The Interstate Wire Act is a law that’s been getting a lot of play of late by opponents of online gambling. According to these opponents this law makes online gambling illegal in the United States, and that’s that. These opinions are wrong though, and they’re either based off of a flawed understanding of the law, or a deliberate misinterpretation of what the law actually says.
What Does The Interstate Wire Act Say?
The Interstate Wire Act does outlaw a particular type of online betting; sports betting. However, the act doesn’t state that this kind of gambling is out-and-out illegal; sports betting is only illegal if it crosses state lines. So as long as someone is betting within his or her state, and that state doesn’t have any laws against that practice, then there’s no harm being done.
Furthermore, the Interstate Wire Act has no language in it regarding other forms of online gambling and betting. There’s nothing in it regarding online blackjack and poker, slot machines, roulette, or any other form of gambling. While there are some sources that claim the opposite, there have been no changes made to the infrastructure of states like Nevada where this kind of gambling is par for the course.
Why Online Gambling Won’t Be Further Restricted
While there will always be opponents to gambling (for whatever reason), it is very unlikely that the government will step in and impose harsh requirements on the industry as a whole. The reasons are fairly simple, too.
The first reason is that online gambling is providing a benefit without imposing a negative. The tax revenue alone is enough to make the online gambling industry a big part of states like Nevada and New Jersey. Restricting the industry means the losses of those revenues, but won’t mean the end of online gambling as individuals are more likely to seek out the activity elsewhere.
The second reason is that there’s very little imperative to attempt to dismantle an industry which is quite entrenched. Online gambling is not new, and it’s been around for a many years now. Decades, in some parts of the country. So the idea that the Department of Justice is going to suddenly declare as illegal businesses which have been running quite well for that long is ludicrous. It isn’t impossible, but it’s certainly impractical.
Online Gambling Continues to Grow
While there has been regulation regarding online gambling, and there is likely to be more as the years go on, very little of it is being done by the federal government. Incidents such as the recent licenses granted in New Jersey for online casinos and allowing foreign casinos to operate locally are a good example. States are taking initiative when it comes to online gambling, and generally speaking even though the federal government has the ability to regulate inter-state commerce it has so far chosen not to. The longer the federal government holds that position the harder it will be to get involved at some later date.