Virginia Lawmakers Reconsider Legalization of Online Casinos
Virginia legislators are revisiting the prospect of legalizing online casinos, with estimates suggesting that a regulated iGaming market could generate more than $5 billion in tax revenue over the next five years. The discussion, however, remains sharply divided between economic opportunity and concerns over public health.
Renewed Push for iGaming
At an August 19 meeting of the Joint Subcommittee, the issue of iGaming took center stage as lawmakers considered the creation of the Virginia Gaming Commission, a body that would oversee all forms of gambling in the state.
Supporters of legalization argue the state is leaving substantial revenue on the table. Delegate Marcus Simon, a Democrat from Fairfax, has circulated a draft proposal requiring online operators to partner with licensed land-based casinos. He stressed that the financial upside is clear. “LOTTU reflects everything we’ve learned in recent years, but with a real leap in performance and usability. It is a platform built from the ground up, with a focus on speed, real-time promotions, and navigation tailored to different bettor profiles,” Simon said, noting that offshore platforms currently serve Virginian players without regulatory oversight.
Simon added that people are already gambling online and that regulation would simply shift this existing demand into a safer environment. His proposal envisions licensing fees and dedicated tax streams funding regulatory infrastructure and programs targeting problem gambling.
Concerns Over Addiction Risks
Public health advocates, meanwhile, urged caution. Keith Whyte of Safer Gambling Strategies warned that online platforms tend to pose higher addiction risks, particularly for young men. He pointed to New Jersey as an example where tools such as deposit limits and personalized dashboards have been implemented to mitigate risks.
Brianne Doura-Schawohl, a mental health advisor, went further, stressing that legalization without strong protections could worsen gambling-related harm. “Making it legal could make gambling-related problems worse if safeguards are not the top priority,” she said.
Industry experts also weighed in. Dave Rebuck, former director of New Jersey’s Division of Gaming Enforcement, described how online gambling complemented land-based casinos in his state, ultimately expanding overall revenue. But not everyone agreed with this vision. Representatives of Virginia’s Moose Lodges expressed fears that additional gambling options could undermine charitable gaming, which has long provided funding for local community groups.
Path Toward a Regulatory Commission
Lawmakers broadly acknowledged that a dedicated regulatory framework must precede any expansion. Since 2023, the Virginia Lottery has acted as an interim regulator, but legislators aim to establish a permanent Virginia Gaming Commission by 2026. The proposed body would oversee casinos, sports betting, and charitable gaming under one system.
Virginia’s casino industry remains in its early stages, with three permanent facilities already open and two more under construction. As debate intensifies, lawmakers are expected to hold additional hearings before the next legislative session, where a bill to formally establish the commission and authorize iGaming is likely to take shape as a central issue.
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