Massachusetts is back at the table on online casino legislation, with state lawmakers set to review two dormant proposals—House Bill 332 and Senate Bill 235—during a scheduled hearing on June 23.
Both measures aim to launch the Massachusetts Internet Gaming Act, handing regulatory control to the Massachusetts Gaming Commission (MGC). The plan would establish a legal framework for internet-based casino gaming and create two types of licenses.
Two-Tier Licensing System Proposed
Under the bills, Category 1 licenses would be available to the state’s three land-based casinos, each allowed to partner with up to two online platforms. Meanwhile, four Category 2 licenses would go to independent online operators without brick-and-mortar affiliations.
Each license would cost $5 million upfront, valid for five years, with renewals priced the same. A one-year provisional license, costing $1 million, would be offered during the application process.
Operators would face a 20% tax on gross gaming revenue—the same rate applied to online sports betting and below the 25% tax retail casinos currently pay.
Focus on Player Safety and Compliance
The bills include a suite of consumer safeguards: mandatory Know Your Customer (KYC) checks, statewide self-exclusion tools, anti-money laundering protocols, and strict ad regulations. Every platform must display a 1-800-GAMBLER banner and submit yearly responsible gaming plans, including staff training.
Paving the Way for Multi-State Play
A key provision would permit partnerships with out-of-state live dealer studios and allow Massachusetts to enter interstate gaming compacts. That could eventually place the state in the Multi-State Internet Gaming Agreement alongside New Jersey, Michigan, and Pennsylvania.
Divided Opinions and a History of Caution
Supporters tout new tax revenue and tech sector growth, especially as nearby states like Rhode Island and Connecticut have already embraced iGaming. Critics, though, raise concerns about cannibalizing foot traffic at existing casinos.
MGC Chair Jordan Maynard has voiced broader regulatory concerns, calling for a national self-exclusion list and questioning how player engagement tech could double as a tool for responsible gambling.
Massachusetts has a track record of moving slowly on gambling expansions. With the online lottery still in development and a measured approach to sports betting, a full rollout of online casinos—even with legislative progress—may still be some way off.
