Within the next few years, the iGaming sector is expected to experience a revival, with new opportunities for both business and entertainment clearly visible on the horizon. With these possibilities, the US is being rocked, as many more states are putting forth new gambling legislation in an effort to move the stale legislation that currently forbids many forms of gambling in the country.
Sportsbooks operate at much lower margins, and legislators are quickly realizing that taxable revenue from virtual casinos could vastly exceed that of the sports wagering markets. “The current rate of expansion for regulated sports betting in the United States supports the idea that there is both an audience and a financial incentive for states to adopt the practice.”
More than half of the nation has begun to legalize gambling.
The US Supreme Court issued a landmark ruling legalizing sports betting across the nation in May 2018. Prior to that, because sports betting was illegal under federal law, Americans bet an estimated $150 billion illegally each year. Unrestricted gambling is still a contentious issue. After arguing for the legalization of sports betting for many years, New Jersey first appealed the case to the Supreme Court. Following a ruling that it was unconstitutional, the federal ban on sports betting was finally overturned, allowing individual states to legalize and control their own sports betting industries. Ever since, sportsbooks have started popping up all over the nation.
This is a significant step for the American entertainment industry, and as more states open their legislative doors, brands from around the world are becoming more interested in expanding their horizons and forging ahead into the American market. British brands are already strategizing how to do so.
The large UK brands offer years of experience and extensive technology needed to run the business, according to a spokesperson for Online Slots UK. “All major sportsbook operators have either partnered with or are heavily influenced by the large UK brands,” the spokesperson added.
“This dependence will be even greater when it comes to the world of online casinos, where the European brands already house substantial game libraries backed by the best software providers worldwide, and their CRM models and rewards programmes have been fine-tuned.” In a race to be the first to market with the best product, well-known gambling companies in the United States appear likely to try to partner with or buy these current operators.
Although legalising online casino gambling would undoubtedly bring financial benefits to states in the form of new jobs and tax revenue, there is still some resistance to the practice. Let’s examine a few facts:
- Only two states, Utah and Hawaii, currently outlaw all forms of commercial gambling, both online and off. In Hawaii, poker is permitted in private homes.
- In the US, there are two different kinds of land-based casinos: commercial casinos and casinos run by Native American tribes.
- Nevada and Atlantic City both have commercial casinos.
- In 30 states across the nation, there are 524 Native American tribe casinos. These casinos typically have their own rules and are not constrained by federal laws.
- There are no tribal or land-based casinos in Georgia, Hawaii, Kentucky, New Hampshire, South Carolina, Utah, Vermont, or Virginia.
- The following states have legalized online gambling: Delaware, California, Illinois, Indiana, Nevada, Iowa, New Hampshire, Pennsylvania, New Jersey, Rhode Island, and West Virginia. Players can access websites that are authorized by different nations in other states.
- Online gambling is technically against the law in Louisiana, Utah, and Washington, but no gambler has ever been found guilty.
- Federal law known as the Unlawful Internet Gambling Enforcement Act (UIGEA), prevents banks from making payments to online betting companies. This runs counter to some states’ legalization of online gambling.
Many people still find the idea of playing casino games online to be unappealing, but this resistance is very similar to the pushback that proponents of sports betting encountered just a few years ago.
One of the sectors with the greatest growth
Any online betting activity, such as wagering on the results of games or live events, is referred to as “iGaming.” This time-tested activity is still practiced in the modern era through sports betting, online casino gambling, and other skill-based games like poker or blackjack.
“Data shows that there are almost 400 registered casino hotels in the United States, with an estimated value of $54.8 billion this year, and the 465 registered non-hotel casinos reported a gross gaming revenue of just over $43 billion in 2019,” said one online casino operator. The total gross gaming revenue generated in the United States in 2009 was $34.3 billion, which means that over the previous ten years, interest and cash flow have more than tripled.
The expansion of the iGaming sector can be attributed to a variety of factors. The games are constantly changing and getting better thanks to technological advancement. All betting services are provided with improved visual and aural design, which inevitably draws in more customers. Online casinos Software are setting the pace in the iGaming industry, which is constantly innovating. Weekly, new online slots are released, and they have a huge public following. Classic games like roulette and blackjack, meanwhile, continue to draw a consistent crowd of players.
A complete systemic upheaval caused by blockchain?
Blockchain would do away with the need for a central authority to facilitate online gambling (such as an escrow service or third-party company that processes bets). Instead, Blockchain enables the logging, storing, and processing of all bets across a network of computers. A transparent record that cannot be altered will be produced. All parties to the transaction are able to review and confirm this record.
The implications of this technology are vast because it would instill a new level of confidence and openness in how gambling is conducted and how customer complaints are handled. Many believe that Blockchain may be the primary factor in making online casinos legal in all 50 states.
If Blockchain enters the betting industry, cryptocurrency may also start to be accepted as payment. This would widen the scope of the iGaming sector and open up a lot more doors for collaboration.
Future Value as a Bet?
The iGaming sector is a promising one that is expected to change. These changes have a positive impact on business because US citizens will soon have access to more transparent and secure betting options. The iGaming industry is so large, inventive, and dynamic that it will inevitably become more widely legal in the US. It is a matter of when, not if, as technology like blockchain may hold the key to safe and legal online casino gambling.
While many Americans enjoy playing online casino games, some are unable to do so because of current regulations. Despite this, as gambling laws are being relaxed, the future of the iGaming industry appears promising. Sportsbooks and online casinos are expected to merge at some point, as it seems that lawmakers can’t resist the allure of the money involved.