The American online gaming industry posted its strongest month on record in March 2025, generating a staggering $905.6 million in gross revenue across seven regulated states. This represents a 26.2% year-over-year growth, underscoring the accelerating momentum of the iGaming market. Every participating state set new revenue benchmarks, some seeing gains of over 50% compared to the prior year. Pennsylvania, Michigan, and New Jersey led the charge, while smaller states like Delaware and Rhode Island also posted record highs. With state tax receipts climbing to $177.1 million, March cemented online gaming’s role as a vital revenue engine for local governments.

Pennsylvania Surges Toward $300 Million Mark

Online casino operators in Pennsylvania generated $291.6 million in gross revenue during March, a dramatic leap from $230.6 million posted the same month last year. This performance nearly shattered the $300 million ceiling for the first time and reaffirmed the Keystone State’s status as a national iGaming powerhouse.

Industry analysts attribute this surge to a broader product mix, high player engagement, and strategic promotions during March Madness season, which drew record traffic to casino apps.

Michigan and New Jersey Cross New Thresholds

Michigan and New Jersey both eclipsed the $240 million gross revenue mark, reaching new historical peaks in March. Adjusted gross revenue in each state surpassed $235 million, setting a new benchmark for operator performance and consumer spend.

With robust infrastructure, extensive operator competition, and expanding cross-platform play, both states are seen as models of sustainable iGaming growth in mature regulatory environments.

Connecticut's Duopoly Delivers Impressive Growth

In Connecticut, FanDuel and DraftKings—currently the only two licensed operators—reported combined gross revenues of $57.7 million, up 30.3% from last year. Wagering volumes hit record levels, with both platforms crossing the $800 million threshold in monthly bets.

DraftKings led in handle with $853.7 million in total wagers, while FanDuel edged out its rival in revenue, pulling in $29.2 million. This duopoly model, while restrictive, has delivered solid returns and could serve as a template for controlled expansion in other states.

West Virginia Achieves 51.9% Year-on-Year Growth

Online platforms in West Virginia posted $36.4 million in revenue from $888.8 million wagered—a staggering 51.9% increase over March 2024. The state's success lies in its agile licensing framework and relatively low overhead, which enables operators to capture margin while delivering competitive promotions to a smaller but highly engaged player base.

West Virginia continues to outperform expectations and is increasingly viewed as a high-efficiency market for national operators.

Delaware’s Monopoly Operator Breaks Through

BetRivers, the exclusive iGaming operator in Delaware, recorded its first-ever eight-figure monthly revenue with $10.3 million in March. Total handle reached $279.9 million, reflecting a healthy 25% increase from the prior quarter.

The success underscores how single-operator models, while limiting competition, can still produce strong financial outcomes when properly structured and integrated with state-run lottery or gaming systems.

Rhode Island’s Bally’s Faces Scrutiny Despite Record Month

Bally’s, which maintains sole control of Rhode Island’s online casino market, reported $5.1 million in gross revenue in March. While this figure marks the platform’s strongest monthly performance, it coincides with growing legislative debate about ending its monopoly on mobile sports betting.

Policymakers are weighing whether increased competition could drive further innovation and revenue—or whether a controlled environment better serves the public interest.

iGaming Tax Haul Jumps to $177.1 Million

Gaming tax revenues from the seven regulated iGaming states reached $177.1 million in March—an increase of $41.1 million over the same month last year. This figure, which excludes municipal-level collections, highlights the growing fiscal relevance of online gaming to state budgets.

These revenues are often earmarked for education, public health, and infrastructure—making them a politically palatable stream of income amid broader tax fatigue.

Bottomline: Digital Gaming Cemented as a Fiscal Cornerstone

March 2025 served as a defining moment for the U.S. online casino industry—one where scale, efficiency, and regulation converged to produce record-breaking financials and tax returns. From established giants like Pennsylvania and Michigan to smaller markets like Delaware and Rhode Island, the growth was broad-based and structurally significant.

As more states explore legalization, March’s results will serve as a case study in the economic and operational viability of a well-regulated iGaming ecosystem.