Nevada casinos join the online poker game

By Rick Lax

Tuesday, Nov. 22, 2011 | 4:24 p.m.

Online gaming used to be Vegas’ enemy, back when poker players flocked from our casinos to websites boasting ultra-low rakes. The sites could set these rakes so low because, unlike their Las Vegas brick-and-mortar counterparts, they didn’t have to pay dealers, floor supervisors, or security guards.

But then the sh*t hit the fan. The U.S. government cracked down; online casino owners got busted; and online players lost their bankrolls.

Now, online players are looking for a safe, legal way to build them back up. That’s where we fit in. In February, the Nevada State Gaming Control Board will begin accepting online poker license applications. If you’ve already got a regular gaming license, your application process will go fast. If you’re a new operator, you’ll have to go through background checks and investigations, which could take a couple of months. So, yes, the established casinos are on board with this plan.

And the players, who’ve been burned in the past, are on board, too. They’re probably willing to pay a slightly higher rake (to MGM or to Caesars, for instance) for the same reason you’re willing to pay Bank of America or JP Morgan a monthly fee: There’s security in size.

At first, online gaming will only be legal in Nevada, but once California sees how much fun we’re having (and how much money we’re making in taxes), they’re going to get jealous. “If Nevada can do it, why can’t we do it, too?” they’ll ask. And eventually, the legalization will spread. In the meantime, we’ll draw dollars from other countries, where online gaming regulations aren’t so tight. Nevadans, prepare to collect a massive pot.