US Online Gambling Boom Prompts Legalization

US Online Gambling Boom Prompts for Legalization

With the Coronavirus outbreak shuttering the land-based casino world, online casinos have seen a massive rise in traffic and revenue. States with regulated online casinos are also seeing significant jumps in gaming revenue. Industry experts say this could potentially drive more states to regulate online casino gambling.

News Highlights

  • Online casino gambling has soared amid the COVID-19 outbreak
  • Revenue for online gambling has seen a massive increase
  • The impact of the pandemic could push more states to legalize online gambling

Online Casino Revenue Soaring, With No End In Sight

New Jersey was the first to legalize and regulate online casinos and sports betting outside of Nevada in the US. The Garden State has seen that pay off with some considerable gains in iGaming revenue as Atlantic City casinos collect dust.

They have seen a 66% rise in March to $65 million in revenue. Analysts say they are on track to hit $700 million in revenue in 2020, compared to $483 million in 2019. Other states around the country are also seeing an increase in revenue with their online casino products.

The Online Casino Industry Boom

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With land-based casino closures in nearly every corner of the globe, more people are turning to online gaming. It’s safe to say that even after the world’s lockdowns end, it will most likely continue. 

Casinos will do their best to lure players back into their establishments with free play offers. However, the reality is that those who are most vulnerable to COVID-19 are the same people who visit casinos more frequently than other age groups. It’s no secret that those over the age of 60 are much more susceptible to the disease.

Even after casinos open their doors again, there will be a large number of people who refuse to go back for a much more extended period. It’s hard to say how long this will last, but it could be months, if not years.

What Does This Mean For US Online Casino Gambling?

The online casino industry is having one of it’s best years. Offshore casino sites are available for US players, but as more states legalize online casinos, that will breed more competition. 

Real money online casinos also offer more bonuses than land-based casinos and better payouts. Players also don’t have to worry about getting in their car and making the trek to their local casino.

Will More States Legalize Online Gambling?

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Many people would assume this situation could drive more states to regulate casino sites. However, this isn’t always the way government works. Lately, states have been legalizing sports betting, rather than online casino gambling and poker. Some states offer both, but that is the exception and not the norm.

As of this writing, only 13 states have licensed and regulated online casino gambling within their borders. Michigan was the latest state to legalize online casinos in December 2019.

For those not following the industry closely, this may seem like a large number, but states got a green-light for state-licensed online casinos back in 2011. So, in nearly ten years, there has not been much movement on this front.

Obstacles Remain For More Online Casino Legalization

While this may seem like an ideal time for more states to legalize and regulate online gambling – it is still an uphill battle. Gambling legislation is always difficult to push through due to the social impact, but more predominantly, a lot of parties need to be satisfied.

States like California are an excellent example of how many different groups need to come together to get a bill passed. You have politicians, existing land-based casinos, tribal casinos, and even foreign gaming operators who want a piece of the pie. They all have to agree on licensing fees, regulations, the number of skins allowed, and so on. 

Gamblers will still have plenty of online casinos for their play, and the welcome bonus offers may get even better. As far as an online casino boom regarding legalization, only time will tell.

About the Author
Joe Falchetti

Joe Falchetti - Guest Collaborator

Joseph Falchetti is an expert online gambler. We paired up with him for exclusive OUSC content relevant to USA online casino players. He is a former professional poker player and a full-time online betting expert. Joe has been featured in major publications, such as and linked to by the New York Times.