Online Poker Legislation Nevada
The actual bill that became the current law governing online poker in Nevada is known as AB 114. The law only permits the operation of online poker sites. Plus, it dictates players on the sites must be inside state lines to play for real money. The operation of sites that host other casino games outside of poker is not authorized by this law. Nevada Laws Pertinent to Online Poker Assembly Bill 114 was the bill that allowed Nevada to become the first state to legalize online poker in the United States. The state legislature passed the.
BySummary of Nevada’s Poker & Gambling Laws; Type/Code Summary; State Code Section(s) 41.462-466: Definitions: Game or gambling machine. Any game played with cards, dice, equipment or any mechanical, electromechanical or electronic device or machine for money, property, checks, credit or any representative of value, including, without limiting the generality of the foregoing, faro, monte. Nevada had already passed legislation making it legal to enjoy some online poker in the Silver State, but just last week they also became the first state to legalize interstate gambling. The historic bill signed by Nevada Governor Brian Sandoval means that Nevada will actively begin to pursue interstate online gambling agreements with other states. Online Poker Legislation Dividing Nevada’s Senators. By Earl Burton; September 14, 2012 at 11:19 am There is an adage in the halls of power in Washington, D.
Last Updated November 18, 2019
For many, Nevada represents the future of online poker. As the first state in the US to roll out regulations and systems for licensing online poker operators, Nevada will no doubt play a major role in the next wave of poker played online.
For now, poker players in Nevada have a lot of questions about how to use online poker rooms in the present tense. We’ll touch on the outlook for regulated poker in Nevada, cover the steps you’ll need to take to play in the current environment and touch on a host of related topics in this Guide to Nevada and Online Poker.
Nevada Poker Sites > Summary of State Laws > Road to Regulation > Sharing Player Pools > Nevada’s History > FAQ
What Are the Best Poker Sites in Nevada?
The number one question we get about online poker in NV is “What site should I choose?” We always give the same answer, and that’s to look for sites that are legally licensed, offer top-dollar promotions and provide a stable, secure environment for poker. To save you the time of evaluating all of the rooms available to Nevada online poker players, we’ve selected the sites that best meet the criteria above :
| Intertops | $600 Bonus | 5 Day Payouts | Accepts Visa, Wires |
|---|---|---|---|
| BetOnline | $2500 Bonus | 5-7 Day Payouts | Accepts Visa, Bitcoin, Litecoin, Wires |
| Sportsbetting | $2500 Bonus | 5-7 Day Payouts | Accepts Visa, Bitcoin, Litecoin, Wires |
| Type/Code | Summary |
|---|---|
| State Code Section(s) | 41.462-466 |
| Definitions | Game or gambling machine: Any game played with cards, dice, equipment or any mechanical, electromechanical or electronic device or machine for money, property, checks, credit or any representative of value, including, without limiting the generality of the foregoing, faro, monte, roulette, keno, bingo, fan-tan, twenty-one, blackjack, seven-and-a-half, big injun, klondike, craps, poker, chuck-a-luck, Chinese chuck-a-luck (dai shu), wheel of fortune, chemin de fer, baccarat, pai gow, beat the banker, panguingui, slot machine, any banking or percentage game or any other game or device approved by the Commission, but does not include games played with cards in private homes or residences in which no person makes money for operating the game, except as a player, or games operated by charitable or educational organizations which are approved by the Board. Interactive gaming: Conduct of gambling games through the use of communications technology that allows a person, utilizing money, checks, electronic checks, electronic transfers of money, credit cards, debit cards or any other instrumentality, to transmit to a computer information to assist in the placing of a bet or wager and corresponding information related to the display of the game, game outcomes or other similar information. The term includes, without limitation, Internet poker. Communications technology for interactive gaming: Any method used and the components employed by an establishment to facilitate the transmission of information, including, without limitation, transmission and reception by systems based on wire, cable, radio, microwave, light, optics or computer data networks, including, without limitation, the Internet and intranets. Interactive gaming facility: Any Internet website, or similar communications facility in which transmissions may cross any state’s boundaries, through which any person operates interactive gaming through the use of communications technology. Mobile gaming: Conduct of gambling games through communications devices operated solely in an establishment which holds a non-restricted gaming license and which operates at least 100 slot machines and at least one other game by the use of communications technology that allows a person to transmit information to a computer to assist in the placing of a bet or wager and corresponding information related to the display of the game, game outcomes or other similar information. For the purposes of this section, “communications technology” means any method used and the components employed by an establishment to facilitate the transmission of information, including, without limitation, transmission and reception by systems based on wireless network, wireless fidelity, wire, cable, radio, microwave, light, optics or computer data networks. The term does not include the Internet. |
| Online Poker/Gambling | Nevada was the first state in America to legalize and regulate online poker within its borders. It has and continues to exclude other casino games offered via the internet. |
| Live Poker | Many of the casinos in Nevada include live poker rooms at their establishments, which can offer cash games and tournaments at all stakes. |
| Casinos | There are more than 300 casinos across the state of Nevada, most of which offer everything from slot machines to table games. |
| Sports Betting | Nevada was one of the few states exempted from PASPA, the federal law that prohibited most states from offering sports betting until it was overturned by the US Supreme Court in 2018. Sports betting is common throughout the state and offered at many of its casinos. |
| DFS | Considered gambling and legal, daily fantasy sports is allowed in Nevada, but gaming commission officials are working with operators to encourage licenses for offering DFS, which most of them do not currently possess. |
| Other Forms of Gambling | Charitable lotteries and gambling, social gambling, licensed horse and dog racing, off-track race wagering. |
Nevada’s Road to Legal Online Poker
It was no surprise when Nevada became the first state to legalize and regulate online poker in the United States. Nevada has been the first in many gambling advancements in America, and it chose to lead the way with the new internet poker industry as well.
Not long after the US Department of Justice issued a ruling regarding the Wire Act in 2011 giving states the right to legislate online lottery sales and gambling as they wished, Nevada’s lawmakers began working on internet poker legislation. As home to many of the world’s largest live poker tournaments, such as the World Series of Poker, and some of the largest poker rooms for cash games, Nevada knew that online poker had tremendous potential to expand the poker industry. The bill was passed through the legislature and became law in February 2013.Top ↑
Meanwhile, the Nevada Gaming Commission had begun working on regulations for the new online industry as far back as December 2011, just after the DOJ’s decision. When the bill became law, the framework was in place almost immediately to begin accepting applications for licenses.
Ultimate Gaming was the first company to launch an internet poker site for the residents of Nevada, and it went live in April 2013 in partnership with Station Casinos. Those brick-and-mortar rooms began advertising online poker immediately, and players flocked to the site, especially during the summer months when poker players were in Las Vegas for the WSOP. And speaking of WSOP, it launched its own online poker site in September 2013 with Caesars land-based properties. Not long after, in February 2014, Real Gaming and South Point Casino went live with a site of their own.
WSOP.com Launches in September 2013 in Nevada.
Real Gaming never became a viable competitor to the other two sites and eventually closed, but it was Ultimate Poker that saw the biggest fall. Despite launching in New Jersey as well, the company overestimated the profitability of the industry and was forced to close before the end of 2014. That left WSOP, which continues to operate today as the only site offering internet poker services in Nevada.
While it is impossible to know how profitable the state’s online poker site has become due to Nevada’s stipulation to only release revenue numbers when enough sites operate to merit the work, WSOP has grown and continues to offer a wide range of online poker tournaments and cash games. Top ↑
Online Poker Sites Beyond Nevada’s Borders
By 2014, Delaware and New Jersey had also legalized online poker, though they also included internet casino games in their established and regulated frameworks. But the online poker stipulations in all three states provided for the ability to join with other states to form an online poker network.
In February 2014, the governors of Nevada and Delaware signed the very first interstate online poker agreement, and the combined player pools launched in March 2015. Since WSOP/888 was the only site operational in both states for online poker services, it made sense to share players. That liquidity provided each state with more players, allowing for more tournament and cash game options at various times of the days/nights due to the three-hour time zone difference.
Nevada, New Jersey & Delaware share player pools.
New Jersey hesitated to join the other two states, but talks took a serious turn in 2017. By October of that year, Governor Chris Christie joined Governors Brian Sandoval and John Carney to sign the agreement to link the online poker sites in all three states. Again, WSOP/888 was the only site live in all three states, so it spent the rest of 2017 and will continue in 2018 preparing to join player pools in all three states. Liquidity is expected to launch sometime in 2018.
Meanwhile, Pennsylvania legalized and regulated online poker and casino games in late 2017. PA online poker sites are not likely to go live until mid-2019.
Pennsylvania legalized and regulated online poker and casino games in October 2017. The first online casinos launched in the summer of 2019, but the first online poker site didn’t launch until the first week of November. PokerStars, partnered with Mount Airy Casino, opened its virtual doors for business and quickly attracted more players than its PokerStars site in New Jersey.
West Virginia also legalized online poker and casino games in 2019. The state regulator plans to issue licenses in 2020 and launch gaming sites online in 2021.
The Future of Regulated Online Poker Sites in Nevada
For nearly five years, the WSOP/888poker site has been the only online poker option for Nevada players. Its monopoly has gone unchallenged, primarily because there doesn’t seem to be room in the market for two or more operators.
Through the years, various casinos have flirted with online poker partnerships, but only one happened that looks promising. It happened in the spring of 2019 when GVC, parent company of PartyPoker, petitioned the Nevada Gaming Commission for an interactive gaming license.
It worked. The Nevada gaming regulator unanimously approved GVC for a two-year interactive gaming license for its Roar Digital subsidiary. This is the company that GVC established in the US to operate in states like New Jersey for legal online gaming. While there is no promise that PartyPoker will launch in Nevada under the Roar Digital license, it remains a definite possibility.
Gambling in Nevada – Capsule History
Perhaps no state is more closely associated with gambling than Nevada, but much of the state’s early history with the betting business has been overshadowed by the story of the Vegas strip. Before the first fabled resorts of Las Vegas were constructed, there was a time when Nevada was a something of a gambling hotspot. Legal gambling was available across Nevada from the 1870s through 1910, sparking a wave of tourism that in many ways provided the basic template for Nevada’s evolution into the gambling epicenter of the world.
Nevada legalizes all forms of gambling in 1931.
Two decades would pass before Nevada turned back to regulated gambling. In 1931, the state seized an opportunity generated by the construction (and pending completion) of the Hoover Dam and passed laws effectively legalizing nearly every form of gambling within the state’s borders.
Nevada – Regulated Casinos
Nevada is home to over 250 land-based casinos, or roughly one for every 425 square miles in the state. Charitable gambling is also permitted (and regulated) by the state, along with pari-mutuel wagering. Nevada is also home to a number of tribal gambling facilities. The one form of regulated gambling Nevada lacks comes as a bit of a surprise to most – for all the fondness the state has for gambling, it has yet to introduce a state lottery (and has no apparent plans to do so).
Is Gambling Legal in Nevada?
Yes. Nevada is one of the few states in the US that currently regulates and licenses active online gambling options. As of now, sports betting and online poker are the only available online gambling options in Nevada, as the state has chosen not to offer online casino games like slots, blackjack, and other table games.Top ↑
Nevada’s Licensing and Fee Requirements
Which companies hold online gaming licenses in Nevada?
Currently there are two licensees in Nevada, according to the Nevada Gaming Commission, though only one offers online poker at this time:
- WSOP via Caesars Interactive Entertainment for WSOP.com
- Real Gaming via South Point Poker for RealGaming.com
The Nevada Gaming Commission website does not list a current license for GVC or Roar Digital for unknown reasons
What games are available?
Interactive gaming, as defined by Nevada state law, includes only internet poker. This includes a number of poker variants that can be offered as cash games or in tournament formats.
What are the taxes, licensing fees, etc.?
License applications require a fee of $500,000 for a first-time online poker operator effective for two years. From that point forward, the renewal fee is $250,000 per year.
Online gaming revenues are taxed at the same rate as other forms of gaming in Nevada, which starts at 3.5% for revenue not exceeding $50,000 per month, 4.5% for revenues between $50,000 and $134,000 per month, and 6.75% for revenue exceeding $134,000 per month. It has been determined that the sole provider of online poker in Nevada pays 6.75% of gross gaming revenue per month.
All Poker and Gambling Laws by State
- November 8th, 2018
There were many reasons for supporters of online poker and gaming to watch the results of the 2018 November mid-term elections. Florida residents voted to give themselves the sole power to change gambling laws going forward. New York replaced a pro-online poker state senator who was retiring. Michigan retained a
Read Full - November 6th, 2018
The idea that Delaware is actually celebrating the five-year anniversary of launching its online poker sites might be a bit of an exaggeration. Even so, those who have been watching the new United States market can take a moment to recognize the achievement. Delaware may be a small state and
Read Full - October 21st, 2018
Phil Ivey’s list of accomplishments in poker is long and impressive. In live tournaments alone, he has won more than $26 million. Add to that his online poker earnings, sponsorships, cash game poker and sports betting wins, and business investments, and Ivey can claim a successful career. That is not
Read Full - October 6th, 2018
Every few months, the poker community hears a whisper of the Restoration of America’s Wire Act, more commonly known as RAWA. Its financier, casino mogul Sheldon Adelson, regularly tries to push an anti-online gambling agenda through the politicians to whom he regularly donates campaign funds. He also uses his lobbying
Read Full
Read More About Poker and Gambling in Nevada
Institute for the Study of Gambling & Commercial Gaming. Based out of the University of Nevada, Reno, the ISGCG brings an academic focus to the world of Nevada casino gambling. Research for those with a casual interest and those looking for in-depth answers is available at the institute’s website.
UNLV Center for Gaming Research. The UNLV Center for Gaming Research brings together various pieces of information and crafts a larger picture of the state’s gambling industry. A wealth of free research, reports and other interesting content related to regulated gambling in Nevada.
Nevada Gaming Commission. State resource for regulatory information, minutes of board meetings, schedules – everything having to do with the business of offering heavily regulated gambling activity.
Nevada’s Role in Poker History
Nevada doesn’t have a place in poker history so much as the state is poker history. While poker may not have been born in the state, the modern game of poker is very much from Nevada in every meaningful sense of the word. The state’s casinos host the biggest games, the brightest stages and the flat-out largest gathering of live poker players in the world.
The list of famous poker players who either hail from the state or now call it home would easily exceed the length of this guide and then some. Safe to say that if you’re ever forced to guess the home base of a particular poker player, Nevada is far and away your best bet.Top ↑
Sources & Citations For This Article on Nevada Online Poker
- by Sean ChaffinDecember 29, 2020
- by StaffDecember 31, 2020
- by Sean ChaffinDecember 28, 2020
Legal Online Poker Sites in the US
| State | Poker Sites | Bonus Offer |
|---|---|---|
| • All (excl. WA) | Global Poker | Free $20 Gold Coin package |
| • New Jersey | PokerStars WSOP.com 888poker partypoker BorgataPoker.com BetMGM Poker | Free $30 (with $20 deposit) Free $10 Free $25 Free $25 Free $25 Free $25 |
| • Pennsylvania | PokerStars | Free $30 (with $20 deposit) |
| • Nevada | WSOP | Free $10 |
| • Delaware | 888poker | Free $25 |
Where is online poker legal in the US?
The following six states have now officially signed legislation to offer legal US online poker:
- New Jersey
- Delaware
- Nevada
- Pennsylvania
- West Virginia (Not live yet)
- Michigan (Not live yet)
Four currently have open and operating legal online poker sites. And there are some differences between each of the regulated online poker states.
- Nevada only permits online poker.
- New Jersey, Pennsylvania and Delaware also spread casino games banked by the house (More about NJ online casino and Pennsylvania online casinos).
- Nevada, New Jersey and Pennsylvania allow the state’s brick-and-mortar casinos to operate online sites. In Delaware, the state lottery is the sole operator.
- Nevada, New Jersey and Delaware have entered into an interstate online poker agreement. If you play in those three states you can compete against each other only on WSOP.com.
Where can I play online poker in the US right now?
NJ online poker
New Jersey is currently home to the most online poker sites. Those sites are spread across four distinct networks and operate through three different licensees. Here are your options:
New Jersey online poker sites
- PartyPoker NJ (Borgata Poker, BetMGM Poker)
- Pala Poker
WSOP NJ is the second biggest site after Borgata/partypoker. It used 888 software, but was a standalone room. 888 operated its own platform, but began to share player pools with WSOP.com in January 2015.
PokerStars NJ launched in New Jersey on March 21, 2016.
The site opened at around the same size of WSOP.com and Borgata. Since launch, PokerStars has been the top site in the Garden State for much of its tenure.
In April 2018, New Jersey joined the multi-state compact with Nevada and Delaware. The agreement allows the three states to share their player pools across state lines.
Background
The New Jersey legislature legalized online poker and casino games in the state in December 2012. After some back-and-forth between Gov. Chris Christie and the lawmakers, the governor finally signed the bill into law.
As a result, New Jersey online poker and casino games launched on November 21, 2013. Borgata and its partner Party Poker dominated the New Jersey online poker world at the time after launch.
Pennsylvania online poker
Pennsylvania became the fourth state to legalize and regulate online poker and online casino play in the U.S. when Governor Tom Wolf signed bill H 271 on Oct. 30, 2017.
Online poker was expected to launch by July of 2019. However, that date was pushed back until PokerStars officially launched on Nov. 4, 2019. It was the first online poker site in Pennsylvania.
The site is now fully operational with the excellent software, cash games, and tournaments that players have come to expect. PokerStars has promised much more for players in the state and received a nice reception from many in the state.
There are eight casino or operators attempting to launch online poker in Pennsylvania right now. One of them is MGM Resorts, which applied for a license as a qualified gaming entity through its Borgata property in New Jersey.
Pennsylvania casinos which have both applied for and been approved to offer online poker are:
- Mount Airy Casino (now live through its partnership with PokerStars)
- Harrah’s Philadelphia
- Hollywood Casino at Penn National Race Course
- Parx Casino
- Sands Bethlehem
- SugarHouse Casino
- Valley Forge Casino
Nevada online poker
Nevada was the first state to launch regulated online poker. In December 2011, the Nevada Gaming Control Board adopted regulations pertaining to Nevada online poker sites.
The regulations required affirmation through the Nevada legislature. Nevada lawmakers meet on a biennium. The state passed the regulations governing Nevada online poker in February 2013.
On April 30, 2013, Ultimate Poker launched as the first regulated online poker room in the US. The launch was flawed due to poor software and unproven geolocation services. Ultimate Poker attracted about 300 peak players and the same number of players participated in sit and gos and tournaments.
WSOP.com launched on September 17, 2013. WSOP.com enjoyed massive brand awareness and dominated the market within two months.
Ultimate Poker succumbed to the small intrastate poker player pool in Nevada. It left the Nevada market on November 17, 2014. This leaves onlyWSOP.com and Real Gaming in the Nevada online poker market.
On March 24, 2015, a liquidity sharing agreement between Delaware and Nevada went live. New Jersey joined the compact in April 2018. So, players from three states can now sit at the same table.
Technically, there is a second active poker site in Nevada. Real Gaming, backed by South Point Casino, launched in February 2014. However, the site never has gained more than 1 percent of the market at any time. Currently, its influence in the market is small enough that WSOP more or less enjoys a monopoly in the market.
Nevada online poker sites
Delaware online poker
Delaware was the second state to legalize and regulate online gambling. It was legalized through the state legislature in June 2013. Online casino games went live on October 31, 2013. The Delaware online poker network opened on November 8, 2013.
Delaware offers online poker and casino games through its state lottery. Interactive gaming is marketed through its three video lottery racinos.
888supplies the platform all three sites. The online poker room shares liquidity between all sites. Delaware and Nevada started sharing online poker player pools on March 24, 2015. New Jersey joined the pool in April 2018.
Delaware online poker sites
- Doverdowns.com
- Delawarepark.com
- Harringtonraceway.com
West Virginia online poker and casino
West Virginia joined the online gambling party on March 27, 2019. Gov. Jim Justice allowed H 2934, the West Virginia Lottery Interactive Wagering Act, to become law without his signature.
The law allows the five land-based casinos to apply for interactive licenses. Each license initially costs $250,000 and must be renewed for $100,000 every five years. Casinos will pay 15 percent of revenue in taxes.
The five properties which will develop online casino sites in West Virginia are:
- The Casino Club at Greenbrier Resort
- Hollywood Casino Charles Town
- Mardi Gras Casino
- The Mountaineer Hotel, Casino & Resort
- Wheeling Island Hotel-Casino-Racetrack
Legalization is terrific news, but active online gambling in West Virginia is still somewhat in the future. The state’s officials will have to create a set of regulations. The best estimate from various sources is that the first online casino with online poker in West Virginia won’t appear until 2020.
Can I play at a legal online poker site while not in that state?
No. Legal online poker sites use geolocation software to ensure that players are located in the state at the time of action.
This takes into account the IP address of the player, location of a related cell phone, and nearby wireless access points. It is impossible to play at legal online poker sites when located outside state lines.
You do not have to be a resident of that state to play online poker there, however. If you visit any legal US online poker state you can download and create an account from your home state, claim any no deposit poker bonus, make any additional deposits and then play online poker when you arrive as long as you are within state borders.
Why should I choose legal poker sites?
One of the biggest advantages to playing online poker at regulated US sites is that all player funds are just as safe as they would be at a licensed real money online casino in any of those states.
The very same gaming regulations that apply to live and online casinos are also valid for regulated US online poker sites. All deposits are held in separate accounts from cash used for operations.
There are also ample deposit and withdrawal methods that are safe and secure. Legal poker sites in the US accept deposits by:
- Visa
- MasterCard
- Electronic checks
- Neteller
- Skrill
- PayNearMe (7-Eleven)
- Cash at associated casinos in Atlantic City, Las Vegas, etc
How do I withdraw from legal poker sites in the United States?
Legal poker sites pay winnings by:
- Electronic check
- Check by mail
- Bank wire
- Neteller
- Skrill
- PayPal
- Cash at associated casinos in Atlantic City,Las Vegas, etc
Regulated online poker sites also undergo rigorous checks to ensure that games are fair and secure.
When will online poker be legal in my state?
The situation regarding online poker bills is always changing. There are several states that are considering legal online poker currently. They are:
- Connecticut
- S 17 would legalize online gambling and sports betting
- Kentucky
- H 175 would legalize online poker, sports betting, and daily fantasy sports
- New York
- A 4924 would certify online poker as a game of skill under New York law
- Tennessee
- SJR 165 would legalize all forms of online gambling
- Virginia
- HB 2321 seeks to study online gambling expansion of all types
Two more states, Illinois and Massachusetts, are also interested in online poker.
History of legal online poker in the US
Legal US online poker sites debuted on April 30, 2013.
Ultimate Poker was the site that made history. Nevada was the first state to host fully legal online poker. Texas Hold ’em was the only game spread at Ultimate Poker during its first six months in business.
WSOP.com joined the Nevada online poker market on Sept. 17, 2013. The World Series of Poker’s online site brought the first games of Omaha, Omaha High/Low, Seven Card Stud and Seven Card Stud High/Low to Nevada.
WSOP.com now controls 99 percent of the Nevada market. This near-monopoly was caused by the shuttering of Ultimate Poker in November 2014.
Delaware online poker was the second state to launch. There is one network powered by 888. The state’s three racinos – Delaware Park, Dover Downs and Harrington Raceway – are skins on the Delaware poker network. Nevada and Delaware began pooling poker players in April 2015.
WSOP.com and 888 were the sites responsible for creating the first legal interstate online poker pool.
New Jersey online poker came next on Nov. 21, 2013. There are currently three poker networks in New Jersey. One hosts Borgata and partypoker, the other has WSOP.com and 888 on it, and the third is made up solely of PokerStars NJ. All networks are about equal in overall size at any given point in time.
There were three additional poker platforms in New Jersey when the state launched regulated poker sites. 888 was originally a standalone site before it merged player pools with WSOP.com. Ultimate Poker was unable to gain more than 3 percent of the market share.
Online Poker Legal In Nevada
The Ultimate Poker site was shuttered on Oct. 5, 2014. The associated UCasino was also closed at that time. Betfair failed to attract any players and closed its poker site on Dec. 1, 2014. Betfair still operates an online casino in New Jersey.
After a long legislative battle, Gov. Tom Wolf signed a bill into law that legalized and regulated online gambling in the state of Pennsylvania on Oct. 30, 2017, making it the fourth state to legalize online gaming. The bill legalized online poker, online casino table games, online slots and daily fantasy sports.
Legal Online Poker Nevada
It also allowed for a number of other gambling expansions such as online lottery, tablet gambling in airports, video gambling terminals at truck stops and 10 satellite casinos. Players were officially able to play online poker in PA in 2019.
Why isn’t there a federal online poker bill?
There have been many attempts to pass an online poker bill at the federal level.
- 2009 – Rep. Barney Frank first proposes regulated online poker.
- 2011 – Frank and Rep. Joe Barton attempt to get Congress to repeal the Unlawful Internet Gambling Enforcement Act (UIGEA).
- 2012 – Sen. Harry Reid and Sen. Jon Kyl combine to propose a poker-only bill, known in the poker community as Reid/Kyl. The bill dies when Congress adjourns.
Nowadays, the federal government is more likely to focus its attention on sports betting. Unfortunately, online poker and gambling just doesn’t rate for many constituencies as key issues.
There does seem to be a movement towards greater states’ rights, however. The dismissal of PASPA in May 2018 allowed sports betting to proceed at each state legislature’s discretion.
A recent reversal of Department of Justice opinion on the Wire Act may also end up being a net positive for online gambling advocates. The DOJ seems to have been swayed by anti-gambling lobbyists funded by Las Vegas Sands owner Sheldon Adelson.
Neither the states nor the media are amused by the appearance of corruption and impropriety. As a result, online gambling might become a medium for states to argue a greater issue, and thus, rise in prominence.
What is the UIGEA?
UIGEA is an acronym for the Unlawful Internet Gambling Enforcement Act. It passed Congress in September 2006 and was signed into law by President Bush two weeks later.
The UIGEA made it illegal for banks to process payments for unlawful gambling sites. It did not define what that was. Most publicly-traded sites immediately left the US market after the UIGEA was enacted.
These included Party Poker, iPoker, Microgaming Poker Network, Ongame, and 888. All of these examples returned to the US market when states started to regulate online poker.
What is Black Friday?
Black Friday was the day the US online poker community describes April 15, 2011.
On that date, PokerStars, Full Tilt Poker, and Absolute Poker were charged with gambling crimes by the US Department of Justice in the Southern District of New York.
Unfortunately, Full Tilt Poker and Absolute Poker did not have enough cash on hand to pay players. PokerStars paid all customers within weeks. Strange as it may seem, it was PokerStars that eventually made all Full Tilt Poker players whole after coming to an agreement with federal authorities.
Will the federal government ban online poker?
Federal law allows states to legalize and regulate online poker. This is specifically exempted from the Unlawful Internet Gambling Enforcement Act. A September 2011 Department of Justice opinion confirmed this and explicitly gives states the right to permit intrastate gaming.
There was an attempt in Congress to reverse this legal opinion. The effort was spearheaded by Sheldon Adelson, founder and CEO of Las Vegas Sands, the parent company of Venetian in Las Vegas.
Adelson’s lobbyists submitted the Restoration of America’s Wire Act (RAWA). The bill failed in 2016 and does not appear to have much support in this Congress. Libertarian groups, states’ rights activists, governors, state lotteries and most of the gaming industry have come out in opposition to RAWA.
Since then, Adelson and company have been working through other channels to head off online casino and online poker play. It is extremely likely that the group effected some degree of influence over the Department of Justice’s January 2019 opinion to reinterpret the Wire Act.
Online Poker Legislation Nevada Minimum
In that opinion, the DOJ essentially reversed its prior position on the statute to say that the law actually pertains to all gambling, not just sports betting. Needless to say, there were many parties in opposition to this opinion.
New York Online Poker Legislation
So far, the opinion has not found much success in court. A June 2019 ruling from a New Hampshire federal court dismissed the opinion from affecting that state’s lottery commission and an associated vendor. Only time will tell if the precedent will ripple out to other interested and/or affected parties.