Zuga - Regarding the US Legalization of Online Gambling and the Implications

Anything related to casinos, casino games, new casinos, tournaments etc.
Headline back 2
    5,651
    views
    13
    replies
    Last post ago over 5 years by caseyk
    Putting on lipstick emoticon 1

    Lipstick

    • admin
    • female
    • online
    • 6796
      thanks given
    • 10310
      thanks received

    Readers of this topic also read:

    Please or register to post or comment.
      • Putting on lipstick emoticon 1

        Lipstick

        • admin
        • female
        • online
        • 6796
          thanks given
        • 10310
          thanks received
        • Started by
          admin
          12,324
        • online

        Thanks for this post from:

        • Me
        • No avatar small
        • Avatar 10386
        • Images
        • Index
        • No avatar small
        • Avatar 41348
        • Soad1
        • Josh2
        • Crowd applause
        • No avatar small
        • 9s1jj83
        • Index
        • Img 20160318 141312
        • Avatar 20578
        • Index
        • Avatar
        Hi LCB’ers,

        I had a recent long conversation with Zuga on his thoughts regarding the US legalization of online gambling and also the implications. Of course no one can know for sure the actual outcome. But Zuga’s theories on the future of US players was an enlightening one. I asked him if it would be ok to share that conversation with LCB and he agreed. Here is how that interview went…..

        Me: Why would some online casinos be opposed to US legalization?

        Zuga: The land based casinos have the larger concerns because they would lose money. Online gambling has more potential. Players gamble from the comfort of their homes.

        Me:  And what reasoning would the online casinos have?

        Zuga: I have not personally heard such. There is no logic in it. However, they can choose not to accept the US. Even if the US were to impose strict regulations (which I am sure they will) the expected profits would compensate any taxes and license fees that they would have to pay to Uncle Sam. If there would be any opposing online casinos it would be smaller casinos that wouldn’t be able to compete with serious casinos. Serious legalization WILL weed out the small casinos, at least in the US market. Not all online casinos will be able to fulfill what's imposed by such a law.

        Me: What effect, if any do you think the US will have on protecting the players from shady operators?

        Zuga: It is likely they will not license these casinos or allow them to operate and accept US players. In a way that will protect their pockets and the US players once they introduce the new law.

        Me: The US will have controls and regulations on the US market, but do you feel they will have any influence on other governing nations?

        Zuga: The US legalization is ONLY for US markets. They have no jurisdiction else where. However, say a French casino wants to operate outside the EU and wants to be present in the US. They would have to apply for a US license, and once approved they would be allowed to accept wagers from US.

        Me: Ok, so another words any online casino that did not have a license in the US would be blocked from accepting wagers from US players?

        Zuga: Yes, that is what I expect. The US Gov wants to control the money flow. At the moment the US has NO control what so ever.

        Me: What will determine the approval for licenses? Will they look at rogue casinos and not license them?

        Zuga: They will first look at their stability, cash flow and how much funds they have.

        Me: Well they do rank high in that!

        Zuga: They will also look into their history. If for example they determine they have been accepting wagers from the US during the UIGEA, which is illegal, I doubt they will approve them. Unless they pay hefty fines for breach of the US law.

        Me: So US popular sites now like RTG and Rival may not get licensing from US?

        Zuga: I believe they may find some compromise considering the money at stake. However, what I think is the US is preparing the ground for US based casinos, meaning founded in the US by the US.

        Me: Do you think the regulations will extend in protecting the US player against not getting paid legitimate wins?

        Zuga: I think there will be a regulatory body who will supervise the gambling in the US. Where complaints can be submitted etc.

        Me: And casinos outside the US?

        Zuga: Let me go back to previous questions. If they get the license from the US then they are regulated and operating in the US market. Therefore they are obliged to follow US law. They would have to conduct their business and operations in compliance with the legislation.

        Me: You see a probability of online sites in the US?

        Zuga: Yes, they will probably create a monopoly and if any outside US casinos want a license they will have to pay a hefty price for it.

        Me: How will US make money other than taxes?

        Zuga: US will make money on taxes from players, taxes on casinos from their profits and licensing fees.

        Me: Let’s put aside the anger the American people have on the ban for a moment. In reality the US is the largest online gambling market by region, don’t they have the right to get their cut?

        Zuga: It does make sense in a way. However, they did it for other reasons. If they wanted to collect tax money and licensing fees they would of done it 6 years ago. So the bottom line is, its deeper than that.

        Me: Why would the US let this slip through their fingers and not put regulations instead of banning online gambling. Didn’t they in essence shoot themselves in the foot?

        Zuga: Well, they didn’t expect the outcome. US Prohibition is not new and each time they failed. And what we have now is gambling prohibition. Now realizing they have failed they decided to do the only thing left, seize domains and prepare the ground for legalization.

        Me: At this point who do you think has the highest revenue. Software like Microgaming that are non US but solid or software like RTG that allow US players?

        Zuga: Microgaming by far is the strongest group. Even with the UIGEA they kept a strong US base with existing accounts and great player retention. But now some casinos have pulled the plug on existing players because of the recent seizure.

        Me: Do you think that US based online casinos would use existing software or would it behoove them to create their own?

        Zuga: I would not be surprised if a new software emerges for two reasons.  One they will sell the US license and two they will sell the software so it’s a win win situation.

        Me: How long do you suspect it will take for online gambling to be legalized in the US in your opinion?

        Zuga: No one can predict. But I suspect early to mid next year.

        Thanks Zuga for your reflections.

        Please feel free to add your comments or thoughts and share your opinions on this subject.

        Lips
      • Avatar 26589

        gabby

        • Mighty! Member
        • female
        • offline
        • 1046
          thanks given
        • 1458
          thanks received
        • Replied by
          Mighty! Member
          3,270
        • last active 2 days ago
        I was drawn to one of the last sentences. 

        If I had a microgaming account prior to the US ban, would I still be able to play? 
      • Putting on lipstick emoticon 1

        Lipstick

        • admin
        • female
        • online
        • 6796
          thanks given
        • 10310
          thanks received
        • Replied by
          admin
          12,324
        • online

        Thanks for this post from:

        • Avatar 26589
        Hi gabby,

        When the UIGEA went into effect Microgaming kept existing US players and allowed them to play but denied any new players from the US to register.

        Lips
      • Avatar 26589

        gabby

        • Mighty! Member
        • female
        • offline
        • 1046
          thanks given
        • 1458
          thanks received
        • Replied by
          Mighty! Member
          3,270
        • last active 2 days ago
        Thanks Lips,

        Didn't work for me.

        I deposited over $30,000 in 1 1/2 years at Carnival Casino (Was so stupid back then... never redeemed comp points).  Also had an account with Joyland casino.

        Neither will accept my jurisdiction even though I had accts prior to the ban.
      • Putting on lipstick emoticon 1

        Lipstick

        • admin
        • female
        • online
        • 6796
          thanks given
        • 10310
          thanks received
        • Replied by
          admin
          12,324
        • online
        Hi gabby,

        I had the same thing happen to me at Gaming Club. I had a lot of good luck there and was one of my fav casinos. Not sure what the criteria was on some of these casinos.

        Lips
      • 2d4818989f1ca7ccfaccc9b2527a6916

        Johnny Karp

        • admin
        • male
        • offline

        "Just play. Have fun. Enjoy the game." -- Michael Jordan

        • 6707
          thanks given
        • 2250
          thanks received
        • Replied by
          admin
          3,686
        • last active 7 hrs ago
        Thanks for the great discussion (or interview?), it sheds some light on both present and future.
      • Putting on lipstick emoticon 1

        Lipstick

        • admin
        • female
        • online
        • 6796
          thanks given
        • 10310
          thanks received
        • Replied by
          admin
          12,324
        • online
        It actually really really truly was an honest to goodness discussion, though it looks like an interview! I like to pick Zuga's brain now and again because he is a very intelligent man.

        Lips
      • Index

        bingocrazy48

        • Mighty! Member
        • female
        • offline
        • 787
          thanks given
        • 1455
          thanks received
        • Replied by
          Mighty! Member
          2,673
        • last active 6 days ago
        Thank you lips and zuga,it was very informing and I appreciate your time and knowledge.Hopefully soon the US will be able to play legally
      • Avatar 18606

        dazzlingdebra

        • Sr. Member
        • female
        • offline
        "Freedom is never free." -Author Unknown
        • 50
          thanks given
        • 75
          thanks received
        • Replied by
          Sr. Member
          261
        • last active 4 months ago
        Here is my take on it:  Online Gaming will be available soon, the USA was built on capitalism.....you think they like money going out...and they really are on the outs when Bushboy put a hold on it....you see no oil in online gaming......lol...but anywho the elections are coming and the money is good in online gaming so its a done deal.
      • No avatar normal

        caseyk

        • Sr. Member
        • offline
        • 3
          thanks given
        • 75
          thanks received
        • Replied by
          Sr. Member
          381
        • last active 4 months ago
        This interview was interesting, but exactly who is Zuga?  Is this person an attorney involved in online gaming or what exactly is their background/credentials. 

        I just wasn't sure as there was no introduction given as to who Zuga is.
      • Me

        zuga

        • admin
        • male
        • offline

        "All it takes for evil to prevail is for good people to do nothing "

        Check out our No Deposit Casino and No Deposit Bingo lists.

        • 6427
          thanks given
        • 8864
          thanks received
        • Replied by
          admin
          6,564
        • last active 11 hrs ago
        Hi caseyk,

        that would be me 

        And these are just my thoughts and reflections on the most recent happenings in the US.

        Zuga
        LCB Admin
      • Putting on lipstick emoticon 1

        Lipstick

        • admin
        • female
        • online
        • 6796
          thanks given
        • 10310
          thanks received
        • Replied by
          admin
          12,324
        • online
        Sorry about the confusion caseyk. I was going to give a short intro about Zuga but he is a modest man by nature. He is no lawyer, or legal advisor. He just happens to know the online gaming industry very well dealing with it behind the scenes as well as the forum.

        I thought what he said made sense and wondered if anyone had the same questions i did. That's why i posted it.

        Lips
      • No avatar normal

        caseyk

        • Sr. Member
        • offline
        • 3
          thanks given
        • 75
          thanks received
        • Replied by
          Sr. Member
          381
        • last active 4 months ago
        OK thanks...just didn't know the background of the interviewee.

      lcb activities in the last 24 hours

      • 28
        new members
      • 614
        members online
      • 11898
        guests online
      • 102
        new posts
      • 2534
        free games played
      Join the club

      Most viewed forum posts

      Join today and start earning rewards

      You will immediately get full access to our online casino forum/chat plus receive our newsletter with news & exclusive bonuses every month.
      S logo
      Select Language
      Search
      Search Results

      Report to moderator

      Use this function to inform the moderators and administrator of an abusive or wrongly posted message.

      Please note that your email address will be revealed to the moderators if you use this

      Submit
      39012170