What Was Black Friday in Poker?

Black Friday in Poker refers to the infamous day of April 15, 2011, when the United States Department of Justice (DOJ) unsealed indictments against the three largest online poker sites operating in the US – PokerStars, Full Tilt Poker, and Absolute Poker. This day was a shock to the entire poker community as it resulted in the shutdown of these sites and affected millions of online poker players worldwide.

The DOJ charged these sites with multiple offenses including bank fraud, money laundering, and illegal gambling violations. The charges were related to violating the Unlawful Internet Gambling Enforcement Act (UIGEA) passed in 2006, which prohibited American banks from processing transactions related to online gambling. Despite UIGEA being a federal law, many offshore poker sites continued to operate in the US after its passing.

The impact of Black Friday on the poker industry was massive. The three indicted sites had a combined market share of over 95% in the US market and employed thousands of people worldwide. The shutdown led to an immediate loss of jobs and revenue for these companies.

PRO TIP:Black Friday in poker is a term used to refer to April 15, 2011, the day the US Department of Justice shut down three of the largest online poker sites in the world: Full Tilt Poker, PokerStars, and Absolute Poker/Ultimate Bet. The shutdown caused a huge disruption in the online poker market and was seen as a major blow to the industry.

Furthermore, Black Friday had a significant impact on professional poker players who relied on these sites for their livelihoods. Many players had their entire bankrolls frozen on these sites and were unable to access their funds for months or even years. This incident also led to a decline in sponsorship opportunities for players as many companies were hesitant to associate themselves with an industry that was under federal scrutiny.

The legal fallout from Black Friday lasted several years as each site went through different legal processes. PokerStars reached a settlement with DOJ by paying $731 million while admitting no wrongdoing.

Full Tilt Poker went bankrupt and eventually sold its assets to PokerStars as part of its settlement agreement with DOJ. Absolute Poker faced legal issues as well but ultimately settled with DOJ by forfeiting their domain name.

In conclusion, Black Friday was a historic event that changed the landscape of online poker in the US. It led to the closure of major poker sites, loss of jobs, and impacted the lives of millions of players worldwide. While the industry has since recovered in some ways, the effects of Black Friday are still felt today.