Virginia Lawmakers Weigh Legalizing iGaming Amid Revenue and Regulatory Concerns

By | August 21, 2025

In Richmond on Tuesday, Virginia lawmakers examined the potential legalization of iGaming, a digital form of gambling that allows users to play casino-style games such as slots, poker, and roulette directly from their phones. While the activity remains illegal in the state, it continues to thrive through unregulated channels.

Delegate Marcus Simon presented a preliminary version of a bill to the Joint Subcommittee to Study the Feasibility of Establishing theVirginia Gaming Commission. His proposal seeks to legalize and regulate iGaming, estimating it could generate up to $5 billion over five years and significantly increase the state’s tax revenues.

Regulated Market as a Tool Against Illegal Gambling

Simon’s proposal aims to bring the existing illegal market under state oversight. “Sort of starve the bad actors out of business by providing a legal, regulated and taxed alternative that’s more consumer friendly,” he said during the hearing.

His draft bill includes provisions requiring all online gaming services to partner with Virginia’s brick-and-mortar casinos. This approach would ensure local involvement and accountability, while license fees would support the infrastructure needed for enforcement.

Simon also emphasized that online gambling is already prevalent: “This is revenue not getting accessed by the Commonwealth, we’re getting zero percent,” he said. “And this doesn’t create the online gambling market. They’re already doing it.”

Stakeholders Voice Support, Caution, and Opposition

The hearing included diverse perspectives, with some highlighting the opportunity for safer gambling practices. Keith Whyte, President of Safer Gambling Strategies, maintained a neutral stance on legalization but pointed to harm-reduction features that other states have successfully implemented.

“Players could be encouraged, and even incentivized, to take control through deposit limits, time limits, budget calculators and personalized activity dashboards,”Whyte noted, referencing consumer protection strategies used in New Jersey.

Not everyone, however, supported the move. Representatives of long-standing gaming organizations, like Virginia’s Moose Lodges, expressed concerns about the state’s capacity to regulate the gambling it has already legalized. Moose Lodge spokesperson Brooke Archambeau stated, “Virginia needs to get its own house in order before considering a new and risky form of gaming like iGaming.”

Meanwhile, Dave Rebuck, former Director of New Jersey’s Division of Gaming Enforcement, highlighted that iGaming could benefit the broader industry rather than cannibalizing it. “iGaming was complementary and helped the land-based casinos,” Rebuck asserted, pointing to New Jersey’s experience as the first state to legalize online gambling.

On the other hand, gambling policy consultant Brianne Doura-Schawohl urged caution, warning against hastily legalizing a system simply because illegal use already exists. “Do you make this decision to legalize based upon the people breaking the law right now?” she asked. “Or do you believe this is what’s really best for the Commonwealth and what the people want.”

Next Steps Toward Regulation

Lawmakers acknowledged that before adding new forms of gaming, Virginia may need to establish a dedicated regulatory body. Plans for a state gambling authority are expected to be introduced in the 2026 legislative session, potentially laying the groundwork for iGaming legislation to follow.

Source:

“iGaming, a form of online gambling, debated by Virginia legislators”, wvtf.org, August 19, 2025

The post Virginia Lawmakers Weigh Legalizing iGaming Amid Revenue and Regulatory Concerns first appeared on RealMoneyAction.com.

Leave a Reply

Your email address will not be published. Required fields are marked *