Despite the darkest shadow that has ever loomed over the online gambling industry taking its toll over the past nine months like some nuclear winter, there is a bright light at the end of the tunnel.
Hope reigns supreme with plenty of options available for online gambling enthusiasts to choose from. But which of the "movements' currently gaining momentum will ultimately come out on top remains to be seen. Likewise, one can only speculate on the positives of negatives of each in regard to the current state of online gambling. Let's take a look at today's resistance movements.
Barney Frank - Barney Frank remains the single most important ally in Congress for the online gambling industry. He is after all the Chairman of the
Financial Services Committee.
At first, he gained wide spread support for his initiatives deemed "a repeal of the Unlawful Internet Gambling Enforcement Act", which primarily focused its attention on the banking sector and prevention methods that could be used in quashing a burgeoning billion dollar industry. For the banks, this was nothing more than an "unfunded mandate" that could ultimately end up costing them billions of dollars.
Barney through a curb ball however when he announced his proposed plan, which seemed to remove any element of the online gambling industry as we know it today. His proposal ensured that even those with prior "bookmaking" charges could not get licensed in the States. That meant nearly 75% of the sports betting side online gambling industry currently catering to the US market from locales such as Costa Rica and Antigua would pretty much be left out in the cold.
"Credit card abuse is more prevalent among college students than online gambling. Should we ban credit cards?"
For those companies trading on the London Stock Exchange, many of whom left US bettors out in the cold last October upon abandoning the US market, Barney Frank potentially stood as an ally, but even they were suspect. Ladbrokes, et al. could more easily get licensed in the States thanks to more "clean" background checks if you will.
But there are many who suggest that Frank's attempts are nothing more than fueling a "Protectionism" mindset within the US, creating online gambling monopolies with Las Vegas at its core.
Furthermore, Franks' proposed legislation allows the major sports leagues to opt out.
Jay Cohen, original founder of World Sports Exchange, remains luke warm in regard to the Barney Frank initiative. He commented:
"Hopefully this bill can evolve into something that satisfies the WTO decision, but as written this bill actually brings the US further out of compliance."
Barney's bill continues to gain momentum among his constituents but even he has gone on record as saying "it will be an uphill battle". The Poker Players Alliance for its part supports the Barney Frank proposal. He has "reserved" support in the online gambling industry.
The WTO Decision - The World Trade Organization (WTO) recently found in favor of Antigua verses the United States in its dispute regarding online gambling. The US now claims that certain commitments made during the 1990's were done so prior to the advent of gambling over the Web and should not be taken into account. (See:
US Concedes Defeat in WTO Online Gambling Case with Antigua)
The problem is the US lost its case and any attempts at back peddling will result in further isolation in the world community. It's one thing for Antigua - a tiny Caribbean nation of just over 60,000 people - to take on the US and quite possibly have its case overlooked, it's quite another when you have several major industrial nationals jumping in to support Antigua (among them: Japan, India, Brazil and the European Union).
The WTO decision and the fallout surrounding it hold a major key for the future of online gambling. On the surface, this is something the US government can ill-afford to ignore. Do so and the United States will have zero standing in the international community when it comes to "trade" concerns, in particular those related to counterfeiting and infringement.
Some will argue, however, that the US has acted in such a way up to this point that they really have little concern for what the rest of the world thinks. Already, folks outside America are drawing parallels to the US and fall of Rome. These are scary times and sadly this case illustrates a deterioration of America's standing in world politics.
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While some - like Gambling911.com special contributor Jennifer Reynolds - will argue that iMEGA is nothing more than a means for incorporating massive government interference in the Internet, the folks from iMEGA argue that "it is impossible to keep government out of the Internet, because it was the US government that created the it in the first place".
"The US government maintains a large role in protecting the Internet's infrastructure, maintaining security, and even the oversight of ICANN," expressed Joe Brennan Jr. of iMEGA in his response to Ms. Reynolds column.
Few will argue the significance of iMEGA v. Alberto Gonzales, et al and its short term affects, one of which is to prevent the process of banks having to move forward with implementations related to the UIGEA. In a nutshell, the banking institutions had 270 days from October 15, 2006 to come up with means of preventing Internet gambling transactions. With the complaint filed by iMEGA, that period of time is now prolonged.
But even more importantly, the Supreme Court will hear iMEGA's complaint, which Gambling911.com can reveal includes a great deal of "expert testimony". A date for the hearing is expected to be announced any day now.
Other Politicians Coming into the Fray - Outside of Barney Frank, there have been a handful of political figures offering options for legalized online gambling. Robert Wexler (D - Florida) wants a carve out for online poker.
In its call for a study on Internet gambling, the bill acts as a buffer to all others that are currently out there. As such, it has enjoyed - at the very least - little criticism.
Provision added to the defense bill.....a provision to ban Internet gambling. "How ridiculous is that? The Republican leadership is more concerned about poker online than protecting our troops in the field"
Overall, it often takes adversity and hardship to bring about an "awakening" and that seems to be the current state of online gambling.
The US Justice Department will continue to go after those it deems to be engaging in activities that promote and facilitate tax evasion.
Publicly traded Internet gambling firms based mostly in Europe have long touted the fact that more than 70% of its customers were originating and sending funds from the United States, billions of dollars, presumably none of which was being taxed. It would be unrealistic to think that the US government is going to sit back and allow this to keep happening.
Likewise, local police agencies who once considered corner bookies nothing more than "nuisances" now see dollar signs and growing international "crime rings" originating from their own communities. This is prompted by the idea that area runners, agents, bookies all work in some way or another with these billion dollar online gambling enterprises.
Hence, the reason Queens District Attorney Richard Brown is so quick to declare arrests in his jurisdiction as "online gambling" enterprises as opposed to "local bookmaking operation busts". And he is going after the biggest paydays, with the lowest individuals on the defendant totem pole in the recent James Giordano case being offered plea bargains that require well over a million dollars in fines or two years minimum jail time. Either way, each of the defendants in the James Giordano case have been forced to turn over significant amounts of money, all of which we seriously doubt will go towards pay raises for its police force or highway improvement projects.
The most likely scenarios Gambling911.com sees happening in the next year: Some of the majors in European online gambling will eventually move into the US market. Ladbrokes has already expressed a desire to jump right in once the waters are clear. That could happen sooner than later if even one of the above initiatives serves to get rid of the UIGEA.
Plenty of Hope for Online Gambling
The WTO Decision - The World Trade Organization (WTO) recently found in favor of Antigua verses the United States in its dispute regarding online gambling. The US now claims that certain commitments made during the 1990's were done so prior to the advent of gambling over the Web and should not be taken into account. (See:
Gambling911.com is Your Source for Information Pertaining to the World of Online Gambling 
Likewise, local police agencies who once considered corner bookies nothing more than "