Canada Becomes a Poker Nation

Randy Shore of the Vancouver Sun has written an excellent piece on the emergence, evolution and eventual evaporation (or the 3 "E"'s) of online poker from a Canadian's point of view, since so much of what we read on the subject originates from within the United States.  The "evaporation" does not imply online poker has met its untimely demise - quite the opposite in fact.  Shore is simply pointing out the process of elimination, focusing on how a number of online poker enterprises have removed themselves from the U.S. market following implementation of new legal measures. 

Still, those legal measures remain clouded.  PokerStars legal eagles, for example, insist that they continue to operate on the right side of the law.  The privately held online poker enterprise still accepts customers from the United States while its publicly traded counterparts have chosen to leave the market entirely due mostly to pressure from shareholders.

Poker is hardly a crime, unless of course ESPN, NBC and nearly every other big name television network has entered the business of "aiding and abetting".  These networks promote poker-related television shows with reckless abandonment, and with good reason: Nearly all the poker shows bring in high ratings. 

Shore takes a good hard look at the global view of online gambling beyond just the scope of the US and Canada.

How we're becoming a Poker Nation
Free sites whet the appetite for real-money stakes
Global gambling revenue is estimated to be almost $200 billion. Because many of the online gambling companies are privately owned and are not obligated to publish their balance sheets, it is difficult to know the exact size of the industry, but The Economist estimated that global revenue from online gambling would hit $18 billion in 2008. So with a product that people can use in their own homes, the opportunities for growth in online gambling are enormous.

In Canada, the legal landscape for online poker players is murky.

The operation of legal gambling is the jurisdiction of provincial governments, so technically any gambling that is not regulated by the province might be considered illegal. The Criminal Code makes it illegal to be in the business of taking bets and to run a betting parlour, but exempts bets made between individuals "not engaged in the business of betting," according to Terri MacKay in her report, Internet Gambling in Canada Awaits in Legal Purgatory.

So is it illegal to play online poker in B.C.?

Yes and no, according to assistant deputy minister Derek Sturko of B.C.'s Gaming Policy and Enforcement Branch.

The only forms of gambling that are allowed are those authorized by the province and the province does not allow Internet gambling, he said.

Chilipoker.com - Sign up now!But online poker has so far proven impossible to regulate, he said. No one in B.C. has ever been charged criminally for playing online poker.

When gambling money begins to leak overseas, the response of provincial governments in Canada has been to expand domestic gambling to capture that "leakage," according to policy analyst Jason Azmier of the Canada West Foundation. Azmier notes: "The emergence of poker as a significant ratings winner for television networks underlines the suggestion that gambling as a product is nowhere near its market boundaries."

As always, the Vancouver Sun delivers another in depth report on the online gambling industry.  The article from Randy Shore can be found here.

 

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