Is the Online Texas holdem Poker legal?

Several recent events have brought attention to the legal standing of online wagering in general. The first thing to understand is the skill game of Texas holdem Poker is not the same as sports betting nor even random chance casino games. It may be treated the same eventually, but it may not. Legal precedent for a lot of this simply does not exist. As of this writing, no person has been charged, let alone brought to trial, let alone convicted, let alone sentenced for playing online poker. But this does not guarantee one or more of these things will not happen in the future.

No US Federal statute or regulation explicitly prohibits Internet gambling, either domestically or abroad. The United States Government has taken the position that certain things are illegal, and more importantly, certain things are worthy of prosecution. On November 21st, 2002, the US Fifth Circuit Federal Appeals Court upheld Duval's ruling, stating: The district court concluded that the Wire Act concerns gambling on sporting events or contests. We agree with the district court's statutory interpretation. Its reading of the relevant case law. Its summary of the relevant legislative history. And its conclusion.

While the US Justice Department recently stated that the Wire Act covers casino games in addition to sports wagering, the Federal Appeals Court has directly ruled that that interpretation is not correct. This is not a small disagreement. It is a direct contradiction that could well spur the creation of new, 21st Century Federal legislation that actually deals with these issues.

A key distinction exists on a Federal level between bettors and those operators whose business is to benefit from the actual making of wagers: engaged in the business of betting or wagering... which entitles the recipient to receive money or credit as a result of bets or wagers, or for information assisting in the placing of bets or wagers... As long as players stay in the players category and not in the in-the-business-of-wagering owners/bookies/runners/agents categories, a significant difference in status exists.

Finally, in November 2004, the Caribbean island nation of Antigua and Barbuda won a World Trade