A proposed bill aimed at establishing an online casino market in Washington, D.C., underwent a thorough hearing on Monday afternoon, showcasing familiar perspectives from both proponents and opponents.

The Council of the District of Columbia’s Committee on Human Services conducted the hearing on Councilmember Wendell Felder’s Internet Gaming and Consumer Protection Act of 2026.

If passed, the legislation would officially legalize online casinos in D.C., subjecting them to regulations under the Office of Lottery and Gaming, while simultaneously prohibiting sweepstakes casinos. The discussion spanned several panels, meticulously examining the potential benefits and drawbacks of legalizing online gambling.

“This isn’t about promoting gambling but acknowledging the reality and responding proactively,” Felder stated as he opened the hearing. “People are already engaging in this activity; they need protections in place.” The bill proposes no limit on the number of licenses issued, allowing each operator to launch up to two online brands, or “skins.”

Moreover, the Office of Lottery and Gaming could approve additional skins based on demonstrated “good cause.” Felder emphasized that legalizing online casinos would enhance revenue for the District, improve consumer protections, and diminish the illegal gambling market. Operators would incur a $2 million application fee, alongside a yearly $500,000 license renewal fee.

The legislation also stipulates a 25% tax on adjusted gross revenue from online casino operations. Additionally, the bill specifically bans sweepstakes casinos and facilitates a fast-tracked licensing process for current sportsbooks in the District, including well-known brands such as BetMGM, Caesars, DraftKings, Fanatics, and FanDuel.