It sounds counter-intuitive I know. How can legalized online gambling in the U.S. actually help problem gambling? Won’t it just create more gambling addicts? Maybe, but it’s not as many as you might think.
According to a 2010 survey conducted by the UK Gambling Commission, there was little or no statistically significant increase in problem gambling after they legalized online gambling.
I already suggested that the recent U.S. government crackdown on online gambling sites is a good sign of upcoming regulation. I believe regulation will be a good thing because it will result in safer gaming websites, more money for problem gambling programs, and less underage gambling.
Safer Gaming Websites
To get an idea of how regulation makes online gambling safer, I asked my friend Jim – Internet gambling expert and owner of OnlinePokerSites.co.uk – to chime in on the regulation of online gambling in the U.K. Here’s what he had to say:
Every gambling commission has its own rules, objectives and charters. For the most part though, all the major ones, specifically GRA in Gibraltar, LGA in Malta, Gambling Commission in UK, licensing bodies of Antigua, Alderney and Isle of Man, all share common objectives, each just happens to word the same objectives differently.
The three most common ones you’ll find worded one way or another are:
1) Prevent the exploitation of minors and other vulnerable persons.
2) Stop gambling from encouraging crime and disorder
3) Ensure the games are fairThe primary strategy that gambling commissions employ to achieve these objectives is strict licensing policies. A gambling site seeking a license must first pay a considerable fee.
The approval process involves rigorous background checks, close examination of financials and business plans, an interview with follow up interviews and finally a waiting period.
It’s an expensive, complex, and difficult process to get a gambling license. Of course the final stage is acceptance and approval during which the gambling site agrees to follow a code of standards which are in line with the gambling commissions objectives.
While he does go on to say that a lot of the safe guards provide little player protection. I think the most important thing to note is that regulation means having strict licensing requirements for online gaming operators. This in turn will help ensure that only legitimate gaming companies are allowed to promote within the U.S.
To read more about what goes into regulating online gambling, I suggest reading this onlinepokersites.co.uk article.
More Money for Problem Gambling Programs
Obviously, one of the biggest reasons for the government to legalize Internet gambling is more tax revenue. Besides a significant boost to the U.S. economy, legal gaming revenue would fund more problem gambling programs.
Less Underage Gambling
Most offshore gambling sites allow 18 year olds to sign up and gamble. It’s also not that difficult for a teenager to steal their parent’s credit card and id in order to gamble. With legalized online gambling, there will be more safe guards in place to prevent minors from gambling illegally.
While it may be a long time before we see legal online gambling in the U.S., I think it’s on the way. Hopefully, legalized Internet gambling will be a lot safer with more control over underage gambling. And as long as a portion of the additional gaming revenue goes to problem gambling programs, I think America will be much better off.
Do you agree or disagree? Will legalized online gambling in the U.S. make things better or worse?