Can Jersey online sports gambling surpass Nevada? March Madness may tell



While many are flocking to lounges at racetracks and casinos, far more are not. In 2019, online betting has accounted for $4 out of every $5 bet in New Jersey.

As New Jersey sportsbooks start their first March Madness, thousands of state-based bettors are expected to make deposits with a cashier at their casino of choice.

While many are flocking to lounges at racetracks and casinos, far more are not. In 2019, online betting has accounted for $4 out of every $5 bet in New Jersey.

In January and February, New Jersey sportsbook operators handled about $142 million at casino or racetrack betting lounges, state records show. The same operators handled nearly $564 million from online gamblers.

The total handle at the state’s sportsbooks in January, the seventh full month of operation, was about 77 percent of Nevada’s. And the market should continue to grow, said Dustin Gouker, lead sports betting analyst for PlayNJ.com.

“The market’s consistency will eventually help New Jersey overtake Nevada as the largest legal sports betting market in the U.S.,” he said.

Keeping dodgy bookies at bay 
Protecting the state’s legal gamblers from dodgy bookies is the New Jersey Division of Gaming Enforcement. The state also has a Casino Control Commission, an independent licensing authority, charged with upholding the integrity of the industry.

Kerry Langan, a spokesperson for the Division of Gaming Enforcement, said online gamblers are supported by a state licensing system that requires all casino owners to demonstrate honesty, integrity, good character and financial stability. Licensees must verify that they have enough money available to safeguard patron accounts each month.

“By regulation, all casino licensees that offer online gaming must maintain a New Jersey bank account that is separate from all other operating accounts to ensure the security of funds held in patron internet gaming accounts,” Langan said.

The mingling of player accounts and corporate accounts resulted in the seizure of funds at one of the nation’s largest poker sites, Full Tilt, in 2011. Some accounts were locked off for months, denying players access to their money, while New Jersey officials were debating the merits of online gambling in Trenton.

The online gambling bill approved by New Jersey officials in 2013 therefore requires any wire transfer or electronic fund transfer from a bettor to go directly into the casino licensee's operating account at an FDIC-insured bank. Digital records for each transfer are to be kept in a depositor’s account file, according to the regulations.

The same regulations stand for state sportsbooks, which first opened in June 2018 following a Supreme Court ruling on a federal law that restricted the state's ability to reverse a sports betting ban.

Two area bettors, who have gambled illegally and spoke to NorthJersey.com and USA TODAY NETWORK New Jersey under condition their identity would not be revealed, said the tracking requirements add security and prevent potential disagreements between bettor and bookie. The instantaneous availability and reactions of the virtual bookies and cashiers are other benefits of online gambling.

Casino deposits can generally be made via E-check, PayPal or a credit or debit card. Some credit card companies will decline a deposit from a casino. Still, online bill-pay can also be used to make direct transfers. Wire transfers are allowed at many online casino’s, as is the use of services such as 7-Eleven PayNearMe.

Cashing out a winning bet relies upon similar options. Checks by mail are also possible, with state regulations ensuring the payments are delivered in an advertised window.

Gotta be in Jersey to bet 
A large drawback to illegal gambling, one bettor said, bettors cannot "call in" a bet from another state. All legal online casinos and sports books use IP addresses and geo-tracking plug-ins to tie a bettor’s computer, phone or tablet to a location. To play for real money, gamblers must be in New Jersey.

Sites prohibit an account holder from making a bet if there is remote desktop, proxy or virtual private network software running on the device. An attempt to misrepresent one’s location can lead to an account suspension or cancellation, many online casinos note in the fine print.

When creating an online account, licensed sites are required to validate a player’s age and identity with a “Know Your Customer” check. The check may require a social security number, but increasingly only demand the last four digits.

The numbers are needed to ensure eligibility and protect a player’s identify, but are not stored or published, according to the terms and conditions offered by a representative for 888 Casino New Jersey.

Operated by Caesars, 888 Casino New Jersey uses advanced encryption, firewall and verification technology to guarantee the security of deposits and withdrawals, according to its website. Its user agreement also permits background checks and account monitoring to prevent someone from operating an account registered to another person.

The casino and other online sportsbooks, such as Meadowlands-based FanDuel, note in user agreements that they will not be held responsible for third party access to individual accounts.

If an account holder fails to log in for two years, 888 Casino New Jersey can clear out the account. Moreover, the casino holds no obligation to maintain account names or passwords, per its user agreement.

Where to bet
The state requires holders of all sports book licenses to maintain a “first-class” sports wagering lounge. There are now 10, state records show. Three are operated by William Hill at the Tropicana, Ocean Resort Casino and Monmouth Park racetrack.

Monmouth Park’s license stretches further, however. State regulations allow each sports wagering licensee three individually-branded sports wagering websites. Monmouth’s, for example, is used by Philadelphia’s SugarHouse Casino, which by law can only take sports bets virtually from bettors 21 or older on the east side of the Delaware.

The Resorts Casino Hotel Atlantic City has a similar deal, lending its license to Boston-based DraftKings and BetStars, a cousin of Canada’s PokerStars, records show. The Meadowlands license helps operate the FanDuel and PointsBet online sportsbooks. The latter, an Australian conception, provides varying payouts depending how many points a team scores over or under a spread or total.

PointsBet and all other legal online gaming sites in New Jersey include the Division of Gaming Enforcement logo. The green and yellow logo is typically near the top of an authorized online casino's home page.

This article is a reprint from NorthJersey.com.   To view the original story and comment, click here. 


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