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Read Full BioMassachusetts lawmakers are set to begin a conversation around the legalization of online casinos.
The Joint Committee on Consumer Protection and Professional Licensure has scheduled discussions over House Bill 332 and Senate Bill 235 on June 23. Both bills aim to establish and regulate online casinos in the Bay State.
Sen. Paul Feeney and Rep. Daniel Cahill introduced the bills in February, aiming to bring Massachusetts in line with neighboring states that already have legal online casinos.
Key Provisions of Online Casino Bills
As companion bills, House Bill 332 and Senate Bill 235 have nearly identical language.
Both propose the creation of a new Chapter 23O in the General Laws, titled “Massachusetts Internet Gaming Act.” The chapter defines the Massachusetts Gaming Commission as the regulator and its responsibilities.
Key licensing provisions include:
- Ten total licenses, which are divided into two categories. Category One gives the state’s three retail casinos two licenses. Category Two allows for four untethered licenses for outside operators.
- License Terms: Licenses will be valid for five years. The initial cost and annual renewals are $5 million. A one-year $1 million “fast-start” provisional license will be available while an application is pending.
- Taxation of 20% on online gaming revenue. Promo-credit deductions will be gradually capped after 2028.
The proposed legislations also define responsible gaming (RG) and consumer safeguard requirements:
- Statewide self-exclusion option and a mandatory 1-800-GAMBLER banner on every platform entry.
- Mandatory RG staff training and annual RG plan.
- Strict Know Your Customer (KYC), data security, and anti-money laundering (AML) requirements.
- Ban on “deceptive, false, misleading, or untrue” advertising or advertising to individuals under 21.
The bills also permit live dealer studios to be located outside of Massachusetts. That is an important provision as it will allow operators to save money by streaming from existing studios.
Additionally, they permit the Gaming Commission to enter into “internet gaming reciprocal agreements” with other jurisdictions.
That will pave the way for Massachusetts to eventually enter the Multi-State Internet Gaming Agreement. The agreement enables poker players from several states to compete against one another online. Part of the agreement are New Jersey, Nevada, Delaware, West Virginia, Michigan, and Pennsylvania, which joined in April.
Tax Revenue Creation Versus Resident Protection
Proponents of online casinos argue that neighboring Connecticut and Rhode Island already have online casinos, meaning Massachusetts residents are already engaging in online gambling but contributing tax revenue elsewhere.
Some stakeholders also argue that regulated iGaming will generate tax revenue, high-paying tech jobs, and new investments for the state.
As with similar efforts in other states, the retail casino sector and labor unions are opposed to online casinos, fearing that they will cannibalize their business.
Another possible prominent opponent could be Jordan Maynard, the chair of the Massachusetts Gaming Commission. Maynard recently called the US gambling industry a “highway without speed limits,” pointing to a lack of adequate and consistent regulatory oversight at a national level.
Maynard says that as a regulator, his job is to protect the residents and visitors of Massachusetts, rather than industry growth and profits.
Given his stance on stricter gambling advertising and national responsible gaming efforts, it may take some convincing to get him on board.
iGaming in Massachusetts? Don’t Bet on 2025
Massachusetts has taken a slow approach to gambling expansion. The state took nearly three years to legalize retail casinos and an additional four years to legalize sports betting.
Meanwhile, online lottery took even longer. Lawmakers made their first attempt in 2016, and after multiple failures, Massachusetts legalized online lottery in July 2024, with a target launch date of fall 2025. However, a few months later, lottery officials revealed a delay in funding, pushing the target launch for spring 2026.
With that in mind, online casinos are likely to remain only a topic of discussion in 2025.
