Myth:
Online gambling is more likely to attract underage gambling than land-based gambling.

Fact:
This is not correct. While underage gambling has been a persistent concern at land-based casinos and lotteries, or with underground American bookies who take bets on credit, the same is not true with online gambling. Online gambling transactions require some form of banking transaction—whether using a credit card or sending a wire to deposit funds or receiving a check to deposit winnings. Unlike land-based casinos, online operators do not accept cash and do not offer credit. With a system of deposits and payouts via electronic means that most children do not, or should not, have access to, the risk of children gambling online is minimized. Furthermore, online operators in regulated jurisdictions are required to know the identity and age of their customers, and there are effective age-verification tools to ensure children do not access inappropriate online materials.

Details:
United States’ government sponsored studies and numerous experts have concluded that, in general, online transactions can be made safe for children by requiring proof of identity and age, and requiring payment by means of electronic payment, credit card or check. Internet transactions-such as online gambling-can be made safe for children. There is current legislation in Congress that recognizes the effectiveness of age verification tools in making online gambling safe and secure from children. Therefore, if the concern was that children may access online gambling, this concern can be resolved by simply using available and effective age verification tools and requiring all payment systems to be with credit cards or other secure payment systems that are inaccessible to children.

References:
Commission on Child Online Protection (COPA), A Report to Congress (20 October 2000). The report states, among other things, that (1) user-side filtering can be effective in blocking access to harmful Internet content to minors; (2) use of a credit card verification system to access harmful to minors material can be effective to protect minors from accessing some harmful to minors; and (3) age verification systems based on independently-issued identifications is generally effective at preventing access by children.