Whether or not online gambling is legal varies from state to state. In fact, some state officials have expressed concern that the Internet could be used to bring illegal gambling into their jurisdictions.
Online gambling includes sports betting, casinos, and virtual poker. The main difference between the three is that in casinos, the player uses real money to participate in games. This is similar to how chips are used at a regular casino.
A federal law prohibits money laundering from illegal gambling proceeds. It also creates several separate crimes. In addition, the law makes it illegal to spend more than $10,000 of illegal gambling proceeds in one day.
There are several other federal criminal statutes that are implicated by illegal Internet gambling. These include the Wire Act, the Gambling Devices Transportation Act, and the Racketeer Influenced and Corrupt Organizations (RICO) provisions. In addition, the Federal Communications Commission has jurisdiction over common carriers. It can stop providing or leasing facilities, and it can discontinue furnishing them.
Several constitutional attacks have been made against enforcement of federal gambling laws. Some of the more common arguments are based on the First Amendment’s guarantee of free speech and the Due Process Clause. However, these have enjoyed limited success.
Another interesting legal issue is the Travel Act, which prohibits gambling on sporting events that take place in more than one state. It also prohibits the conduct of such gambling on interstate commerce. This means that if you place a bet on a sporting event in New York, it is considered gambling in New York.