How Online Casinos Are Regulated in the US

How Are Online Casinos Regulated in the US?

Online casinos are mainly regulated at the state level, although federal laws also have a role in how these brands operate. For online casino games to be available, the state's lawmakers must first pass legislation permitting online casino gaming. Then, the state gaming authority will create the rules, as well as accept license applications from the operators that satisfy the requirements and closely monitor them for compliance. Most states do require online casinos to partner with an existing physical casino before they can be licensed.

Playing games online with real money isn't allowed in the vast majority of US states. Right now, only seven states currently have online casinos, with the eighth being Maine which just made online casino gambling available in the region.

Here are the current states and their regulators:

• Connecticut: Connecticut Department of Consumer Protection (DCP)
• Delaware: Delaware Lottery
• Michigan: Michigan Gaming Control Board (MGCB)
• New Jersey: New Jersey Division of Gaming Enforcement (NJDGE)
• Pennsylvania: Pennsylvania Gaming Control Board (PGCB)
• Rhode Island: Rhode Island Lottery
• West Virginia: West Virginia Lottery

The licensing structure can vary by state. For instance, in New Jersey, Michigan and West Virginia, the best online casinos must partner with a physical or tribal casino in the state. Pennsylvania has a similar structure, although there's also a Qualified Gaming Entity route where a company that doesn't operate a licensed land-based casino in the state can still get an interactive gaming license.

Do Any Federal Laws Apply?

Individual states decide whether they want online casinos and the regulations that brands must adhere to, but there are federal laws that still apply alongside these state rules. Here are some of the main ones:

Ultimately, the state's gambling regulators closely watch online casino operators through regular audits, tests on game fairness, and complaint reviews. Breaking the rules could lead to huge fines or the casino's license being revoked or suspended.

What Rules Must Licensed Online Casinos Follow?

You’ll often find licensing details, such as the state regulator’s crest, license badge, or number in the homepage footer of available sites, including new online casinos. However, this status is maintained by the operators following several rules. Here are some of the most common ones:

Pros and Cons of Licensed Online Casinos

Pros and Cons

• Games are tested for fair outcomes
• Player protection tools are available
• Monitored by state regulators

• Only available in a few states

Conclusion: Only Play at Regulated Online Casinos

If you’ve been curious about how online casinos are regulated in the US, the individual states decide whether to allow them, issue licenses, and also closely monitor the brands that are approved.

As mentioned, online casinos are currently available in only seven states, with operators yet to set sail in Maine. These sites must adhere to certain rules, though. The major ones are licensing, game fairness, identity verification, and responsible gaming requirements. You've got the necessary details on how online casinos are regulated, and they may be useful when choosing your next gaming site.

How Online Casinos Are Regulated in the US FAQs

Gamble Responsibly

Playing at online sportsbooks, real money casinos, and sweepstakes sites should always be safe and enjoyable. Keep control of your activity by following responsible gambling guidelines such as:

Set a Budget:

Decide on a budget you’re comfortable with and stick to it. Once it’s gone, stop playing.

Don’t Chase Losses:

Trying to recover losses often leads to overspending.

Play with a Clear Head:

Avoid playing under the influence, or when angry, stressed, or tired.

Set Time Limits:

Take breaks and ensure gambling doesn’t cut into time with family or friends.

Know Your Stuff:

Learn the rules, bet types, odds, and payouts before playing to avoid mistakes.

Use Responsible Gambling Tools:

Make use of features like budget limits and self-exclusion.

If you or someone you know is struggling to gamble responsibly, these free, confidential resources can help:

Gamblers Anonymous

National Council on Problem Gambling

Gaming Addicts Anonymous

To make sure you get accurate and helpful information, this guide has been edited by Jason Bevilacqua as part of our fact-checking process.