In the US, online casino gaming is huge. iGaming revenue recently reached $10.73 billion in 2025 according to the American Gaming Association, up 27.6% YoY and with the vast majority of revenue coming from Michigan, New Jersey, and Pennsylvania. There are still murmurs that Ohio is looking to join the small list of iGaming-friendly states, too, so let’s unpack the latest on that.
Ohio Attempted to Legalize iGaming Last Year, But the Bill Failed to Pass
It was last year when Ohio pushed heavily for online casino gaming to be legalized within the state. The push behind House Bill 298, introduced on May 20, 2025, came from Ohio Republican state representatives Brian Stewart and Marilyn John, who were the bill’s two primary sponsors. According to Stewart, the bill was the next step in Ohio’s pro-gambling movement, with the state and voters also having recently approved land-based casinos and legalized sports gaming from smartphones and computers.
As part of the bill’s proposal, a 28% tax on internet gambling revenue would have been implemented. On top of this, gambling operators would have had to pay $50 million per license, with the Ohio Casino Control Commission being the regulating force.
However, HB 298 failed to advance during the legislative session and ultimately stalled after receiving pushback. Since then, no immediate changes have been made as to how online casinos are handled in the state of Ohio. As of right now, it’s also unknown as to whether the state will look to revisit the issue in the near future.
Failure to pass the bill came as a shock to some considering how the pro-gambling stance that Ohio has taken over recent years, coupled with the fact the state may have generated anywhere from $400 million to $800 million extra annually through tax generation.
Sweepstakes Casinos Remain Legal in Ohio
Interestingly, sweepstakes casinos remain legal in Ohio and have been for close to a decade now.
These are a relatively new type of online casino where instead of betting actual cash, players use virtual Gold Coins and Sweeps Coins, with the latter able to be redeemed for prizes like cash transfers and gift cards.
The market itself is worth $10.2 billion in the US according to Grand View Research and it’s stirred up serious controversy over the past couple of years, as New York, California, Maine, Indiana, New Jersey, and a handful of other states have all either passed legislative bans against sweepstakes casinos or heavily restricted them, believing they should fall under the same legal umbrella as traditional online casinos.
Ohio did attempt to ban sweepstakes casinos through HB 298 last year as part of its broader iGaming legalization outlook, but because the bill didn’t pass into law it subsequently enabled sweepstakes casinos to keep operating within the state.
Even though players in Ohio are still unable to access regular online casinos, sweepstakes casinos remain a viable option, although the strong belief is that Ohio will soon again attempt to both legalize online casinos while excluding sweepstakes casinos, viewing them as a source for unregulated gambling.
US States That Currently Allow Online Casinos
When the US legalized sports gambling back in 2018, it was a culturally historic moment that has since created a market that’s now worth close to $20 billion.
The nation’s online casino market is significantly more limited, though, largely due to the high levels of stigma that surround games like online slots and blackjack.
As of right now, only eight states have legalized real-money online casinos, which are Connecticut, Delaware, Michigan, New Jersey, Pennsylvania, Rhode Island, Maine, and West Virginia, with all of these states generating significant tax revenue from the casinos they allow to operate.
What Next for Ohio’s iGaming Scene?
Since HB 298 was publicly stalled and failed to pass through the committee process, it’s left many Ohio residents wondering what will come next for the state’s iGaming scene.
Sports betting continues to thrive in the state since being legalized by Governor Mike DeWine in 2021, while sweepstakes casinos like Chumba Casino and Stake.us continue to operate in Ohio’s unregulated grey market area, much to the state’s frustration.
Many expected traditional online casinos to have been legalized in Ohio now considering how heavy the push for it was, but the attempts to do so remain stalled and it’s unknown when a fresh future attempt will be made.
For now, at least, Ohio residents will be able to keep engaging with sports betting and sweepstakes casinos, while online casinos remain off the table.