Well, it is the beginning of June. And that means that the Unlawful Internet Gambling Enforcement Act (UIGEA) is now in effect.
But really do not expect things to change for those who play in online casinos and gamble online. The actual implementation and action of UIGEA does not rest on the shoulders of those of us who play blackjack online, or slots online, or poker or any other online casino game. That is correct. The UIGEA does not actually focus enforcement on the players.
Rather the enforcement and implementation rests in the hands of financial institutions, such as banks and credit card companies. Under UIGEA banks and credit card companies are the ones responsible for stopping all transactions to and from online casinos.
And that is why those who play online casino games will probably not be as affected by the UIGEA as they might think. See, online casinos are on the clever side. They use coding so that banks and credit card companies will not recognize that the funds to or from an online casino will not be recognized.
The UIGEA says, in short, that banks, credit card companies and other financial institutions cannot knowingly process transactions to or from online casinos. But if, thanks to the coding used by online casinos, banks and credit card companies do not recognize that the transactions are going to and from online casinos then they will not be able to stop them. And because they are not knowingly processing the transactions, it makes them ‘not guilty.’
Take MasterCard for instance. A few months ago MasterCard quit processing transactions in which players were trying use their cards to make deposits to an online casino. However, players are still able to make deposits to their playing accounts. This is because MasterCard does not know that these transactions are to an online casino because of the coding online casinos are using.
So I am not saying that the UIGEA does not change anything, we will certainly see its impact, the UIGEA will probably not have the effect that lawmakers had intended.
So we can all hope that Rep. Barney Frank will succeed in passing his bill on regulating online gambling. If his bill passes then the UIGEA will be over turned. But we will have to wait as he is waiting. And analysts believe that Frank will now hold off on trying to overturn the UIGEA in hopes that voters will become upset with the UIGEA and vote in against the Republicans in November. Until then it seems that we will have to watch ourselves with our online gambling.