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Reversing four years of policy, the Isle of Man is now allowing Internet casinos based there to take bets from U.S. residents. This change only affects a handful of Internet casinos, but adds a wrinkle to the emerging trade war between the U.S. and many parts of the world over Internet gambling.

Washington says U.S. laws prohibit internet gambling, and some states are pushing for financial institutions to facilitate online gambling transactions.

The Isle of Man's decision came during a trade dispute between the U.S. and Antigua and Barbuda, a small Caribbean country, over internet gambling. The island nation complained to the World Trade Organization that Washington was violating its trade obligations by banning residents from placing bets on the internet.

The WTO in November issued a preliminary ruling in favor of Antigua and Barbuda. The United States filed a formal appeal on Friday, arguing that longstanding U.S. trade policy and social norms align with a ban on online gaming. 안전한 카지노사이트

Despite the ban, Americans place more online bets every year than residents of any other single country. Around the world, online casinos and the jurisdictions that license them are eager for American business.

The Isle of Man said that as of Jan. 1, casinos based there will be allowed to take bets from Americans. Located between the United Kingdom and Ireland, the island is a so-called crown-dependent area, meaning it makes national laws but relies on Britain for defense and foreign policy.

The policy reversal is significant because Mansum, which first began licensing internet casinos in 2001, initially set out to attract high-quality gambling centers by regulating them as jurisdictions that provide strict regulations.

At first, the policy seemed to be working, as some of the world's largest gambling businesses, including MGM Mirage, bought expensive licenses to operate online casinos there. However, the business was not as active as expected, and six major casinos, including MGM, relocated from the Isle of Man or shut down their internet operations altogether.


In December, the island's ministerial council voted to overturn the policy so that online casinos located there would not accept bets from the U.S. Tim Crane, the head of Manseom's electronics business, said the island felt that the policy change would help attract new casinos and the permits and tax revenues they provide.

"We have a lot of businesses that want to move to reputable and regulated jurisdictions," he said, noting that numerous poker rooms are looking for new jurisdictions in particular. "We are hoping to take advantage of that business," he said.

Crane said the policy change only affected betting on casino games and poker games. The island still prevents casinos located there from accepting sports bets from the U.S. He said the island distinguished itself like that because it believes U.S. law bans sports betting online but not casino betting.

U.S. prosecutors, however, have said they believe casino games are also prohibited under federal law. In both cases, numerous state laws explicitly prohibit gambling in states that have not been explicitly approved by state legislatures.

The U.S. has to file its first brief with the appeal on Friday, and the WTO can make a decision on the case within 90 days of last Friday's notice of the appeal.

According to industry analysts, about $7.6 billion was lost in unpaid wages over the Internet last year. They said about half of the amount was lost by U.S. residents, partly because of a relatively high percentage of Americans who have access to the Internet.

Numerous countries authorize and regulate online casinos, including the U.K. The level of regulation varies greatly from country to country, and some countries enforce stricter regulations as a way to help establish an identity for casinos located there as reputable ones.

The countries' policies also differ on whether they accept Americans' bets.

But what they have in common is a desire to attract more internet casinos, industry analysts and executives said.