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Reason I like Bovada #2:

Good Odds

Bovada online casino ad

The odds are always against you when you gamble, so it pays to play at a casino that offers good odds. I spent some time looking for an online casino with good odds, and I found it in Bovada. Let me first tell you about the competition, though.

It's disappointing that most online casinos are greedy when setting the odds on their games. They think they'll make more money by setting the games tighter, so the player has less chance of winning, but they're wrong. Most gamblers eventually gamble away all their playing budget anyway. They're going to lose the same amount of money no matter what, the only question is how long it takes them to do so. And when they play at a tight casino and lose quickly, they're less likely to return.

A casino which offers good odds will make just as much money as a tight casino, because the players will usually gamble away whatever they deposit anyway, no matter what the odds. The only difference is that with better odds, they'll get to play longer before they go bust. And that means they had more fun in the process, and they're more likely to return.

Bovada is one of they few casinos that understands this. They offer games with good odds, knowing that if your money lasts longer, you'll be a happier, loyal customer. Among their offerings are:

  • Two blackjack games returning over 99.8%
  • Single-0 roulette
  • Full-pay Jacks or Better (99.54%)
  • Nine other video poker games returning over 99%

You don't have to play at Bovada, but wherever you play, make sure they offer odds at least this good!

All in all, I think Bovada is the best bet for U.S. players.

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Gambling problem?
  1. Call the 800-522-4700 hotline or get online help
  2. See these horror stories.
  3. Know that Parkinson's drugs encourage gambling.
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free slots now

Gambling problem?
  1. Call the 800-522-4700 hotline or get online help
  2. See these horror stories.
  3. Know that Parkinson's drugs encourage gambling.

We answer the question:

Is online gambling legal in the U.S.?

by Michael Bluejay, • Last Updated: June 2018
I'm not a lawyer. Do not rely on this article as legal advice.  I also can't guarantee to have heard of every relevant case.

Short answer: Not illegal under federal law, possibly illegal under state law, but even there penalties are typically low and prosecution is rare.


There is no U.S. federal law against gambling online

There is no U.S. federal law against gambling online.  At the federal level, gambling online is perfectly legal, because of the lack of a law against it.  It's possible to run afoul of state law (especially in extremely conservative states), but even there prosecution is extremely rare, and penalties are usually slight.

U.S. Attorney Catherine Hanaway admitted in a House hearing that just placing wagers online doesn't violate federal law.  No American has ever been arrested, indicted, or prosecuted by the feds for gambling online, because there's no law against it.  If online gambling were illegal I wouldn't be running his website for eighteen years, as an American citizen, living in the U.S., using my real name.  And I occasionally gamble online, too, and I admit that publicly, like I'm doing right now.

This might be confusing because other outlets erroneously reported that Congress banned online gambling in 2006.  Those reports are simply wrong.  The 2006 law makes it illegal for banks to move gambling money when the bets are already illegal (like from a state law), but doesn't make it illegal for players to make bets.  The law simply does not create or extend any ban on gambling itself.  In fact, the law says quite clearly, "No provision of this subchapter shall be construed as altering, limiting, or extending any Federal or State law or Tribal-State compact prohibiting, permitting, or regulating gambling within the United States."  If you want to check for yourself, here's the full text of the law.


States where online gambling is explicitly legal

Very few states have specific laws against online gambling, though many have laws against gambling in general, which apply equally to online and offline gambling.  A small handful of states have explicitly legalized online gambling, as long as you play at one of the handful of approved online casinos.  In some states, only certain kinds of gambling might be legal (e.g., poker).  The states which have legalized at least some form of online gambling are:

  1. Delaware became the first state to legalize online gambling, in June 2012, and the third to launch (Nov. 26, 2013). (USA Today, Delaware Online, Casino.org)
  2. Nevada became the first state to legalize online gambling (well, poker at least), on Feb. 21, 2013 (CBS) and launching on April 30. (LVRJ)
  3. New Jersey became the third state to legalize online gambling (poker + casino), signed into law in February 2013, and launching on Nov. 25th. (NJ Poker Online)

Note that Bovada won't accept players from these states, nor will they take players from Maryland or New York.

The District of Colmbia became the first jurisdiction to legalize online gambling in the U.S., in April 2011.  However, the measure was repealed in February 2012 before it ever became active. (NY Times)


State violations of gambling are usually misdemeanors

Even when states don't allow players to gamble, the penalties are almost always light.  The only states where simple gambling is a felony are the two Washingtons:  Washington, DC, and Washington state. (source)  In most states simple gambling is just a misdemeanor, and in Arkansas and Colorado it's a simple petty offense, like a traffic ticket. (source)


States with an online gambling prohibition

Even states that ban gambling in general usually don't have a specific ban on online gambling.  If it's against the law to gamble in your state, that applies online and offline, even if the law doesn't mention online.  But a few states do specifically outlaw online gambling.  Those states are:

  1. Illinois
  2. Indiana
  3. Louisiana
  4. Montana
  5. Nevada (go figure)
  6. Oregon
  7. South Dakota
  8. Washington
  9. Wisconsin
Source: Gambling Law U.S.

Players convicted of breaking State laws

I know of only two cases in which a player ran afoul of state laws (in extremely conservative states), both of whom were charged under their state's general anti-gambling laws, not any specific anti-online-gambling law:
  1. North Dakota.  Jeffrey Trauman paid a $500 fine on what was probably over $100,000 in online sports bet winnings, in 2003. (Gambling & the Law)

  2. Oklahoma.  Online sports bettor Roland Benavides was charged in 2011 and in 2012 received a deferred sentence (which means that if he doesn't violate the terms of his probation, he will likely face no jail time). (News OK)


Kentucky seized domain names

A Kentucky judge agreed to allow Kentucky seize 141 gambling-related domain names, on the spurious grounds that a domain name constituted a "gambling device" under state law.  But even if it were clear that gambling domains violated Kentucky law, the seizure was still absurd, because by that logic any country could seize any domain anywhere in the world if the website happened to violate its local law.  In any event, as FlushDraw said, "Only a small number of US-based registrars complied, and the seizures themselves were rendered somewhat moot when most of the affected domains relocated to non-US registrar services and stopped using “.com” domains."

The Kentucky Court of Appeals quickly overturned the seizure action, but then the State appealed.  I couldn't find any updates between 2014-2018 (EFF 2008, KY appealed in 2009, 2014 ruling)


Sports betting

It is against federal law for websites to take sports bets over the Internet.  (It's against federal law for a site to take the bets, not for you to place them.)  Federal law doesn't specifically allow or prohibit sites from taking casino or poker bets, just sports bets.  For many years the Dept. of Justice interpreted the Wire Act to prohibit sites from taking casino/poker bets too, but most legal observers disagreed, and in Dec. 2011 the DoJ finally agreed that the Wire Act doesn't prohibit sites from taking casino/poker bets. (Forbes)

In May 2018, the Supreme Court overturned a law that prohibited sports betting in all states but Nevada.  This allows individual states to legalize sports betting should they choose to do so.  However, the court's ruling does not speak to the Wire Act, so online sportsbooks still violate federal law (for the operator, not the player). (Forbes)


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