There’s a new law waiting to be signed by President Bush that was presented to Congress that is holding the $12 billion online gambling industry by a thread. It appears that Tennessee Senator Bill Frist, introduced the bill on Saturday by joining it to the Safe Port Act before Congress took its election recess in November.
The Unlawful Internet Gambling Enforcement Act that is anticipated to be signed by President Bush, will practically complete all online gambling sites by which makes it illegal for any bank, credit card company or online payment system to process any payments being built to online gambling companies.
The newest law states that Online Gambling sites are actually banned from accepting almost any check, credit card or electronic transfer payments for internet gaming in the US and seriously puts a in chaos.
Surprised at the passing with this new debilitating law, the leaders in the online gambling industry took drastic measures and began to trade off stock on the London Stock Exchange which erased $8 billion from the industry. PartyGaming, the world’s biggest online gambling site said that they’d cease their ties with the 920,000 active US customers they already have only if Bush actually signs the brand new act.
Although the brand new law hasn’t yet been signed, a is already being drastically affected. PartyGaming’s stocks alone have dropped 60% finding yourself at a measly .81 cents a share https://18.104.22.168/.Other sites like SportingBet and 888 Holding were also suffering from the change and have since lost a lot of money on their shares. 888 Holding, like, had a 48% decrease on their shares dropping them right down to $1.42 on the British Market and announced so it would no more continue its online gambling business in the United States.
This isn’t the first Act, however, that has given the us government capacity to break up the online gambling industry. Underneath the 1961 Wire Act, the us government has the best to brake down online betting in sports, poker and other casino games which can be regarded as illegal underneath the law.
This is seriously debilitating the industries economy because the US consumer market is responsible for 50-60% of the online gambling revenue. These critical laws against the online gambling site owners are forcing companies to power down or transfer but what’s clear is they are no more welcome in the United States.
The Madam Chairman of the Interactive Gaming Council, Sue Schneider, has predicted that over 500 companies playing around 2,300 online gambling sites around the globe is likely to be facing extinction and will likely be wiped out from the industry all together. The small number of companies that manage to live through this incredible crisis will have to deal with an enormous reduce their revenue and find out new means of growing again. The notion of checking in the Asian market has become a favored idea for many.