Highlights
- Massachusetts, New York, Indiana, and others are eyeing 2025 for potential online casino legalization.
- Massachusetts: Bill for online casinos expected in early 2025, led by Rep. David Muradian.
- New York: Facing budget deficits; Sen. Joseph Addabbo pushes for online casinos despite opposition from Gov. Hochul.
- Indiana: Anticipates new legislation after prior bill stalled in 2024; potential revenue loss highlighted by the Indiana Gaming Commission.
- Minnesota: New tribal agreements could open pathways for future online gambling laws.
- North Carolina and Texas: Progress hindered by key advocate resignations and leadership opposition.
New Online Casino Options in 2025
Missouri will soon become the 39th US state to approve legal and regulated online sports betting. At the same time, just seven of 50 states have gone ahead with approval for legal and regulated online casino gambling.
There’s definite trepidation on this front, for two major reasons. Firstly, state governments feel the easy access to gambling that online casinos offer increases exponentially the possibility that someone could become addicted to gambling and be losing massive amounts of money in a short span of time.
The second fear is that the advent of online casinos will lead to the cannibalization of land-based casino revenue. This is worrisome to state governments, because brick and mortar casinos employ many who live in the state. Online casinos don’t require anywhere near the staff to be operational. However, several studies done in states when online casinos were legalized show in fact that revenue increases in land-based casinos even with the online option available. Still, it continues to be a challenge for the proponents of online casino gambling to overcome this perception.
Which New States Are Possible To Legalize Online Casinos In 2025?
While no state currently appears to be close to becoming the next to be making legal and regulated online casino gambling a reality, let’s look at the states with the most likely path to making it happen sooner rather than later.
Massachusetts
Expectations are that a bill to legalize online casino gambling in Massachusetts will be put in front of the state government of the Commonwealth of Massachusetts at some point in 2025. State Representative David Muradian, a Republican who was recently re-elected to the Massachusetts House of Representatives, had previously indicated his plans to introduce such a bill when the state government reconvenes next year. Introduction of such a bill could come as early as January.
It was only in March of 2023 that the state legalized online sports betting. Land-based casinos have been legal in Massachusetts since 2011. The recent legalization of online casino gambling in nearby Rhode Island may also hasten legalization of online casinos in Massachusetts.
Muradian believes that the move to legalize online casinos is the next logical step for the state. He serves on the National Council of Legislators from Gaming States. The NCLGS assists states in creating legislation designed to pursue iGaming legalization.
Massachusetts is also expected to move toward the legalization of iLottery. In Michigan, the legalization of online casinos followed closely on the heels of the legalization of iLottery.
New York
A state that was basically dragged kicking and screaming into the world of online sports betting (see NY sportsbooks list), there’s been similar resistance to bringing about the legalization of online casino gambling in the Empire State. However, circumstances may ultimately be forcing that landscape to change.
The state is facing a $4.3 billion budget deficit and like most government deficit scenarios, it’s only expected to increase. At some point, legalizing online casino gambling will be seen as a solution to this budget shortfall.
Always a champion for iGaming in the state, Sen. Joseph Addabbo is chairman of the Senate Committee on Racing, Gaming and Wagering. He was the man at the front of the battle to bring online sports betting to New York and is again leading the charge to get a bill passed that would legalize online casino gambling.
However, he’s facing stiff opposition to the idea of legalizing online casino gambling. Among those resistant to the idea is New York Governor Kathy Hochul.
Missouri
The Show Me State became the 39th US state to legalize online sports betting via a referendum held during the Nov. 8 elections. It was a close call, but Missourians voted in favor of the legalization of sports betting by 50.1% to 49.9%.
What’s the next step for the state? Well, based on the referendum, the legalization will be official as of Dec. 5 and sports betting must be offered in the state no later than Dec. 1, 2025.
Missouri’s six casino companies will be permitted to open retail sportsbooks inside their land-based casino sites and also offer online options. Could taking this step mean that online casino gambling be in the offing?
Based upon what else took place on election night, probably not. Missourians were asked to vote on a proposal to allow an additional license for a land-based casino in the Lake of the Ozarks area. It was defeated, with more than 52% of votes opposing the plan.
Indiana
It’s been almost a year since the most recent attempt to legalize online casino gambling in Indiana was put forth in the Hoosier State. It was in January of 2024 when Republican State Rep. Alan Morrison introduced House Bill 1048 to the House Committee on Public Policy. While HB 1048 did receive first reading before the House Committee on Public Policy, it never was able to gain any traction on either side of the bipartisan committee.
Data compiled by the Indiana Gaming Commission came to the conclusion that by not legalizing online casinos, operators are missing out on $100 million in monthly revenue, which would include tens of millions in tax revenue going to the state.
Expect some form of bill proposing the legalization of online casino gambling to again be put in front of the Indiana General Assembly when it recovenes in early 2025.
Minnesota
A major stumbling block to the legalization of online gambling in Minnesota has been eliminated. According to sources familiar with the situation, an agreement is now in place between Running Aces Racetrack and the state’s tribal casinos as to how an online gambling bill in the state could be formulated.
“We believe it is possible to work through any disagreements and arrive at successful compromises,” Running Aces said in a statement released on Nov. 5, election day in the US. “We are hopeful that legislators and the gaming industry can all work together to ensure passage of a bill that benefits all three of these entities and the communities they serve.”
While the current objective is to find common ground to legalize online sports betting, any forward movement in this cause must be considered to be encouraging to the chances of an online casino bill to be following in the future.
North Carolina
The launch of legal and regulated online sports betting in the Tar Heel State in 2024 is sparking hope that it won’t be long until North Carolinians can also play legal and regulated online casino sites and real money games within state lines.
However, this is a cause that is going to require a new champion. State Rep. Jason Saine, who led the charge to legalize online sports betting and was also expected to be the one pushing for online casino gambling, was tendering his resignation in August. The lawmaker from Lincoln County had served in state government for 13 years.
Texas
On the surface, it seems illogical to even consider the notion of any sort of legal and regulated gambling in the Lone Star State. A strong government lobby led by State Attorney-General Ken Paxton is steadfast in its resistance to any form of legalized gambling in Texas.
However, there’s speculation that Paxton could be in line for a position in President Donald Trump’s administration. If he were to be out of the picture in Texas, then the chances of an online gambling bill moving forward would be more of a possibility.
Certainly, when considering the powerful people behind the pro-gambling lobby – billionaire entrepreneur Mark Cuban, land-based casino operators Miriam Adelson and Tilman Fertitta and Dallas Cowboys owner Jerry Jones, these are people who are used to getting things done and having what they want.
Summary: In 2025, several U.S. states could move towards legalizing online casinos, with Massachusetts, New York, and Indiana leading discussions. Each state faces unique challenges, from budget deficits to legislative opposition.
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