There is a brand new law waiting to be signed by President Bush that has been presented to Congress that’s 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’s anticipated to be signed by President Bush, will practically finish off all online gambling sites by which makes it illegal for any bank, charge card company or online payment system to process any payments being designed to online gambling companies.
The newest law states that Online Gambling sites are actually banned from accepting any type of check, charge card or electronic transfer payments for internet gaming in the US and seriously puts the industry in chaos.
Surprised at the passing with this new debilitating law, the leaders in the web gambling industry took drastic measures and began to trade off stock on the London Stock สมัคร UFABET168 Exchange which erased $8 billion from the industry. PartyGaming, the world’s biggest online gambling site stated that they would cease their ties with the 920,000 active US customers they currently have only when Bush actually signs the new act.
Although the new law hasn’t yet been signed, the industry is already being drastically affected. PartyGaming’s stocks alone have dropped 60% finding yourself at a measly .81 cents a share. Other sites like SportingBet and 888 Holding were also suffering from the change and have since lost a lot of money on the shares. 888 Holding, as an example, had a 48% decrease on the shares dropping them down to $1.42 on the British Market and announced that it would definitely no further continue its online gambling business in the United States.
This isn’t the very first Act, however, that’s given the federal government power to break up the web gambling industry. Beneath the 1961 Wire Act, the federal government has the proper to brake down online betting in sports, poker and other casino games that are regarded as being illegal underneath the law.
This really is seriously debilitating the industries economy because the US consumer market is in charge of 50-60% of the web gambling revenue. These critical laws against the web gambling site owners are forcing companies to power down or re-locate but what’s clear is that they are no further welcome in the United States.
The Madam Chairman of the Interactive Gaming Council, Sue Schneider, has predicted that over 500 companies caught 2,300 online gambling sites around the globe will be facing extinction and will in all probability be wiped out from the industry all together. The small number of companies that manage to live through this incredible crisis must deal with a huge cut back on their revenue and find out new means of growing again. The thought of setting up in the Asian market has become a favored idea for many.