In 2006, online gambling was banned in the United States. Many online gamblers, poker players and casino players were shocked by the government’s decision at the time. Some poker players had been playing for years with the same online poker room and they’d built a solid reputation on the virtual poker tables and, suddenly, they were left out of the game.
The Unlawful Internet Gambling Enforcement Act (UIGEA) specifically targeted online gambling. Casino games in land based casinos from Las Vegas to Atlantic City were still able to welcome visitors and offer slot machines, roulette, blackjack tables and other casino games.
In fact, October 13 2006, the day when President George Bush signed the validation of the Unlawful Internet Gambling Enforcement Act became known as Black Friday amongst online players and online gambling operators. The results for operators listed on the London Stock Exchange were terrible, with some shares losing half of their initial value.
The restriction made financial transactions from within the US to an online gambling site illegal. As always, the government claimed to be protected American citizen from gambling addiction (while granting building consent for large land-based casinos in various States).
Everyone wishing to see the Unlawful Internet Gambling Enforcement Act (UIEGA) of 2006 revoked is scrutinising the latest development in Congress and in Nevada. With a Democratic Party administration now in power, the hope of seeing the end of the UIEGA is getting closer and more real. For many, the time has come to regulate Internet gaming within the US.
Nevada, as well as New Jersey, California and Florida want to allow online poker sites to apply for a state gaming license. Changes to the UIEGA would be made on State by State basis. However, part of the US Congress will argue that the changes in online poker laws should be made at the federal level.
Congressman Barney Frank (D-MA) and Congressman John Campbell (R-CA) have been debating for years to obtain the right to regulate online gambling on a Federal level. The process would see a regulation based on a licensing system and include financial checks and monitoring of online operators.
Recently, Nevada gaming officials approved an agreement between Las Vegas-based Caesars Entertainment and online casino site 888.com to offer new online poker sites in the UK. Another Las Vegas-based casino group, Wynn Resorts, is also teaming up with online poker site PokerStars. Providing that they obtain the requested authorisation, they are planning to launch PokerStarsWynn.com as a new gambling joint venture.
The clock is ticking for the US Congress and for US residents waiting to play casino games online again.