Online Casino and Gambling in New Jersey, USA
When people think of gambling in the United States, Las Vegas, Nevada, is often the first place that comes to mind. New Jersey is also one of the country’s leading gambling destinations. The state has generally taken a more permissive approach to gambling, and sports betting became part of its offerings in 2018.
Atlantic City, New Jersey’s resort city, is home to several well-known casinos and has a long-standing reputation with casual players and high rollers alike. Alongside its brick-and-mortar venues, online casino gaming has grown in the state, particularly following the introduction of laws addressing online betting.
Best Casinos in New Jersey, USA
Gambling in New Jersey: An Overview
New Jersey’s gambling history goes back many years. Casino gambling became legal in late 1976, on the condition that it remain confined to Atlantic City. Before 2011, online gambling was also widespread in New Jersey and elsewhere in the United States. Then, the event known as ‘Black Friday’ prompted major poker sites, including PokerStars and Full Tilt Poker, to shut down in the country. A complete ban on financial institutions processing online gambling payments followed, covering every state, including New Jersey.
Although land-based casinos remained legal, restrictions on online casinos and sports betting were not lifted until 2013 and 2018, respectively. This followed the removal of the Professional and Amateur Sports Protection Act (PASTPA) and revisions to the Internet Gambling bill.
The online system has a specific condition: every online casino must be registered with, and locate its servers at, an Atlantic City address licensed to provide gambling services on the premises. This requirement led to partnerships between land-based and online casinos. With online gambling newly legalized, New Jersey was expected to add substantially to the $2 billion a year already generated by Atlantic City’s land-based casinos.
New Jersey Gambling Commission
Since land-based casinos were legalized, licensing and audit oversight have been handled by the New Jersey Casino Control Commission and the New Jersey Division of Gaming Enforcement. As the rules expanded to include online casinos and sports betting, both government bodies took on additional responsibilities.
Online Gambling in New Jersey
The move toward legalized online gambling began in January 2011, when the New Jersey Legislature approved a bill allowing state residents over 21 to gamble online. Existing state law limited gambling to Atlantic City, so the bill required computer servers to operate within the city. Governor Chris Christie vetoed the measure, believing it would encourage businesses outside Atlantic City to set up gambling hubs for their own benefit.
The legislation was later rewritten to bar businesses outside Atlantic City from advertising online gambling or allowing their facilities to be used for it. The revised bill passed in February 2013 and was signed by the governor.
Rather than allowing new online casinos to open in Atlantic City, the legislation lets existing casinos offer online gambling as part of their services. It also establishes a ten-year trial period, after which the system is to be reviewed. Online gambling revenue is taxed at 15%, compared with 8% for land-based casinos—a 7% higher rate. Participants must be over 21 and physically located in New Jersey, with GPS services used to verify their location. The Casino Control Commission is responsible for developing the online gambling regulations.
Despite these conditions, online gambling was projected to generate an additional $260 - $400 million in revenue each year once fully established. By June 2017, it had already generated over 100 million dollars. The account expected that figure to grow as online gambling became more accessible and popular among New Jersey residents.
The account lists these online casinos operating in New Jersey and their partners:
- 888 Casino partnered with Caesars from 2013
- Betfair partnered with Golden Nugget from 2013
- Borgata partnered with Casino Borgata from 2013
- Caesars Casino partnered with Caesars from 2013
- Golden Nugget Casino partnered with Golden Nugget from 2013
- Harrah's Casino partnered with Caesars from 2013
- Mohegan Sun partnered with Resorts from 2013
- Pala Casino partnered with Borgata from 2014
- PartyPoker partnered with Borgata from 2016
- PokerStars partnered with Resorts from 2016
- PlayMGM partnered with Borgata from 2017
- Scores Casinos partnered with Borgata from 2017
- SugarHourse partnered with Golden Nugget from 2016
- Tropicana Casino partnered with Tropicana from 2013
- Virgin Casino partnered with Tropicana from 2014
- WSOP.com partnered with Caesars from 2013
How Sports Betting Became Legal in New Jersey
The Professional and Amateur Sports Protection Act (PASPA) of 1992 made sports betting illegal in most states. For years, the law prevented states without existing sports-betting legislation from introducing it. New Jersey challenged PASPA in 2014, beginning a legal process that lasted four years. On the 14th of May 2018, the US Supreme Court overturned PASPA.
The ruling allowed New Jersey to move forward with regulated sports betting. On the 11th of June 2018, Governor Phil Murphy signed Assembly Bill 4111, legalizing sports betting at New Jersey casinos and racetracks.
The legalization of sports betting also extends to online casinos. If you are located in New Jersey, you may place a bet with an online casino that holds a sportsbook license.
Casinos and Gambling in Atlantic City, New Jersey
Atlantic City had long been the only place where gambling could legally operate in New Jersey. That geographic restriction remained in place alongside online casinos, and as of 2018, the city had 23 online casinos and nine land-based casinos. More than 28 million people visit Atlantic City every year, generating over 3 million dollars in revenue. By gambling activity, it is the country’s second-largest market, behind only Las Vegas.
Proposals for the New Jersey Casino Expansion Amendment would have permitted casinos to operate outside Atlantic City. The idea met significant opposition, partly because it was unclear whether expansion would bring in more revenue.
Casinos listed as open in Atlantic City:
- Bally's – open since 1979
- Borgata – open since 2003
- Caesars – open since 1979
- Golden Nugget – open since 1985 (formerly Trump Marina)
- Hard Rock Casino – open since 2018
- Harrah’s – open since 1980
- Ocean Casino – open since 2018
- Resorts – open since 1978
- Tropicana – open since 1981
New Jersey State Lotteries
Buying and selling lottery tickets is legal in New Jersey, but sales must be made through a verified reseller. The state government runs eight New Jersey lotteries. Available draws include:
- Pick-3
- Pick-4
- Jersey Cash 5
- 5 Card Cash
- Pick-6
- Quick Draw
- Cash4Life (International)
- Mega Million
- Powerball
Off-Track Betting and Horse Racing in New Jersey
New Jersey has three horse racetracks and five off-track betting (OTB) halls. OTB facilities became legal only in 2013. The New Jersey Racing Commission oversees horse betting and permits one race each year to take place on a New Jersey beach.
How Old Do You Have to Be to Gamble in New Jersey?
In New Jersey, you must be over 21 to gamble at a land-based or online casino. A minor may accompany you into a land-based casino, but cannot participate in gambling. Visitors to land-based casinos should carry valid identification, and online players may be asked to provide documents for an identity check. Underage gambling is a misdemeanor and may result in a fine of up to $1,000, as well as possible suspension of your driver’s license.
Lottery tickets are different: you can buy them starting at age 18.
