NCLGS Proposes Model iGaming Legislation with Sweeping Reforms and Sweepstakes Ban

The National Council of Legislators from Gaming States (NCLGS) released a draft containing the Model Internet Gaming Act. The act will serve as a regulatory framework for US states regarding igaming. The NCLGS made the draft available to the public on Nov 14, 2024.

The organization allowed the public to comment on the draft until Dec 31. This was to ensure that the public was part of the process before finalities were made. The draft is now being refined with protocols set in place to pass it on to lawmakers after the review is complete.

Major Reforms in the Model Internet Gaming Act

The 26-page draft covered topics affecting all aspects of igaming operation, from licensing, advertising, to tax. Here are some of the salient points:

• The Model Act aims to establish The Gaming Regulatory Authority in the US, an organization that will oversee all internet gaming operations.
• The igaming act prohibits any gaming provided on the internet without the United States  jurisdiction without the approval of the Gaming Regulatory Authority, and considers it illegal.
• Internet gaming providers who are not ready to lose their license are expected to adhere to the anti-money laundering and know-your-customer policies.
• Speaking on tax rates, the NCLGS proposes that each state should impose between 15 to 25% tax to maximize revenue and ensure good allocation for community developments.
• The new act restricts internet gaming providers to process account opening only for adults over 21 years.
• On the subject of advertising, the NCLGS-proposed act prohibits marketing featuring influencers or performers that appeal to individuals under 21 years. In addition, no form of advertising is allowed on campus premises.
• Each gaming provider must secure a license to operate without consequences. The license covers a duration of five years, after which it must be renewed.

iGaming Legislation in the US 

Legalizing igaming in US states has proved to be much of a. challenge. Throughout last year, no single state was able to pass a bill supporting igaming. A few, like Maryland and Ohio, came close. For instance, Maryland’s lawmakers held meetings and placed votes but could not get the bill to the governor’s desk. 

And even though Ohio lawmakers managed to file an igaming bill last September, it is yet to be approved. So far, only seven US states have legalized igaming. igaming has been a tough sell with lawmakers raising concerns over unregulated exposure to young adults and associated gambling problems.

iGaming Legislation in the US

Legalizing igaming in US states has proved to be much of a. challenge. Throughout last year, no single state was able to pass a bill supporting igaming. A few, like Maryland and Ohio, came close. For instance, Maryland’s lawmakers held meetings and placed votes but could not get the bill to the governor’s desk.

And even though Ohio lawmakers managed to file an igaming bill last September, it is yet to be approved. So far, only seven US states have legalized igaming. igaming has been a tough sell with lawmakers raising concerns over unregulated exposure to young adults and associated gambling problems.

Sources:

• “NCLGS Proposes Model iGaming Legislation with Sweeping Reforms and Sweepstakes Ban” https://news.worldcasinodirectory.com/nclgs-proposes-model-igaming-legislation-with-sweeping-reforms-and-sweepstakes-ban-116209. News.wordlcasinodirectory.com. November 28, 2024.
• “Model Internet Gaming Act” https://www.nclgs.org/images/NCLGS_Model_Internet_Gaming_Act_-_November_26_2024.pdf. NCLGS.ord. November 26, 2024.