Hurdles to Legalization of Online Gambling in America

Posted: May 13, 2012

Updated: October 4, 2017

There is a long and painful road before online gambling in America becomes viable. Expect lots of conflicting regulations.

Lately, there’s been lots of talk about allowing online casinos under American gambling laws. Although, the online casino industry would prefer to have the set of laws passed by the Congress, so there would be a federal framework, making it easier to do business across the states, this isn’t happening. At least not now.

Instead, the states are taking the matters into their own hands when it comes to online casinos in United States. In part, it is due to cash-strapped states, which seek extra revenues from online gambling taxation.

For example, California is seeking to make American poker rooms an online reality within its own borders. Nevada and New Jersey are also at the forefront of the legalization race.

There will be some issues when each state comes up with its own gambling regulations. How will the online casinos be taxed? Based on where the casino is located or based on where the bet took place? Or, what happens to mobile casinos in United States members once they visit another state? What if a resident of a state which allows gambling drives into a neighboring state and makes a mobile bet there? Is that a crime or not?

Another issue is age verification? No one has figured, so far, good ways to ensure the minors don’t gamble online.

There are lots of free casino games available to the public. Will these sites be able to convert the players into money bettors? That is yet to be seen.

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