What is UIGEA ?

online pokerThe Unlawful Internet Gambling Enforcement Act (UIGEA) was passed by congress in October 2006 and was primarily designed for the purpose of targeting online poker websites, in order to actively prevent players from the USA from using them.  The Act legislated against the transfer of funds from any USA bank or other financial institution to online gaming websites (excluding lotteries or horse racing), which meant that online poker rooms and many sports betting websites were no longer able to accept bets or take on memberships from American players.  Several highly successful poker websites such as Party Poker (Party Gaming), Pokerroom.com (BWIN) and Pacific Poker (888poker) were hit hard by UIGEA, as a large majority of their players had previously been based within the US .

Background

Congress had been flirting with anti-online gaming laws for around seven years before UIGEA was passed, but every bill brought before the various committees up until 2006 had been held up by lobbyists and interest groups.  Online gaming was becoming an increasingly ‘hot’ political issue, and arguments for prohibitions cited that online gaming websites were often linked to fraudulent activities such as identity theft, money laundering and even threats against national security and that these sites took billions of dollars out of the US economy every year.

There was a definite feeling of anti-online gambling in the air, despite the fact that when polled on the issue the majority of American citizens believed that it was the right of the individual to choice whether they participating in online gambling or not.  Although the time was seen generally seen as ‘right’ for a bill on the issue of prohibiting certain aspects of online gambling, the online gaming industry were shocked at just how far the UIGEA went to restrict the rights and freedoms of American online poker players and sports betting enthusiasts.

How Have the Online Poker Websites Fought Back?

888 Pacific Poker was one of those websites hit hard by UIGEA, and had previously been one of the most successful online poker rooms in the US, and were forced to drastically reassess their whole business plan and make some radical changes to the technology, management and targeting of their online poker rooms and sports betting facilities.  Without access to the US player base 888poker turned their attention back to Europe, and made some significant changes to their software which has enabled them not only to survive as a business, but also to once again begin to build up their status in the online gaming industry, attracting new players and staying literally on ‘top of the game’.

Key software upgrades have included the additional of multi language tools in order to win over new emerging audiences, heightened security with the very latest encryption technology to ensure both the website as a whole and the players financial and personal details remain secure from hackers, and also consistent and fair game play with the very best dealing machines (MD5 Random Number Generator).  This all means that despite the setbacks resulting from the UIGEA 888 Pacific Poker has survived and gone on to secure its European base, and you can expect to see a healthy number of around 8,000 players logged in at one time for the popular 888 online poker tournaments and other peak sessions. :)

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