The legal status of online gambling is not completely clear. Various states have different rules and regulations. Currently, New Jersey, Delaware, and Nevada have begun the process of legalizing and regulating online gambling. This process is expected to continue on a state-by-state basis. Nevertheless, the federal government is taking a close look at this industry.
While gambling is primarily a matter of state law, federal law can sometimes provide additional protections and enforce existing laws and policies. For example, the Unlawful Internet Gambling Enforcement Act of 2006 restricts banks from transacting with internet gambling sites. However, the Unlawful Internet Gambling Enforcement Act does not specifically define what constitutes an internet gambling site. Although many people believe that the Federal Wire Act prohibits all forms of online gambling, this law does not apply to poker, lottery sites, and online casinos.
Unlawful Internet gambling activities can violate several federal laws. Under the Wire Act and the Illegal Gambling Business Act, placing, receiving, and transmitting bets over the Internet is illegal. This law also applies to interstate commerce. Additionally, certain activities may violate RICO laws. For example, unlawful internet gambling activities may violate federal antitrust laws. Consequently, online gambling companies should be careful when operating their operations online. As always, be sure to read the fine print before participating in online gambling activities.
Online gambling sites have two basic categories: download-based and web-based casinos. Both have their benefits and drawbacks. A download-based casino usually has a faster loading time than a web-based casino. The download-based version of an online casino also caches graphics and sound programs, making for a faster gaming experience. However, both options require stable internet connection.