In September 2006, the United States House of Representatives and Senate passed legislation that would make it illegal for financial institutions to conduct monetary transactions with online gambling sites. This legislation, termed the Unlawful Internet Gambling Enforcement Act (UIGEA), was "tacked on" in the final hours (shortly before adjourning for the midterm elections) as an amendment to the unrelated and virtually unstoppable SAFE Port Act, which was intended to improve the security of American ports. The Act was signed into law by then U.S. President Bush on October 13, 2006. The specific UIGEA part of the Act can be read here.
Several large online gambling operators including 888.com, Party Gaming and Bwin immediately stopped accepting bets from U.S. customers, and saw their stock prices tumble accordingly. However, many other operators have continued to accept customers from the United States despite the legal uncertainty this law has created.
Curiously, no part of the UIGEA defines what exactly "unlawful Internet gambling" is and no part of the Act prohibits anyone from gambling online. A couple of years of hindsight has revealed the effects of this legislation to be:
- A minor inconvenience for U.S. players who would like to play poker or casino games online;
- A flourishing industry of smaller, less visible, and largely unregulated operators happy to accept customers from the USA;
- Most of the largest, most professional, and well regulated operators unwilling or unable to accept U.S. customers;
- Billions of potential tax revenue lost by State and Federal U.S. governments.
Below you can find an archive of all UIGEA related news articles we have posted to the site.
10 August 2016 by Dustin Jermalowicz
The state of New Jersey has been handed a major defeat in regards to its 2014 bill that would have legalized sportsbetting in its borders following a 10-2 ruling the United States Court of Appeals.
11 July 2016 by Dustin Jermalowicz
The state of Delaware has taken action to stop daily fantasy sports within its borders, as state Attorney General Matthew Dean sent a cease and desist letter to major operators in the state.
6 July 2016 by Dustin Jermalowicz
New York Police have announced that they have broken up a gambling ring that allegedly took in roughly $1 billion in NFL wagers in 2015 alone.
1 July 2016 by Dustin Jermalowicz
This week the Pennsylvania House of Representatives approved HB2105, which will see online gambling legalization passed through as part of the Keystone State's budget.
16 June 2016 by Dustin Jermalowicz
Pennsylvania politicians are reportedly gauging the interest of their colleagues in voting on internet gambling regulation in the Keystone State.
9 June 2016 by Dustin Jermalowicz
This week the Michigan Senate Regulatory Reform Committee passed through a bill that would legalize online gambling in the Wolverine State, as it passed through with an 8-1 vote.
3 June 2016 by Dustin Jermalowicz
Online poker regulation took an important step forward in New York this week as a bill that would legalize and regulate the activity passed through the Senate Finance Committee by a 20-8 margin.
16 May 2016 by Dustin Jermalowicz
South Carolina senator Lindsey Graham has tried to slip in an online gambling ban into the Senate Appropriations Bill, using the language contained in the Restoration of America's Wire Act as an addendum.
19 April 2016 by Dustin Jermalowicz
This week it was revealed that the Coalition to Stop Internet Gambling lobbying group has hired The Keelen Group to help lobby politicians in its continued efforts to ban online gambling within the United States.
18 April 2016 by Dustin Jermalowicz
Last week a group of senators in the state of Michigan introduced a bill that would legalize and regulate online gambling within the state's borders.