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In recent years, the popularity of online casinos has surged across the United States, driven by the legalization of sports betting and the impact of the COVID-19 pandemic. As brick-and-mortar operations faced closures and the sports world came to a halt, online casinos emerged as a lucrative industry. While currently only a handful of states allow legal online casinos, the financial benefits and increasing demand may pave the way for more jurisdictions to follow suit. In this comprehensive guide, we will explore the legal landscape of online casinos across all 50 states, highlighting where they remain illegal and where legalization efforts are underway.
States Allowing Online Gambling in the USA
- Connecticut – Online gambling is legal in Connecticut, offering residents access to casino games and sports betting platforms.
- Delaware – Delaware was one of the first states to legalize online gambling, with options for casino games, poker, and sports betting.
- Michigan – Michigan has a thriving online gambling market, featuring casino games, poker, and sports betting.
- Nevada – Known for its gambling hub, Las Vegas, Nevada allows online poker and sports betting.
- New Jersey – New Jersey offers a comprehensive online gambling experience, including casino games, poker, and sports betting.
- Pennslyvania – Pennsylvania has a robust online gambling industry, with options for casino gaming, poker, and sports betting.
- West Virginia – West Virginia permits online casino games and sports betting, providing residents with various gaming options.
Connecticut: Online Casinos Legalized, Providing a Range of Gaming Options
Connecticut has successfully legalized online casinos, offering players a variety of traditional casino games. In October 2021, two options, DraftKings and Mohegan Sun Casino (FanDuel), went live in the state. Players can enjoy popular games like roulette, blackjack, baccarat, poker, and numerous slot machines. The relatively small market in Connecticut ensures attractive bonuses and free spins for players considering online casino gaming.
Delaware: A Pioneering State in Online Casino Legalization
Delaware holds the distinction of being among the first states to legalize online gambling. Local casinos established online gambling sites in October 2013 in conjunction with the state lottery. Sports betting was introduced at online casinos in Delaware following the repeal of the Professional and Amateur Sports Protection Act (PASPA) in May 2018. Players can enjoy a range of traditional poker and casino games through desktop platforms and mobile apps provided by operators like Delaware Park, Dover Downs, and Harrington Raceway.
Michigan: Online Casinos Thrive Following Sports Betting Legalization
Michigan legalized online sports betting in December 2019, making online casinos fully legal in the state. Players can legally engage in online casino gaming through platforms like BetMGM Online Casino, Caesars, WynnBET, BetRivers, FanDuel, and DraftKings. These operators offer a wide range of games, including video poker, roulette, blackjack, baccarat, slots, online poker, and live table games.
Nevada: The Birthplace of Legal Online Gambling
Nevada holds a special place in the history of gambling in the United States. It has been at the forefront of the industry since 1949 when sports betting was first legalized. The passage of the Professional and Amateur Sports Protection Act (PASPA) in 1992 solidified Nevada’s position as the gambling hub of the nation, granting it a monopoly on sports betting.
Today, Nevada continues to be a leader in the gambling industry, generating a staggering $1.3 billion in revenue from commercial casinos in May 2022 alone. While online poker and mobile sports betting are legal in Nevada, the same cannot be said for online casinos. The state has opted to keep online casinos illegal, likely due to the influence and economic interests of its land-based operators.
New Jersey: A Gambling-Friendly State
Situated on the east coast, New Jersey is renowned for being a gambling-friendly state. In fact, it was New Jersey’s legal battle that led to the repeal of PASPA in 2018, allowing states to determine their own gambling laws. As a result, New Jersey has emerged as a major player in the gambling industry.
Both mobile sports betting and online casinos are legal in New Jersey. The state boasts a wide range of online casinos, including reputable names such as BetMGM, Borgata, Betway, bet365, WynnBet, and Caesars. With over two dozen legal online casinos partnered with Atlantic City operators, New Jersey offers a plethora of gaming options, including poker rooms, slots, and live card and table games.
Pennsylvania: A Haven for Online Casino Enthusiasts
Pennsylvania has emerged as one of the most progressive states when it comes to online gambling. Online sports betting became legal in May 2019, and online casinos were included in the legalization process. Consequently, online casinos are fully legal and regulated in Pennsylvania, offering a multitude of options for players.
Licensed online casinos in Pennsylvania include BetMGM, Borgata, Betway, Caesars, FanDuel, and DraftKings. Players can enjoy a vast array of games, such as slots, roulette, blackjack, baccarat, poker rooms, and live dealer options. Additionally, Pennsylvania’s online casinos provide players with enticing bonuses and promotions, making it a highly competitive market.
West Virginia: A Haven for Online Casinos
West Virginia is one of the six states that currently offer legal online casinos. Operators such as BetMGM, Caesars, DraftKings, and FanDuel provide players in West Virginia with access to a wide range of slots, table games, poker rooms, and live dealer options. Online casinos are fully legal and regulated in the state, creating a thriving gambling environment.
States Online Gambling Is Not Allowed In The USA
Alabama: Awaiting Legislative Progress for Online Gambling
In Alabama, the state constitution prohibits lotteries and gambling, making online casinos technically illegal. However, there have been bill proposals from State Senator Greg Albritton (R-Atmore) that aimed to legalize online gambling. Unfortunately, these proposals failed to pass through the House in 2022. As the state progresses beyond the current election year, there may be further legislative efforts to push for the legalization of online gambling in Alabama.
Alaska: Strict Gambling Jurisdiction and the Potential for Future Legalization
Online casinos are currently illegal in Alaska, which has one of the strictest gambling jurisdictions in the United States. While casino gambling may be permitted on international cruise ships visiting Alaska, the legalization of online gambling may depend on the introduction of sports betting regulations in the state.
Arizona: A Promising Environment for Future Online Casino Legalization
Although Arizona legalized sports betting in 2021, online casinos remain illegal. The state signed the 2021 Arizona Gaming Compact with its twenty native tribes, allowing for various sports betting licenses and apps. With the presence of in-person retail sportsbooks and upcoming major sporting events, such as Super Bowl LVII in 2023, the legalization of online casinos in Arizona may be on the horizon.
Arkansas: Mobile Sports Betting Gains Traction, Online Casinos Await Legalization
In February 2022, Arkansas legalized mobile sports betting, marking a significant milestone. However, online casinos are still illegal in the state. Two state casinos obtained the first licenses for mobile sports betting, with major companies like Caesars, DraftKings, FanDuel, and BetMGM potentially joining the market. The legalization of online casinos may follow suit after the successful implementation of mobile sports betting.
California: Tribal Lands Dominate, Online Casinos Face Uncertain Future
In California, both sports betting and online casinos remain illegal. The only legal options for gambling in the state are daily fantasy sports and horse racing. Tribal lands serve as the exclusive venues for casino gambling, but the prospect of legalizing online casinos may gain momentum through ballot measures and legislative efforts, potentially leading to a shift in the coming years.
Colorado: Online Casinos on the Horizon with Sports Betting as a Precursor
Colorado legalized sports betting in 2019, but online casinos are still illegal. However, charity organizations can sponsor gambling events at licensed casinos within the state. The presence of legal online sportsbooks, such as DraftKings, FanDuel, and BetMGM, indicates the potential for the legalization of online casinos in Colorado.
Florida: Legalization Hinges on Resolving Legal Issues with the Seminole Tribe
Online casinos are currently illegal in Florida, although sports betting was legalized in 2021. The industry faces uncertainty due to ongoing legal issues between the state and the Seminole Tribe. As Florida Republican Governor Ron DeSantis faces re-election in November, the resolution of the sports betting issue may pave the way for the introduction of online casinos in the state.
Georgia: Online Casinos Remain Illegal, but Legislative Efforts Persist
Georgia maintains its stance against online casinos, making them illegal. However, the state has explored the possibility of changing its gambling laws, with proposed legislation failing to gain traction in 2020. “Social casinos” offering free-play slots and table games are available, indicating a potential shift toward legalizing online casinos. Legislative efforts to legalize sports betting and online casinos continue to be debated in Georgia.
Hawaii: Stringent Gambling Laws Prohibit Online Casinos
Hawaii has some of the strictest gambling laws in the nation, making online casinos illegal. The state prohibits various forms of gambling, including sports betting, lotteries, horse racing, and bingo. However, discussions surrounding the legalization of sports betting gained traction in 2021, particularly after Super Bowl LVI. The future of gambling in Hawaii remains a topic of debate, with the potential for the legalization of online casinos.
Idaho: Online Gambling Prohibited, No Legal Online Casinos
Online gambling is prohibited in Idaho, resulting in the absence of legal online casinos in the state. Since the repeal of PASPA in 2018, Idaho has not introduced any legislation to legalize gambling. As a result, the prospects for online casinos in Idaho remain uncertain.
Illinois: Online Casinos Currently Illegal, Sports Betting Flourishes
While online casinos are currently illegal in Illinois, the state has embraced online sports betting, with platforms like BetMGM and FanDuel operating successfully. Previous attempts to legalize online casinos have faced challenges, but the issue may be revisited in 2023. Video game terminal operators (VGTs) present a potential obstacle to legalization, which may require addressing regulatory concerns to pave the way for online casino legislation.
Indiana: Online Casinos Await Legalization Amidst Sports Betting Success
Indiana legalized sports betting in 2019, but online casinos remain illegal. Several bills aimed at permitting mobile betting apps at state casinos and racetracks failed to pass the legislature. Indiana’s iGaming bill may undergo further consideration in 2023, potentially excluding online poker to streamline regulatory processes. The state’s success with sports betting creates a favorable environment for the eventual legalization of online casinos.
Iowa: Online Casinos on the Verge of Legalization
While Iowa legalized mobile sports betting in 2019, online casinos remain illegal. An iGaming bill failed to pass the legislature earlier this year due to opposition from various stakeholders. However, the support of influential casinos, such as Penn National Gaming’s Ameristar Casino and Caesars Enterprise Services, signals a growing likelihood of legalizing online casinos in Iowa. The state is positioned as one of the closest to achieving this milestone in 2023.
Kansas: Recent Sports Betting Legalization Paves the Way for Online Casinos
Kansas recently legalized sports betting, positioning the state for future online casino legalization. The regulatory framework for sports betting is overseen by the Kansas Racing and Gaming Commission (KRGC) and the state lottery, with four land-based casinos involved. With partnerships and collaborations, online casinos may emerge as the next logical step in Kansas’ gambling landscape.
Kentucky: Online Casinos Remain Illegal as Sports Betting Stalls
While sports betting, mobile betting on pari-mutuel horse racing and online lotteries are available, the potential for legal online casinos in Kentucky remains uncertain. Further developments in sports betting legislation may shape the state’s approach to online casinos in the coming years.
Louisiana: Sports Betting Legalized, Online Casinos Await Progress
Louisiana legalized sports betting, allowing prominent operators like DraftKings, BetMGM, and Caesars to enter the market. However, online casinos are still illegal in the state. Sweepstakes casinos and offshore options cater to online wagering enthusiasts. Given Louisiana’s gambling-friendly climate, the legalization of online casinos may be a matter of time.
Maine: Sports Betting Legalization Sets the Stage for Online Casinos
Maine recently legalized sports betting, but online casinos remain illegal. The law enables the state’s four native tribes to partner with retailers, creating a framework that could facilitate the legalization of online casinos in the future. As the sports betting law takes effect, Maine may take steps to expand its gambling infrastructure.
Maryland: Online Casinos Illegal, Sports Betting Progresses
Online casinos are illegal in Maryland, although the state legalized sports betting in 2020. Social casinos offer the only legal avenue for playing slots and table games online. Maryland’s issuance of numerous licenses for online sports betting suggests a potential expansion of the state’s gambling industry, including the legalization of online casinos.
Massachusetts: Online Casinos Restricted to Sweepstakes and Social Gaming
In Massachusetts, sweepstakes and social gaming platforms are the sole options for online casinos. Traditional online casinos are currently illegal, but the state allows three casinos and one slots-only casino to operate. Efforts to legalize sports betting may gain traction, potentially paving the way for online casino legalization in the future.
Minnesota: Legalization Efforts Underway, Online Casinos Currently Prohibited
Minnesota has not yet legalized sports betting, resulting in the continued illegality of online casinos. The state is engaged in negotiations with native tribes regarding the legalization of online gambling. While the path to legal online casinos in Minnesota may take a few more years, social casinos are currently available for those seeking legal online gambling options.
Mississippi: Online Casinos Await Legalization Amidst Sports Betting Success
Mississippi prohibits online casinos, but the state legalized sports betting in 2018. While attempts to regulate online sports betting have failed, licensed state casinos now offer online wagering options. BetMGM has already launched a mobile sportsbook, and other operators like Caesars, DraftKings, and FanDuel may soon follow suit. The legalization of online casinos in Mississippi may become a reality in the coming years.
Missouri: Pending Sports Betting Legislation Sets the Stage for Online Casinos
Missouri legislators are currently working on a bill to legalize sports betting, with online casinos remaining illegal at present. Social casinos currently serve as the only online gambling option in the state. The legalization of online sports betting may lay the groundwork for regulating online casinos in the near future.
Montana: Strict Regulatory Framework Surrounds Sports Betting
Montana has implemented a strict regulatory framework for sports betting, allowing licensed kiosks at casinos, bars, and restaurants to accept wagers. However, online casinos are still illegal. Montana prioritizes the protection of its land-based operators, making the legalization of online casinos unlikely in the near future.
Nebraska: Unique Gambling Landscape Delays Online Casino Legalization
Nebraska presents a unique gambling landscape, with sports betting legislation passing in 2021 without an established legal framework. As a result, online casinos remain illegal in the state. Casinos on tribal land, as well as upcoming racetracks in Lincoln and Omaha, offer limited gambling options. Online casino legalization in Nebraska may be a while off.
New Hampshire: Seeking Opportunities for Online Casino Expansion
Moving eastward, we arrive in New Hampshire, a state that has yet to embrace online casinos. While social gaming and sweepstakes sites are permitted, online casinos remain illegal. However, mobile sports betting has been legalized within the state, with DraftKings being the sole legal online sportsbook.
New Hampshire lawmakers previously attempted to legalize online poker but were unsuccessful. However, there remains hope for the future of the online casino industry in New Hampshire, as another attempt at legalization could be on the horizon.
New Mexico: Limited Opportunities for Online Gambling
In New Mexico, online casinos remain illegal, and the mobile sports betting industry has yet to gain traction. Wagers are currently restricted to tribal casinos, and the legality of sports betting within the state is a contentious issue. Given these circumstances, the legalization of online casinos in New Mexico may be a longshot.
New York: A Potential Market for Online Casinos
New York presents an intriguing opportunity for online casinos, given its potentially large market. However, at present, online casinos remain illegal in the state. On the other hand, online sports betting has seen significant progress, with several major operators, including DraftKings, FanDuel, BetMGM, Caesars, and WynnBET, launching their platforms earlier this year.
Governor Kathy Hochul reported that New York generated an impressive $302.3 million in tax revenue from mobile sports betting within the first six months of its legal operation. With the state positioned to lead the industry, it may only be a matter of time before online casinos are legalized in New York.
North Carolina: Slow Progress in Gambling Legalization
North Carolina currently prohibits both online sports betting and casinos. While retail sports betting was legalized in 2019, with wagers limited to two tribal-land casinos, efforts to advance mobile sports betting stalled in House committees this year. However, a third retail sportsbook location is scheduled to open by the start of the NFL season, indicating progress in the gambling legalization process. Keep an eye out for potential developments in online casinos after this election year.
North Dakota: Limited Gambling Options
Similar to North Carolina, North Dakota only allows retail sports betting at tribal casinos. Online casinos remain illegal within the state, and gambling is largely restricted to lotteries, tribal casinos, social gaming operations, and race tracks. Given the conservative approaches to gambling in the surrounding states, the legalization of online casinos in North Dakota may be a distant prospect.
Ohio: Betting on Future Online Casino Legalization
In 2021, Ohio legalized sports betting, although its implementation is set for January 1, 2023. As for online casinos, they are currently illegal in the state. While Ohio residents may access offshore casinos and poker sites, it is conceivable that online casinos will be legalized in the near future. Four out of the five states bordering Ohio have already legalized some form of online gambling, paving the way for potential legalization within the state.
Oklahoma: Tribal Compacts and Limited Online Gambling
Oklahoma restricts online casinos, allowing gambling only through horse racetracks and tribal casinos. Tribal compacts pose a legislative roadblock for the legalization of sports betting in Oklahoma. Considering the state’s relatively conservative jurisdiction, it may be a considerable amount of time before online casinos become legal.
Oregon: Tribal and Social Casinos Only
Oregon’s casino gambling is primarily limited to tribal and social casinos, making online casinos illegal in the state. However, Oregon lawmakers legalized online sports betting in 2019, allowing residents to engage in mobile sports wagering. To legalize private casinos in Oregon, lawmakers would need to pass a constitutional amendment. Collaboration with the state’s native tribes may eventually open the door for the legalization of online casinos.
Rhode Island: Limited Options and Strict Control
While Rhode Island has legalized sports betting, online casinos remain prohibited. Initially, sports bets could only be placed at two local casinos, and mobile betting required in-person registration. However, that law has since been overturned. Presently, Sportsbook Rhode Island is the sole option for online sports wagering, operated by IGT and William Hill under the regulation of the Rhode Island Lottery. This tightly regulated gambling industry poses a significant obstacle to the potential legalization of online casinos in Rhode Island.
South Carolina: Limited to Sweepstakes Casinos
Online casinos are banned in South Carolina, leaving sweepstakes casino sites as the only option for online gambling. Despite a bill introduced in the state legislature earlier this year to legalize sports betting, it failed to gain traction. However, daily fantasy sports platforms like FanDuel and DraftKings are already available in South Carolina. It is possible that the state may initiate debates regarding the legalization of online casinos in the coming years.
South Dakota: Tribal Casinos and Retail Sports Betting
In South Dakota, online casinos remain illegal. The state’s gambling options are primarily limited to horse racing platforms and retail sports betting at Deadwood casinos. Although sports betting was legalized in 2021, legislative efforts to allow mobile wagers were unsuccessful. The legalization process for online casinos in South Dakota may take a few more years, with tribal casino kiosks serving as the primary avenue for sports betting.
Tennessee: Online Sports Betting and the Potential for Casinos
Tennessee has legalized online sports betting, with the state’s online-only framework launching in November 2020. However, online casinos remain illegal, and social gaming is the only available option. Despite this, major operators such as BetMGM, FanDuel, and DraftKings have been operating in the state for some time. The legalization of online casinos would require a constitutional amendment and negotiations with Tennessee’s native tribes, making the process potentially lengthy.
Texas: An Uncharted Territory for Online Gambling
Operating an online casino in Texas is currently illegal, but citizens can access offshore gambling sites. Texas represents a significant market for potential internet gambling, but progress toward legalization has been slow. With the upcoming re-election of Texas Republican Governor Greg Abbott, and the possibility of sports betting passing in 2023, online casinos may soon become a reality in the Lone Star State.
Utah: Strictest Gambling Laws in the U.S.
Utah has some of the most restrictive gambling laws in the United States. The state does not have a lottery, and both sports betting and online casinos are illegal. Moreover, Utah lacks land-based tribal casinos, and virtually all forms of gambling are outlawed. Even after the repeal of PASPA, it may take a considerable amount of time before the state revisits its strict gambling policies.
Vermont: Exploring the Potential of Sports Betting and Casinos
Sports betting remains illegal in Vermont, along with online casinos. Currently, the only online gambling options in the state are pari-mutuel horse racing platforms or offshore sites. Vermont lawmakers are currently studying the potential of legalizing sports wagering, which suggests that the state may be on the path toward legalization. As a result, the prospect of online casinos becoming legal in Vermont may not be far off.
Virginia: Online Sports Betting Paves the Way
Virginia legalized online sports betting in 2020, with the industry becoming operational in the following year. However, online casinos remain illegal in the state. Nevertheless, prominent operators such as FanDuel, DraftKings, Caesars, and BetMGM have established sportsbooks in Virginia. Given the existing framework for online sportsbooks, the eventual legalization of online casinos should not be a significant challenge in Virginia.
Washington: Tribal Casinos and the Road to Legalization
Washington state legalized sports betting at tribal casinos in March 2020. However, online casinos are currently illegal. Daily fantasy sports platforms are also prohibited. Considering the restrictive nature of mobile sports betting, which is only in its early stages, it may take some time before online casinos are legalized in Washington. Establishing partnerships with tribal casinos may be a crucial step for top operators like BetMGM, FanDuel, DraftKings, and Caesars.
Washington, D.C.: A Sports Betting Hub
Washington, D.C. officially legalized sports betting in 2019. Since 2021, legal wagers have been permitted online at certain retail venues and sports stadiums. BetMGM, Caesars, and FanDuel have established sportsbooks in Washington, D.C., while DraftKings focuses solely on daily fantasy sports. While online casinos remain illegal, it is worth noting that the nearby MGM National Harbor Casino could pave the way for legal online casino gambling in Washington, D.C.
Wisconsin: Limited Gambling Options
Online casinos are currently illegal in Wisconsin, with sports betting only permitted at tribal casinos. Although there are plans to expand the land-based options for sports betting, the prospect of legalizing online casinos in Wisconsin remains uncertain. Companies like DraftKings and FanDuel may need to negotiate with native tribes within the state before any progress can be made.
Wyoming: A Pathway for Online Casino Legalization
Wyoming legalized online sports betting in 2021, establishing a framework for legal wagering. However, online casinos remain illegal in the state, and the only casinos available are located on tribal lands. Notably, BetMGM, DraftKings, and FanDuel already operate their online sportsbooks in Wyoming, presenting an opportunity for the potential legalization of online casinos in the future.
Conclusion
In conclusion, the legal landscape of online casino gambling varies greatly from state to state in the United States. While some states have embraced online casinos and offer a wide range of options, others strictly prohibit online gambling or limit it to specific forms such as sports betting or tribal casinos. It is essential to stay updated on the evolving gambling laws in your state and to engage in responsible gambling practices. As the industry continues to evolve, there may be future opportunities for online casino legalization in various states across the country.