In his conference on “Challenges of Land-based Casinos in Mexico”, which was part of the latest edition of Gat Caribe Cancún that took place on November 26 and 27, Óscar Paredes Arroyo, President of the Board of Directors of "El Palacio de los Numeros" began by explaining that “there is no need to understand physical casinos competing with online betting. I think the big challenge is to develop online betting with physical betting in parallel.”

Then he highlighted “The challenge is to maintain the magic that we have achieved during all these years to keep our industry alive. We do not have to lose sight of the political issue of the industry and the historical moment that Mexico is experiencing. That is the great challenge we have with casinos.”

And he added “It is not gaming, it is the betting activity which makes us live, grow and coexist. We have seen how last year it was issued a decree that put limits on our activity, making a new interpretation of the old law from 1947."

 New gaming and raffle law

Therefore, for Óscar Paredes Arroyo, the challenge in Mexico is to change the law. In this sense, he highlighted “Regarding the new law on games and raffles and the new tax regime, the challenge is  that it allows our growth and our political security in the industry. My company Palacio de los Numeros already had the honor and luck of being a leader in winning the sports protection that with the decree no longer exists. It was defeated and we achieved it thanks to the contribution of all of us. It was a very considerable experience to demonstrate what we can do when we work together.”

 What will the law be like?

 He then stressed that “TIt is a cutting-edge project of 57 articles that can be modified for better or worse. A tax reform is coming and it can both affect us terribly or benefit us. That depends on us. It is the point we have to consider every day. What alliances do we have to make? What equipment do we have to have?”, he wonders.

 A little history about casinos in Mexico

Arroyo looked back and recalled that “in the past it was unthinkable for a leader of a chamber to talk about casinos. It was a taboo. I will remind you a little history going back to 1997 when I was commissioned to put machines in Ciudad Juárez racetrack. I didn't know the law at that time, but I knew that it was a prohibitive law and that  casinos were prohibited in Mexico. I began to study and analyze the law and I discovered that it was an easily interpretable law of 17 articles, which we could be modified in one way or another. And knowing the substance of the bet, I realized that it was indeed feasible. The opinion of the big law firms in Mexico was asked, and they said that not only it would cost them the concession but also time in prison. And given all those bad omens we decided to try it.”

 There he highlighted that “We did it in 1997, we took 400 machines to the Ciudad Juárez racetrack. The government closed us down. More than 300 Federal Police officers arrived on planes and surrounded the racecourse. The guard and I were alone at 12 at night to receive them. The person in charge of the mission said, why did they make such a fuss? That was a matter of understanding what the industry was and it was won by taking advantage of the errors and the misinterpretation of the law by the authorities, because they talked about the differences between games of chance and games of skill. It wasn't that way. Our subject, as I always say, is betting.”

 The way to casino regulation

 To close the conference, Arroyo explained that “The great challenge is to remain strong in politics to be able to survive in the moments to come. We have an industry that still has a long way to be understood. If we made a bet on the streets and talked about the positive and negative aspects of casinos, we would lose it. It is a bet that we must win and keep alive.”

Then he added “It is not a competition between online casinos or physical casinos, I think they both have their own market. It is the bet of human taste. And no one will be able to avoid that. What cannot be prohibited by law must be regulated. And if thumans like gaming, regulation is our way. Our challenge is to continue to overcome adversty; let's continue with technology. I love that. “Artificial intelligence, which is the technology that is being developed today, is fascinating and incredible to me.”

“In conclusion, the fundamental challenge is to have a new law that gives us clarity and legal certainty. I want to convey to you the emotion of what it feels like to fight for an industry and move it forward. Fight so that we can be here together for many years and enjoy the wonderful magic of casinos, which from my point of view is an entertainment industry.”

 Finally, he left a message “The cost of entertainment has to be paid. Or you go to a show and pretend not to pay or leave with money after watching the show. They have an investment budget. In our industries, in addition to having fun, people have the possibility of leaving with a prize. Let's understand and sell that magic, let's sell that desire to continue growing, to continue fighting for our Mexico, which has many alternatives for growth. But we need to play politics, we need to defend ourselves and that is the only thing that can lead us to victory if we do it together.”