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The bill has been referred to the Committee on Human Services, with a public hearing scheduled for April 21, 2026, signaling a rapid legislative timeline.
Lawmakers designed the proposal to expand regulated iGaming while eliminating gray-market operators. This dual strategy mirrors broader regulatory trends across US online casinos markets. It also aims to increase transparency and consumer protection.
Second, the legislation introduces significant financial requirements. Operators would face a 25% tax on adjusted gross gaming revenue. Additionally, they must pay a $2 million initial licensing fee. These costs position Washington, D.C. as a high-barrier market for entry.
As a result, analysts expect only well-capitalized operators to participate. However, officials argue that the structure will maximize public revenue. It also ensures long-term market stability.
Third, the bill includes strong consumer protection rules. These measures require age verification, responsible gaming tools, and secure payment systems. Lawmakers aim to reduce harm while improving oversight.
In addition, the proposal explicitly bans Sweepstakes Casinos. These platforms often use dual-currency systems that mimic gambling. Regulators argue they operate without sufficient oversight. Therefore, the bill seeks to eliminate them entirely from the market.
Officials believe this ban will close regulatory loopholes. It also ensures that licensed operators compete on a level playing field. This approach aligns with enforcement trends seen in US online Sportsbooks and broader gambling markets.
Council Bill 260656 Advances Online Casino Legalization
Council Bill 260656, also known as the Internet Gaming and Consumer Protection Act of 2026, was introduced on April 9, 2026, by Councilmember Wendell Felder. The legislation focuses on authorizing licensed online casino operations in the district. It also seeks to create a tightly regulated framework for digital gaming expansion.The bill has been referred to the Committee on Human Services, with a public hearing scheduled for April 21, 2026, signaling a rapid legislative timeline.
Lawmakers designed the proposal to expand regulated iGaming while eliminating gray-market operators. This dual strategy mirrors broader regulatory trends across US online casinos markets. It also aims to increase transparency and consumer protection.
Key Provisions of the Internet Gaming and Consumer Protection Act
First, the bill would legalize online casino gaming across the district. Licensed operators could offer games such as slots, blackjack, roulette, and poker. These offerings would operate under strict regulatory oversight.Second, the legislation introduces significant financial requirements. Operators would face a 25% tax on adjusted gross gaming revenue. Additionally, they must pay a $2 million initial licensing fee. These costs position Washington, D.C. as a high-barrier market for entry.
As a result, analysts expect only well-capitalized operators to participate. However, officials argue that the structure will maximize public revenue. It also ensures long-term market stability.
Third, the bill includes strong consumer protection rules. These measures require age verification, responsible gaming tools, and secure payment systems. Lawmakers aim to reduce harm while improving oversight.
In addition, the proposal explicitly bans Sweepstakes Casinos. These platforms often use dual-currency systems that mimic gambling. Regulators argue they operate without sufficient oversight. Therefore, the bill seeks to eliminate them entirely from the market.
Officials believe this ban will close regulatory loopholes. It also ensures that licensed operators compete on a level playing field. This approach aligns with enforcement trends seen in US online Sportsbooks and broader gambling markets.
