We admit we were surprised that the White House responded to pleas from the online poker community for legalization and regulation of our industry in the United States. In the past, poker players had vocally taken to social media like Facebook and Twitter to fire off questions and suggestions about the issue. In recent days, Deputy Director of the National Economic Council Brian Deese responded to an online poker petition as part of the White House’s “We the People” campaign.

After claiming the White House “understands that many Americans engage in paid online poker games for entertainment purposes,” Deese pointed out that online wagering on sporting events violates Federal law, a notion upheld by a U.S. Department of Justice opinion letter on the Wire Act released two days before Christmas last year.

Given that online wagering on sports is not permitted, Deese contended, “It is left to each state to determine whether it wishes to permit such activity between its residents and an online poker business authorized by that state to accept such wagers, but online gambling that is not authorized by state law may also violate Federal statutes.”

In April 2011, the DOJ came down hard on the three largest U.S.-facing rake-based online poker rooms: PokerStars, Absolute Poker, and Full Tilt. All three sites exited the U.S. market and 11 individuals associated with them were indicted. Only PokerStars has managed to pay back players and is rumored to be in the process of purchasing the assets of Full Tilt. The future of Absolute Poker and UB is up in the air.

Deese then digressed into a discussion of the pitfalls of playing online poker for real money. After pointing out that the game is both “rapid” and “anonymous,” he wrote, “There are many means of technologically circumventing restrictions on online gambling that can allow individuals from countries where gambling is illegal – or even minors – to play using real currency.”

Deese shared even more drawbacks to online gaming: “Online games also have greater potential for fraud because gambling websites are much cheaper and easier to establish than onsite locations, and like telemarketing scams, can appear and disappear overnight. Finally, online gambling can be used in money laundering schemes because of the volume, speed, anonymity, and international reach made possible by internet transactions.”

Deese concluded on a positive note, saying that the administration is “open to solutions” to the aforementioned problems.

The petition received nearly 10,000 signatures and the Poker Players Alliance (PPA) promoted it to its 1.2 million members. The virtual document was created in September and emphasized that sites that accept online wagers on horse racing “have proven that online betting sites can be successfully regulated.”

Speaking of the PPA, Vice President of Player Relations Rich TheEngineer Muny (pictured), who has been instrumental in mobilizing players in other grassroots efforts, told PocketFives, “The response reiterated the DOJ’s decision on the Wire Act, which is a real positive. It also noted that intrastate online poker can go forward.”

What about Deese’s heavy emphasis on the difficulties of licensing and regulating internet poker? Does that put a damper on the prospects of legalized gaming? Muny responded, “Those are legitimate concerns and some of the key talking points of the Joe Barton online poker bill [HR 2366]. It’s good that the points he put in there are exactly the ones that Barton’s bill addresses. To be complete, his letter would have to mention the types of issues that would come up before Congress.”

Muny admitted that he didn’t necessarily expect a direct response from the White House on the issue: “Our goal wasn’t to get President Barack Obama to speak to us. It was an opportunity for us to communicate with the White House.”

View the White House’s response to the online poker petition.