Online gambling is growing in popularity across the US as restrictions are lifted. The country has long held a tough stance on sports betting sites and online casinos, but this has softened in recent years. In 2013, New Jersey became the first state to legalize online casinos in the USA. Since then, many other states have followed suit.
Online casinos offer a way for players to enjoy games like blackjack, roulette, poker and slots from the comfort of their homes. While some US states have access to land-based casinos, they’re mostly restricted to tribal reservations. Many players choose to play at offshore casinos as they’re much more convenient. As a result, there’s a demand for legal and safe online casinos, and some states have begun to regulate the industry.
New Jersey was the first state to regulate online casinos(1), and this has resulted in a huge increase in monthly tax revenue. With demand from players increasing and the obvious benefits of legalization in terms of taxes, it’s a no-brainer for other states to follow suit. So far, Michigan, Pennsylvania, and West Virginia all offer legal online casinos. It’s expected that more states will join them in 2022.
Legalisation of US Online Casinos in 2022
The argument for the full legalization of online gambling across the US is growing more and more each day. Since New Jersey first legalized online casinos in 2013, the state has made hundreds of millions of dollars in tax revenue. NJ online casinos must pay a 15% tax rate. In December 2021, the total revenue from these sites was $133 million, leading to taxes of nearly $20 million.
The potential tax revenue that can be collected from online casinos provides the main reason that state legislators are interested in pushing for legalization. Aside from this, it also makes sense to prevent players from accessing offshore sites by providing a safe and legal alternative. As a result of this, a growing number of states have been attempting to pass bills that would legalize online gambling. However, there are still opponents to legal online gambling.
Despite the potential upsides from legal online casinos, as well as the growing trend towards legal online sports betting, there is still a stigma against online casinos. Some people associate online casinos with problem gambling, leading to debt and potentially increased crime rates.
While there is a negative association, modern online casinos are always careful to encourage responsible gambling. Also, when properly regulated, online casinos can be made to follow strict rules. These rules can include deposit limits and other tools to help players stay in control of their gambling. Without regulation, those that wish to gamble can still play at offshore sites, which may not have the same measures in place.
Illinois
Illinois is one state that currently has an active online casino bill in 2022. The bill, known as the Internet Gaming Act, was introduced in February 2021(3). It would allow up to 36 separate gambling sites, which would be able to offer slots, table games, and online poker. While the bill did gain early support, it has undergone a lot of changes since then and has still failed to pass. Currently, it’s unclear whether it will pass through the senate in 2022, but there does remain hope for fans of casino gaming in Illinois.
Indiana
In the state of Indiana, there have been similar efforts to pass bills that would legalize online casinos. The first of these bills was introduced in January 2021, aiming to help casinos that had suffered losses during the pandemic. However, this bill never advanced from the Committee on Rules and Legislative Procedure. In 2022, the Indiana General Assembly started the process again, introducing two bills that would introduce casino gaming to current online gambling legislation.
Both of the proposed online casino bills for Indiana would impose an 18% tax rate on sites operating in the state. The differences between them include details on what percentage of this revenue local communities would receive. Currently, the outlook is good, with BetMGM CEO Adam Greenblatt naming the state as a potential new market. In addition, an economic report estimated that the state would produce annual tax revenue of $500 million(4).
The Best US Online Casinos in 2022
While the legal online casino market in the US is still fairly new, there are already multiple sites to choose from. Players will have to check that a site is legal in their state before signing up, but most of the top sites are available in all legal states. Currently, the most popular US casinos for 2022 include:
- PointsBet – PointsBet is the fastest growing online sportsbook in the US and it recently launched its online casino. So far, this is only available for those in New Jersey or Michigan. It includes a dedicated mobile app and hundreds of exciting games, including slots, table games, and live dealer tables.
- DraftKings – DraftKings has emerged as one of the biggest and most popular gambling platforms in the US, offering both sports betting and casino games. The casino is now available in multiple states and provides some excellent promotions.
- BetMGM – BetMGM is partnered with the famous MGM Casinos and Resorts brand. The site is one of the best in terms of game variety, and it’s really easy to sign up and start playing if you’re in a legal state.
- BetRivers/SugarHouse – BetRivers, also known as SugarHouse, is one of the top online casinos in Pennsylvania and Michigan. The site is easy to use and offers a mobile app you can download for playing on the go. This casino has an excellent collection of games with loads of exciting slots to try out.
- Betway USA – Betway is a big name in Europe, offering casino gaming and sports betting to players all over the continent. It’s now launched services in the US, bringing its services to several states.
New Trends for US Online Casinos in 2022 and Beyond
The gambling industry is continually evolving, and the development of technology is at the heart of that. In just a few years, online casinos have become more accessible than ever thanks to new regulations as well as improvements to technology. 2022 will be an excellent year for online gambling in the US as more states look to potentially open up to regulation. In addition, new technology is always helping to make online casinos more exciting than ever.
Safety and Trust
One of the biggest trends for online casinos in 2022 and beyond is improved safety and establishing trust. Consumers have grown to trust online gambling more than ever, but online casinos still need to prove they’re safe and trustworthy for users to sign up. On top of this, most regulators around the world require online casinos to provide a high level of safety and safer gambling practices. This includes stringent ID checks as well as better encryption and two-factor authentication.
Cryptocurrencies
Over the next few years, the online casino industry will continue to be affected by technology, leading to new trends and big changes. Among these changes is the impact of cryptocurrencies and blockchain. Crypto casinos have been around for many years, but even the bigger, mainstream casinos have now started to accept crypto payments. Cryptocurrencies offer a way for users to quickly and safely deposit and withdraw funds. In addition, games built on the blockchain are probably fair and fun to play.
AR and VR
Speaking of games, technology is also being used to enhance the experience for players. The introduction of live casino games over the past few years has changed casino gaming forever, allowing players to enjoy more realism when playing online. Technologies such as augmented reality and virtual reality casinos could potentially change how people play online casino games forever.
While augmented reality and virtual reality have been around for some time, adoption of the tech has been slow. However, with the cost of virtual reality headsets falling and more developing experimenting with augmented reality, it may not be long before we see widespread adoption. Some of the biggest casino software developers, such as NetEnt have announced the development of VR games(5).
Social Gaming
A big reason for the success of live dealer games is that they add a more social element to online casino gaming. Being able to interact with other players and have a social experience is something that’s been missing from most online casinos. In 2022, it’s expected that US gambling sites will begin to implement social features, such as chatrooms, competitions and more.
Conclusion
The casino industry has experienced a lot of big changes over the past few years. Growing demand and better regulations have seen the number of players in the US grow dramatically. This has led to a huge increase in revenue for gambling sites, which will only grow in 2022 as more people sign up and start playing. It remains to be seen whether any new states will legalize online casinos this year, but Indiana and Illinois are both actively looking to introduce online casino bills. For states that have legal online casinos already, they can look forward to more innovations as technology helps make casino gaming even more fun. The best online casinos are always introducing new games and features that will attract more players.
Sources:
- Zernike, Kate. “New Jersey Now Allows Gambling via Internet.” The New York Times, The New York Times, 27 Nov. 2013, https://www.nytimes.com/2013/11/27/nyregion/new-jersey-opens-up-for-online-gambling.html
- “Andrew J. Bruck Acting Attorney General – Nj.gov.” New Jersey Division of Gaming Enforcement, https://www.nj.gov/oag/ge/docs/Financials/PressRelease2021/December2021.pdf
- O’Boyle, Daniel. “Illinois Lawmakers File Bill to Legalise Online Casino.” IGaming Business, 22 Feb. 2021, https://igamingbusiness.com/illinois-lawmakers-file-bill-to-legalize-online-casino/
- iDEA, and Heather Davis. “Idea News and Articles • Idea.” IDEA, 19 Jan. 2022, https://ideagrowth.org/idea-news-and-articles/
- Miller, George. “New Gaming Providers Put a Great Emphasis on VR Slot Games.” European Gaming Industry News, 5 Aug. 2020, https://europeangaming.eu/portal/latest-news/2020/08/05/75427/new-gaming-providers-put-a-great-emphasis-on-vr-slot-games/
