Multi-state online poker pools create new opportunities for players
There have been significant changes in the world of online poker in the US in the last few years. Previously, state boundaries ensured that there were many isolated groups of players. Such segregation made it tough to organize large tournaments and even play cash games on a constant basis.
However, through state compacts and networks, it has become possible to connect players in an entire network of poker lovers in many states. As a result, it becomes easier to have better prizes as well as busier tables. It is clear that shared liquidity is a great thing for card game lovers in America.
The Problem of State Fragmentation
When discussing the importance of having a unified player pool, one can analyze the return of online poker to the United States. In the aftermath of 2011, the development of legal online poker was largely conducted on a state-by-state level. Each state formulated their own legislation and, in most cases, separated its players from the rest of the poker community in other states.
Such an approach presented difficulties for both the participants of the tournaments and casual viewers. The players from New Jersey could not participate in the game along with the players from Michigan or Pennsylvania without certain agreements. Therefore, poker lobbies could become less active in the off-hours, while tournament guarantees would be limited to the number of players in one jurisdiction.
A lack of critical mass can affect the variety of games offered. If there is not enough number of players for a particular stake, operators may fail to maintain constant activity of the tables.
The Power of Shared Liquidity
The first change happened as states started engaging in legal arrangements enabling operators to exchange player pools between jurisdictions. The Multi-State Internet Gaming Agreement (or MSIGA) established an agreement enabling those states to provide liquidity for shared online poker.
Instead of considering every jurisdiction’s player pool separately, participating operators like BetMGM Poker have the option to connect eligible players from various jurisdictions together. That way, the number of players is higher, and thus, the community becomes much larger.
This effect can be especially seen in tournaments. Instead of using players from just one state, operators can engage players from various regulated jurisdictions. Tournament managers will be able to have more options in terms of guarantees, scheduling and types of events.
Shared liquidity may also enable regulated online poker sites to appeal more to those players used to playing in large international poker communities. Even though states will have the right to determine which players and jurisdictions can join in, this connection between approved jurisdictions makes the whole process possible.
Bigger Tournaments and Better Value
Among the major advantages that multi-state player pools offer is the ability to have bigger tournament prize pools. In the case when different states send players for the same event, the size of entries can be significantly increased. This means that the operators have a possibility to have larger guaranteed prize pools while still keeping relatively low buy-ins. A tournament that would have been hard to organize within the borders of one state becomes possible if the participants of tournaments come from several different jurisdictions.
For the tournament players, this offers a chance to participate in tournaments that have significant prize pools without having to travel to a real-life casino. At the same time, players will be able to participate in larger tournaments while competing against participants from various jurisdictions. Different playing styles will emerge due to the fact that each region will form its own community of players.
Healthier Cash Game Lobbies
Poker cash game players also gain much from shared liquidity networks. It can be difficult to find action at particular stakes after regular play hours in an isolated state market. With a smaller population of players, it is possible that some tables will stay inactive for a prolonged period of time.
It is easier to solve this problem with an increased number of players in the network. The more people join the network, the higher the chances of being able to find an active table at any hour of the day. Players who prefer low stakes will be able to find action more often, and high limit fans will have higher chances of doing so as well.
Variety of tables becomes another advantage. With an increased number of tables available, players will no longer be limited to the same number of games, but rather will have several options at once. This will make poker play more exciting and motivate players to come back again. The advantages go both ways, however. An increased player pool creates a more efficient marketplace since players will not have to wait for additional players before starting the game.
Regulation Still Matters
Shared liquidity does not imply that there will be no state control anymore. Players will still have to satisfy the eligibility criteria provided by the jurisdictions concerned. This includes the minimum age and residence criteria.
Geolocation technology will help ensure this aspect of the system. In order for online poker platforms to admit players into regulated gaming sessions, they will have to ascertain their presence in the eligible jurisdictions.
This combination of increased liquidity and control by the states participating is one of the main aspects of the multi-state approach. It allows players to join bigger communities while preserving the regulatory measures introduced by the states.
The Future of Shared Poker Markets
Future expansion will become more and more critical should states continue considering regulated online poker. As the networks grow bigger, the pressure on the operators to organize regular tournaments, to run cash games and develop better software will become much greater.
But future expansion will depend on the willingness of states to join and their capacity to build regulatory frameworks allowing shared markets. Every single state will have to assess its opportunities and priorities.
Should more states decide to join existing agreements, the advantages of the system could become even greater. Operators will get a larger pool of customers while players will be able to join larger tournament fields and cash games.