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Inside California’s iGaming Stalemate and the Rise of Alternative Americas Cardroom

Inside California’s iGaming Stalemate and the Rise of Alternative Americas Cardroom

As iGaming surges across the US, California remains notably absent from the growing list of states cashing in on the lucrative digital gambling boom. According to the American Gaming Association’s (AGA) Commercial Gaming Revenue Tracker, the nation’s total…

By The California Business Journal Newswire

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As iGaming surges across the US, California remains notably absent from the growing list of states cashing in on the lucrative digital gambling boom. According to the American Gaming Association’s (AGA) Commercial Gaming Revenue Tracker, the nation’s total iGaming gross gaming revenue rose by 21.5% between February 2024 and February 2025, reaching $788.5 million. All six established iGaming markets in Connecticut, Delaware, Michigan, New Jersey, Pennsylvania, and West Virginia saw annual gains.  Meanwhile, Rhode Island achieved a new monthly revenue record as it navigates its first two years offering online casino games.

Despite these successes, California’s efforts to legalize iGaming remain gridlocked. One major obstacle is resistance from the state’s influential tribal gaming sector, which argues that legalizing online gaming could cannibalize revenues from brick-and-mortar casinos. With 87 tribal casinos, California is the largest tribal gaming market in the country, giving tribal leaders significant political and economic influence.

In this article, we explore the ongoing iGaming stalemate in California and how alternative platforms like Americas Cardroom are keeping online gaming alive for Golden State residents.

Legislative hurdles block iGaming progress

California’s stringent gambling regulations currently limit gaming activities to in-person venues such as tribal casinos, cardrooms, and state-run lottery outlets. Over the years, multiple legislative efforts have aimed to legalize iGaming and online sports betting. In 2022, initiatives were proposed that would have allowed both online and in-person sports betting in California, giving tribes exclusive control over sportsbook operations. However, these measures failed to gain the necessary support among voters and were withdrawn later that year.

As a result, while many US states have embraced online gambling, California still has no legal online casinos accepting bets from players within the state. Without meaningful tribal backing, future legislative attempts to regulate iGaming face steep odds. In the meantime, California’s brick-and-mortar-only gambling model continues to miss out on the substantial revenue opportunities the iGaming sector offers.

Alternative platforms fill the online gaming gap

With state-regulated iGaming stalled, players in the Golden State have increasingly turned to offshore alternatives. Americas Cardroom, for one, has operated reliably since 2001. Through this internationally licensed platform, players can access online poker in California. Despite lacking state oversight, Americas Cardroom has earned a strong reputation for its fairness, reliability, and prompt payouts. The popular poker provider is also notably championed by the likes of 2003 World Series of Poker winner Chris Moneymaker, with Moneymaker himself hosting some of the platform's tournaments.

Beyond offshore operators, social casinos and sweepstakes-based platforms such as Stake US are also gaining traction. These alternatives remain legal because they don’t involve wagering real money. Instead, players use virtual currencies like "gold coins" to play games for entertainment. Purchases of "gold coins" typically match the dollar amount spent, but winnings cannot be exchanged for cash, allowing these sites to sidestep gambling regulations while providing a casino-style experience.

Tribal casinos dominate California’s live gambling scene

California’s tribal-operated casino industry has the second-largest economic impact in the country, behind Nevada. According to the AGA, the state’s tribal casinos generate nearly $20 billion annually, support approximately 184,700 jobs, and contribute an estimated $5.8 billion in yearly tax revenue.

Unlike Nevada, where commercial casinos are widespread, California’s casino gaming is restricted to tribal lands, creating a unique but thriving marketplace. Tribal operators have reinvested heavily in expanding and upgrading their facilities to attract both locals and tourists. For example, the San Pasqual tribe’s Valley View Casino now boasts 800 hotel rooms, 2,600 gaming machines, and a sprawling 90,000-square-foot gaming floor. Revenues from the casino also fund developments like the Pit Stop Market, Horizon Fuel Center, and Zippy’s Coffee Shop, enhancing the surrounding communities.

These investments have not only strengthened tribal economic sovereignty but have also made it harder for new iGaming initiatives to gain traction, as many tribal leaders view online expansion as a threat to their hard-earned success.

Sports betting could pave the way for future changes

While iGaming legislation remains elusive, the path to online sports betting in California is showing new signs of life. On April 1, 2025, the Sports Betting Alliance (SBA)—comprising FanDuel, DraftKings, BetMGM, and Fanatics—announced a new plan to collaborate with a “mega tribe” to roll out sports betting operations in the state. Under this model, the partnered tribe would select which sportsbooks to work with, potentially sidelining secondary platforms like Hard Rock, BetRivers, and ESPN Bet. Industry experts predict that the earliest realistic launch date for online sports betting in California would be 2027.

“No other state out there has more ability to impact our long-term growth than California,” DraftKings CEO Jason Robins said at the Indian Gaming Association tradeshow. “If California were a country, it would be the third or fourth largest economy in the world. Tribal relationships are absolutely essential, and it’s the only way to do it here.”

For now, Californians eager for iGaming options will continue to look to alternative platforms, but the future could hold a significant shift if stakeholders find common ground.

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