The Canadian press is reporting that the government there is looking to “stamp out internet gaming sites” that are licensed by the Kahnawake Gaming Commission. If this is true, and if the measures are forthcoming, the impact on online casino gaming could be enormous. Kahnawake hosts over 400 of the world’s online casinos, poker rooms and bingo clubs including big names such as Everest Poker, Golden Palace and Spin Palace.

Some sources say that the stance of the Canadian government is simply political hot air, and that the intention is simply to put the Kahnawake Gaming Commission on the same legal terms as the rest of Canada’s gambling industry. Whilst we hope this is the case, the very idea of some of the most popular online gambling sites being outlawed has sent shivers down the spines of site operators and patrons alike.

Who can forget the way that the US government outlawed online gaming a couple of years ago? Not only did it change the way that the gaming industry operated as a whole, it also led to the closure of some very popular online sites.

Whilst it is a possibility that Canada is looking to follow in the footsteps of its American cousin, most commentators are of the opinion that Canada simply wants to be able to subject Kahnawake to the same taxation laws as everyone else. Of course, even this way forward is unlikely to be welcomed warmly by those in Kahnawake itself.

The Kahnawake Mohawk Territory is located approximately 10km from Montreal, and views itself as an independent sovereign nation. Based on this, it argues that Canada’s laws are not applicable to Kahnawake – something that riles Canadian gambling organisations who view themselves as being disadvantaged by a far from level playing field.

Quite how this story will develop remains to be seen, but the ripples of anxiety that have swept through the online gaming world will not settle until the matter is fully resolved – hopefully in a way that allows some of our favourite sites to continue operating.