Expanding Online Gambling

Nevada Considers Expanding Online Gambling

Lawmakers in Nevada have joined hands with segments of the online gambling industry in the state to seek ways to expand the gambling products currently offered here. Online gambling is banned throughout the United States with the exception of Nevada, New Jersey and Delaware where it is available in restricted forms. As of now, online casinos based out of Nevada offer only poker, but there are indications this state might follow the lead of the other two by permitting casinos to offer different types of casino games. Online gamblers prefer to play games such as slots, with Tiki Island slots being one of the most popular ones.

Governments earn a lot of money from gambling operations, and it is in their best interests to regulate this industry properly. There have been indications that Nevada would link its iGaming operations with those of the other two states, but this has not materialized so far. However, Nevada Governor Brian Sandoval has raised the subject of working out a liquidity-sharing agreement with New Jersey. If this deal could materialize then both states would benefit from increased tax revenues. There will also be many benefits to players in the form of increased choices and better service.

It is no small task to link the gaming operations of two or more jurisdictions. In fact, there are political and technical reasons for this. Operators will have to locate their servers in suitable places and will also have to determine how the cash generated from the operations will be split between the partner jurisdictions. The latter topic is a problematic one because of the volumes of money involved and it will involve detailed negotiations between the parties concerned. Not only will the states have to consent to a common rake structure but they should also choose the right revenue share option.

The United States tends to have a hostile political environment towards online gambling. Vested interests such as Nevada gambling billionaire Sheldon Adelson have used their considerable political might to prevent the legalization of the online gambling business. In fact, Adelson has a lot of influence over New Jersey Governor Chris Christie, and this might derail any discussions on liquidity-sharing agreements. Adelson’s hand can be seen behind many reverses suffered by the industry in the United States, including the troubles faced by PokerStars in New Jersey.

It seems very likely that Nevada will continue to push for changes to its gambling law in order to be able to offer a wide range of gambling products. More than 80% of New Jersey’s gaming revenues come from online casino games and not just poker. It is clear to see that politicians in Nevada have their eyes on the money they could potentially earn by increasing the range of games they offer. Interestingly, the increase in internet based gambling hasn’t eaten into the revenues of land based casinos. If at all, it has cut into the illegal market. It will be interesting to see whether lawmakers in Nevada can take the right decision in this matter.

Leave a Reply

Your email address will not be published. Required fields are marked *