The Unlawful Internet Gambling Enforcement Act or simply the UIGEA is a law that was enacted in the US in the year 2006, focused on abolishing online gambling in the country. Accordingly, several online gambling sites have terminated operations, and many closed down rapidly, afraid of severe action from the authorities. However, this act has been enacted amateurishly, causing chaos. Numerous states and even gamers are uncertain of the implications of this regulaction. Some are not even conscious of such an act. The ones, who do however, ceased to gamble, because of worry of getting entangled in lawsuits. A variety of private businesses, however, remain to operate in the United States and have faced hardly any problems ever since the law was put into effect on the 19th of January 2009.
The complex implementation strategy chosen was the key reason for gambling's fight against the UIGEA, not to speak about the messy enforcement that followed the introduction of this law. A legal outline that considered various matters was first put into the operations of gambling sites, and this was used to issue licenses that would be managed by the Financial Crimes Enforcement Network. Moreover, categories were set up to categorize the games that would come under the scope of the UIGEA.
Imposing the UIGEA was no easy job, and with much inefficiency in the same system that was put in place to administer it, fear and chaos ruled. Many investors suddenly pulled out of the business, fearing that they could lose their money or go bankrupt as operational costs increased and their client base decreased. Several gaming websites were forced to go out of business, because they could not afford to operate. The act which was made to protect stability and control in the industry had also brought many problems that threaten to destroy the business and paint its future in uncertainty.
Adding to the chaos in the implementation of this regulation, was the decision to introduce it in only several states. Many states were uncertain about what applied to them, and with many ambiguities and flaws in the system from its introduction; the majority of people simply avoided the business. Many did not comprehend the details, and even states were unsure if the law actually abolished US citizens from gaming online. The law was created to provide a basis for online gaming to be conducted and be controlled efficiently and does not ban Americans from the business. The way that was used to apply the act gave the impression that it was a total abolishment, and as a result the industry is still experiencing trouble.
Online gaming was on a path to generating huge tax revenues for the American government but the enforcement of this act, retarded and altogether disrupted progress in the industry with the confusion that followed in its introduction. These harms were caused mainly by the strategies that were used to impose the UIGEA and disorganization in the management system. It not only dampened the spirit of gamblers and investors alike, but it also hindered further development of the business. Numerous players withdrew to avoid consequences. With the rapid loss of revenue, shareholders' withdrawal and exponentially increasing operating costs, many gaming websites folded. The majority of problems were based on ignorance, despite campaigns to educate the public about the regulation. The level of confusion that it brought to the business overwhelmed the impact of the campaign. Nowadays, many still think that the UIGEA was only a plot orchestrated by the US government to outlaw online gambling for Americans. With new progress in technology and the need for virtual jobs, upgrading of the management system and properly tutoring the public could allow this business to generate revenue for the government, and gamblers would be able to enjoy online gambling at sites that are genuine and safe to use.
With numerous gamblers and stockholders still thinking that they are not allowed to play or invest in the business, more campaigns are necessary to bring back confidence to restart gaming online. A better management system, and proper education of the people and the states about its application, would help to resolve gambling's struggle against the UIGEA. Shareholders' confidence can bring in more taxes from the business, and the public can go back to their favorite pastime and enjoy their favorite gambling games. As it is, the outlook for online gaming seems bleak, and without strong interventions, it may come to an end.
The complex implementation strategy chosen was the key reason for gambling's fight against the UIGEA, not to speak about the messy enforcement that followed the introduction of this law. A legal outline that considered various matters was first put into the operations of gambling sites, and this was used to issue licenses that would be managed by the Financial Crimes Enforcement Network. Moreover, categories were set up to categorize the games that would come under the scope of the UIGEA.
Imposing the UIGEA was no easy job, and with much inefficiency in the same system that was put in place to administer it, fear and chaos ruled. Many investors suddenly pulled out of the business, fearing that they could lose their money or go bankrupt as operational costs increased and their client base decreased. Several gaming websites were forced to go out of business, because they could not afford to operate. The act which was made to protect stability and control in the industry had also brought many problems that threaten to destroy the business and paint its future in uncertainty.
Adding to the chaos in the implementation of this regulation, was the decision to introduce it in only several states. Many states were uncertain about what applied to them, and with many ambiguities and flaws in the system from its introduction; the majority of people simply avoided the business. Many did not comprehend the details, and even states were unsure if the law actually abolished US citizens from gaming online. The law was created to provide a basis for online gaming to be conducted and be controlled efficiently and does not ban Americans from the business. The way that was used to apply the act gave the impression that it was a total abolishment, and as a result the industry is still experiencing trouble.
Online gaming was on a path to generating huge tax revenues for the American government but the enforcement of this act, retarded and altogether disrupted progress in the industry with the confusion that followed in its introduction. These harms were caused mainly by the strategies that were used to impose the UIGEA and disorganization in the management system. It not only dampened the spirit of gamblers and investors alike, but it also hindered further development of the business. Numerous players withdrew to avoid consequences. With the rapid loss of revenue, shareholders' withdrawal and exponentially increasing operating costs, many gaming websites folded. The majority of problems were based on ignorance, despite campaigns to educate the public about the regulation. The level of confusion that it brought to the business overwhelmed the impact of the campaign. Nowadays, many still think that the UIGEA was only a plot orchestrated by the US government to outlaw online gambling for Americans. With new progress in technology and the need for virtual jobs, upgrading of the management system and properly tutoring the public could allow this business to generate revenue for the government, and gamblers would be able to enjoy online gambling at sites that are genuine and safe to use.
With numerous gamblers and stockholders still thinking that they are not allowed to play or invest in the business, more campaigns are necessary to bring back confidence to restart gaming online. A better management system, and proper education of the people and the states about its application, would help to resolve gambling's struggle against the UIGEA. Shareholders' confidence can bring in more taxes from the business, and the public can go back to their favorite pastime and enjoy their favorite gambling games. As it is, the outlook for online gaming seems bleak, and without strong interventions, it may come to an end.
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