Will the US Online Gambling Market ever truly open up?
The United States as a nation is quite conservative towards all forms of online gambling, and are quite hesitant to truly open up to that industry.
But what surprises a lot of the analysts is that even with their approach towards it, 'the U.S. is still one of the world's' most significant gambling market.'
And even though there are a lot of players logging in every day, some of the games are still prohibited in most of the U.S. online casino sites.
Many today feel that the U.S. market has shown signs of waking up to the potential that gambling offers.
But the latest laws and legislatures have turned their backs on that progress, and it has made many players question if the U.S. will ever fully embrace online gambling at all.
The Legislatures Behind U.S. Online Gambling.
When it comes to public opinion on gambling in general, the consensus is quite divided.
There are many who enjoy this recreational sport responsively, while others are victimized by it, with gambling addiction rates being at an all-time high.
Needless to say, the laws on regulating or even prohibiting gambling and online gambling have kept changing over the years.
But out of all the legislatures, two are the most prominent; the revised Wire Act of 2011 and the PASPA.
1. The Wire Act.
The revision of the Wire Act was done due to the evolution of technology and the new forms of online gambling that came up every year.
The was initially Wire Act was passed during the Kennedy-era to help tackle organized crime.
And from 1996-2006, Congress, on several occasions, had tried to update the act and what it did, but they failed to resolve the conflicts that occurred between gaming sectors.
Gaming sector laws like that of the commercial, tribal, horse racing, dog racing, and even lotteries were at constant struggles with each other; and it took Congress till 2011 to resolve the issues
On the January of 2011, the Department of Justice Office of Legal Counsel reversed the act opinion, which stated that law only applied to sports betting.
Now the Wire Act can be applied to all forms of gambling, including online gambling and all sort of betting sports which crossed state lines.
This, in turn, helped many players gamble online without having to worry about the legality of the sport.
2. The PASPA Act.
The ever advancements in technology and the different online gambling games and portals have created continuous problems for the law.
Now, all the way back in 1992, the former U.S. president George W. Bush, signed the Professional and Amateur Sports Protection Act or the PASP in the law.
Also recognized as the Bradley Act in New Jersey, this legislation stopped new states from offering sports betting.
However, it in no way outlawed sports betting, which was already illegal, but rather stifled the spread of sports betting in the U.S.
It outright prevented states from regulating gambling, but the law was soon reversed by the supreme court when it allowed the state of New Jersey to pass its very own gambling laws in 2018.
This helped out players a lot. Where one would usually send their hard-earned dollars overseas instead of their state treasuries, they could now place legal bets from their very homes.
What Killed the Potential of the U.S. Gambling Market?
On the black market alone, sports betting is estimated to be worth around $150 million.
It shows the potential of the sport is the nation, and how such an amount when regulated can be diverted into public service areas like hospitals and schools.
Legalizing sports betting can create a lot of jobs, as well. It can make around 125,000 and 152,000 employment opportunities all across the nation, according to a report published by Oxford Economics in 2017.
But much of the progress was thwarted when campaigners started lobbying against DOJ's decision of legalizing some of the online gambling games.
Prominent figures like the U. S. Senator Lindsey Graham and Shelden Adelson were some of the forerunners of that campaign.
The future of online gambling in the U.S. was in question again, with never-ending valid debates on either side of the argument.
These slideshows show the opinions of some of the big names in politics and where they stand on the debate.
The Future of Online Gambling in the U.S.
The United Kingdom is doing a phenomenal job of increasing their state revenue by regulating gambling and accelerating the industry at a rapid pace.
They embraced the industry wholeheartedly and was able to generate a revenue of more than 14.5 billion pounds in almost no time at all.
The U.S. can indeed learn a lot from them. The U.K. is one such example in the world that acts as evidence of online gambling having a positive contribution to the economy.
In the U.K., almost all gambling websites are subjected to taxation, which directly funds the government and their community schemes.
Their websites are malware-proof as well and frequently go through server maintenance checks to deal with all the safety issues which may occur.
However, the U.S. has a far greater potential than the U.K. in terms of revenue generation. And if they adopt most of the U.K.'s regulation methods, then the market is guaranteed to bloom.
But with the strong opposition that online gambling faces in the nation, we don't think that it will truly open up to the industry any time soon.