The Online Gambling Legislation in the USA Explained

 

Online gambling legislation in the USA varies from state to state. It can be infuriating to find out that while one piece of legislation works in a US state, it is completely different in another state. This article helps you understand the peculiarities and similarities of online gambling legislation across the country.

With the information contained in this article, you can build a great overview of New Jersey casinos and other states in the United States.

 

What is Online Gambling Legislation?

They refer to the laws and regulations given to regulate online gambling in a territory. The body in charge of enforcing and regulating online gambling legislation is known by different names. For example, in the UK, it is the Gambling Commission.

More Americans are turning to online gambling as a source of entertainment and income. The fact that mobile phones can play online casino games makes it even more appealing, with more people using mobile phones to surf the net.

Another attraction of online gambling is that you can play it anywhere, in your home, office, or outdoors. All you need is an internet-connected device such as a laptop, mobile device, and a tablet.

With the growth of online gambling in the USA, the rising number of players and casinos, laws, and regulations in form of legislation to guide the operations of this industry is necessary. Note that online gambling is not legal in all states of the USA.

 

Where does the legislation governing online gambling in the US come from?

Online Gambling Legislation is an offshoot of gambling laws and legislation. Most of the laws governing it in many U.S states was conceived before the Internet came into being. The pressing realities of today’s world have pushed some states to legalize it, while others are taking steps to and some are still enforcing strict bans.

 

US Gambling Laws and Online Regulation

Online gambling in the US is governed by three tiers of gaming laws and regulations.

  • Federal
  • State
  • Local

Some states in the US have favorable online gambling legislation while some are yet to address the new realities in the online gambling world. There is an urgent need for many states to update their gambling laws to recognize the changes in gambling technology over the years.

Generally, US Gambling Legislation is liberal. But, the online gambling legislation in the US is not quite progressive yet across states.

 

Federal Online Gambling Law

There are three laws at the federal level that touch directly on online gambling in the USA.

1. The Interstate Wire Act of 1961

This law is a controversial one for online gambling as it prohibits placing bets using a wire communication facility. This included online gambling until it got re-interpreted recently. The Department of Justice insists that sports betting is illegal while other forms of betting outside sports are not covered. This is beneficial for online casinos.

2. The Professional and Amateur Sports Protection Act of 1992

Not a popular legislation, the law aims to prohibit sports gambling under state law regardless of the method used. This law means that states such as Iowa where online gamble ng is explicitly legal are falling short of the law.

It is a rather controversial one. Many people argue that it is unconstitutional. The US constitution awards the state all rights that are not under the jurisdiction of the bill.

3. Unlawful Internet Gambling Enforcement Act of 2006

This legislation has the strongest impact on online gambling. It is an attempt to ban online betting from the American coast by making it illegal for financial institutions to allow gambling transactions.

Certain fantasy sports, some skill games, and existing inter-tribal gaming and legal intrastate markets are excluded from the Act.

Contrary to popular opinion, this act does not bar online gambling in America. Rather, it makes it harder to conduct money transactions from a known gambling site.

How does it affect you? It doesn’t affect the individual. The act is targeted at preventing banks and other financial institutions from doing business with illegal online gambling sites.

 

State Online Gambling Laws

The hardest laws to navigate concerning online gambling are state laws. Why? You have to consider all 50 states and the District of Columbia laws. While some states favor online gambling, other states have stringent anti-gambling laws. Even within a state, online gambling laws can vary from place to place such as the county or municipal laws.

 

Local Gambling Laws

These refer to municipal laws that affect online gambling in a particular area. The US is a vast land, with many areas having their say about gambling laws and how it affects their society.

 

Conclusion

Understanding online gambling legislation in the US is not the easiest task. You have to consider federal, state, and local laws.

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