Subscription poker
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Subscription Poker is a legal form of poker started in the U.S. shortly after UIGEA in 2006. Subscription poker sites are a legal U.S. owned and operated online poker community where a broad base of gamers and poker enthusiasts interact, learn and play poker while competing for cash and prizes every month in unlimited poker tournaments for a monthly fee.
They promote themselves as not a gambling site—gambling is risking money for a chance at winning a prize or something else of value – their stance is that players are never asked to place a bet or risk money on a poker tournament or any game. While there’re loads of opportunities to win big money in high-paying tournaments, there is never a buy-in or deposit required. Subscription members pay a monthly membership fee to take part in a list of services, community features, and convenient access to tournaments. Subscription poker allows all entrants an equal opportunity to succeed in tournaments and entry requirements are based on sweepstakes laws in different jurisdictions.
Subscription poker sites are compliant with state and federal sweepstakes law in every state where the sites are offered. Due to the different laws in the various states, subscription poker sites are unable to offer members the full benefits of subscription poker and the sites do differ slightly on where they are offer the service. Because the product is based on sweepstakes laws, there is a "NO PURCHASE NECESSARY" component to each subscription poker site offering, similar to the offering at McDonalds when they have their Monopoly promotion.
All interested players, regardless of State residence may play on subscription sites as a non-paying basic member.
Interesting Notes
Taxes
Players are subject to use or sales tax, thus sites may also charge winners for any such taxes, in addition to the Premium Account fees. Non-US residents are subject to back up withholding for United States federal income tax purposes at 30% on most sites.
Powerpokerclub
Site launched Friday May 22, 2009. Site closed its doors as of January 18, 2010. No numbers on membership numbers at time of closing available. They state the reason for closure was "due to technical issues that they were not able to resolve" and “nothing at all to do with financing”.
Fleet Street Games
Dan Goldman launched subscription poker site in September 2008. Site closed its doors in October 2009 with approximately 12,000 total members with about 1,600 paying the monthly fee. Reason for closing was no investment capital could be obtained to continue the operations. Liquidation of player assets and information sold to PokerStars.
SpadeClub
SpadeClub is a subscription poker site owned / close ties with CardPlayer. SpadeClub started in 2007 but recently closed its doors. Reason unknown.
ClubWPT
ClubWPT is a subscription poker site launched by the World Poker Tour in 2007. It is still in operation and is the World Poker Tour's Season 9 show sponsor airing on FSN in 2011. Their monthly subscription cost is $19.95
PurePlay
PurePlay was founded in 2004 by Jason Kellerman & Marc Marin and is located in San Francisco, CA. and is still in operation. PurePlay's investors: Ron Conway, Tim Draper, Steve Jurvetson, Mike Orsak, Owen Van Natta, and Bay Partners. They claim to have over 2.4 million members! Their monthly subscription cost is $24.95