- One of President Trump’s primary backers is land-based casino tycoon Sheldon Adelson
- This might partly explain why the US hasn’t embraced online gambling, despite its success elsewhere in the world
- In the UK, it’s generating huge revenue streams and supporting gambling regulation
- While the US is starting to relax about sports betting, it remains to be seen whether this will extend to online casinos
On January 20th, 2017 Donald Trump was inaugurated as the 45th President of the United States of America, and it’s fair to say he’s had a lot on his plate since taking office. From meeting Kim Jong-un to implementing immigration policies and battling several lawsuits – there’s no shortage of work coming into the leader of the free world’s in-tray.
One of the issues he’s yet to decide his position on is online gambling, which is widely illegal in the majority of US states. In his earlier life, Donald Trump was affiliated to several gambling sites and founded Trump Entertainment Resorts in 1995 which featured a casino inside the Trump Taj Mahal.
Gambling enthusiasts across the US are hoping that Trump’s involvement with gambling will make him more likely to legalize online gambling. This outcome seems more likely following the Supreme Court’s recent decision to legalize sports betting. But let’s take a closer look at online gambling in the US and how the arguments around the issue stack up.
Was online gambling ever legal in the US?
The history of online gambling in the US is long and complicated. In essence, the practice is still governed by the same laws that once prevented the Al Capone-era Mafia from taking phone bets. However, states can legalize online gambling if they choose to pass a motion allowing it.
So in reality, online gambling is restricted in the US. Only four states allow it – Delaware, New Jersey, Pennsylvania and Nevada (where only online poker is permitted). In other states, it’s easy for internet gamers can access these sites – and even international ones thanks to VPN software and remote servers. However, operators providing gambling services in areas where it’s prohibited can be prosecuted.
That’s exactly what happened on Black Friday in 2011 when the US government seized the assets of several online gambling firms and indicted their directors.
Who are the biggest opponents to online casinos?
Casino mogul billionaire Sheldon Adelson is one of Trump’s biggest donors. He pumped $82 million into Donald Trump’s presidential campaign and is a strong opponent of online casinos.
Adelson even went as far as funding the creation of the Coalition to Stop Internet Gambling, a community group that campaigns against the legalization of online casinos. Adelson claims to have a moral objection to online casinos, arguing that they prey on the weak, elderly and children.
He is the chairman and CEO of Las Vegas Sands which is worth over $40 billion, and also has plans to open a casino in North Korea. So it’s fair to say that Adelson’s stance on online casinos stems from an economic fear rather than a moral objection.
Regardless of Adelson’s motives, his considerable backing of the Republicans has given him considerable sway in the current American government – making this one of the biggest obstacles in the way of the legalization of online casinos.
Why should the US legalize online casinos?
- Economic benefits
The economic benefits of legalizing online gambling are enormous. Global revenue is growing, and there are huge gains to be made by countries who open up their gambling industries to the online world in terms of revenue.
In the UK, online gambling has been legal for some time now. From a recent gross-gambling yield of nearly £13.9 billion, a third of that was attributed to the online sector. The tax revenues alone are one thing, but the jobs and employment that the sector brings to the UK are just as important to the economy – and more than 100,000 people are employed by the online gambling industry.
With the US having by far a bigger population than the UK, you can imagine the size of the prize on offer – were it to go down the same route.
- Improved gambling regulation
Online gambling could also help the US take huge strides forward in terms of gambling regulation. If online casino users in the US develop problems with gambling online, there are currently no official routes for them to find help and guidance. If they seek help with a government body, they are likely to be prosecuted for illegally gambling online. In the UK, all online casinos must collectively pay to fund the running of organizations such as ‘Be Gamble Aware’ and ‘When the fun stops, stop’. Organizations that offer support to those with gambling addictions and help to regulate the industry.
- Better gameplay
Another reason online gambling has been such a success story across the world is because it’s great for players. Greater competition and advances in technology have created more high-quality, immersive games that have given players a better experience. What’s more, players have been able to play their favorite games at their convenience – whenever they like, and from the comfort of their own home, using any device. Add to this the live casino experience and it’s easy to see why it’s proving to be so popular. Online operators, such as Wink Slots, ensure that the visitors to their site are spoilt for choice when it comes to the games on offer, the range of live casino games available match what you would expect to find in a land-based casino.
What’s happening now?
In spite of Trump’s connections with Adelson, there might be light at the end of the tunnel for online gamblers in the US after all. The country looks like it’s taking a more relaxed approach to online gambling, following the Supreme Court’s striking down of a ruling that banned online sports betting outside Nevada.
Many experts are now expecting sports betting to become more prevalent nationwide – and there’s plenty of support for that from teams, celebrities and ruling bodies such as the MLB. All parties see the huge benefits on offer to open up new revenue streams.
Given Trump’s numerous priorities at the moment, it could be a while before gambling reform gets on the agenda. But with sweeping changes in sports betting on the way, it might be a question of ‘when’ rather than ‘if’ the US will decide to cash in on online gambling, which has created huge amounts of success elsewhere in the world.