Online gambling has grown in popularity over the past decade. By 2000, there were over eight million people participating in online gambling. In 2008, the online gambling market generated almost $20 billion in revenue. In 2015, it reached $400 billion, with more than three-fourths of that coming from online casinos. However, online gambling is not without controversy.
There are some federal laws that prohibit online gambling. The Wire Act, for example, can lead to fines and imprisonment for operators who engage in wagering activities through the Internet. Nonetheless, there are exceptions to this law if the acts are legal in both source and destination jurisdictions. Regulatory authorities have voiced concerns about the growth of illegal gambling on the internet and have begun investigating ways to enforce it.
First, make sure that you’re aware of your local laws. Although most online casinos conduct a perfunctory check to ensure compliance with local laws, it’s still essential to understand your local laws before playing in an online casino. Those laws vary from country to country, but in general, online casinos are regulated by governments.
The Wire Act and the Illegal Gambling Business Act make illegal internet gambling activities a criminal offense in the United States. The Wire Act prohibits betting on contests and sports events, and the Travel Act prohibits gambling on interstate commerce. Moreover, the Racketeer Influenced and Corrupt Organizations (RICO) provisions make gambling business activities an illegal activity.