The Legality of Online Gambling in the United States


The legality of gambling is a topic of much debate in the United States and varies from state to state. For example, the Unlawful Internet Gambling Enforcement Act of 2006 limits banks’ ability to transact with illegal gambling websites but does not specify exactly what constitutes an illegal internet gambling site. Previously, online gambling was presumed illegal under the Federal Wire Act, but that law does not apply to online casinos, lottery sites, or poker sites.

Online gambling is also illegal in many states. While computer gambling is not generally illegal, the exchange of money in real-world situations is considered gambling. Gambling convictions can result in fines and jail time. Most minor gambling offenses are misdemeanors. While gambling laws vary from state to state, it is important to understand them before you engage in any online activity.

Although states have tried to regulate online gambling, they have not been particularly aggressive. Federal preemption doctrine has blocked state attempts to regulate the industry. The Commerce Clause theory holds that state law applying to commerce outside of the state’s borders is unconstitutional, as it is the federal government that has the power to regulate all commerce. This doctrine has also hampered state attempts to regulate gambling activity on Indian reservations located within state boundaries.

Despite the dangers of gambling, the United States is home to many different forms of gambling. Currently, the US government regulates casino and lottery games under the Commerce Clause. Some states even have laws restricting the amount of gambling a person can engage in. These laws include laws against the unauthorized transportation of lottery tickets between states, the regulation of Native American lands, and sports betting.

Posted in: Gambling