Gambling is one of the oldest human recreational activities and one of the most popular pastimes of humankind through the ages. The history of gambling in the US can be traced back to the late 17th century when the game was brought by the British-American colonial settlers. New Orleans was the epicentre of gambling in the US between the 18th and 19th centuries, even though gambling was illegal at that time in the US.
During the 19th-century industrialization period, the practice of gambling revolved around industrial centres like Chicago, and New York City and gradually spread to other parts of the United States like Cleveland, Nevada, etc. In 1931, Nevada became the first state to legalize gambling in the US, during the Great Depression period. In the late 1990s, the beginning of the Internet era, online casinos rose in popularity in the United States. However, numerous renowned gambling platforms remain inaccessible in various U.S. states. One such example is Rolletto, a globally recognized casino licensed by Curacao, which is restricted to all US gamblers.
Gambling Laws in the US: Federal Betting Laws and State Betting Laws
Two sets of law, Federal Law and State Law, are enforced in regulating the gambling domain in the US. State gambling laws are more specific and valid in a particular state compared to the Federal Betting Law, which is more general and valid across all fifty states.
The Federal Wire Act of 1961, also known as the Interstate Wire Act of 1961, is a US Federal law that prohibits interstate gambling. The use of “wire communications” between the gambling operators was banned by the Wire Act. Sports Betting was declared illegal in 2002, by the Federal Wire Act of 1961. Internet Gambling Prohibition Act (IGPA) was brought by the US Senate in 1999 in an attempt to prohibit online gambling, but that wasn’t fruitful. Later, in the year 2006, The Unlawful Internet Gambling Enforcement Act of 2006 (UIEGA) prohibited online wagering and transactions during online gambling. Online gambling was not criminalized by the UIEGA, instead, the online transaction of money involving offshore gambling sites was banned.
On the other hand, State laws usually are more detailed and specific, functional inside the states, covering all the loopholes that might not be specified in the Federal laws. In the US, online gambling is under the purview of both Federal and State Laws. State Gambling Commissions are responsible for laying out the rules and regulations in each state. State revenues can be increased using the legalization and regulation of gambling. The legalization of gambling in all of the states in the US has not been possible as some states are eager to expand the gambling market to enhance state revenues, whereas some states are opposing any kind of alterations in the gambling laws.
States Offering Legal Online Casinos in the USA
A memorandum by the Department of Justice, in 2011 stated that the Wire Act applied only to sports gambling. This paved the way for many states to legalize gambling and a rise in the number of legalized online casinos can be seen from 2012. The states where online gambling is legal in the USA are listed below.
Delaware
The first state in the US to legalize gambling in Delawaris The Delaware Department of Gambling Enforcement is the authorizing body for the regulation of gambling in the state.
Nevada
The second state to legalize gambling in the US is Nevada. The airports of Nevada provide facilities to place bets.
New Jersey
The third state in the US to legalize gambling is New Jersey. The three major forms of gambling online casinos, online poker, and online sports gambling are legal in the state. The largest market for online gambling is in the state of New Jersey with a revenue of about $25 million per annum.
Pennsylvania
The fourth state on the list to legalize gambling is Pennsylvania. Gambling was legalized in this state in 2019. Different formats of betting like online casinos, online poker, and online sports gambling are legal in this state. The brick-and-mortar casinos are most popular here, which extends their service in the online format.
West Virginia
Online gambling was legalized in the state of West Virginia in 2019, becoming the fifth state on the list for legalization of gambling.
Michigan
Online gambling was legalized in Michigan in the year 2019 when Governor Gretchen Whitmer signed the legislation for the legalization of betting in all formats in the state.
Connecticut
The most recent one on the list to legalize gambling is Connecticut, where gambling became legal.
Conclusion
Despite the big impact of British gambling culture on the USA, only several states in the US have legalized gambling and have been contributing to enhancing state revenue. There is a possibility of other states taking up decisions to legalize gambling and to bring a change in the current state gambling laws.
