Is Online Gambling Allowed In Us
- Is Online Sports Betting Legal In Usa
- Is Online Gambling Legal In Us
- Is Online Gambling Allowed In Oregon
US online poker laws seem to be changing monthly since government attorneys announced that the Wire Act cannot be used to prohibit states from allowing online poker. Online poker rooms and online gambling sites are clamoring for state licenses, and the US online gambling landscape is going through a major change. However, when it comes to online gambling, the only form of it allowed in Nevada is online poker in designated poker rooms. They do have a legal WSOP site, but other online casino games are forbidden. In New York, the situation that deals with the question of whether or not online gambling is legal can be a bit ambiguous.
With many online casinos no longer accepting US players you might wonder what all the fuss is about. Or perhaps you’ve heard about the 2006 Unlawful Internet Gambling Enforcement Act (UIGEA) or the arrests of some prominent CEOs of online sportsbetting companies. So what is the story with online gambling exactly?
First of all, Americans should know that gambling online for real money is legal, but here is the catch – it is not legal to process payments for such transactions, meaning credit card companies and online payment companies can’t process deposits or withdrawals at online casinos.
Currently, the law is not targeting individual players, only financial institutions. A regular player, as things stand right now, can never get in trouble for gambling online, unless they have something to do with the casino or the money exchange company. In fact, no player, and no casino, has ever been prosecuted, only sportsbook owners.
The picture is complicated by several states, such as Louisiana, that have specific legislation for online gambling while the federal government seeks to understand and create policy that deals with issues like underage gambling, money laundering, problem gamblers and…of course taxes.
In the meantime several major online casinos have been severely damaged by the loss of American business, causing stock prices to decline dramatically and reputable casinos and financial firms to pull out of the US market entirely.
NETeller, Citadel Commerce, Central Coin and Nexum have all decided to stop allowing U.S. players to conduct transactions with Internet gambling companies. Playtech, Microgaming, CryptoLogic and Net Entertainment have all pulled out of the US market. There are only a handful of offshore casinos operating online that still accept American bettors, some of which are listed in the USA blackjack casino section.
It may seem odd that a country that boasts the largest gambling mecca in the world, Las Vegas, prohibits the processing of payments related to online gambling. In part, the lack of support and regulation seems to have come from these established land based casinos fearing competition. But like other start-up gambling establishments, such as Mississippi river boats and tribal casinos, there is continued and significant overall growth in the gambling industry throughout each sector. After more than 10 years of online casinos, the established Las Vegas and Atlantic City casinos have not seen a decline or plateau in either patrons or profits.
Instead of drawing current gamblers away from established casino destinations, online casinos seem to be bringing in new audiences and broadening the general appeal of casino gaming. As the online gambling segment continues to grow, numbers range from 6 to 12 billion in revenue internationally for 2005, major players like Harrah’s have begun to investigate the possibility of entering the market…pending the outcome of future studies and legislation of course. The total revenue for US domestic casinos in 2005 was $83.7 billion. Not bad.
For a better understanding of the critical events determining the legality and accessibility of online gambling please refer to the chronology below:
Interstate Wire Act of 1961
An earlier Interstate Wire Act of 1961, often called the Federal Wire Act, was only used to charge businesses, not players, that took sports bets. This lead to a new series of problems for poker and non sports betting. The language of the law was specifically written to prevent betting across state and national lines that would allow businesses to escape the laws and regulations for each state while also keeping betting activities and profits within local borders.
November 2002
The United States Court of Appeals for the Fifth Circuit ruled that the federal wire act is correctly interpreted as prohibiting the transmission of information used in betting across state lines but also affirmed that an earlier ruling by a lower court that did not prohibit internet gambling for ‘games of chance’.
March 2003
Deputy Assistant Attorney General John G. Malcolm testified before the Senate Banking Committee about specific problems presented by the online gambling industry. The primary topic and one of great concern to the US Department of Justice is the question of money laundering, an easy by product of an industry supporting large financial deposits with little or no supervision. The basic premise was that anonymous players and secure financial transaction encryption make online gambling especially suitable for money laundering.
April 2004
Google and Yahoo!, the two largest search engine providers announced that they would no longer accept gambling sites for paid advertising.
April 2005
Yahoo! lightens up a little and allows advertising for “play money” gambling sites.
November 2004
The WTO (World Trade Organization) ruled that the United States was in violation of international law by making it a crime for Americans to place bets with online bookies parked offshore. This was a direct result of the small island nation of Antigua’s complaint that their economy was unfairly harmed by the US laws preventing US players from gambling with businesses located there. The policy was considered protectionist, violating the principals of international treaties regarding fair competition and the WTO took it to court. The case is still pending.
July 2006
David Carruthers the CEO for BetOnSports, a company publicly traded on the London Stock Exchange, was arrested by US authorities when he attempted to switch planes in Texas on his way to Costa Rica. He is currently on house arrest following a million dollar bail bond.
September 2006
Peter Dicks another foreign businessman for SportingBet PLC is detained while in New York after a court in Louisiana, a state that has specific laws regarding internet gambling attempted to have the Chairman extradited to Louisiana. After a month of being detained in New York the warrant was dismissed.
In a last minute add-on to an unrelated amendment the Safe Port Act, known as Unlawful Internet Gambling Enforcement Act (UIGEA) of 2006 is passed by both the House of Representatives and Senate. This legislation makes transactions from banks or other financial institutions to online gambling sites illegal. Speculation regarding Senate Majority leader, Bill Frist’s motivations for attaching the legislation have ranged from his political ambitions to his conservative religious background.
October 2006
The Safe Port Act and consequently the barring of financial transactions to gambling sites is signed into law by President George W. Bush.
January 2007
Two days after NETeller founders Stephen Lawrence and John LeFebvre were arrested and charged with money laundering NETeller, a global eWallet provider stopped allowing Americans to use its services to transfer money to and from Internet gambling sites.
April 2007
Rep. Barney Frank, a democrat from Massachusetts, introduced the Internet Gambling Regulation and Enforcement Act (IGREA). IGREA would change UIGEA as passed in 2006 by creating a licensing system that would be governed by the Director of the Financial Crimes Enforcement Network.
June 2007
Rep. Robert Wexler, another Democrat from Florida, introduced the Skill Game Protection Act. This would legalize Internet poker, blackjack, bridge, chess, and other games of skill.
Rep. Jim McDermott, a Democrat from Washington State, introduced the Internet Gambling Tax Act. The IGTA would work to legislate Internet gambling tax collection requirements.
Is Online Sports Betting Legal In Usa
The House of Representatives Financial Services Committee held a hearing with several expert witnesses to decide if internet gambling could be effectively governed to deal with several critical issues including: age verification, state and federal tax collection, money laundering and problem gamblers.
September 2008
Senator Robert Menendez introduces S.3616, the Internet Skill Game Licensing and Control Act to provide for the licensing of online skill game facilities. The act did not pass.
January 2009
Barack Obama is sworn in as US president. His attitude towards online gambling is more open than that of George Bush.
March 2009
Ron Kirk is appointed as US Trade Representative. Kirk promises to take a stand against legislation like the UIGEA that is bad for current trade agreements.
May 2009
Rep. Barney Frank holds a press conference to introduce the Internet Gambling Regulation Consumer Protection & Enforcement Act of 2009, the much-anticipated and much delayed response to the UIGEA.
June 2009
The EU warns the US that the UIGEA breaks international trade agreements, and pressures them to take action to overturn the online gambling ban.
Barney Frank’s Internet Gambling Regulation Consumer Protection & Enforcement Act of 2009 is put on hold for a few months, as the global economic crisis demands more of his time.
October 2009
An analysis by the Joint Committee on Taxation found that the regulation of internet gambling in the United States as proposed by Barney Frank would generate nearly $42 billion over 10 years.
November 2009
The implementation of the UIGEA is delayed for six months, until June 1, 2010. The delay was intended to give the Obama administration more time to come up with a way to regulate online gambling.
December 2009
A hearing on the UIGEA was held by the House Financial Services Committee. It was found that the regulation of online gambling was in the interest of public safety.
June 2010
The UIGEA goes into effect. American banks are prohibited from processing payments to and from online gambling websites. Despite the hype, very little actually changes for players.
July 2010
The House Financial Services Committee passed Barney Frank’s bill, H.R. 2267 by a vote of 41-22-1. The bill would legalize and regulate online poker along with some other forms of internet gambling in the United States.
Today
The current laws have had the effect of moving business away from online gambling to local establishments and bookies, at least temporarily. Judging from the amount of activity currently taking place to understand and recommend legislation for online gambling, it seems as if the House of Representatives guided by Barney Frank and his supporters is moving in a direction that will see the current online gambling ban overturned. The new political atmosphere brought by Obama and his cabinet has brought new hope for US internet gambling laws. But for now, US players will have to play free online blackjack or play with lesser known online gambling sites.
With millions of avid players in the US, baccarat is one of the country’s most popular casino games. However, land-based and online casinos are not the same in front of the law. Consequently, only five US states have legalized online baccarat — New Jersey, Delaware, West Virginia, Michigan, and Pennsylvania.
Not all these states have online baccarat platforms located within their borders, and Michigan is lagging. As this state is currently in the process of establishing online baccarat websites, players can still enjoy wagering on this game in the remaining four states.
This article will take you through online gambling’s legal issues in the United States, so fasten your seatbelt and let’s start!
History of Baccarat Laws in the US
Although the first records of baccarat appeared in the 1400s, it was not until the 19th century that baccarat started gaining popularity worldwide. Brick-and-mortar casinos in the States welcomed the game in the middle of the 20th century and introduced a few baccarat-related laws to go along with the game.
Regarding land-based baccarat gambling, each state has the right to impose their restrictions and laws, meaning that some US states still outlaw brick-and-mortar gambling locations.
To focus on online baccarat gambling, the Federal Wire Act from 1961 has been the subject of many court cases. It specifically outlaws sports betting through wire communication without mentioning other gambling forms, including casinos and baccarat. The reason this Act has been in the public eye is its uncertainty regarding online gambling.
For that reason, the Act was reversed in 2011. The new Act stated that online sports betting was illegal, while other forms of online gambling were legal. Unfortunately, things did not stay as simple as many operators and players hoped. In 2018, the Department of Justice interfered again by reversing the 2011 Act and creating an unreliable online environment. Because of that decision, online gambling in the US is considered a grey area.
Since the Act is still going through changes and court rulings, some US states have the opportunity to prove that the online gambling industry in the United States can excel.
Why is Online Baccarat Legal in Some States?
You must be wondering how the previously mentioned five states have the opportunity to run legalized baccarat online platforms while the remaining 45 states are left empty-handed. The four states with online gambling platforms available within state borders, New Jersey, Delaware, West Virginia, and Pennsylvania, have taken advantage of the situation from 2011.
In 2006, the Unlawful Internet Gambling Enforcement Act was introduced without specifically outlawing online gambling. Instead, the UIGEA made it illegal for online gambling service providers to handle financial transactions. That led to chaos within the iGambling community, and many huge online gambling platforms took their operations outside of the US.
Both of these events made states take matters into their own hands. Because of that, only four states regulated online gambling activities, while one more, Michigan, is on its way to doing the same.
Online Baccarat — State by State Guide
Since four states have legalized and regulated online gambling platforms for avid baccarat players, we wanted to go through each of them and emphasize the most significant regulations you should be aware of.
Take a look below.
Delaware
Delaware became the first state to legalize online gambling in June 2012 and open the gambling market in November 2013. It might seem odd that this small Mid-Atlantic US state would be the first to do that, but that’s why it carries the nickname The First State.
With this legalization, players were able to start betting on online baccarat without any legal consequences. Subsequently, Delaware legalized online poker the same year and sports betting five years later. Players from Delaware can now access numerous casino games online.
New Jersey
Out of all the states with legalized online gambling platforms, New Jersey currently has the largest online gambling market. Players can enjoy a game of baccarat on a dozen licensed and legal websites. Almost every huge online gambling operator has a New Jersey-based online casino site.
The new statute from 2013 legalized online gambling in the state, including Atlantic City casinos willing to apply for an online gambling license. New Jersey’s bill from 2013 will be valid for three more years. After that, the state needs to apply for a renewal.
Is Online Gambling Legal In Us
Pennsylvania
Although Pennsylvania started legalizing online gambling in 2017, it took some time for it to be finished. Consequently, the state became the newest addition to the list as it legalized online gambling in 2019. Sports betting was legalized in May, followed by online casinos in July and online poker in November.
The state became a safe place for many major casinos to roll out their online casino sites. Currently, there are numerous licensed online casinos where players can try their hand in baccarat without facing any legal issues.
West Virginia
West Virginia legalized online casinos in 2019, and the first online casino platforms became active in July 2020. As these platforms need time to gain attention from players, there is still little activity on the websites. We expect much more from them in the future.
Similarly, there are a few online gambling platforms active at the moment. Those that are active have a scarce choice of games, and not many of them offer baccarat. You will have to check which ones of them do to start your own baccarat journey online.
Is Online Gambling Allowed In Oregon
Michigan
Michigan legalized online gambling, specifically casino gambling, in December 2019. There are no active gambling platforms, as most of them still haven’t gotten the green light from the necessary authorities to start operating.
The first platforms are expected to run at the end of 2020. All land-based casinos are allowed to apply for an online license.
How to Play Online Baccarat Legally in the US
If you want to stay on the safe side, you should know that you do not have to be a resident of the state where online baccarat is legal. You only need to be physically present in the state, and you will be able to play any baccarat game you want legally.
All you need to do is find a licensed online website that offers baccarat, register with the site, confirm your identity, and you’re good to go. Don’t forget to claim a welcome bonus if the site offers one to maximize your winning chances.
Final Thoughts
Although the United States is home to millions of avid baccarat players, there aren’t plenty of opportunities to enjoy your favorite casino game. Luckily, some states have managed to shine through and establish a secure gambling environment for interested players. We hope you will be able to take advantage of that.
It’s uncertain how the future will look for online baccarat as the online gambling industry in the US is currently unstable. However, the global online gambling industry is thriving, so we’re hoping to see it translate to the States as well.
Until then, enjoy your favorite baccarat game within the borders of states that have legalized it so far.
FAQ
Is online baccarat legal in the US?
Online baccarat games are currently legal in four US states — Delaware, New Jersey, Pennsylvania, and West Virginia. A fifth state will soon be added to this group — Michigan.
What is the legal gambling age for US players?
US players need to be at least 21 years old to play online baccarat.
Can US players claim online baccarat bonuses?
Yes, they can, as long as an online gambling platform offers one. Check which ones have the best bonuses and open an account with them!
What is the most popular baccarat game in the US?
Aside from the typical baccarat playing style adopted in American casinos, players from the US also like to try Punto Banco — European-style baccarat.