During the 1990s, online gambling gained in popularity. By the mid-2000s, more than 200 gambling websites had opened, and revenues for online gambling exceeded $830 million. This statistic makes it one of the fastest growing industries in the world.
There are several factors which contribute to the impact of internet gambling. One of these is the fact that some gamblers are likely to suffer from gambling problems. Another is the presence of regulations and other laws governing the industry. These laws provide protection for the consumer. They may also generate taxation revenue.
During the late 1990s, legislators began to explore the feasibility of regulating online gambling. Two bills were introduced in the Senate and House, one of which would have banned all online gambling and the other would have restricted the activities to horse races and state lotteries. The House of Representatives Committee on the Judiciary held a hearing on the topic.
The Department of Justice attempted to interpret the 1961 Wire Act of 1961, which was drawn up before the internet, in a way that would make it applicable to all types of gambling. Unfortunately, the attempt failed in court.
The good news is that online gambling has become a legal industry in many countries. Some countries, like the United Kingdom and France, have introduced new laws to tax and regulate the online industry.
Other countries, like the United States, have remained hostile to the industry. In fact, the federal government is still on the fence when it comes to internet gaming. However, a growing number of jurisdictions are recognizing the benefits of regulation. In fact, the US Supreme Court overturned the federal ban on sports betting in 2018.