All You Need To Know About Betting Regulations In the US

Betting in the US has proven to be growing rapidly as an industry, becoming popular amongst both locals and foreigners visiting the states.

Betting regulations in the US

From the companies point of view, having so many competing businesses can pose a challenge to gain the number of bettors needed to make a profit. However, from the consumers’ point of view, due to these businesses competing against one another to gain the most amount of players and bettors, more best win opportunities and deals become readily available to them to win their loyalty, allowing them to have a larger selection of options when betting.

In the US, betting laws and regulations tend to be reviewed and changed often over a certain amount of years, therefore it is important for the consumers to be aware of the most up-to-date information regulated within the law to avoid prosecution of any illegal betting. A real-time example would be the betting regulations in Kansas – had been extremely close to creating laws that regulate betting in a safe manner for both the companies and the bettors over the last few years but have been put on hold due to the pandemic. On the other hand, Kentucky sportsbooks are already in advanced stages of development, with the regulations expected to be finalized very soon.

How do People Bet Online in States like Kansas?

Since online betting is not yet legalized in Kansas, locals resort to making use of offshore betting sites, since there is no specific law that prohibits their use of them. In cases like this, bettors can use different providers from countries with different regulations, and they are mostly relying on reliable information sources to find top KS online sportsbooks in order to bet safely and legally within the respective state.

It is important to understand that the federal government of the US is not the only governing head that can make decisions related to law, as a matter of fact, each state has the power to create laws in relation to gambling within its own region. This is crucial information when betting in a state that is new to you as the law might be completely different from their neighboring state. It is also very important to know that most of these laws are made by people who are not familiar or do not understand the industry, therefore having these laws be very vague leaving a lot of room for interpretation by businesses or bettors. Due to this, once prosecuted it is very common that judges and prosecutors base their decisions over their own agenda or feeling of the industry.

Federal Laws

Federal laws regulating the online gambling world emerged once the online gambling industry started in the US, making these laws for both in-house and online gambling to follow. The Wire Act of 1961 is an act that restricts the ability of people to take wagers from others and was created to take away the ability to monetize these gambling games. Even though this law was made in 1961, well before online gambling was created, it is still being used in law to act against online gambling. After the Department of Justice gave the authority to states to rule their own laws against gambling in 2011, those playing online slot games, poker, and more would no longer be prosecuted, however online sports betting was not included in this law and therefore still remained illegal.

State Laws

As mentioned above, the states have the power to create their own laws against gambling and betting, allowing the federal laws to revert to the particular state’s laws when trying to prosecute someone. State laws usually differ, having some states ban any kind of gambling within their region, others only allowing certain types of gambling, and others completely legalizing the industry. Certain factors used by the state help determine whether the form of gambling being used is in violation of the state laws. The Dominant Factor Test is a test used to distinguish whether the game is based solely on chance or skill, having it violate certain laws if it is fully based on chance and classifying it as not violating any laws if there is a certain amount of skill needed to win. This test is used by many states, but not all.

It is well understood by states that have allowed online gambling that in order to remain effective in the market, they must have a significant number of players. As a result of the fact that not all states have legislation governing this sort of gambling and that the legal system may be rather ambiguous when it comes to this business, states must exercise caution when inviting players from other states that hold different laws to theirs. In light of this problem, most states have chosen to make agreements or deals with other states to allow legal gambling to these residents from other states, which in turn has been creating a community of states working towards the full legalization of online gambling. Online, gamblers can find a list of online casinos that are regulated and legal to use within their states, allowing them to play and bet safely and effectively.

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