The United States has been legalizing online gambling among different states and earning from it. Different states have been regulating online gambling in their own ways and the federal government is also now seeing the potential of online gambling to generate revenue.
Various online gambling sites have been mushrooming all over the internet, giving rise to a new industry. As a result, this new industry is benefiting the US economy in many ways, with the country enjoying a number of rewards.
In this article, we will take a look at just how the US has been able to benefit from its decision to legalize online wagering, and how the nation has managed to prosper in a variety of different ways.
A number of states have decided to legalize already
Following the 2018 Supreme Court case brought about by New Jersey, the blanket ban that was once in place regarding sports betting and iGaming activities was lifted and abolished, thus allowing many states to choose whether or not they wanted to permit the activity and introduce their own regulations to ensure a safe environment for their residents and visitors.
Michigan was one of those very few states to decide to introduce legal sports betting and iGaming – online casino gaming such as slots and table games – and it has since paid dividends in various ways.
One of the most noticeable advantages it has had on the region is the amount of money that has been generated from taxation. According to available data, the lifetime gambling revenue stands at approximately $1.9 billion, while the local and state governments have generated close to $500 million in taxes.
Four main benefits of legalizing iGaming in Michigan and the US
Of course, there are a number of advantages that can be experienced due to the legislation that has been implemented in MI and across other states in the US, with four of the major factors to have been highlighted below:
1) Employment: The legalization of online gambling has created thousands of new jobs in the US. These jobs are not just in the field of casino operations but also in other ancillary services such as banking, customer support, software development, and marketing.
2) Tax revenue: Online gambling sites are required to pay taxes to the US government. The taxes paid by these sites contribute to the government’s coffers and help to fund various social welfare programs.
3) Economic growth: The legalization of online gambling has led to the establishment of many new businesses in the US. These businesses are involved in developing gambling software, providing support services, and marketing gambling products. Establishing these businesses has resulted in economic growth and job creation in the US.
4) Consumer protection: The legalization of online gambling has resulted in increased consumer protection. This is because the US government is now able to regulate the activities of online gambling sites. The regulation by the US government ensures that these sites operate fair games, provide adequate customer support, and do not cheat their players.
Example of Michigan online casinos legalized in Dec 2019, is perhaps the best way to look at how each of the factors above has worked out and why they have had a huge impact on the entire country’s economy as a result.
Residents of various states have been able to get employment when they may not have had any prospects beforehand or had found it difficult to get work, which will then in turn have had a positive impact on local, state, and then country’s economy. Additionally, with players able to feel safer and more secure as they are protected, they may also feel more encouraged, hence why we have seen almost $2 billion being generated in MI alone!
Will we see more states legalize iGaming and sports betting in the future?
We are already seeing other states following suit and it is only a matter of time until more US States decide to introduce their own laws and regulations in order to allow for both sports betting and iGaming activities. Consequently, we could see a huge influx in employment opportunities and an overall improvement in various states’ economies.
As highlighted throughout the article, huge benefits have been reaped by the State of Michigan since the legalization of both online casinos and sports betting, with more than $1.9 billion being generated in gambling revenue. The state has also seen a significant increase in tax revenue, with close to $500 million being collected by the local and state governments. The legalization of online gambling has also resulted in the establishment of many new businesses in the state, which has led to economic growth and job creation. Finally, the legalization of online gambling has also resulted in increased consumer protection, with the US government now able to regulate the activities of online gambling sites.
Places like California – the USA’s most populous region – is considering whether to bring in regulations for legal online gambling as they continue to debate Proposition 26 and 27 in their state borders, while there are discussions and movement being experienced all over the country in other destinations.
The legalization of iGaming and sports betting is definitely a positive move for any state in the US and we can expect to see many more states following suit in the near future. This will result in significant benefits for the states concerned, including increased tax revenue, economic growth, and job creation. It will also lead to increased consumer protection as the US government will be able to regulate the activities of online gambling sites.
If the states of the US want to build its economy further and strengthen it in its size and stature, then legalizing the iGaming industry could be one step that each of them looks to take in the future, especially after witnessing how well Michigan has managed to do in such a short period of time.