Bills Could Establish Online Casinos in Hawaii Regulated by State
State-regulated gaming is not available in Hawaii, but that could change in 2025 if a pair of bills are passed that could lead to online casinos and other forms of gambling.
Two Hawaiian state bills could lead to online casino legalization.
Key Facts:
- Senate Bill 1507 would create a Hawaii State Lottery Commission that could establish online casinos and regulate the same
- Hawaii could finally get a state lottery and potentially participate in multi-state lotteries like Mega Millions
- Separate bill would make poker card rooms legal in the island state
For the third consecutive year, the Hawaii legislature is weighing proposals to legalize gambling, a significant move for a state known for its strong opposition to the industry.
Several bills are under consideration in 2025, including measures that could establish a state lottery, online casino gaming, sports betting, and a charitable card room. While previous attempts to introduce gambling have failed, this year’s bills offer some key differences that could change the outcome.
Lottery and Online Casino Gaming Proposed
Senator Ron Kouchi and Representative Nadine Nakamura have introduced companion bills (SB1507 and its House counterpart) that would create the Hawaii Lottery and Gaming Corporation (HLGC). This new state agency would be authorized to offer online lottery, poker, and casino games.
Interestingly, the bills explicitly prohibit the HLGC from offering sports betting. The legislation also allows the corporation to partner with other states for multi-state games and offer free-play games and sweepstakes to attract tourists. The bills are currently awaiting committee assignment.
Sportsbooks have been legalized rapidly across the United States since the Supreme Court ruled and cleared the way for gaming at the state level in 2018.
However, states have been more hesitant to legalize online casinos. If Hawaii were to do so, it would be just the second state to authorize such gambling in the last three years.
Charitable Card Room in the Works
Another bill, HB1466, proposes a separate regulatory body and would establish a single charitable card room. This facility would operate similarly to card rooms in other states, with players paying membership fees and a “consumption tax” on games, with revenue earmarked for housing development.
Sports Betting Makes a Comeback
Despite being excluded from the lottery and casino bills, sports betting is back on the table. HB 1308/SB 1569 would legalize sports wagering, marking another attempt to introduce this form of gambling after similar proposals failed in 2023 and 2024. Previous sports betting proposals were often tied to specific funding measures, such as wildfire relief, but this year’s effort stands alone.
Online Casino Gaming Could Be a First
The proposed legislation doesn’t limit gaming to in-person establishments. The focus appears to be heavily on online platforms, raising the possibility that Hawaii could become the first state in the US to legalize online casinos without any permanent physical casinos.
The bills define lottery games broadly, potentially encompassing online interactive instant win and draw games, and explicitly include poker and casino games under the HLGC’s purview. The language suggests the corporation could develop its own iGaming platform, although the extent of vendor partnerships remains unclear.
