Lottery officials oppose legalization of Massachusetts online casinos

Lawmakers in Massachusetts are making an effort to legalize online casinos, but the latest proposal has drawn more backlash than support from key stakeholders. The latest comes from state treasurer Deborah Goldberg, who also serves as chair of the Massachusetts State Lottery Commission. The Bay State is planning for a launch of internet lottery games in 2026, and Goldberg indicated that legalizing online casinos in Massachusetts would not only undercut the lottery's efforts, but potentially derail it altogether.

In July 2024, Gov. Maura Healey signed off on the 2025 Massachusetts fiscal budget that included authorizing internet lottery in the state. While the hope was for the iLottery launch this year, it has since been pushed back to summer 2026.

With the platform still yet to debut, Massachusetts lottery officials are trying to stay present in regard to potential competition – including legal casino apps in Massachusetts. 

Neighboring states like Connecticut and Rhode Island have legalized online casino games for real money, but Goldberg expressed concern that online casinos, offering similar games to the soon-to-launch iLottery, would create a level of competition that the state lottery would not be able to hang with.

The state treasurer said that legal online casinos would have a better ability to advertise and market to customers while offering more incentives – such as online casino bonus codes – than the lottery.

Because of all these factors, Goldberg said that she is "firmly against iGaming" in Massachusetts, emphasizing that it's "my top priority."

Goldberg said during a recent Greater Boston Chamber of Commerce event that the coming Massachusetts internet lottery could generate around $70 million in profits within its first year and rise up to $360 million after a decade of operations.

Conversely, Rebecca London, a senior government affairs manager at DraftKings, projects that MA online casinos could reach upward of $200 million in annual revenue for the state. With iGaming, though, reported studies suggest that Massachusetts would lose $100 million in annual gaming taxes as well as $62 million in non-gaming taxes because MA online casinos could lead to a decrease in foot traffic to existing land-based casinos.

That is certainly one major reason why Wynn Resorts – operator of the Encore Boston Harbor commercial casino – has voiced opposition to legislation that would legalize online casinos in MA.

Proponents of legalization have emphasized that authorizing MA online casinos would help further protect state residents who are already gambling online with offshore, illegal sites. But that potential cannibalization of the state lottery and land-based casinos has created a divide about legalization.

Legislators have discussed House Bill 4431, which would create up to nine online casinos in MA, but it has not made much progress toward passage. That said, it remains as one of the "most popular bills" on the state legislature's website.

Grant Lucas