Indiana Could Have The Best Odds To Legalize Online Casinos In 2025

In 2025, Indiana Might Have the Highest Probability of Legalizing Online Casinos

Posted on May 1, 2025

 

Recently, Indiana state Senator Jon Ford, who is also the president of the National Council of Legislators from Gaming States (NCLGS), provided insights into the possibilities of Indiana legalizing online casinos.

Ford, who was speaking remotely via Zoom due to ongoing annual budget negotiations in Indiana, participated as a panelist in an East Coast Gaming Congress event. The panel discussion was titled “iGaming: Is 2025 The Year?”

The answer was simple: no.

As Howard Glaser, the Global Head of Government Affairs and Legislative Counsel for Light & Wonder, expressed to the audience at the Hard Rock Casino in Atlantic City, New Jersey, “iGaming is dead in every state this year.” Glaser served as a panelist at the event.

This also encompasses the Hoosier State, where earlier this year, attempts to legalize online casinos in Indiana were unsuccessful.

The panelists concurred that Indiana and New York appear to be the frontrunners for introducing this legal gambling option in 2025.

Ford attributed the shift in opinion against the legalization of online casinos to “a poor financial report from legislative services” released in February. This report proposed that if online casinos were legalized, up to 30% of traditional casino business would migrate online.

The industry refers to this as “cannibalization,” and the concerns regarding revenue shifts have not materialized in states where online casinos already exist.

“Quite honestly, we are really skeptical about the report’s validity,” said Ford.

The findings of the report greatly differed from a report by Spectrum Gaming Group last fall. According to the latter, there is minimal to no revenue cannibalization from established casinos in states where iGaming has been launched, as evidenced by their research.

New Jersey could potentially serve as a guide for online casinos.

Ironically, the discussion about Indiana and online casino gaming was happening in Atlantic City, the location of all nine of New Jersey’s casinos.

This is due to the fact that casino executives in Atlantic City had similar concerns about a dozen years ago. However, online casinos were introduced in the state in 2013. By collaborating with online casino operators, retail casino operators were able to collect about one-third of the revenue.

It was discovered that the overlap between retail casino visitors and online casino players in states like Pennsylvania and Michigan, which also have online casino industries, was much less than initially feared.

Alternatively, online casinos provide a new source of income for traditional casinos – a source that became a vital lifeline in these states during the months-long shutdown of casinos due to the COVID-19 pandemic in 2020.

Ford stated that many Indiana residents, whose communities gain benefits from the presence of a local casino, expressed concerns about the potential negative impact on their local economies due to the introduction of a new form of gambling.

Ford stated, “The pressure we experienced from locals was more than we anticipated. Ever since COVID, our casino dollars have benefited taverns and charity groups. They’ve been questioning what they stand to gain if we transition to iGaming.”

“Ford said that next year, there will be a fairly high chance for the legalization efforts of online casinos.”

“We need to focus on a few areas, such as education,” stated Ford. “In both chambers, we must clarify what iGaming entails and build a framework that allows locals to reap benefits from iGaming.”

Everyone desires a share of the benefits.

Glaser stated that the latter issue has emerged as a crucial element in debates over online casino legalization across the US.

“Glaser said the issue isn’t about how to increase the [gambling] revenue anymore; it’s about who receives what portion.”

Glaser referred to Illinois as “a robust gaming state,” noting the absence of online casinos. However, he pointed out that the widespread presence of video gambling terminals (VGTs) in the state adds complexity to the conversation.

“The industry made their argument successfully. The issue lies in a struggle for dominance, or deciding who gets what,” said Glaser.

Shawn Fluharty, a member of the House of Delegates in West Virginia – one of the mere six states where online casino play is legal – claimed that the states that have yet to address this issue are guilty of “legislical malpractice.”

Fluharty stated that online casino operators contribute to triple the tax revenue in West Virginia compared to the more well-known sports betting. This is a common ratio observed in the other five states as well.

Lloyd Levenson, a gaming law attorney and event host, informed the audience that in New York, unions representing employees of brick-and-mortar casinos have voiced their objections to the approval of online casinos.

However, Ford stated that such a discussion has not arisen in Indiana.

“Keeping the tax rate as low as possible is essential,” stated Ford. “If taxation is excessively high, individuals will persist in illicit offshore gaming. Our goal is to attract individuals to engage in legal betting.”

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