New Jersey Opens and Closes Doors for Online Gambling

Online gambling is being expanded in the Garden State, although New Jersey lawmakers are also putting the proverbial brakes on offshore activities. Likely, both of these steps are being done to support — and protect — the local economy. Gambling is a solid source of economic activity in the state, but things have been changing a bit over the years.

The state of New Jersey has a long history of legal gambling. Atlantic City was, for many years, the one place on the east coast in which travelers could visit to wager at a casino. The state, as a whole, resisted legalizing gambling elsewhere within its territories. In time, casino gambling spread to other states.

On the positive side of things, a new online casino has opened up for business and is serving New Jersey. Ironically, the casino is not located in New Jersey but in neighboring Pennsylvania. The casino, The Sugar House, is located on the Delaware river in Philadelphia. The Sugar House has contributed to New Jersey losing quite a bit of gambling revenue over the years. After hurting the New Jersey economy by providing a more accessible wagering location for Philadelphia and surrounding residents, NJ residents can now signup at The Sugar House’s online service and play.

The Golden Nugget’s online gambling license extends to The Sugar House. Look for The Sugar House’s revenues to increase quite a bit thanks to the newfound access to the far reaches of the state of New Jersey. Currently, there are about a dozen online casinos operating within the boundaries of New Jersey.

The New Jersey Division of Gaming Enforcement (DGE) has also gone after offshore gambling sites. The reason behind the crackdown is purely financial. The state of New Jersey does not want to lose money by seeing gambling dollars going to foreign countries. The somewhat weak economy of New Jersey does find gambling revenue helpful, and there are no benefits to seeing money leave the state.

These steps have an effect in other territories. In Canada, The Kahnawake Gaming Commission has agreed to pull the licenses to any casino that has targeted and grabbed United States customers. The decision to pull licenses is not based on randomly targeted casinos. Rather those casinos that run afoul of federal and state laws in the United States are targeted.

New Jersey regulators do not exactly find it easy to reduce online gambling. The task is a difficult one, but effort is being put into the process. After all the state does lose money when gambling revenue leaves its borders and ends up in other regions.

Written by: Andrew Johnson

Andrew Johnson has been reporting for for more than 8 years. He studied journalism at UGC and has published two books on how journalism influences the world.

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