Colorado recently announced they have taken the initial step toward legalizing and implementing online gambling despite the continued fight at the federal level. The Denver Post recently reported that the Colorado Gaming Association had requested a study be conducted toward the decision to implement the online activity. The study found that if the state does not act on this opportunity, existing commercial casinos will suffer.
Reasons for Adopting Online Gambling in Colorado
The commissioned report further stated that Congress would regulate and tax online gambling. Once that occurs, those that have not converted to online gambling would be eventually run out of business due to the cutthroat competition inherent to the industry. The report also cited several reasons for the adoption of online gambling in Colorado.
First, global online gambling consists of approximately 17 percent Americans. Second, the total revenue generated from online gambling by residents of the United States equates to $6 billion per year including, online casinos, online sports betting and online poker rooms. The recent crackdown of three online gambling websites has proven that it is not affecting the demand or necessity of implementing the activity.
Benefits of Online Gambling
Online gambling industry experts agree that land-based casinos consume too many resources, take up too much space and require too much labor per unit of revenue compared to the alternative. Also, online gambling websites require a small startup and continued maintenance costs.
Response from the Attorney General’s Office
The attorney general’s office in Colorado chimed in by stating that the activity is still illegal despite a specific statute. Therefore, the office will continue to prosecute online poker players for money-laundering statues. At the same time, Colorado does not maintain any ventures to press charges.
The Colorado Gaming Association
The Colorado Gaming Association also stated that the reason for the study was to be prepared for the eventual passage of online gambling while providing jurisdiction and allow those specific states to regulate it.
For many, this is a major step forward in the fight to legalization online gambling. Colorado could become an industry trail blazer along with Washington, DC which has already begun creating hot spots around the city. The online gambling fight is not one that is going to disappear as many other countries are thriving on the extra incoming generated from these entities and taxes on player revenues.