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Ohio Cracks Down on Offshore Betting Site Bovada

Ohio adds Bovada to its restricted list, becoming the 11th state to ban the offshore betting site as part of a broader crackdown on unlicensed online gambling across the U.S."
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Branimir Ivanov | Senior News Contributor

Updated: Sep 2, 2024

What is Ohio's iGaming direction

In recent years, offshore betting site Bovada has operated with relative impunity across the United States, offering a range of online gambling services, from sports betting to casino games. However, the tide appears to be turning as state regulators increasingly target the unlicensed platform. The latest blow came from Ohio, which became the 11th state to restrict Bovada’s operations, marking a significant escalation in the ongoing battle between state authorities and offshore gambling operators.

 

Ohio’s Crackdown on Bovada

Ohio's decision to ban Bovada from operating within its borders followed a cease-and-desist letter issued by the Ohio Casino Control Commission (OCCC) on August 6, 2024. In the letter, OCCC Executive Director Matthew T. Schuler demanded that Bovada cease all operations in the state within 10 days. The letter cited Bovada’s unlicensed and illegal activities, which included offering online casino games and sports betting without proper authorization. Furthermore, the platform was allegedly allowing individuals as young as 18 to place bets, despite Ohio’s legal gambling age being 21.

Schuler’s letter highlighted the seriousness of these violations, stating, “Because Bovada is offering unlicensed and illegal online gaming products within Ohio, the Commission demands that Bovada cease and desist from offering, participating in the offering, or facilitating those who offer these products in the State of Ohio.” The directive was clear: Bovada had to comply by August 16 or face further legal consequences.

Bovada’s decision to add Ohio to its restricted list, which now includes 11 states and Washington D.C., reflects the mounting pressure from state regulators. The company’s growing restricted list indicates a broader trend of U.S. states pushing back against offshore operators that skirt local laws and regulations.

 

A Broader Trend of Enforcement

Ohio is not alone in its efforts to curb Bovada’s operations. The Buckeye State’s actions are part of a larger movement among U.S. states to clamp down on unregulated online gambling platforms. Over the summer, both Connecticut and West Virginia took similar steps. Connecticut regulators sent a cease-and-desist letter in July, demanding that Bovada immediately halt its services in the state. Similarly, West Virginia’s Lottery Director John A. Myers issued a letter in June, accusing Bovada of violating state law by accepting wagers via its mobile app and website.

These states are among a growing number that have legalized online casinos and sports betting, creating a regulated environment designed to protect consumers and generate tax revenue. However, unlicensed operators like Bovada undermine these efforts by offering their services without adhering to the rigorous standards imposed on legal operators.

According to reports, Louisiana and Massachusetts may soon follow suit, as both states are considering legal action against Bovada. If these states proceed, Bovada’s restricted list could grow even longer in the coming months.

 

Risks for Gamblers Using Offshore Sites

While Bovada remains a popular choice for some U.S. bettors, the risks associated with using offshore sites are significant. Unlike licensed operators that are subject to strict regulations, offshore sites operate in a legal gray area, often providing little to no consumer protection. This lack of oversight can lead to a variety of issues, including the refusal to pay out winnings or even the outright confiscation of customer funds.

Legal online casinos and sportsbooks in regulated states must adhere to stringent rules, including background checks for operators, robust security measures, and initiatives promoting responsible gaming. These safeguards are designed to protect consumers and ensure fair play. In contrast, offshore sites like Bovada are not bound by these rules, leaving customers vulnerable.

As more states move to legalize and regulate online gambling, the pressure on Bovada and similar operators is likely to increase. The recent actions by Ohio, Connecticut, and West Virginia signal that state regulators are no longer willing to tolerate unlicensed gambling platforms that operate outside the law.

 

“Bovada must cease all unlicensed and illegal online gaming operations in Ohio or face further legal consequences.” — Ohio Casino Control Commission Executive Director Matthew T. Schuler

 

The Future of Offshore Betting Sites in the U.S.

Bovada’s recent struggles illustrate a broader shift in the U.S. online gambling landscape. As more states legalize and regulate online betting, the space for unlicensed operators is shrinking. While Bovada has managed to maintain a significant presence in the U.S. market for years, the growing list of states banning its operations suggests that the company’s free reign may be nearing an end.

The trend towards increased regulation is likely to continue, with more states expected to take legal action against offshore operators. For consumers, this means that using licensed and regulated platforms is increasingly the safer and smarter choice. As the legal landscape evolves, Bovada and other offshore sites will need to adapt or risk being shut out of one of the world’s largest gambling markets.

In conclusion, Ohio’s recent ban on Bovada is part of a larger effort by U.S. states to clamp down on unregulated online gambling. As more states join this movement, the future of offshore betting sites in the U.S. looks increasingly uncertain. For Bovada, the days of operating with impunity may be coming to an end, signaling a new era in the U.S. online gambling industry.

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