Using the internet to place illegal bets on sports or contests is illegal in the U.S. It is also illegal under the Wire Act. The Online Gambling Regulation Act (OGRA) regulates the online gambling industry. It is commonly abbreviated OGRA.
Under the OGRA, it is illegal for any person or entity to run a website or accept payment for an illegal Internet bet. It is also unlawful for a person or entity to provide financial transaction services or facilities in connection with an Internet bet. If a person or entity violates this statute, he or she can be fined and imprisoned.
There are also several statutes that make it illegal for people to use the Internet to launder money from illegal gambling. One of the statutes is Section 1956 of the Criminal Code. Section 1956 defines money laundering as the use of a financial transaction for international purposes, to conceal the source of funds, or to promote illicit activity. There are other statutes that make it illegal for an individual to engage in gambling, including Section 1957 of the Criminal Code.
The Unlawful Internet Gambling Enforcement Act (UIGEA) is another federal statute that criminalizes illegal Internet gambling. It defines illegal Internet gambling as receiving, transmitting, or transferring bets, or using a computer or other device to receive, transmit, or transfer bets. This law is also aimed at preventing online gambling sites from accepting financial instruments.
The UIGEA also makes it illegal for a person or entity to own, manage, or operate an illegal Internet gambling business. Among other requirements, the owner or manager of an illegal Internet gambling business must have a gross income of at least $2000 a day, or have operated substantially continuous operations for at least thirty days. The owner or manager of an illegal gambling business can be imprisoned for five years.
Another federal statute, the Travel Act, prohibits illegal gambling on interstate commerce. It also makes it illegal for an individual to place a bet in a state that does not allow online gambling. Other statutes, such as the Wire Act and the Gambling Devices Transportation Act, are designed to prevent illegal Internet gambling.
Another federal law, the Racketeer Influenced and Corrupt Organizations Act (RICO), makes it illegal for a person or entity in the United States to conduct an illegal gambling business. Section 1957 prohibits spending more than $10,000 in illegal gambling proceeds at one time.
Finally, Section 225 of the Unlawful Internet Gambling Enforcement Act (UIGEA) makes it illegal for an individual to use a computer or other device to transmit or receive information that constitutes gambling activity. This law is similar to the Wire Act, but it prohibits placing bets on sports events and contests.
In order to prevent illegal Internet gambling, a player must regulate his or her own gambling activity and self-exclusion programs are available. Moreover, players must be age 18 or older. Many online gaming sites require that a player be at least 18 years old to join. Most online gaming sites also have policies and tools to help a player remain responsible.