Guide to Legal Online Casinos USA

Legal Gambling States in the USA

States Where Gambling is Legal: Online Casinos

Sweepstakes Casinos: A Real Money Casino Alternative

Players who live outside one of the listed gambling states can legally play at a sweepstakes casino. Sweepstakes are the new free-to-play range of legal casinos providing games to players everywhere. They work using bonus coins, which players accrue and use to spin casino slots.

Sweepstakes casinos are cutting-edge gaming platforms providing the best free online gaming on any device. Throughout our extensive testing of these casinos, we found they're just as fun as playing at any of the licensed real money casinos you can find in the US. The key difference is that they're open to all and not restricted by location.

According to the American Gambling Association (AGA) estimations, more than $510 billion is spent by US citizens at offshore gambling sites yearly. Offshore casinos are unsafe, and many players don't realize that playing casino games and making bets at licensed online casinos in the USA means accessing fair gaming, being protected by consumer laws, and putting taxes back into your local economy. In short, it means a legitimate chance at winning real money prizes, safe bonuses, and the best online gameplay.

How Much Does The Offshore Industry Cost in Lost Tax? 

According to the AGA, the estimated tax loss to the US economy from offshore gambling is $13.3 billion yearly. The illegal iGaming market is estimated to be three times the size of the legal market in terms of revenue.

Offshore casinos vs. licensed online casinos

As cited in the AGA report, "with iGaming [casino gaming] only legal in six states, nearly half of Americans (48%) that have played online slots or table games in the past year have played with illegal online casinos". 

As the report highlights, it’s not like US players are choosing to play offshore, but rather that most don’t have a choice over where to play, as the majority of US states are yet to legalize online casinos.

However, onshore casinos are best for players who have the choice, as they guarantee your safety and payouts. Plus, the legal gambling industry contributes directly to your local economy through taxes and job creation. 

As offshore casinos operate outside US laws, there are no guarantees over product quality, service, or payouts. Moreover, you cannot complain about offshore sites should something go wrong, as nobody is regulating these sites.

US-Licensed Casinos	Offshore/illegal casinos
These sites are legally bound to provide fair and certified games.	May not provide fair or tested games.
Must payout all wins.	Don't have to pay out - there's nobody ensuring they do.
Advertise and offer fair bonuses.	Offer huge and irresponsible bonuses (usually with high wagering requirements) to make the site more attractive to players.
Must follow US consumer and gambling laws and respond to players' complaints.	Are not accountable to any local rules or players
Offer only regulated payment methods with secure data processing and handling.	There's a chance that your financial information will be misused if you gamble at an unregulated casino.
Pays taxes on revenue that is used locally to support the local economy.	Avoid taxes and licensing fees, depriving local economies of revenue.

State-Specific Licensing Regimes 

Each US state is responsible for enacting its own land-based and online gambling laws. Some states like New Jersey, Pennsylvania, Delaware, West Virginia, Michigan, and Connecticut have already launched legal online casinos. Where online gambling is legal, each state has an individual licensing and regulating body. 

• New Jersey Division of Gaming Enforcement: NJDGE 
• Pennsylvania Gaming Control Board: PGCB
• Delaware Gaming Enforcement: DGE
• West Virginia Lottery
• Michigan Gaming Control Board: MGCB
• Connecticut Gaming Division: CGD

US online casinos must be licensed state-by-state and online gambling laws by state change; there is no one licensing solution. This is costly and complex for operators who must comply with varying rules, taxes, and other conditions. 

Still, it also ensures extra security as platforms and software providers (like BetMGM, licensed in NJ, PA, WV, and MI) are audited and approved multiple times. The licensing body is also the regulator, ensuring licensed operators stick to the rules and providing fair, safe, and responsible gambling. 

Before any operator gets an iGaming or sports betting license, the software and entire platform are audited; only safe and accountable operators pass the tests and get approved. Once certified, operators not following the rules are sanctioned and fined. In the most extreme cases, a regulator can cancel a license.

How to Check a Gambling Site's License

So, each US online casino has to be licensed; this is online gambling 101, but how can you check an online casino's license? Legal US gambling sites and online casinos have a state-specific seal provided by the licensing body that links directly to the license info. It is shown at the bottom of the casino's website. 

Follow these steps to confirm any online casinos:

1. Go to the site
2. Scroll to the bottom of the homepage
3. Look for the state seal and click on it
4. Verify the license details

If you cannot find a licensing seal, it's likely the casino is not legal or safe, so don't play. Instead, pick from our state-specific best online casino lists. 

Licensed software at Legal Online Casinos USA

Like casinos, software providers are also regulated and licensed state-by-state. This ensures fair gaming and legitimacy. A strict licensing regime means only the best pass the test, so players enjoy the top games from popular suppliers. 

Some of our favorites that operate in the US include NetEnt, Evolution Gaming, IGT, Light & Wonder, and 4ThePlayer. Here are some of the guarantees provided by software licensing:

• Games Testing: Licensed casinos stock-tested and certified fair games. These have been tested millions of times to ensure the gameplay runs according to the rules and math model.
• Certified Payouts: Game RTPs (return to player) are verified over millions of spins. Some state commissions also have a benchmark RTP per game type.

On top of this, licensed casinos undertake regular random number generator (RNG) audits:

• RNG Audits: A casino’s RNG is responsible for game outcomes. Auditing ensures the casino draws unexpected results using a properly functioning RNG—a vital part of fair gaming. 

Safe Payments and Encryption

Licensed online casinos also have other safety standards, including secure payment methods and cutting-edge on-site encryption to ensure players' data, connections, and cash are safe while gambling online.

Complaints Procedures at Licensed US Gambling Sites

Licensed gambling sites abide by US consumer laws and the local gambling laws in your state. This means players can complain to the licensing authority if they've got a problem with a casino (although the first point of call is always to register a complaint with the casino). Find out more about the process in your location using the regulator links below.

• New Jersey
• Pennsylvania
• Michigan
• West Virginia
• Connecticut
• Delaware

Responsible Gambling: Know Your Limit

Online gambling should be a form of entertainment and fun, not a compulsion. However, as playing real money casino slots and other games can be addictive, all players should be aware of how to manage their gambling behavior and spot red flags. There's also a range of tools available at every online casino called responsible gambling tools.

Spending Limits 

Setting an upper gambling budget is a healthy practice. Players can do this in their online casino accounts by setting a daily, weekly, or monthly limit. Gambling with real money should always be fun and undertaken without causing financial strain. This means only spending what you can afford and not relying on winnings.

Time Limits

Players can set time limits and play time reminders. Time limits make you aware of how long you've been playing. This can be key for keeping a handle on gameplay in the world of exciting and immersive online slots that have fast spin-per-round speeds.

Time-Outs

Players who wish to take a break from playing can set a time-out period in their user accounts. During the set time limit, you won’t be able to access your account or play. The casino will also not communicate with you during this time.

State-specific Self-Exclusion Programs

Players looking for a more permanent solution to stop gambling can register for a state-specific self-exclusion program. Listing as self-excluded prevents players from joining any real money casino site in the state or playing and is designed to help problem gamblers stop. Players can register for self-exclusions via each state’s gambling commission and arrange it to last from six weeks to five years (for periods shorter than six weeks, take a time-out).

Nationwide support and information services

There are also several nationwide support programs and charities working specifically with gambling addiction:

• National Council on Problem Gambling (NCPG)
• Find state-by-state support services
• Have A Game Plan

Summary: Gamble Legally and Play it Safe

1. Playing offshore can be attractive, but it is not a safe option. If you live outside of a legal online casino state, try a sweepstakes casino instead.
2. Offshore casinos do not offer the same safety or testing guarantees as legal US online casinos. They also remove money and taxes from the economy.
3. Offshore casinos are not subject to US laws and consumer protections; licensed casinos are. Gambling laws ensure that legal US casinos stock legit and tested games.
4. Responsible gambling is a vital part of legal sites. At legal US casinos, you are encouraged to gamble safely and can use account limits and playtime reminders to budget.
5. Playing at licensed online casinos is better for you and the industry.

Find a Legal US Online Casino Now

Legal Online Casino FAQS

Where to Next?

References

• Contact Us. (n.d.). West Virginia Lottery. Retrieved February 21, 2024, from https://wvlottery.com/customer-service/contact-us/
• Complaint Forms and Procedures. (n.d.). CT.gov - Connecticut’s Official State Website. Retrieved February 21, 2024, from https://portal.ct.gov/DCP/Complaint-Center/Complaint-Forms-and-Procedures
• Have A Game Plan: Bet Responsibly. (n.d.). Have a Game Plan. Retrieved February 21, 2024, from https://haveagameplan.org/
• Help by State. (n.d.). National Council on Problem Gambling. https://www.ncpgambling.org/help-treatment/help-by-state/
• Home | PGCB. (2022). Pa.gov. https://gamingcontrolboard.pa.gov/?p=110
• iGaming | Delaware Lottery. (n.d.). Www.delottery.com. Retrieved February 21, 2024, from https://www.delottery.com/More/iGaming
• Patron Disputes. (2024). Michigan.gov. https://www.michigan.gov/mgcb/patron-disputes
• Sizing the Illegal and Unregulated Gaming Markets in the U.S. (n.d.). American Gaming Association. https://www.americangaming.org/resources/sizing-the-illegal-and-unregulated-gaming-markets-in-the-u-s/
• State of New Jersey. (n.d.). Www.nj.gov. Retrieved February 21, 2024, from https://www.nj.gov/lps/ge/patroncomplaints_faq_transition.html#:~:text=%22If%20you%20wish%20to%20file
• ‌Support Us. (n.d.). National Council on Problem Gambling. Retrieved February 21, 2024, from https://www.ncpgambling.org/support-us-6/