Americans Spend Record $27 Billion On Online Gambling
State-sanctioned online casinos and sportsbooks generated $27.1 billion in gambling revenue from US players in 2025.
These sportsbook apps and websites took in $16.37 billion last year, while online casinos won $10.74 billion.
Both amounts rose by more than 20% compared to 2024. American online casino losses are growing faster than sports betting losses.
Eight states sanction online casinos, while 32 regulate online sports betting.
States collected more than $6 billion in taxes on online gambling revenue in 2025. The largest online gambling states include Michigan and Pennsylvania.
Source: State data compiled by the American Gaming Association, published Feb. 26, 2026.
US Online Gambling Not Included
The $27.1 billion figure is enormous, but it does not tell the whole story. In addition to regulated platforms, Americans lose money through online gambling via:
- State-sanctioned online lotteries
- Regulated and unregulated fantasy sports
- Unregulated sweepstakes and “social” platforms
- Unregulated house-banked casinos/sportsbooks
- Unregulated lootbox and skins gambling on video games
- Federally regulated prediction markets
How Much Was Bet Through State-Sanctioned Platforms?
Americans wagered $166.94 billion on sports in 2025, a record high. No comparable figure exists for online casinos, which include digital slots and table games.
The total amount wagered through online casino games is much higher than the amount wagered on sports, despite the lack of a precise figure for online casinos.
The total amount wagered is called the handle.
Why US Online Gambling Revenue Matters
More Americans are experiencing problem gambling as regulated and unregulated forms of online gambling continue to grow and become normalized.
While state-regulated platforms provide some responsible gambling safeguards, these tools and features are often ineffective. States also have a conflict of interest in collecting taxes on a product they regulate, which can be both addictive and harmful.
Still, features like self-exclusion can help those with severe addiction.
Betting addiction statistics show that half of online bettors experience problems. One recent study found that just 4% of online bettors were in the green over a five-year period.
Policymakers, regulators, and advocates face almost insurmountable challenges in reducing harm from a wide range of online gambling products.
Public pressure could be mounting to address sports betting. A recent Pew poll found that a growing number of Americans view legal betting to be bad for society.
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