Which US States Legalized Online Gambling?

Various gambling activities were quite popular in the United States before and after the American revolution. Gambling was enjoyed in different colonies which back then were part of Great Britain. The extend and the popularity of gambling back then varied greatly by region, certain colonies were more open towards gambling.
In these areas, no gambling prohibitions were in place, so naturally, gambling prospered. In areas in which certain gambling restrictions and prohibitions were in place, gambling was mostly enjoyed behind closed doors.

When discussing the most popular gambling activities after the American revolution, we have to mention lotteries. Lotteries were extremely popular, especially in more rural places and smaller towns. Revenues collected from lotteries went to education and other systems whose main purpose was to build the country’s public and financial infrastructure.

However, it was not long before Great Britain decided to limit gambling activities in its colonies. To escape prohibitions and restrictions Great Britain sought, American gained its independence from Great Britain on the 4th of July 1776.

History of Gambling in the United States

After the American revolution, gambling activities continued to thrive in the country throughout the entire eighteenth century. However, in the mid-eighteenth century, the very first anti-gambling organizations were formed.

With more anti-gambling movements, gambling operators were forced to seek new ways to continue providing gambling activities and this is when the very first riverboat gambling establishments opened their doors in the state of Mississippi.

Around the same time, a couple of anti-gambling movements managed to shut down lotteries that were thriving in the Northeast. However, this has not stopped the growing demand. Despite different anti-gambling laws and regulations, many gambling establishments continued to operate underground, completely outside of the law.

The American Frontier was much more open towards gambling activities. In fact, it was a safe place for legal gambling with many legally-operating gambling houses.

After the Civil War, gambling activities become more popular in the South. Once again, lotteries led the way when compared to other gambling forms. Back in the day, all revenues collected by lotteries were invested in recovering and repairing the damage towns and cities in the South sustained after the Civil War. At the beginning of the twentieth century, most gambling activities were prohibited throughout the county. Even though gambling was illegal at the time, underground gambling houses stayed open.
During and after the Prohibition era, the states of Florida and Texas were more friendly towards gambling. To recover from the damage the Great Depression brought upon the country, the state of Nevada legalized gambling activities in the 1930s.

In the two following decades, gambling was legalized in Maryland and several other states. The very first legal gambling establishments opened their doors in Atlantic City in 1977.

Online Gambling Activities in the United States

This leads us to online gambling laws and regulations in the United States. Under federal law, gambling activities are legal in the United States. At the same time, there are some restrictions in place when it comes to iGaming and interstate gambling activities. Under federal law, each US state can legalize or prohibit online gambling activities.

As of today, certain forms of online gambling are legal in the states of West Virginia, Michigan, Pennsylvania, Connecticut, New Jersey, Delaware, New Hampshire, Tennessee, Indiana, Illinois, Iowa, Oregon, Nevada, Wyoming, Colorado, and Arizona.

In the state of New Jersey, online gambling is perfectly legal since 2013. After state legislators passed Assembly Bill 2578, the very first online casinos opened their doors, and these were Golden Nugget, Betway, and PokerStars.

Online sports betting activities are also legal in the state. Pennsylvania legalized online casinos and online sports betting back in 2017 after state legislators passed House Bill 271. Some of the most prominent brands operating in the Pennsylvania iGaming industry are Caesars, Betway, PokerStars, and 888 Casino.

Online casinos have been operating legally in West Virginia since 2020. Online gambling in the state was legalized through House Bill 2934. iGaming operators, such as William Hill, BetRivers, BetMGM, and DraftKings serve customers in West Virginia.

The state of Michigan legalized online casinos and online sports betting in December of 2019 after passing Senate Bill 186. The very first iGaming sites started operating in the early days of 2020.

Delaware is another state in which online casinos operate legally. The legislation that legalized iGaming activities, House Bill 333 was passed back in 2012. In Oregon, online sports betting is legal, but online casinos are not. The situation is the same in several other states, including Wyoming, Colorado, Nevada, Arizona, Iowa, Illinois, Indiana, Tennessee, Virginia, and New Hampshire.

As of today, online poker sites can legally operate in Oregon, Nevada, Michigan, Pennsylvania, Connecticut, West Virginia, Delaware, New Jersey, and Connecticut. States of California, Florida, Kentucky, Vermont, Maine, Massachusetts, and North Carolina will probably legalize online sports betting in the near future.