Online Casino Law in New Jersey Expires in Less than 12 Months

By Raymond
Published December 8, 2022

New Jersey was the first American state to legalize online casino gaming, allowing visitors and residents in the state to access a vast selection of gaming and betting platforms remotely. 

The bill was signed into law in November 2013, which legalized internet casinos for a period of 10 years. November this year marked its ninth year in operation, leaving just 11 months before the original law expires in 2023. 

The law revolves directly around access to online casinos as sports betting operates under a different bill, which was legalized in 2018. 

Online Casino Growth in New Jersey 

The Garden State was not only the first, but remains the biggest US market for online gaming, collecting revenue of over $1.3 billion in 2021. Naturally, the COVID 19 pandemic allowed the market to excel since many land-based casinos were not allowed to operate. 

Despite the pandemic restrictions being lifted, the online casinos industry in New Jersey managed to grow at a steady pace. In fact, the revenue collected in 2021 shows a 41% increase over the $970 million from 2020. The 2022 numbers are revealing yet another drastic increase of 26%, long after the restrictions have been lifted. 

Since 2015, the market revealed growth of at least 20% per annum, showing a steady climb from the $123 million collected in the first full year of operation in 2014. In 2022, analysts are seeing the market somewhat settling with revenue of $130 million to $140 million collected each month. 

Of course, this means the online casino industry now collects well over $1 billion each year in New Jersey.  

Extension for Another 10 Years 

Based on the incredible growth and large tax revenue collected from online casinos, there’s no doubt that online casinos will be legalized for yet another 10 years till November of 2033. In fact, the Tourism and Gaming committee votes were all in favor of the an extension. 

The decision consists of three steps, starting with the Senate (5-0 vote), then the Assembly, and finally the Governor who would need to sign the bill. At a gaming convention in Atlantic City, Governor Phil Murphy already stated that the bill will be approved. 

It was asked why it will only be extended for another 10 years instead of making it permanent law, which was answered by Ralph Caputo (state Assembly man). He said leaving it open allows for adjustments to take place, which might be required if online gaming has an impact on the in-person. He continued that online gaming could lead to more gambling addiction, especially after the COVID 19 pandemic. While they need the revenue, it’s important to practice caution to where it’s heading.