CASHLESS GAMBLING TRIAL STOPPED AFTER CYBER ATTACK.
Just a few weeks before the Minns government will start its own trial of cashless technology a small trial of digital wallets in a NSW club has been targeted by cyber hackers.
The trial was being run on 144 of a club’s poker machines ahead of a wider rollout to 500 machines around the state.
The trial used Bluetooth connectivity to link a digital wallet on a user’s smartphone with gambling machines. The digital wallet has funds that can be used either for gambling or to purchase food and drinks from participating venues.
The hackers managed to access a third-party financial technology supplier involved in the trial. NSW Gaming and Racing Minister David Harris said the government was aware of a cybersecurity incident affecting a cashless gaming trial. Liquor and Gaming NSW was working with the operators, who were assessing the impact on patrons.
All relevant servers were immediately shut down and an independent expert was engaged to conduct a forensic assessment of the data breach which would take some weeks to complete.
While the investigation is ongoing, the company has advised that the cyber incident has not compromised any personal information belonging to any trial participants.
All digital wallet functionality in the venue was immediately deactivated and has ended the digital wallet trial.
Independent MP Alex Greenwich suggests that the timing if the cyber attack on a single club, targeting a discrete group of cashless gaming customers, in the lead-up to a broader trial was unlikely to be a coincidence.
The Sydney Morning Herald reported Greenwich as saying: “We know organised crime is engaged in these kinds of data breaches and ransomware attacks, and we know that organised crime has a lot to lose should we be implementing cashless gaming in NSW to prevent their ability to money launder.”
Cyber Security NSW, the Australian Cyber Security Centre and NSW Police were investigating.
Mandatory cashless gaming was the key recommendation of the NSW Crime Commission after its investigations uncovered suspected evidence of money laundering / tax evasion through poker machines in pubs and clubs.
Opponents of the technology have argued that mandating the technology is overkill and will deter recreational players from playing machines, partly because they will not want to risk their personal information being compromised.
