Since the early 90’s, online gambling has become increasingly popular. By 1996, there were fifteen online gambling sites and by 1998, there were over 200. According to a report by Frost & Sullivan, revenues from online gambling surpassed $830 million in 1998. That same year, the first online poker rooms appeared. In 1999, the Internet Gambling Prohibition Act (IGPA) was introduced in the US Senate. The bill would have prohibited gambling online for U.S. citizens. In the following year, multiplayer online gambling was introduced.
The legality of online gambling varies between countries. Some countries have banned online gambling altogether, while others allow it in some form or another. The United States, Canada, Finland, and Sweden are among the countries that allow online gambling. Online gambling service providers must obtain licenses to operate in these markets. In addition, some countries have state gambling monopolies.
Currently, online gambling is legal in 48 states, including New Jersey. However, some states are still unsure about whether they should legalize online gambling. The state of Utah has a large Mormon population, while Hawaii has a largely Hawaiian population. Many residents of these two states are opposed to gambling. Other states that have passed legislation allowing online gambling include Wisconsin, Idaho, and South Dakota. The state of New York is also considering the issue.
Online gambling has been regulated by the federal government for decades. However, a few instances have been cited in court as a case of gambling fraud. For example, in United States v. K23 Group Financial Services, the operators of online poker websites were charged with violating 18 U.S.C. 1955 and the UIGEA. The case raised questions about whether these companies had the authority to regulate Internet gambling.