New York Regulator Proposes Limiting AI Use by Bookmakers

New York authorities have proposed new restrictions on the use of artificial intelligence (AI) in the betting industry, alongside tighter requirements for operators aimed at strengthening player protection.

The initiative was developed by the New York State Gaming Commission at the direction of Governor Kathy Hochul. It focuses on technologies used by operators to personalise offers and drive user engagement. In particular, regulators are considering a potential ban on the use of AI to generate individual bonuses and betting recommendations.

The proposals also include stricter customer identification procedures. Options under review include mandatory biometric verification at registration, such as facial recognition via a device camera or identity confirmation using fingerprint data.

A separate set of measures targets the monitoring of player behaviour. Operators could be required to implement systems to detect early signs of problem gambling and respond accordingly.

Indicators under consideration include large deposits (over $10,000 per day), frequent cancellation of withdrawal requests, and sharp increases in time spent on accounts. Operators would also be required to appoint a responsible gambling officer to oversee compliance with these procedures.

The proposed measures have been published as draft regulatory amendments and are open for public consultation until May 15, 2026. The regulator will decide on next steps following the consultation.

Gambling Park previously reported that New York is also considering a separate initiative to ban betting by individuals who harass or abuse athletes.