This has got to be their work around to EGMI's patents, and not an elegant one either. Who wants to run around with a card reader? seriously. just think about it... I am in Vegas, and I have to carry around such a device? I can see where this might have some "savings" for the entire system since a "new card" does not have to be made each time a new game is introduced but this is overkill in the promotional area, and likely a non-starter.
The EGMI solution has been a threat to their scratch it ticket business for almost three years. SG has not been as well financially lately, and they clearly don't want to increase their expenses by paying royalties to EGMI. Can't wait for the three year contract to end.