Several States Wager on Online Gambling

While Nevada was the first state to legalize online poker, New Jersey is poised to rake in a bigger jackpot from internet poker.

New Jersey, Nevada and Delaware are working against each other to see how they can best capitalize newly-legalized online gambling to work in their favor and gain the biggest revenue. All three states will allow anyone - within their borders to use their computers to gamble online at state sanctioned websites.

Nevada gamblers can already use their smartphones to play online poker, and Atlantic City players will be able to bed on their games later this years. Unfortunately for Delaware users, wagers via smartphones and mobile apps won’t be available until sometimes in 2014.

Estimates vary greatly on how much betting is actually occurring and how much money states could collect by legalizing and taxing it, but by one count, Americans spent $2.6 billion on legal offshore gambling sites in 2012 alone, creating a large market for onshore gambling sites now that it has become legal here in the US.

New Jersey Governor Chris Christie’s administration estimated that the first year of online gambling in the state could bring in as much as $180 million in tax revenue, but other estimates are as low as just 35 million. Either way, it’s a source of income that state hasn’t had yet.

In Nevada, estimates for revenue have ranged from $3 million a year if online poker is kept within Nevada state borders, to more than $50 million of the state expands outside its borders. As for Delaware, the state is projecting to collect as much as $3.75 million in the first year of online gambling.

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