Online gambling has quickly become a mainstream reality in the US, with multiple states providing various iGaming options. Some states regulate casino games, poker and daily fantasy sports while others legalize sports betting or horse racing betting; still others opt for more limited offerings. In this article we will examine which states allow online gambling and their implementation practices.
Nevada was the first state to legalize and regulate online gambling in 2013. New Jersey followed suit in 2024, permitting residents aged 21 and up to gamble online casinos, poker and sports betting – with this law having since been extended through 2028 and daily fantasy sports as well as lotteries being legal options in NJ.
Michigan, Pennsylvania and West Virginia all offer full ranges of iGaming services; Pennsylvania recently legalised sports betting through legislation; West Virginia launched their sports betting platform in 2021 and Mississippi is expected to follow later that year.
Although momentum exists within the US to legalise online gaming, it must be remembered that state governments make their decision on this matter individually. Even within states with identical offerings of iGaming products there may be differences in how they are regulated, taxed and marketed depending on factors like concerns that online gambling will pull people away from traditional casinos as well as an interest in identifying ways to increase tax revenue through iGaming.
The federal government takes a different tack. The Unlawful Internet Gambling Enforcement Act was intended to stop money flowing between gambling operators and banks; however, its intended goal only partially succeeded and instead led states to establish their own online gaming regulations resulting in what we see today as the current landscape of iGaming regulation.
At present, 39 states have legalized some form of online gambling, with New York, California and Illinois being among the major markets. These states offer casinos, lotteries and sports betting while Colorado only permits social casinos – platforms which enable players to gamble virtual currency for real prizes.
efforts to legalise iGaming in other states have not been as fruitful, with Wyoming with just over 600,000 population unlikely to pass legislation any time soon. That being said, many of those states that have attempted but failed at passing iGaming legislation on multiple occasions. This shows that with time and effort lawmakers in those states will become open-minded towards considering it further in future legislation.