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The gambling legislation across the United States is one of patchwork and ever-changing nature, which each state being in full legislative control of gambling, including regulation of online casinos. In line with the continuous transformation which the digital age has brought upon various traditional industries, various states have been grappling with how to adapt the regulatory frameworks to keep up with the evolving landscapes, including the ones for online gambling.

Mississippi is one state with an interesting and complex regulatory body, where online gambling has been subject to stringent regulation. With an intricate path to legalizing and regulating online casinos, various parameters come into play when it comes to the evolving regulatory landscape around online gambling, including political, economic, and social considerations. Mississippi is just one state in which big selections of online casinos are available, but where the legislation is lacking behind: The same goes for online casino NY, where online gambling is illegal. However, in contrast to NY, Mississippi House passed a bill in February 2024 that would legalize online sports betting. But just like in NY, having legalized online sports betting is not equivalent to a legal online casino market.

The current state of gambling in Mississippi

The specifics about online casino legislation in Mississippi is one component within the broader context of gambling regulation within the state. Mississippi has had a long and rich history of gambling dating back to the colonial era. However, since the early 20th century, modern regulations started to shape, resulting in the state starting to impose restrictions on gambling activities. To this day, Mississippi still offers a large variety of gambling options. These include state-run lotteries, horse racing, and tribal casinos.

Furthermore, the state also permits commercial casinos, which was legalized through a constitutional amendment which passed in 1990. What these commercial casinos have brought to their respective regions are major economic contributions, benefiting many people in the regions. But even though the state has opened up to certain types of gambling, online casinos remain illegal. To many this is still a shock, especially taking into consideration how other states in the United States like New Jersey and Pennsylvania has legalized online gambling through state regulations, which contributes to a significant part of the states’ revenue.

The push for online casino legalization

Although still illegal, a push for online casino legalization in Mississippi has been building momentum for the past several years through various factors. Firstly, the success with online gambling in other states has not gone unnoticed, with New Jersey setting a good example on how a well-regulated online gambling market can generate substantial revenue for the state, while still prioritizing consumer protection.

New Jersey’s online gambling market generated over $1.7 billion in revenue, which is setting a precedent which many lawmakers in Mississippi find hard to ignore. Furthermore, the COVID-19 pandemic also added more wood to the momentum fire, an many traditional casinos temporarily closed. What people became aware of in this period was the vulnerability in relying solely on brick-and-mortar establishments for gambling revenue, which created new discussions about diversifying the gambling offers in the state, including consideration of online platforms.

Legislative efforts in Mississippi

A growing interest in online casino legalization has not been enough to legalize it just yet. Legislative efforts in Mississippi have been met with both support and resistance. The main legislative push for expanding gambling into online platforms in Mississippi has been the state budget process, in which various proposals relating to online gambling has been debated and negotiated often.

A key proponent of online casino legalization is the Mississippi Governor Tate Reeves, who has vocally been advocating for expanding gambling options in Mississippi, and who has also approved a bill to investigate the potential expansion of online betting in the state. The argument for this is built on how such activities would both provide a new revenue stream for the state, while also creating jobs and boosting the economy.

Legislative challenges

Despite efforts by Reeves and others, legalization efforts have been facing hurdles too. One main challenge is the political landscape, which is still largely in opposition to expanding gambling to online platforms. One concern among lawmakers is the potential social costs of online gambling, such as the risk of addiction, but also how these activities could impact vulnerable populations. Another challenge is the issue of balancing the interests of existing gambling stakeholders, including commercial and tribal casinos, who might perceive online gambling as a threat to their business.

Another obstacle to legalization efforts is the state’s constitutional framework. Whereas online sports betting could be legalized through a reinterpretation of existing laws, legalizing online casinos is not that straightforward, as it may require a constitutional amendment. To do so, a lengthy process would be needed to pass the amendment, since this would require two consecutive legislative sessions, and then it would have to be put through a public referendum. This route adds further complexity to the legislative process, making it a hurdle to get done.

The potential role of mobile sports betting

As of February 2024, mobile sports betting is seeming to soon be legalized in Mississippi, which can provide valuable insights into how an online gambling market could function in Mississippi. Depending on the revenue from such activities, such legalization could both demonstrate the strong demand for online gambling in Mississippi, and the state’s ability to effectively regulate and tax these activities.

Conclusively, the future of online casino legislation in Mississippi remains uncertain, because even with the momentum and growing support for legalization, the challenges reflects that the process will not be straightforward.