There is a fresh law waiting to be signed by President Bush that was presented to Congress that’s holding the $12 billion online gambling industry by way of a thread. It seems 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 likely to be signed by President Bush, will practically finish off all online gambling sites by rendering it illegal for any bank, credit card company or online payment system to process any payments being designed to online gambling companies.
The brand new law states that Online Gambling sites are now 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 web gambling industry took drastic measures and started 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 said that they would cease their ties with the 920,000 active US customers they now have only when Bush actually signs the newest act.
Although the newest law hasn’t yet been signed, a is being drastically affected. PartyGaming’s stocks alone have dropped 60% winding up 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 bundle on their shares. 888 Holding, for instance, had a 48% decrease on their shares dropping them down to $1.42 on the British Market and announced that it would definitely no longer 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. Under the 1961 Wire Act, the federal government has the proper to brake down online betting in sports, poker and other casino games which are considered to be illegal underneath the law.
That is seriously debilitating the industries economy as the US consumer market is accountable for 50-60% of the web gambling revenue. These critical laws against the web gambling site owners are forcing companies to shut down or re-locate but what’s clear is that they’re no longer welcome in the United States.
The Madam Chairman of the Interactive Gaming Council, Sue Schneider, has predicted that over 500 companies running around 2,300 online gambling sites around the globe is going to be facing extinction and will likely be wiped from the industry all together. The small number of firms that manage to call home through this incredible crisis must live with an enormous reduce their revenue and determine new methods for growing again. The notion of opening in the Asian market has become a favored idea for many.