/participating partner-Operator shall remain as such unless it is removed for cause or by agreementby the parties.

Registered Players of affiliate/participating partner-Operators shall remain to be their players despite the above integration and all transactions of these players shall redound to the particular gaming site and Operator to which they are registered. The financial covenant for the above partnership between the Main

latter's registered players. In all instances where Remote Registration is initiated Operator and its affiliate Operators may be based on the transactions of the

via the Remote Gaming Platform's online facility and that affiliate- Operators are involved in the Remote Gaming Platform, the system shall not in any way determine for the player his/her designated gaming site. The system shall instead provide the player a complete list of affiliate gaming sites with attract/entice a player to choose a particular gaming site in said list is strictly addresses from which he/she may select from. Any scheme that may prohibited. For remittance purposes, the License Fees and other financial obligations

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attributed to the whole operation of the group shall be on account of the main Operator of the Traditional Bingo Remote Gaming Platform, inclusive of its participating partner-Operators. Onsite operations shall remain separate from the Remote Gaming Platform.

20. License Fees (LF)-The following financial obligations shall be remitted by the Operator to PAGCOR by the Operator:

PAGCOR Share (PS) of 15% on Gross Gaming Revenue (GGR) where GGR is equal to Gross Bets/Sales less Total Payouts/Fixed Payout Aliocation, or a monthly Minimum Guaranteed Fee (MGF) of PhP100,000,000.00, whichever is higher;

Five percent (5%) Franchise Tax on PAGCOR Share; and

The cost for the services of PAGCOR's Third Party Audit Provider equivalent to ten percent (10%) of the PS net of Franchise Tax.

21. Minimum Number of Participating Traditional Bingo Gaming Sites - every

regardless of the number of affiliates, to offer and/or operate the same. Traditional Bingo Remote Gaming Platform,except that of an Integrated Resort or Licensed Casino, shall have at least twenty (20) participating gaming sites.

These gaming sites can either be an outlet owned and operated by the registered Operator of the Traditional Bingo RGP; or, by an affiliate Traditional Bingo Operator.

For new applicants of Online Traditional Bingo,they are reguired to have at least ten (10) participating gaming sites before a Notice to Commence is issued

result in the suspension of the operations of the concerned Traditional Bingo whereafter they must comply with the twenty(20) gaming site requirement within one(1) year from actual commencement of operations. Failure thereof shall RGP until such time it has complied with the requirement.

22. Any deviation from any of the submitted certifications above, and any

misrepresentation, breach and/or circumvention, directiy or indirectly, of any of

The above provisions are subject to continuous review, and to changes, revisions, any loss incurred due to such remiss shall be solely shouldered by the the conditions set in this regulatory guidelines, any other relevant of the remote gaming platform and/or revocation of the approval thereof; and concerned Operator. communication or memorandum issued by PAGCOR relative herewith, and/or any law, local or national, of the Philippines shall be ground for the suspension

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modifications, or amendments from time to time, as the case may be, considering the novelty of these gaming platforms and the rapid changes in technology it

in any way be affected by this regulatory framework and shall remain as is. employs or reguires. Onsite land-based traditional Bingo games operations shall not

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