Online gambling, or e-gambling, is an activity that combines betting on a game of chance with the use of a computer. This involves sports betting, casinos, lottery games, and virtual poker.

Many forms of Internet gambling are illegal under federal law. The Wire Act prohibits gambling on contests and sports, while the Travel Act bans gambling on interstate commerce. But some states have been hesitant to enforce these laws, citing concerns that the Internet could be used to bring illegal gambling into their jurisdictions.

Nevertheless, online gambling has become a hot topic in the United States. A number of constitutional and legal objections have been raised. Some have focused on the Commerce Clause. Others have raised the First Amendment guarantee of free speech. However, these arguments have not gained much traction.

In the case of United States v. Nicolaou, for example, five people placed bets on sports events in exchange for consideration, at least two of whom stayed at the location for at least thirty days. They were also involved in the gross revenues from the wagers.

Similarly, the Racketeer Influenced and Corrupt Organizations (RICO) provision prohibits the operation of an illegal gambling business. An illegal gambling business owner can face up to five years in prison.

Online gambling is illegal in the United Kingdom. Nevertheless, many sports betting operators use websites. It is estimated that there are $40 billion in global online gambling revenues each year. There are currently only a few countries in the world that permit the operation of legal online casinos.