Same Casino, Different State
Same Casino, Different State: Why US Online Casino Game Libraries Aren’t Always Identical
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iGaming companies operating in the United States are navigating a uniquely complex regulatory environment, and have to stay compliant with federal and state laws. This frequently results in confusing situations where the exact game collections for the same operators differ quite a lot from one state to another. That means anyone searching for Betsoft casinos in the US has to look at sites intended for each state to determine what is available and where.
This state of affairs is not random. It developed in response to several unique characteristics of the American online casino ecosystem and it’s highly likely that the market will remain fragmented long into the future. Here is why.
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State-Level Approval Process
While the federal government retains some control over specific aspects of gambling (i.e. prevention of money laundering), each state can decide how to regulate online casino activities within its borders. Notably, the process of approving and licensing operators and their game libraries is handled entirely on the state level and involves a different regulatory body in each jurisdiction. This effectively prevents an online casino from launching a new game everywhere at once, since the publisher needs to obtain permission for every state separately. Given that state regulators are not required to follow any particular timeline, some of them might delay the approval and therefore impact the game’s availability.
Testing Backlogs in Recently Legal States
Out of the eight US states where online casino gambling is legal, three have only changed their laws in the past five years. That puts them at a disadvantage compared to early adopters when it comes to testing the fairness of casino games and approving them for public use. This practical factor is affecting how deep game collections can be in every state and limiting how quickly newly launched games can be approved. In practice, this means a casino site could be expected to offer more games in a state like Delaware or New Jersey where the regulators had ample time to set up testing procedures and confirm that all offered games meet the fairness standard.
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Market Size Affects Game Availability
All US states are equal in terms of political rights, but their populations and economies couldn’t be more different. Since online casino gaming is a commercial activity, the size of a market affects the decision-making process for the operators. The number of players in Pennsylvania and Michigan dwarfs the demand in tiny states such as Rhode Island or Delaware, and providers of casino services are painfully aware of this reality. In small markets it’s much harder to earn back the money spent on obtaining game licenses, so many casino sites opt to launch with a smaller number of games and focus their attention on a handful of proven money makers.
Special Rules for Live Casino Games
Just when you thought this state-by-state patchwork of rules couldn’t get any more cumbersome, the federal government makes sure to add another wrinkle. There is a federal ban on providing interstate gambling services dating back to the 1960s, and it is still used to restrict the industry. While a 2019 judicial decision made clear that the ban pertains specifically to sports betting, online casinos are playing it safe and serving each state individually. For this to be true, any live casino games offered in a legal US state have to be broadcast from inside that state rather than from one central studio. Because of this, some online casinos may be hesitant to add too many live games to the roster and instead stick to RNG-based versions of popular card games like baccarat or blackjack.
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