It is decidedly more realistic. The direct route is quicker and simpler and is much easier to use. If you are able to install and deal with sometimes balky software, and think the extra realism is worth it, go for the download. A really bad actor would have some trouble with this step. An operator who was in the habit of defrauding people or issuing phoney credit card debits would soon be denied credit card privledges.
Most internet casinos are 'licensed' in the jurisdiction where they are physically located.
However, in reality no one really regulates online gambling. Just like Al Gore's fundraising efforts there is no controlling legal authority. Right now the virtual casino business is wide open and the industry is full con artists. Before you open an account, look around. After that, look for sites that are user friendly, and offer a lot of customer support, especially if they are download sites.