Gibraltar betting on US online gaming

Oct 08, 2013
A man plays poker on his computer connected to an internet gaming site from his home in Manassas, Virginia on October 2, 2006

The tiny British territory of Gibraltar is bidding to snap up a giant slice of the nascent US online gaming market as states gradually begin to relax a ban on Internet betting.

Some 60 percent of all global business via online casinos and gaming currently flows through Gibraltar, Chief Minister Fabian Picardo, the head of the territory's government, said Tuesday.

"Gibraltar is the largest jurisdiction in the world, the most successful jurisdiction in the world in the provision of online gaming," he argued.

"Online gaming is a burgeoning part of e-commerce and Gibraltar is at the forefront of that," he said during a trip to the Washington.

Gibraltar has 26 registered online casinos and gaming operators, including such giants as British bookmakers Ladbrokes, many of which were attracted to the rocky outcrop on the southern tip of the Iberian peninsula by low tax rates, and other economic advantages such as no value-added tax.

But Picardo stressed "they are the 26 biggest operators in the world, 26 most reputable operators in the world and subject to the most stringent regulations in the world."

Gibraltar had put in place strict rules to try to stop underage gambling, as well as to mitigate against any online addiction, he said.

And it had insisted as part of its licensing agreements, that all companies must steer clear of transactions from the US where remains banned in most .

But after a recent US legal opinion suggesting that the 1961 Federal Wire Act does not ban interstate online gambling, some states are now moving to open up their market.

"We believe that Gibraltar's in pole position to demonstrate to each of the states of the United States that we have been respectful of its laws and that this demonstrates how regulated the industry is in Gibraltar," Picardo said.

The Gibraltar-based 888 Holdings—which runs gaming sites in 19 languages in more than 150 countries—last month reached a deal with Wynn Interactive, a subsidiary of the gaming giant Wynn Resorts, to develop Wynn's online gaming offering as New Jersey and Nevada open up for business.

Telecommunications, e-commerce and e-gaming account for about 15 percent of the territory's $1.9 billion economy, according to CIA statistics.

Reports suggest that some 2,500 people out of the 30,000 residents are also employed in the industry.

Explore further: Japan court orders Facebook to reveal revenge porn IP addresses

add to favorites email to friend print save as pdf

Related Stories

EU ruling opens door for online betting crackdown

Sep 08, 2009

Online bookmakers such as the one behind the multi-million sponsorship of Real Madrid can be banned by individual EU states, Europe's top court said Tuesday in a landmark ruling set to hit the industry.

Online gambling dominance race pits Jersey, Nevada (Update)

Feb 27, 2013

Nevada and New Jersey once had the whole America to themselves when it came to casino gambling. Now, with the sudden advent of Internet gambling, those two states are expected to slug it out again for dominance of the fledgling ...

Nevada governor signs bill to legalize online gambling

Feb 25, 2013

Already home to a major gambling industry, Nevada is preparing to take its expertise online after officials approved a law making it the first state to authorize what could become one of the most lucrative gambling markets ...

Gambling exec: Online regulations unlikely in 2012

Oct 02, 2012

(AP)—It doesn't look like Congress will pass Internet gambling regulatory laws this year, the head of the industry's main lobbying group said Tuesday, as he cast online wagering hosted by sites overseas as one of the biggest ...

Recommended for you

Twitter looks to weave into more mobile apps

2 hours ago

Twitter on Wednesday set out to weave itself into mobile applications with a free "Fabric" platform to help developers build better programs and make more money.

Google unveils app for managing Gmail inboxes

3 hours ago

Google is introducing an application designed to make it easier for its Gmail users to find and manage important information that can often become buried in their inboxes.

Fighting cyber-crime one app at a time

9 hours ago

This summer Victoria University of Wellington will be home to four Singaporean students researching cyber threats. The students have been working with Dr Ian Welch, a lecturer in Victoria's School of Engineering and Computer ...

Is big data heading for its 'horsemeat moment'?

11 hours ago

There have been so many leaks, hacks and scares based on misuse or misappropriation of personal data that any thought that "big data" could provide benefits rather than only opportunities for harm may be ...

User comments : 0