1. Phillip Ryan Chief Executive Officer Responsible Gaming Networks Pty Ltd Melbourne, Australia 2010 CANADIAN GAMING SUMMIT, CALGARY, CANADA

2. Topics New drivers for player authentication & validation The old technologies The new technology Advantages of new technology for players & operators Live Demonstration Industry expansion opportunity RESPONSIBLE GAMING NETWORKS

3. New Drivers of Player Authentication 1. Self-exclusion class actions: Financial costs Reputation costs RESPONSIBLE GAMING NETWORKS

4. New Drivers of Player Authentication 1. Self-exclusion class actions: Financial costs Reputation costs 2. Underage gambling risks. RESPONSIBLE GAMING NETWORKS

5. New Drivers of Player Authentication 1. Self-exclusion class actions: Financial costs Reputation costs 2. Underage gambling risks. 3. Global movement towards venue player pre-commitment: Loss limit setting by individual players Nova Scotia, Norway, Singapore, Australia RESPONSIBLE GAMING NETWORKS

6. New Drivers of Player Authentication 1. Self-exclusion class actions: Financial costs Reputation costs 2. Underage gambling risks. 3. Global movement towards venue player pre-commitment: Loss limit setting by individual players Nova Scotia, Norway, Singapore, Australia 4. Player exploitation of loyalty schemes. RESPONSIBLE GAMING NETWORKS

7. New Drivers of Player Authentication 1. Self-exclusion class actions: Financial costs Reputation costs 2. Underage gambling risks. 3. Global movement towards venue player pre-commitment: Loss limit setting by individual players Nova Scotia, Norway, Singapore, Australia 4. Player exploitation of loyalty schemes. 5. Legalisation of internet gambling: Need to stop underage gambling, provide effective self exclusion, residency and pre-commitment across multiple suppliers/accounts RESPONSIBLE GAMING NETWORKS

8. Player ID Device Technologies Plastic cards Smart cards RESPONSIBLE GAMING NETWORKS

9. Player ID Device Technologies Plastic cards Smart cards USB biometric flash drive keys RESPONSIBLE GAMING NETWORKS

10. Old Technologies Limitations of plastic cards with PIN Cards have very low storage capacity (<1 k) Cards & PINs can be swapped between gamblers Cards can be easily illegally copied/skimmed Cards require additional card reader expense Cards operate on different proprietary standards Limits functionality to a single gambling network RESPONSIBLE GAMING NETWORKS

11. The Nova Scotia Findings International Gaming Institute, University of Nevada: Players beat the system – via card sharing 37% of panelists shared cards. Card sharing occurred for periods up to one week at a time. Card sharing correlated to PGSI score (i.e. PGs shared the most). RESPONSIBLE GAMING NETWORKS

12. The Nova Scotia Findings International Gaming Institute, University of Nevada: Players beat the system – via card sharing 37% of panelists shared cards. Card sharing occurred for periods up to one week at a time. Card sharing correlated to PGSI score (i.e. PGs shared the most). Should pursue measures to address this specific problem Biometric ID solution required (fingerprint, facial etc) RESPONSIBLE GAMING NETWORKS

13. New Technology Solutions Biometrics Unique characteristics of every human being. Eyes, fingers, voice, handwriting etc Cannot be easily exchanged between humans Most developed biometric is fingerprints Developed by FBI in 1920s Recognized and accepted globally Lowest cost biometric New technologies have digitized fingerprint biometrics RESPONSIBLE GAMING NETWORKS

14. Biometric & USB Gaming Standards Regulators - Nevada Gaming Commission Biometric technical standards established for gambling Mobile Gaming System Policies May 2006 Two Factor authentication (device & biometrics) for player ID Established standards for: Cryptographic protocols Encryption algorithms Machine Manufacturers - Gaming Standards Association USB now adopted as Gaming Device Standard – GDS – for all slot machines globally. RESPONSIBLE GAMING NETWORKS

15. Fingerprint Biometrics RESPONSIBLE GAMING NETWORKS

16. Fingerprint Biometrics RESPONSIBLE GAMING NETWORKS

17. USB biometric flash drive key RESPONSIBLE GAMING NETWORKS

18. Electronic Key – unique for each player Biometric identification of owner Eliminates sharing of ID amongst players On-board fingerprint scanner & storage (1:1) No central storage of player biometrics RESPONSIBLE GAMING NETWORKS USB biometric flash drive key

19. Electronic Key – unique for each player Biometric identification of owner Eliminates sharing of ID amongst players On-board fingerprint scanner & storage (1:1) No central storage of player biometrics Plug-and-Play Device – no batteries Connects directly into all USB outlets Eliminates need for a card reader On board microprocessor = multi-venue RESPONSIBLE GAMING NETWORKS USB biometric flash drive key

20. Electronic Key – unique for each player Biometric identification of owner Eliminates sharing of ID amongst players On-board fingerprint scanner & storage (1:1) No central storage of player biometrics Plug-and-Play Device – no batteries Connects directly into all USB outlets Eliminates need for a card reader On board microprocessor = multi-venue Massive storage capacity (256 Gigabytes) Coverage across multiple gambling operators Coverage across all channels of distribution: Venues, internet, self-serve outlets, TV, mobile phones Coverage across all forms of gambling - gaming, lotteries, wagering, sports, spread betting. Read/Write 1000 times faster than a smartcard system RESPONSIBLE GAMING NETWORKS USB biometric flash drive key

21. Replace card readers in venues with USB outlet Players insert USB Key and confirm their ownership Digital cash option No cost to player for device (partitioned memory) Ideal self-exclusion mechanism Highly accurate player database (since no sharing) RESPONSIBLE GAMING NETWORKS USB biometric flash drive key

22. Replace card readers in venues with USB outlet Players insert USB Key and confirm their ownership Digital cash option No cost to player for device (partitioned memory) Ideal self-exclusion mechanism Highly accurate player database (since no sharing) The only technology built for the internet. RESPONSIBLE GAMING NETWORKS USB biometric flash drive key

23. Internet Gaming ready Already internet compliant USB connectivity for all computers Universal connectivity standard RESPONSIBLE GAMING NETWORKS

24. INTERNET PORTAL CASINO B CASINO A CASINO C CASINO D CASINO E USB Player Protection Key RESPONSIBLE GAMING NETWORKS New Internet Model

25. INTERNET PORTAL CASINO B CASINO A CASINO C CASINO D CASINO E USB Player Protection Key RESPONSIBLE GAMING NETWORKS New Internet Model Player AuthenticationGovernment Taxation Casino Authentication & Regulatory Supervision

26. Internet Demonstration Key distribution & initialisation: Through casino, lottery kiosks or retail network Prove age & provincial residency Scan and store fingerprint within key Option to set voluntary loss limits Unique device with unique digital certificate Take USB key and use on VLTs, slots, internet gambling, self- serve outlets, TV set-top boxes, mobile phones etc Internet and venue based kiosks allow players to: Self-exclude, change limits, print reports, access counsellors RESPONSIBLE GAMING NETWORKS

27. Internet Demonstration Demonstrate: Internet server access Player authentication Player requests Limit changes Self-exclusion Expenditure reports Support access RESPONSIBLE GAMING NETWORKS

28. New Internet Model Operator Benefits: Complete confidence in player identification Complete confidence in all fund transfers Eliminates risks & costs of self-exclusion supervision Eliminates risks & costs of underage gambling Eliminates risks associated with managing player limits across multiple accounts. Operates in current and next generation gaming channels. Is an acceptable solution to anti-gambling critics. Delivers a smoother public implementation pathway. RESPONSIBLE GAMING NETWORKS

29. New Internet Model Player Benefits: One registration covers all operators. One self-exclusion registration across all operators. One set of pre-commitment limits across all operators. Complete confidence in operators, and money transfers. RESPONSIBLE GAMING NETWORKS

30. New Internet Model Player Benefits: One registration covers all operators. One self-exclusion registration across all operators. One set of pre-commitment limits across all operators. Complete confidence in operators, and money transfers. Government Benefits: No risks of under-age gambling. Reduces risks of increased internet problem gambling. State-of-residence player identification. Allows for better regulation & taxation of the industry. RESPONSIBLE GAMING NETWORKS

31. Questions? Contact Phillip Ryan Chief Executive Officer Responsible Gaming Networks Pty Ltd Melbourne, Victoria. Australia p_ryan@responsible.com.au Mobile + 61 417 313 726 www.responsible.com.au RESPONSIBLE GAMING NETWORKS