The Rise of Online Wagering: Next State to Legalize Casinos in the US

Recently, we have seen more of the US states make moves to legalize internet wagering within their borders. This has piqued the interest of many people with regard to what is going on in the gambling industry. In order to get more clarity about the rise of digital betting in America and subsequent legalization by more states, keep reading as we will uncover the recent jurisdiction of the digital wagering laws and gambling states. 

Online Wagering; Here’s What it Means

Digital wagering or electronic gambling as you may wish to refer to it refers to the act of placing bets through an electronic medium. In other words, it is the virtual process of placing bets or risking something of value (like money) based on a chance outcome that is out of the player’s control with the understanding that they will either gain increased value or lose their original value determined by the specific outcome of the game. 

As opposed to traditional brick-and-mortar casinos, online wagering is a lot different as it is facilitated and conducted mainly through the Internet. It also offers a wide range of games for players like online casinos, roulettes, sports betting, blackjack, slots, and poker. We suggest taking a look at our American online casinos guide for more details on playing casino games in the US.

A Brief History of Online Wagering and its Legality in the United States

Online wagering in the United States has its roots in Antigua and Barbuda (an island country in the Caribbean, a subregion of the Americas). As early as 1994 Antigua and Barbuda passed the Free Trade and Processing Act, which granted licenses to organisations applying to open online casinos. The successful passage of this Act led to the first online casino in 1994.

They did this to diversify their revenue from tourism and it was indeed a successful approach. In fact, in the late 1990s, internet gambling raked in hundreds of millions of dollars in revenue and continued to gain popularity as it spread to other nations. However, in 1999 the Internet Gambling Prohibition Act was tendered in the United States’ senate to ban all forms of online gambling but the bill didn’t scale through. This bill was said to have been supported by a good number of Christian conservative groups at the time.

Later in 2006, an updated version of this bill was passed in the US Senate and eventually became law on October 13, 2006. This bill was added as Title VII to the SAFE PORT ACT (a law that ensured port security). The Unlawful Internet Gambling Enforcement Act, passed in 2006 by Congress made it illegal for wagering businesses to knowingly receive payment in connection with unlawful Internet gambling (though it does not itself make the totality of Internet gambling illegal in the Federation). 

The enactment of this ACT immediately led to the rejection and removal of  United States players by online gambling sites listed on the London Stock Market and similar markets at the time. Afterwards, there have been several back-and-forths about the legality of online gambling in the United States.

However, while digital wagering is largely illegal under US federal law, there are significant regulations about interstate and online gambling. This simply means each state is free to regulate or prohibit the practice within its borders. Hence, the rise of many states legalizing online casinos and some of its counterparts like sports betting and poker.

Insight to US States Online Wagering Participation

Digital wagering across the United States is primarily composed of casino games, sports betting, and poker. Here’s a breakdown of the participation in online gambling in the US based on the current laws in most states.

For online casinos;

As of 2024, 17% of the share of regular gamblers play slots online in the US

For Pokers;

As of 2024, 18% of the share of regular gamblers between 35 to 44 years old play casino table/card games online in the U.S.

For online sports betting;

As of 2024, 41% of the share of the public believe digital sports gambling should be legal in their state in the U.S. This desire can be traced to the 2018 legalization of sports betting in the U.S. at the federal level.

The statistics above explain why B2B digital gaming technology platform and worldwide casino content aggregator Bragg Gaming continued ts expansion into the US gambling market with the recent BetMGM Pennsylvania Content Launch. The launch was about the company’s recent games and Remote Game Servers which brought a lot of excitement to the gambling community.

List of American States where Gambling is Legal

Here’s a comprehensive list of American states that have legalized electronic wagering as of 2024. This list also points out the particular category of electronic games each state has legalized.

Nevada

• Games legalized: Sports betting, online pokers

Delaware

• Games legalized: Sports betting, online casinos

Arizona

• Games legalized: Sports betting

Arkansas

• Games legalized: Sports betting

Colorado

• Games legalized: Sports betting

Connecticut

• Games legalized: Sports betting, online casinos

Florida

• Games legalized: Sports betting

Illinois

• Games legalized: Sports betting 

Indiana

• Games legalized: Sports betting 

Iowa

• Games legalized: Sports betting

Kansas

• Games legalized: Sports betting

Louisiana

• Games legalized: Sports betting

Maryland

• Games legalized: Sports betting

Michigan

• Games legalized: Sports betting, online casinos

Mississippi

• Games legalized: Sports betting 

Montana

• Games legalized: Sports betting

New Hampshire

• Games legalized: Sports betting

New Jersey

Games legalized: Sports betting, online casinos

New York

• Games legalized: Sports betting

North Carolina

Games legalized: Sports betting

Ohio

• Games legalized: Sports betting

Oregon

• Games legalized: Sports betting

Pennsylvania

• Matches legalized: Sports betting, online casinos

Rhode Island

• Games legalized: Sports betting, online poker

South Dakota

• Games legalized: Sports betting

Tennessee

• Games legalized: Sports betting

Virginia

• Games legalized: Sports betting

West Virginia

• Games legalized: Sports betting, online casinos

Wyoming

• Games legalized: Sports betting

List of Upcoming States to Legalize Online Casinos

As of 2024, internet casino wagering has only been legalized in six  American states: New Jersey, Connecticut, Delaware, Pennsylvania, Michigan and West Virginia, although the tide is beginning to change. Alternative games like digital slots and live dealer titles have massively aided this, creating incredibly fun ways for casino fans to play their favourite options remotely. Here are likely States making moves to legalize online casinos in 2024:

Maine

In 2023, LD 585 was proposed. LD 585 is a bill to legalize online casino wagering, focusing on exclusive licenses for tribal operators.

New York

In 2023, lawmakers in New York City made moves towards online casino legislation in 2024 after previous attempts stalled.

Illinois

In a bid to expand its gambling industry, bills have also been proposed to legalize online casinos.

Indiana

These other US states also passed bills in 2023 towards the legalization of online casino wagering in 2024.

California

This state which is usually referred to as the white whale of gambling is also making moves towards legalizing sports betting and online casino wagering.

New Hampshire

In 2023, Senate Bill 104 was proposed towards the legalization of online casino wagering in the state.

To Sum Up

The legalization of digital casino wagering in more states in the USA will undoubtedly affect the future landscape of digital gaming and leisure as part of the entertainment industry. In order to figure out what’s best for them, several states are currently weighing competing interests and coming up with policies that align with their unique economic and social interests as it relates to gambling. Their outcomes will lead to various beneficial socio-economic changes within their states