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Recapping a Year of Gaming Law Movement in California
Numerous factions of the gaming industry continued and resolved disputes over the course of 2025, affecting how people play in the state.
As the most populous state in the US, California is an important jurisdiction for the gaming industry even though its laws ban most forms of online gaming. Because of California's importance, legal disputes over gaming in the state in 2025 touched nearly every sector of the industry. Claim your Golden Nugget Casino welcome bonus here:
Card rooms prevail in litigation initiated by tribal casino operators
One of the longest-standing disputes over gaming in California moved closer toward a final resolution in October. That's when a superior court judge in the state dismissed a lawsuit filed by numerous tribal casino operators challenging the legality of card rooms in California.
While the tribal bodies have appeal avenues, the dismissal means that for the time being, card rooms in California can continue to offer player-banked games with real money prizes. This litigation could ultimately go to the California Supreme Court, so a definitive decision might still be years away.
Matters elsewhere in the state were more pertinent for the potential future of any of the top online casinos when it comes to California. A new law may help clear the way for residents to use FanDuel Casino bonus codes in coming years.
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Sweepstakes casinos get the boot in California
California enacted a new statute that bans the operation or promotion of sweepstakes casinos in October as well. The law takes effect on Jan. 1, 2026, and makes it illegal to offer casino-style games online with potential real money prizes on a dual-currency model or promote such games.
This law does not impose any change to the legal status of online casino games for real money in California. However, the lack of sweepstakes gaming could spur demand for such gaming.
Tribal governments also took action regarding online wagering in 2025. In July, three such bodies filed a lawsuit against Kalshi and Robinhood, alleging that their event-based contracts violate the Indian Gaming Regulatory Act.
Coupled with California Attorney General Rob Bonta's opinion that online daily fantasy sports sites are violating state law, the landscape of online gaming could soon become wide open in California for tribal gaming authorities to consider entering into themselves.Â
The coming years will bring further clarity to the framework of legal gaming in California. Events that took place in 2025 have begun to shape that landscape.
