Due to COVID-19, lawmakers in the state of Wolverine have focused too much on health safety guidelines and businesses to worry about the online poker law passed in late 2019. Originally, it was planned to approve licenses for gambling operators in early 2020, but the pandemic has changed the state`s approach. It wasn`t until early 2021 that PokerStars launched in Michigan. Let`s bet MGM then jumped on board less than two months later, and the state of Michigan now attracts massive online poker revenue. The same studies showing the economic potential of online poker certainly apply to states as well, albeit on a smaller scale. States with tight budgets or deficits see online poker as a legitimate option to fill these gaps, and why not? Nothing has been taboo over the past decade when it comes to eliminating all red, white and blue casino tycoons dreaming of a state-sanctioned monopoly on the online betting market. Operators must work with a land-based casino and apply for licenses so that residents of the state can play poker under the new law. So far, however, there hasn`t been much demand, perhaps because West Virginia isn`t part of the multi-state online gambling deal. If operators know they can divide player pools across state borders for better liquidity, they are likely to submit requests. Many sensible members of Congress have passed legislation regulating online poker, house gambling, or both, but have yet to get enough support to pass anything. Below, we give our best estimate of how far each state is in this process and how likely it is to pass laws regulating online poker.
Before that, however, we think it is important to highlight a central fact in this circus. No US-based online poker player has ever been convicted for playing online poker. Even in states like Washington, where online poker software on your computer is a Class C crime, no one has been charged with breaking the law. This is important for several reasons. First, the principle of disenforcement means that laws like Washington`s may no longer be enforceable anyway. Second, while much of the stupidity described above in legal history has been done by those with deep pockets and self-interest, the fact that poker players themselves have not faced criminal penalties suggests that there is no appetite for such a fight. American online poker sites report that they have customers from all fifty states. In our view, seismic social or political change would be needed to change this.
At this point, every major US online poker room has a mobile app option. The liquidity of poker is the reason why poker is so profitable in the global market. All participating states must sign the Multi-State Internet Gaming Agreement (MSIGA) to make this possible. (This is not a problem for online sports betting and other games.) Pennsylvania, West Virginia and Connecticut have yet to sign the agreement. Current poker sites in Keystone State include partypoker partner Borgata, Bet MGM and PokerStars. WSOP launched its website on poker platform 888 in Pennsylvania in 2021, in time to offer WSOP wristband events online in the state. PA will offer WSOP Events online again in 2022. After the Connecticut legislature approved a bill to legalize online gambling, Governor Ned Lamont signed it into state law in May 2021. He has also made arrangements with the Mashantucket Pequot and Mohegan tribes who operate land-based casinos in Connecticut. This allowed people in the state to play real money poker and online casino games and operate online sports betting. There is no authority that can enforce fairness from black market poker sites, so if a player is mistreated, little can be done.
In 2006, the United States passed the Unlawful Internet Gambling Enforcement Act, which prohibits U.S. banks from doing business with online gambling sites. Some pages disappeared, others remained. In 2011, the Department of Justice seized the domains of major poker sites for bank fraud and money laundering. WSOP.com also operates in New Jersey, but poker players from that state have more options available than Nevada residents. These include partypoker, PokerStars, the world`s largest online poker brand, and BetMGM, operated by MGM Resorts, one of the world`s top casino resort companies. Most of these states have existing land-based casinos and/or have shown legislative interest in the potential tax revenue that online poker and other gambling could bring. New York would be a key state because of its population and wealth. Active advocates of online poker in the state Senate, as well as regulated poker in neighboring states, give us hope. The selection of games varies, but in general, most online poker in the United States is usually unlimited Texas Hold`em or Pot-Limit Omaha. What is most incredible on the federal side is that there are disagreements between the branches of government. Thank God for the checks and balances, right? As the DOJ moves forward with its imperial quest, many members of Congress see online gaming as a potentially important source of revenue in an economy that still needs it.
The UIGEA, a provision of the SAFE Port Act of 2006, makes any internet gambling illegal if it is not legal in the state from which the bet is made. The rules and protocols on legal websites are carefully monitored and enforced, with serious consequences for the operator in the event of a breach. An unregulated website would have the freedom to manipulate its policies, bonus offers, and even possibly the outcome of the game itself. Although the Nevada/Delaware pact briefly increased poker activity, it did not significantly improve Nevada`s long-term traffic. On the other hand, it has been extremely helpful for Delaware players. As a much smaller market with only about a million people, access to out-of-state competition was critical to the effectiveness of online poker in the state. Everything on a legal website is legit. You must confirm your identity before you can play, as well as your opponents.
