Rightlander founder Ian Sims insists there will still be a “significant market for affiliates to tap into” in the US, despite the Department of Justice’s (DOJ) updated opinion on the Wire Act.
The DOJ’s latest legal opinion, which says the act should apply to all forms of gambling and not just sports betting, is one that many believe will affect the profitability of online gaming in the US.
But Sims, speaking to AffiliateINSIDER, believes it won’t have a massive impact on affiliates: “Historically the US has been concerned first and foremost about where the money goes so my guess is this is similar in motivation.
“On the assumption that it sticks, it will impact affiliates in so much as the marketing becomes trickier to manage and potentially to a smaller audience but with the likelihood that a significant number of US States will have some sort of in-state online gambling at some point, there will still be a significant market for affiliates to tap into I believe.”
Originally reported by Online Poker Report, the new opinion now makes the Wire Act applicable to any form of gambling that crosses state lines, including online gambling and online lottery.
Several states have legalised online gambling in the wake of the 2011 opinion, which said the act only applied to sports betting, including New Jersey, Nevada, Delaware and Pennsylvania. The act first came into play in 1961 as a means of tackling organised crime by outlawing racing and sports betting across communications systems in the US.
The Coalition to Stop Internet Gambling (CSIG) lauded the DOJ’s change in opinion, releasing a statement earlier this week that read: “CSIG is pleased to see today’s decision by the Department of Justice to reverse an Office of Legal Counsel opinion that was as problematic legally as it was morally.
“Today’s decision seamlessly aligns with the Department’s longstanding position that federal law prohibits all forms of internet gambling, as well as with Congress’s intent when it gave law enforcement additional tools to shut down the activity through the overwhelmingly-passed Unlawful Internet Gambling Enforcement Act in 2006.
“Today’s landmark action to rightfully restore the Wire Act is a win for parents, children and other vulnerable populations.”