A panel discussion about the future of gambling in Maryland recently was held at Morgan State University’s Center for Data Analytics and Sports Gaming Research. The event was attended by several Maryland legislators and iGaming experts, who came to the agreement that legalized online casino gambling in Maryland is inevitable.
Retail sportsbooks launched there in December 2021 and mobile sportsbooks debuted in November 2022. State Senator Ron Watson sponsored an online casino bill in the 2023 session; it didn’t advance but he said he will reintroduce the measure next year.
Also, the Maryland Lottery commissioned the Innovation Group to conduct an iGaming feasibility study to be completed and presented to legislators in November. Expanded gambling in Maryland would require a statewide voter referendum in 2024.
Former state Del. Darryl Barnes said one thing Maryland legislators learned from sports betting is that they need to take their time setting up an iGaming system that works for the state. “We’re not rushing,” Barnes said on the panel.
A major consideration regarding expanded gambling is its potential to increase gambling addiction. West Virginia state Del. Shawn Fluharty, who attended the panel and helped his state legalize sports betting and online casino, said developing a legal, regulated iGaming market provides dependable data about problem gambling that can be used for research and decision-making.
According to USBets, Fluharty said at one point, “You need the data to do the research, but you need the legislation first before you get to anything. You’re not getting the data in an unregulated market.”
John Pappas, senior vice president of government affairs at GeoComply, added, “You want to have as many customers gambling within their means as possible. No operator benefits from a problem gambler. That person is on your site for a very short time because either they’ve run out of money or they’ve come to a conclusion that they shouldn’t be gambling anymore.”
Balancing the problem gambling issue, some panel participants pointed out online casinos’ ability to bring in more revenue for the state and provide consumer protections. Fluharty noted online casino gaming has generated significantly more revenue than mobile sports betting in states that have both.
Per USBets, Fluharty said, “It takes nearly three months of sports betting in West Virginia to raise enough revenue that we can do in one month with iGaming.” He added when Maryland legalizes online casino gambling, the state will receive an enormous influx of tax revenue and officials will need to determine in advance how to distribute it.
In addition, Fluharty said that if Maryland legalizes online casino gaming, there will be a flood of tax revenue. Figuring out what to do with that revenue will be critical, the legislator advised.
Additionally, Pappas said a regulated market can benefit Maryland consumers by offering protections that are not currently available. He said, “I encourage you to go home, type, ‘Can I play online poker in Maryland?’ and tell me what you see. You’re going to be directed to multiple affiliate sites that say, ‘Come to this site and play. It’s totally legal. It’s totally legitimate.’ It’s not legal. It’s not legitimate.”
Barnes pointed out Maryland’s sports betting legislation was designed to offer opportunities to minority and female-owned businesses, and any online casino legislation would do the same. Per USBets, he said, “A large part of the priorities will be what we already did in sports betting, looking at diversity, equity and inclusion and how we get more minorities to participate in this industry.”
