Skill-Based Gaming Skill-Based Gaming


Industry News
Industry News

Defying the Odds, Skill-Based Gaming Spearheads the Trend

While the regulations for real money casinos are getting increasingly stringent around the world, there is one form of gaming that is very similar to betting which is being exempted in a growing number of jurisdictions. It is called skill-based gaming, meaning that the outcome of a game is dominated by the skills of its participants, and that every decision and move made by a player in every game is critical to the outcome.
Definition of Skill-based Gaming

A skill-based game is one whose outcomes are highly dependent on the skills and decisions of the players, rather than just their luck. In this type of game, players need to utilize a variety of skills, such as strategic planning, reaction time, and memory, which have a direct impact on the outcomes of the game. The only players who will be able to win in a skill-based game are those who are able to plan systematically, understand the nuances of each plan, and make informed decisions at each critical point.
Differences from Probability-based Games

The outcomes depend on skill or pure randomness
As mentioned earlier, one of the major distinctions of skill-based games is that the outcomes depend on the skill level of players, rather than on pure randomness. For example, in poker games such as chess and blackjack, a player's strategy and card counting ability directly determines whether they win or lose the game. In contrast, in conventional probability-based games, such as slot machines or roulette, outcomes are largely controlled by random factors, and it is difficult for players to influence the outcomes of the game through their skills.
Challenge and entertainment
Skill-based games emphasize challenge and competition, in which players seek to win by improving their skill level. This challenge makes skill-based games more popular among players who seek a sense of accomplishment and competitive enjoyment. Conversely, probability-based games focus more on entertainment and are more appealing to players who want to relax and count on their luck.
High level of control
In skill-based games, players can continuously improve their skills to increase their chances of winning the game. However, in probability-based games, where outcomes are largely influenced by randomness, improving skills has a relatively limited impact on the game's outcomes. Therefore, having control over the game is also a major factor that keeps fans of skill-based games hooked.
Future Trend of the Gaming Industry

The proliferation of skill-based games has inspired traditional gaming platforms to innovate and introduce more skill-based game options to meet the needs of different players. For suppliers, it is a good business to have real money coming in and going out of skill games that meet the definition, and to have easy access to payment channels and advertisements in mainstream media without the need to obtain a gaming license.
However, skill-based gaming is inevitably faced with some challenges, especially in terms of regulations and compliance. The definitions of skill-based games vary widely under different legal frameworks. For example, Malta clearly distinguishes "skill-based games" as an economic activity conducted through remote communication techniques for the purpose of obtaining property, the outcome of which is entirely or mainly determined by skill, but does not include sporting events; France stipulates that skill-based games are also considered to be gambling; and China's legislation defines skill-based games as a form of gambling, while China's legislation approach is unconcerned with whether the determining factor of the game is chance or skill; as long as money is involved, it is considered gambling. At the same time, the categorization of skill-based games is more complex than probability-based games, and there is still a need to develop clearer definitions of scope as well as a set of guidelines.

Overall, the emergence of skill-based games has injected new impetus and vitality into the gaming industry. This revolution not only satisfies players' desire for challenges, but also prompts the gaming industry to innovate and provide players with richer games. Relevant regulatory units should formulate regulations adapted to the new era as soon as possible to safeguard the fairness and legality of the games.