The banks have also stated several times that even though the regs might tell them to distinguish between horse racing, lotteries, and illegal forms gambling, that they would not be able to and thus just ban any gambling transactions in order to not risk getting in trouble. Again, you have to understand, this will be federal law for the banks to follow, meaning if they let a transaction go through, even unintentionally, that is an illegal transaction they could actually be brought up on federal criminal charges. I doubt they would risk this in order to appease the horse racing industry.