How Online Poker Sites Deal With United States Legislation

No one, not even the people who are in charge of making and passing the laws, seems to really understand US laws regarding online casinos. For all intents and purposes it seems like the government has passed several federal laws that should basically eliminate all United States based casinos, but yet the online casinos are still going strong.

Part of the reason that the online casinos are still around has to do with the fact that they are quick to counteract the federal laws. For example when the Federal Wire Act was passed in 2002, the online casino industry was able to get a federal judge to rule that they were exempt from the rule, allowing them to continue their operations.

The real mystery is how United States online poker sites can continue to operate today, when four years ago, in 2006; the Unlawful Internet Gambling Enforcement Act Gambling Enforcement Act was passed. Everyone was sure that that particular law would spell the end of the US online casino, but not only are they still going strong, there are more online casinos now, then there was in 2006. The one thing the law did do was make it a little more difficult to create money for online gambling, because the banks and credit card companies were no longer able to transfer money that was going to be used for online gambling.

When it came to skirting the Unlawful Internet Gambling Enforcement Act Gambling Enforcement Act online casinos proved just how brilliant they were. Since banks and credit card companies could no longer transfer money into individual’s accounts, the online casinos came up with something that they dubbed the e-wallet. Instead of going directly to the online casino, the funds were in fact transferred straight to the wallet which was not based in the United States. The money then bounced back from the wallet to the United States where it could be used for online poker and blackjack.

The lesson that the United States government learned from the Unlawful Internet Gambling Enforcement Act was that if people wanted to gamble online, they were going to do so. The federal government seems to be having a difficult time grasping that concept and is still looking for ways that they can regulate online gambling, however many states are taking a more rational approach. The state governments are looking at ways that they can keep the money that is spent gambling online, in the state. The first state to get legislation through both houses regarding interstate gambling and online casinos is New Jersey. As soon as the governor signs the legislation, New Jersey will have the first interstate gambling laws.

The poker odds are pretty good that as soon as the can see how successful the interstate gambling policy is in New Jersey, the more states are going to pass similar laws. The states should wait to see what hiccups New Jersey encounters so that they can word their own state legislation in a way that the problems can be avoided.