Over the past few years, internet gambling has been on the front line in terms of growth and regulation (Rege 111). The industry is doing well due to crippling defeat of laws aiming to curb gambling activities. The fact that there is legality of gambling in the internet, has made it difficult to control the widespread of legalization. Despite testing the boundaries of internet gambling, government regulation is not as effective when it comes to controlling this recent expansion. The laws are vague and overarching making it hard to stop the extremities that come with gambling. Laws put in place to ban gambling faded quickly when the government’s outlook changed after the great depression.
As stated began to look into the value of gambling when it comes to generating revenue, state lotteries came back and casino legalized gambling. When lotteries returned, congress began to enact federal laws that would help control gambling on a wider scope including internet gambling (Rege 114). One of the laws enacted were to combat rampant organized crime activity when it comes to sports betting. For instance, the Wire Act prevented three types of transmissions in foreign commerce: (i) betting, waging or information that helped users to assist in placing bets or wagers, (ii) the law also prohibited information assisting in placing of bets and wagers, and (iii) the law prohibited communications that helped recipient to receive money due to bets and wagers (Rege 114).
In conclusion, one of the most outstanding ambiguities of the Wire Act is if the language prohibits wagering and betting in sports events or contests. This aspect is central to the question of how federal law affects the lawfulness of internet gambling. Due to the fact that the Wire Act only reaches sports betting it effectively limits the law towards sport specific gambling. To limit gambling, the federal regulatory scheme established and enforced standards as well as detailed procedures used for the regulation and licensing of internet gambling. The laws in place have gone as far as to ensure legitimacy of licensed operators as well as secure the future of the internet in terms of internet gambling.
Rege, Aunshul, and John McMullan. “Cyberextortion at Online Gambling Sites: Criminal
Organization and Legal Challenges.” Computer Crime. Routledge, 2017. 111-128.
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