Using the internet for unlawful gambling is illegal under the Illegal Gambling Business Act (IGBA) and the Wire Act. It is illegal to engage in online gambling on any sporting event or contest. It is also illegal to receive a financial instrument from an Internet bet that is not legal.
The Illegal Gambling Business Act (IGBA) is a federal criminal statute that regulates the operation of gambling businesses. It makes it illegal to operate a gambling business unless it has a valid license. This act has a provision that allows the government to seize any illegal gambling business. It has also been used to prosecute Internet poker operators.
The IGBA has been challenged on constitutional grounds. The arguments have been based on the Commerce Clause and the Due Process Clause. However, these attacks have been largely unsuccessful.
The first online gambling venue for the general public was the Liechtenstein International Lottery. It was also the first case in which the Federal Communications Commission decided to enforce the law against gambling. The FCC has the authority to impose fines and to deny or discontinue the provision of facilities to Internet gambling sites.
The United States has also challenged the ability of states to regulate gambling. Some states have banned gambling, while others have enacted laws regulating it. The Internet has the potential to bring illegal gambling into states that do not allow it. State officials have cited this issue as one of their concerns.