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State of Play’s TL;DR
- Washington, D.C. is weighing a bill that would authorize regulated real-money online casinos while also taking aim at unlicensed sweepstakes sites.
- The proposal is still moving through the legislative process and has not become law.
Washington, D.C. lawmakers are considering a bill that would create a regulated real-money online casino market while also addressing unlicensed sweepstakes sites.
It is still only a proposal, but the measure could reshape how the District handles online gambling.
The legislation, Bill B26-0656, is titled the Internet Gaming and Consumer Protection Act of 2026. According to a public hearing cited in testimony, the proposal would place legal online casinos under the oversight of the D.C. Office of Lottery and Gaming and add consumer-protection standards that are largely absent in the current sweepstakes gray area.
D.C. proposal links legal online casinos with sweepstakes enforcement
The bill was originally introduced in the spring. At the time, Office of Lottery and Gaming Executive Director Thomas R. Burnside told lawmakers the agency was aware of “more than 20 unlicensed online sweepstakes sites” operating in the district.
Burnside also described sweepstakes casinos as a “gray area” because district law does not currently specify what sweepstakes are. That helps explain why the proposal is being watched beyond D.C.: It pairs a potential legal online casino framework with a policy response to unlicensed operators.
If enacted, B26-0656 would require identity and age verification, anti-money laundering controls, and responsible gambling safeguards. The proposal also would provide funding for the Department of Behavioral Health and impose a regulatory assessment equal to 2% of each licensed operator’s gross gaming revenue.
What the bill could mean for the market
For operators, the clearest takeaway is that D.C. is considering a regulated path for real-money online casino gaming rather than leaving the market in legal limbo. Burnside cited Connecticut, Delaware, Rhode Island, West Virginia, Pennsylvania, New Jersey, and Michigan as states that already offer regulated online casino gaming.
The district is also weighing the possible effect on its existing lottery products. Burnside said some cannibalization of the D.C. Lottery’s iLottery could occur, but he testified that he believed annual online casino revenue would more than offset those losses.
Based on reporting by Ian Valentino for Deadspin.
