Indiana Online Gambling Laws 2020

DFS the First Legal Online Betting in Indiana

Indiana was never open to the idea of gambling online until 2016, when then-Governor Mike Pence signed Senate Bill 339. That piece of legislation was devoted entirely to “Paid Daily Fantasy Sports” (i.e. DFS betting). The context of that bill makes three major points:

1. “…a paid fantasy sports game does not constitute gaming for any purpose.”

2. “…paid fantasy sports games may be conducted through an Internet web site maintained and operated by a game operator or on the premises of certain licensed facilities under a contract between a game operator and the owner of the licensed facility.”

3. “Provides for the regulation of paid fantasy sports games by the paid fantasy sports division of the gaming commission (division).”

That first point defines DFS as a game of skill. By Indiana law, it is not illegal to bet on games of skill. The second point authorizes DFS betting over the internet, so long as the website is operated by a contracted partner of a state-licensed, land-based gaming facility. Finally, it provides for regulatory oversight by the IGC.

Put it all together, and you’ve got the first legal Indiana online wagering market, with websites and mobile apps launching as early as Spring 2017. To date, five Indiana DFS websites have been awarded a license, and approved for launch. They are:

Traditional Sports Betting No Longer a Fantasy

May 8, 2019 was a historic day for Hoosiers. That was the day Governor Eric Holcomb signed into law House Bill 1015, otherwise known as the Indiana Sports Wagering Bill. Proponents lauded the legalization of sports betting as a modernization, and an appropriate path to a much needed revenue stream, creating hundreds of temporary (construction) and permanent employment opportunities. With that, Indiana became the 10^th state in the U.S. to legalize sports betting.

Hoosiers had no qualms extending its upcoming sports betting market to the world wide web. The new legislation required land-based sportsbooks to be situated inside existing, IGC-licensed gaming facilities, and gave online operators the option to partner with Indiana’s land-based facilities for the purpose of launching internet sportsbooks.

It didn’t take long to get the ball rolling. Land-based and online operators immediately began teaming up to bring sportsbooks to The Hoosier State. Exactly three months after the sports betting bill passes, the first licenses were awarded. Less than two months after that, the first Indiana online and mobile sportsbooks began accepting wagers.

There are currently 10 licensed sportsbook operators in Indiana. They are, in chronological order of license and launch dates:

Forms of Illegal Online Gambling in Indiana

We’ve discussed the legal iGaming situation in Indiana. Now we’ll take a brief look at forms of internet betting that are not legal, and the political climate surrounding their potential for legalization in the foreseeable future.

Online Casino & Poker Gaming

Casino games like slot machines, blackjack, roulette, video poker, and others, as well as poker games like Texas Holdem, are not legal for online betting in Indiana. The reason is simple, at least, in the eyes of state lawmakers. These games fall under the condition of “games of chance”, and are therefore considered 100% gambling. DFS and sports betting made the cut because legislators deemed them “games of skill”.

Let’s remember that, in general, Indiana legislators have been averse to “gaming” of this nature within the state. For years, it was only acceptable on riverboats, located just offshore. That did change a few years back when riverboats were given the right to open on shore facilities, so long as they remained in their current vicinity. That is, however, the only sign of movement towards the modernization of online casino gambling.

Online Horse Race Betting

Racebooks – both on and off the track – are the oldest legal gaming facilities in the state. They rely heavily on the physical presence of patrons to generate revenue, and are opposed to the idea of online race betting. Indiana’s lawmakers agree, and have given no indication that they’ll change their minds anytime soon.

Online Lottery Sales

Like so many other states, Indiana has made a lot of moves to progress its Hoosier Lottery into the modern, digital realm, without actually selling tickets online. They maintain a comprehensive website, and offer a handy mobile app. Both verticals present lottery players with a wealth of valuable information; everything from new game details, to winning numbers. The mobile app even offers instant ticket checking. The only thing they do not offer is the option to purchase a ticket online. Again, there’s no evidence any political agendas seek to change that status.