The Online Gaming Guide to Gambling Laws

According to some research, 26% of the world population gambles. However, in the United States, there are laws and restrictions around gambling. It can vary for each state or for what type of gambling you’re doing, so it can easily get confusing when you’re trying to figure out what’s allowed. If you are interested to learn to gamble safely here’s a Guide to Gambling Laws, keep reading!

History of Gambling

Gambling can be traced back to the Native Americans in early United States history. They had various gambling games that you could partake in, like versions of poker, blackjack, and roulette that we know today. 

In the late 1800s, lotteries started appearing in the United States, and gambling and card games were at an all-time high. However, in 1910, gambling was banned everywhere in the United States. 

In 1930, Nevada made it legal again, but it was only in their state. This is what grew Las Vegas to be the number one gambling city in the country. However, other cities like New Jersey and Atlantic City followed in their footsteps. 

The government still allowed Native American gambling sites to operate in 1998 with the Indian Gaming Regulatory Act. This is when casinos started becoming popular (but only in localized places).

In the early 2000s, online gambling changed the game and allowed everyday Americans to gamble without having to travel anywhere. In 2006, the United States passed the Unlawful Internet Enforcement Act which made a lot of international gambling sites stop catering to Americans. 

However, in 2012, New Jersey and Delaware also legalized gambling. Other states have applications to approve gambling, but they’re still waiting on approval. Make sure that you always check what the latest gambling laws are because they’re always changing.

Land-Based Casinos

Land-based casinos are the most popular type of in-person casinos. However, people also have casinos on dockside sites, bars, clubs, and riverboats to get around some laws and regulations. 

Commercial casinos are normally found in Atlantic City and Las Vegas. They are classified as “Class III” casinos, which means they can have Las vegas-style games. They also have to follow beverage restrictions to ensure that patrons don’t get too intoxicated. 

They also have to report their payback percentage to the state. 

There are also Native Tribe Casinos. There are over 500 tribal casinos in over half of the states, and they get the exception to the Indian Gaming Regulatory Act that was passed. 

However, these casinos only have Class II Games in their casino. They also have free reign over regulating their own casinos.

Sports Betting

In 1992, the Professional and Amateur Sports Protection kept states from being able to expand on their sports betting programs and legalization. However, in 2018, the Supreme Court said that wasn’t lawful, so states were allowed to pursue it again.

Ever since that happened, many states have started opening legal sportsbooks. They’re also focusing on racetracks and casinos. A lot of states are even working on allowing online sports betting. 

There are plenty of online sites that you can find, but make sure that they’re legit and legal in your state before you start placing bets. 

Lotteries

Lotteries are also a popular form of gambling, and they’re more widely accepted than sports betting and casinos. In order to legally classify as a lottery, you need to have three elements with it: a payment, a chance to win, and a prize you can actually get. However, it’s illegal to operate a lottery through the telephone or the mail.

You have to purchase a physical ticket in order to win a prize. These prizes can be anything from money to a new car, to jewelry. In order to win, you have to randomly win a drawing or have a matching number. 

While there are a few federal regulations surrounding lotteries, many states will have their own laws to regulate and monitor it as well. There is normally a special lottery board or a commissioner who will oversee all of the lottery companies in that state. 

The lottery commission will also ensure that each retailer who sells lottery tickets is licensed, and they’ll also make sure that employees are trained on how to redeem winning tickets, sell tickets, and use the lottery terminals. 

Some states even have exemptions for lotteries that are run by non-profits, churches, or charitable organizations. 

Online Gambling

To get into online gambling, make sure that you find some trusted gambling sites first. Only a few states have legalized online gambling, but many more are attempting to do so. 

States are hesitant to make them fully legal due to the Wire Act of 1961. But the Wire Act was eventually reversed when Nevada found an issue with it while they were working on legalizing online poker.

This reversal let many states try to apply for the legalization of online United States casinos, but there is still a lot of work to be done. 

Learn More About Gambling Laws in the United States

These are only a few things to know about gambling laws, but there are many more things to keep in mind!

We know that learning how to gamble and how to do it legally can be stressful and confusing at first, but you don’t have to figure it out on your own. We’re here to guide you in the right direction!

If you enjoyed this article, make sure that you explore our website to find more articles just like this one.