Wyoming Lawmakers File Online Casino Bill After Positive Studies

The Cowboy State might be the next U.S. state to have an online casino industry within their territory, as local legislators are planning on filing for online casino legislation for 2025. 

This decision came about after a study from the Spectrum Gaming Group resulted in a positive result as far as the potential impact of iGaming and real money online casino offerings could have on the state.

Will Wyoming be the Next iGaming State in the U.S.?

Wyoming Rep. Robert Davis confirmed that he would refile online casino legislation for 2025 due to findings from the study that legalizing iGaming in the state will raise Wyoming revenue without compromising other existing gaming returns,

“The iGaming portion sounds good. It doesn’t support any cannibalization and it looks to be relatively easily implemented based on the things the state of Wyoming currently has going for it,” Rep. Davis noted.

This decision developed after Rep. Davis stated that he would wait for the study results to decide whether to file a Wyoming online casino bill back in September. The promising findings are now the driving forces for Rep. Davis who plans to file a bill in December.

However, while Rep. Davis is looking forward to the online casino legislation, he is uncertain of its reception,

“I plan on going ahead and introducing it. Hopefully, we can get action on both sides of the chamber and get it going. What the appetite will be, I’m not sure.”

Spectrum Gaming Group Presented Key Findings on Possibility of Wyoming Online Casinos

Spectrum Gaming Group, a non-partisan consultancy that specializes in the economics, regulation and policy of legalized gambling worldwide, presented their study to the Wyoming Gaming Commission.

According to their findings, the study projected Wyoming online casino revenues are promising –  in year one, the projections of the study ranged between $93 million to $138 million in year one, then growing to $162 million to $199 million by year five. 

In terms of state tax revenues, those numbers would result in $20 to $30 million in year one, reaching up to $40 million in year five. These indicators point out to the possibility of Wyoming becoming one of the states to have the best online casinos for U.S. players.

More importantly, the study also advised that results in other states show iGaming is “accretive rather than cannibalistic to the casino and distributive gaming sectors.” This means that having an online casino industry in the Cowboy State can benefit the state’s gaming market by cultivating it and providing players with more options without compromising its long-standing gaming sectors.

Currently, Wyoming’s gaming market is made up of online sports betting, three tribal casinos, charitable gaming, and three racetracks with 39 historical horse racing facilities. There are also skill-based amusement games at bars, truck stops and smoke shops.

Reception of the Study

The announcement of Rep. Davis got several reactions from the casino industry. Steve May, Senior Executive for Regulatory Affairs of GLI, addressed the commissioners that getting the ball rolling to have an online casino market in Wyoming is the right direction, as the state can successfully regulate online casinos for its benefits just like it does with sports betting, 

“If this is put on your plate, you’ll be ahead of the game because you’ve been regulating online sports betting for a while now. If you do get iGaming, I think it will fall right in line with sports betting.”

Meanwhile, co-founder of the iDevelopment and Economic Association Jeff Ifrah urged the state to give residents the option of accessing online casino offerings,

“The recently released Spectrum gaming study is just the latest to find that iGaming doesn’t steal revenue from land-based gaming but complements it. In addition, legal, regulated iGaming creates consumer protections and more tax dollars for the state – neither of which exists in Wyoming’s current unregulated iGaming market. The highly pervasive illegal sites that Wyoming’s residents are already accessing pose significant risks to players and offer no tax revenue to the state. Now is the time for Wyoming to embrace the future, protect its residents and reap the rewards.”

Tribal Casinos Have Questions about iGaming

However, tribal casino operators expressed their concerns on the potential impact iGaming will have on their business.

Commissioner Jenni Wildcat of the Wyoming Gaming Commission wanted to clarify some of Spectrum Gaming’s findings regarding its conclusion that online casinos would not impact tribal gaming. Wildcat, also a member of the Northern Arapaho Tribe, stated that her tribe performed their independent study and reached a different conclusion, 

“I know the Northern Ara tribe has done a study. It shows a huge impact from iGaming on our brick-and-mortar properties in the negative.”

Wyoming tribes have land-based sports betting locations but do not offer online services. Independent sports betting operators who cater to online needs are mandated to geofence their service from tribal territories.

Spectrum Gaming Group’s Response

Spectrum Gaming Group representative Matt Robb replied that they used the Michigan iGaming as a comparison metric,

“Michigan, as you know, has commercial and tribal casinos and the tribal casinos operate iGaming as well. And we have not seen a decline in Michigan retail or bricks and mortar gaming going to casinos as the iGaming has expanded. Now, we’ve seen growth almost come to a halt but we haven’t seen it reversed. We haven’t seen people substituting casino trips for sitting in their living room playing on their phone.”

That said, Rep. Davis wants online casinos to have more freedom, 

“The tribes are going to be a critical component, there’s no doubt about that. I believe brick-and-mortar and online gaming cater to two different types of people.”

Rep. Davis also stated that he is not against tribes hosting online casino services and is open to having those discussions,

“I don’t really have an opinion on that. “There’s a lot of conversations to be had on the logistics of how this could be rolled out. Do they even want to participate?”

Wyoming Legislative Session set to Discuss Online Casino Bill

The state legislative session will run from January 14 to March 6, 2025, and Davis has enough time to refile the online casino bill.

Back in 2023, Wyoming filed the online sports betting bill in a short session, and it was passed this year. iGaming proponents hope to achieve the same feat, but Rep. Davis knows that it still has a long way to go,

“There will be an educational component. Sports wagering has a lot more exposure than iGaming. Everyone is talking about sports wagering, ‘Did you see the game, did you get in on the action?’”

Rep. Davis also believes that the study results will help his case, especially when the other legislators inquire about potential revenue for the state, 

“There’s always a need for additional revenue. The study should help support the bill, give it some scientific factors behind it. Instead of just saying this is what we think, now we have the study saying this could occur.”

The prospect of online casinos in Wyoming will begin in 2025. If legislators are swayed to support and pass the online casino bill, it will be the catalyst for laying down the foundation for iGaming in the Cowboy State.

But until then, we still have to wait for online casinos and crypto casino options within the state.