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Online casinos , also known as virtual casinos or Internet casinos, are online versions of traditional ("brick and mortar") casinos. Online casinos enable gamblers to play and wager on casino games through the Internet. It is a prolific form of online gambling.

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Online casinos generally offer odds and payback percentages that are a bit higher than land-based casinos. Some online casinos claim higher payback percentages for slot machine games, and some publish payout percentage audits on their websites. Assuming that the online casino is using an appropriately programmed random number generator, table games like blackjack have an established house edge. The payout percentage for these games are established by the rules of the game.

Many online casinos rent or buy their software from companies like Microgaming, Playtech, Cryptologic, International Game Technology and Realtime Gaming.

A few online casinos offer high-roller bonuses to big spenders who make large initial deposits. When the Unlawful Internet Gambling Enforcement Act (UIGEA) became a reality in 2006, it changed the online casino USA industry. This Act prohibits any type of gambling at an establishment not owned or licensed by a state government. The UIGEA had little effect on online poker because of the existing Federal law titled the Interstate Wire Act of 1961 that prohibited the use of telephone lines for sports betting across state borders. The UIGEA did not specifically address online gambling; it instead targeted payment processors.

The bright side is that many sites continued accepting US players despite the new legislation. And some of the well-known casinos even created alternative sites specifically for Americans, using different names and domain extensions. All these casinos are powered by software from Microgaming or Realtime Gaming and offer similar games, promotions and jackpots. Many of them also have a sportsbook section.

The UIGEA has created a lot of confusion for both online casino operators and players alike. It is important to note that it does not make online gambling illegal; it only makes it more difficult for American players to fund their accounts at online casinos. If you are an American player who wants to keep playing your favorite casino games online, there are still plenty of options available to you. You just need to know where to look!