Online Sports Betting Could Be Legal in Hawaii by July 2025

The number of U.S. states with legalized sports betting could soon rise to 39, as Hawaii moves closer to regulating online bookmakers. A bill allowing online wagering has already passed the state Senate, Casino Reports confirms.

Fifteen out of 25 senators voted in favor of the bill, which now heads to the House of Representatives. If approved there, it will go to Governor Josh Green for final approval.

The proposal has sparked debate across the state. Several government agencies and Native Hawaiian groups oppose the idea, arguing against a regulated betting market. Meanwhile, industry giants like BetMGM and DraftKings, along with the local steelworkers’ union, back legalization.

If the bill becomes law, Hawaii would be the first U.S. state to legalize sports betting in 2025. The market is set for an aggressive launch timeline, with operations expected to begin on July 1.

Most states that have legalized sports betting took between six months and a year to get their markets up and running.

The bill outlines key regulations for the industry:

Players can fund their accounts using credit or debit cards, bank transfers, and certain online and mobile payment systems.

• Operators will face a 10% tax on gross gaming revenue (GGR).
• A one-time licensing fee of $250,000 will be required.
• Seven percent of tax revenue will go toward responsible gaming initiatives.
• Operators must already hold licenses in at least three other U.S. jurisdictions.
• Unlicensed operators will face fines ranging from $10,000 to $100,000.

State officials project annual tax revenue from sportsbooks to range between $10 million and $20 million. However, similar tax structures in states like Maine and West Virginia — both of which have larger populations than Hawaii — have yielded lower-than-expected returns.

Previously, reports suggested that Alaska could legalize online sports betting in 2026.