Massachusetts has joined the ranks of US states proposing legislation for the legalization of online casino gaming. Senator Paul Feeney and Representative Daniel Cahill have proposed two bills that seek to legalize online casino gaming in the state, where each of the 3 casinos in the state could partner with two online casino operators.

The movement to legalize online casino gambling in the United States is gaining momentum, with Massachusetts becoming the latest state to consider legislation. State Senator Paul Feeney and Representative Daniel Cahill have just introduced companion bills, SD 2240 as well as HD 4084, aiming to regulate and license online casinos in the Bay State.

While Massachusetts lawmakers push for legalization, the broader US online gambling industry faces increasing scrutiny. However, state governments are also eyeing online gaming as a potential source of much-needed tax revenue. Massachusetts now joins a growing list of states exploring online casino expansion, with multiple legislative efforts underway across the country.

Massachusetts online casino bills

The proposed Massachusetts legislation would grant regulatory authority to the Massachusetts Gaming Commission, enabling it to oversee online casino operations. Under the bills, the three existing casinos in the state would each be permitted to partner with as many as two online operators, while an additional four companies could obtain licenses to run online casino platforms independently.

The proposed legislation would allow a variety of casino games, including blackjack, poker, roulette, craps, slot machines, and card games. The bills set a 20% tax rate on online casino revenue and require a $5 million licensing fee for an initial term of five years, with a $5 million renewal fee for each subsequent five-year period.

Nationwide online gambling efforts for expansion

Massachusetts' legislative push is part of a broader national trend. Several states are actively considering online casino legalization as they seek new revenue sources.

In Virginia, for example, lawmakers recently tabled a proposal to expand online gambling, opting to study the proposal further before making a concerted push in 2026. Similarly, Illinois Governor JB Pritzker has hinted at the possibility of including online casino legalization in his proposal for the state budget as a strategy to help bridge the state's deficit of $3 billion. Maryland, also facing a $3 billion shortfall, is considering online casino legislation after a bill successfully passed the House in 2024.

Other states, including Indiana, Wyoming, and New York, are also in various stages of online casino legalization discussions. With economic concerns mounting, more states are weighing the benefits of tapping into the growing online gaming market.

Other gambling-related bills in Massachusetts

In addition to the online casino bills, Massachusetts lawmakers are set to engage in significant gambling-related discussions this legislative session. State Senator John Keenan has introduced SD 1657, a bill modeled after the SAFE Bet Act, which aims to strengthen responsible gambling measures.

The bill also includes a proposed tax rate increase for sports betting, raising it from 20% to 51%. A similar proposal last year was overwhelmingly rejected, but Keenan is renewing his push for stronger regulations and increased state revenue from gambling activities.

What's next for online casino legislation in Massachusetts?

As discussions continue, Massachusetts lawmakers will have to navigate both industry opposition and public concern over gambling expansion. Proponents argue that regulated online casinos will generate substantial revenue for the state while providing consumer protections. Critics, however, raise concerns about potential increases in problem gambling and regulatory challenges.

With Massachusetts joining a growing list of states exploring online casino legalization, the nationwide conversation on digital gambling is heating up. Whether the Bay State moves forward with legalization remains to be seen, but it is clear that lawmakers are seriously considering the potential economic benefits of the industry.