Connecticut
Public Act 21-23 (2021) authorized online casino gaming and online sports wagering in Connecticut. Only three master wagering licensees exist: the Mashantucket Pequot Tribal Nation (Foxwoods, with DraftKings) and the Mohegan Tribe (Mohegan Sun, with FanDuel) may each offer online casino plus online sports betting, while the Connecticut Lottery Corporation may offer online (and retail) sports betting only. Online play launched 19 October 2021. The Department of Consumer Protection's Gaming Division licenses and regulates operators, service providers and key persons.
How the three-operator regime works
Connecticut's online gambling market was created by Public Act 21-23, signed in May 2021 and going live at 6:00 am on 19 October 2021. The statute, codified at Chapter 229b of the General Statutes, rests on renegotiated tribal compacts: only once amendments to the Mashantucket Pequot and Mohegan gaming agreements took effect could the Department of Consumer Protection issue master wagering licences. The result is a deliberate three-operator structure. Section 12-852 lets each of the two tribes run online casino gaming, online sports wagering and fantasy contests; Section 12-853 lets the Connecticut Lottery Corporation offer online and retail sports wagering, keno, fantasy and online lottery sales, but not online casino, which the Act reserves to the tribes alone.
Who can be licensed, and the master-plus-skins model
Only three master wagering licensees exist, and the Act names them: the Mashantucket Pequot Tribe (Foxwoods), the Mohegan Tribe (Mohegan Sun) and the Connecticut Lottery Corporation. Under Section 12-852 each tribe may operate exactly one online-casino skin and one online-sports skin; under Section 12-853 the Lottery may run one online-sports skin plus its retail sportsbook network, but no online casino. Masters contract the actual apps to licensed online gaming operators, hence DraftKings behind Foxwoods, FanDuel behind Mohegan Sun and Fanatics behind the Lottery. Supporting firms hold online gaming service provider licences, and retail sportsbooks partnering the Lottery hold sports wagering retailer licences.
Player protection in practice
Wagering is confined to adults physically inside Connecticut: casino and sports betting require age 21 (fantasy 18), and operators must run geolocation checks each session so an account cannot be used from out of state. The DCP and the Lottery jointly run a voluntary self-exclusion register offering one-year, five-year or lifetime bans that flow to every master licensee, operator and retailer; sign-up is at ct.gov/selfexclusion, and only fixed-term enrolments can later be lifted. Section 12-865 mandates responsible-gambling controls, and Section 12-865(d) requires each master licensee to undergo an independent third-party review of its responsible-play operations at least every five years, overseen by the DCP Gaming Division.
Charges explained: the casino step-up and the sports flat rate
The Act sets fixed statutory rates rather than negotiated fees. Section 12-866 requires online casino operators to pay 18 per cent of gross gaming revenue during the five-year period following the first casino licence, then 20 per cent from the sixth year onward; the clock runs from October 2021, so the step-up to 20 per cent falls due around 2026-27. Section 12-867 taxes online and retail sports wagering at 13.75 per cent of gross gaming revenue, with no escalation. Promotional coupons and credits are deductible from GGR only up to tapering caps (25 per cent in year one, 20 in year two, 15 thereafter). Keno is handled separately, the state paying each tribe 12.5 per cent of keno revenue.
Enforcement posture and what is changing
Enforcement sits with the DCP Gaming Division. Its central task is protecting the closed three-operator market: in December 2025 it issued cease-and-desist orders to prediction-market platforms (KalshiEX, Robinhood Derivatives and Crypto.com) for offering unlicensed sports-style wagering, warning that such platforms leave consumers without recourse and may reach minors or self-excluded players. The regulated market has meanwhile grown quickly, with state figures indicating rising gaming-tax receipts year on year and online casino the larger contributor. No move to widen online casino beyond the two tribes is presently before the legislature.
Tax
Gross gaming revenue (GGR)
Online casino 18% (rises to 20%); online sports betting 13.75%
Per Public Act 21-23 section 17, online casino gaming is taxed at 18% of GGR for the first five years after the first licence, then 20% from the sixth year onward (~from late 2026). Section 18 taxes online and retail sports wagering at 13.75% of GGR; online fantasy contests are also taxed at 13.75%. Verified against the enacted act.
Key facts
Licence types
Fees
Change-watch
PA 21-23 enacted; online casino and online sports betting launched 19 October 2021
Online casino tax rises from 18% to 20% in the sixth year after launch (~late 2026) per PA 21-23 section 17
Sources (6)
Not legal or tax advice. This is a teaching summary; confirm every figure against the primary regulator (Connecticut Department of Consumer Protection - Gaming Division) before relying on it.