Since the legalization of regulated real money online casinos in the U.S. in 2013, the industry has seen steady growth over the last 13 years. As of August 2026, eight jurisdictions officially authorize online casino games, providing players with safe, regulated and secure gaming options.
While an expectation remains that others will also enter the fold down the line, three states in particular have established themselves as industry leaders in terms of revenue generated by iGaming operators.
Three states carry revenue load generated by online casinos
The first legal online casinos went online in Delaware and New Jersey in 2013, and it wasn't until six years later that other states began to legalize iGaming and take advantage of the millions of dollars in tax revenue stemming from those platforms. With each year, though, the industry has shown unprecedented growth.
According to the American Gaming Association, online casinos in the seven states combined for $8.41 billion in 2024.
Yet of that total, three states (New Jersey, Pennsylvania and Michigan) accounted for nearly 90%, or around $7.54 billion. Unlike sports betting, which Missouri legalized on Dec. 1, the dominance of iGaming of those three states appears to be unchallenged for the foreseeable future.
How do states rank based on revenue?
As indicated by the AGA note, the top revenue-generating online casino states come down to three jurisdictions: New Jersey, Pennsylvania and Michigan.
New Jersey
Since launching in 2013, New Jersey is considered the godfather of legal online casino gambling. With over a dozen years of iGaming, it's no surprise that the Garden State sits in the No. 1 spot in terms of revenue generated by online casinos.
During that time, roughly speaking, NJ online casinos have combined for $21 billion, leading to $2.4 billion in state tax revenue.
Online casinos in NJ continue to grow and set records. In June 2026, NJ online casinos generated $271 million, a 17.5% increase over the same period in 2025. The total is less than the reported $276.3 million in May but exceeded the $263.1 million in April. The $271 million also represented the first time New Jersey online casinos have earned more than land-based Atlantic City casinos, which reported revenue of $257.
The state has reported revenue of more than $200 million each month from real money online casinos for 23 straight months, dating back to September 2024.
Such success benefits the state's Casino Revenue Fund, which uses tax revenue from legal casino apps to fund programs that support seniors and individuals with disabilities.
Pennsylvania
Pennsylvania is coming up fast for that top spot, however. Launched in 2019, PA online casinos have totaled over $13 billion in revenue, which has resulted in $4.8 billion in tax revenue for the state.
In June 2026, PA online casino games generated $242.5 million during a run of 18 straight months of breaking $200 million. Overall, it represented a 14.1% increase in revenue over June 2025, which saw $212.5 million. The tax revenue raised in June was $111,305,492. The figure was under the reported $254.8 million in May.
That tax revenue provides strong financial support to the state's Property Tax Relief Fund, which provides school property tax reductions for homeowners. Pennsylvania also diverts tax revenue from iGaming to support economic development and community projects throughout the state, as well as to the General Fund.
Michigan
Meanwhile, Michigan, which went live with online casinos in 2021, has seen $11.9 billion in lifetime revenue, leading to around $3 billion in tax revenue.
In 2026, MI online casinos have had four straight months of $300 million in revenue. In June 2026, the Michigan Gaming Control Board reported earnings of $301.2 million. In May, online casinos brought in $305.8 million, which was a slight bump over the 303.4 million generated in April but below the record-breaking $322.1 million in March.
New Jersey reported a record $2.9 billion in revenue in 2025, while Michigan generated around $3.1 billion in revenue. Leading the pack, though, is Pennsylvania at around $3.4 billion.
A variety of entities benefit from tax revenue derived from legal online casinos in Michigan, including the Internet Gaming Fund, which provides assistance for problem gambling prevention and first responder support. The Michigan School Aid Fund earns support from iGaming tax revenue.
Additionally, the City of Detroit, various local governing bodies and the Michigan Strategic Fund, which promotes economic development, also receive percentages of tax revenue.
Which online casinos have generated the most revenue?
Each state mentioned above features what experts believe are the best online casinos available. And each has found a spot as industry leaders.
In New Jersey, which began reporting individual online casino revenue in 2024, FanDuel Casino tops the list with around $1.4 billion, followed by DraftKings Casino at about $1.3 billion and BetMGM Casino at roughly $840 million.
Mixing things up, BetMGM leads in lifetime revenue in Michigan at around $3.6 billion in revenue, just ahead of FanDuel ($2.7 billion) and DraftKings ($1.9 billion).
Pennsylvania regulators do not break down online casino revenue by operator, but a similar trend exists when considering the mobile partners tied to the land-based casinos.
For example, Hollywood Penn National, with partners including DraftKings, BetMGM and Fanatics Casino, has generated some $4.1 billion in online casino revenue since 2019. Valley Forge, which boasts FanDuel Casino as its digital partner, has totaled around $2.5 billion, while Rivers Philadelphia (BetRivers Casino) has generated about $2.3 billion.
Our editorial team's selections for "the best online casinos" are based on independent editorial analysis, not on operator payments. We evaluate licensed operators across criteria, including bonus value and transparency, wagering requirements, payout reliability, customer support, and responsible gaming practices. Rankings reflect our team's opinion at the time of review and may be updated periodically.
