Has the Online Gambling Legislation Made Gambling on the Internet Illegal?

On September the 30th the US congress passed the Unlawful Internet Gambling Enforcement Act. This is passed to prevent American funds to flow abroad to off-shore gambling sites.

The Online gambling industry had a turnover of a whopping 12 billion dollars last year, and much of that money came from American players and ended up in companies situated in different tax-paradises around the world. This is looked upon as a problem by the American congress and they want to tighten the port security. But will it work?

Nobody seems to know that right now. Even the politicians behind UIEGA say that it doesn't make gambling on the internet illegal. It just makes it illegal for banks to make credit card transfers to off-shore gambling companies. However, gambling without making deposits is quite hard.

Some poker and casino sites have, at least temporarily, banned American players as a reaction to the passing of UIEGA, but no one knows what the future holds. Many online gamblers don't use the regular banks anyway. Instead they make their deposits through online payment solutions such as Neteller. Some experts claim that these players can carry on as normal and make deposits and withdrawals through their "online banks".

I will keep you updated if anything happens regarding this matter. I also recommend players from America to choose one of the rooms where they still are welcome.