In 2010, history was made in the U.S. iGaming industry. For the first time, a legislative body in the U.S. passed a bill legalizing certain types of online gambling, although that bill would be vetoed in March 2011. But less than two years later, on February 26th, 2013, internet gaming was ultimately legalized in New Jersey.
As the first U.S. state to pass a bill legalizing gambling, New Jersey’s iGaming industry became largely an experiment – and one that did well. The state’s move attracted national operators and innovation, and served as a model for other states that soon came to adopt iGaming as well. Besides Delaware, which also passed a bill to legalize iGaming in 2013, Pennsylvania and West Virginia followed in 2019, Michigan and Connecticut in 2021, and Rhode Island in 2024.
After legalization, the industry more than took off. It quickly grew into a multibillion-dollar business for the state. More and more operators chose to target New Jersey, as the relatively straightforward laws made it a landscape easier to navigate than many others.
But a global increase in iGaming operators has also brought rivals. Some players choose to play at online casinos based outside of New Jersey, meaning the state doesn’t generate taxes from the gambling institutions. These VPN-friendly casinos let players play casino games from wherever they’re situated, and players can find the full 2025 list of such international casinos at CardPlayer.com.
The iGaming industry has featured faster developments and more innovations than the traditional casino sector, providing users with realistic experiences through so-called live dealer games that let players stream and participate in a real, physical game from the comfort of their desktop or mobile devices. Overall, the popularity of iGaming has sometimes even exceeded that of land-based casinos.
While taxes from online gaming have generated substantial income for the state of New Jersey, the tax policy has been developed and refined over the years. Ultimately, higher effective taxes squeeze online casinos’ profit margins while increasing tax revenue.
As revenue grew, it hasn’t been just legislation regarding taxes that tightened. Laws ensuring operators promote responsible gaming also started affecting online gambling companies. The state focused on expanding tools like self-exclusion, helplines, and other preventative measures that aim to reduce problem gambling and help players take control of their own habits.
This year, the state of New Jersey has also proposed new, mandatory rules for gambling operators. These have been in the works of New Jersey’s Division of Gaming Enforcement (DGE) for years, and aim to standardize the practice of screening for and preventing problem gambling.
There would then be a list of automatic triggers that indicate a player at risk and prompt a due diligence review, provide the player with resources, and shield them from gambling marketing.
“Our responsible gaming best practices for internet gaming are being turned into regulations,” says Jamie McKelvey, the DGE’s Assistant Bureau Chief.
Now, 15 years after it all started, we can look back at massive progress throughout the industry that’s rippled out over not just the entire US, but the world as a whole.
In 2013, the iGaming market was new and undeveloped, but the last decade has come with crucial maturation, adjustments, and technological developments that define the way online gambling looks today.
