Paid content produced in partnership with General Studios. Online gambling is illegal in Montana under Senate Bill 555, with penalties up to $50,000. This content is for informational purposes only, does not endorse illegal gambling activities, and should not be interpreted as encouraging Montana residents or residents of any jurisdiction to violate applicable gambling laws.  Consult a licensed attorney for legal guidance.

Montana has become the first state to ban all forms of internet gambling involving any currency. The law, signed by Governor Gianforte, falls under Senate Bill 555 and took effect on October 1, 2025. As expected, it drew a lot of reactions from industry groups.

Sen. Vince Ricci, who introduced SB 555, said it targets unregulated online operations. The bill gives the Department of Justice (DOJ) sharper tools to help protect Montana citizens, particularly when they come across illegal online gambling operators. The DOJ now has the authority to impose penalties, with fines going up to $50,000.

Montana Players Turn to Offshore Sites

With online gambling banned in the state, many Montana players are visiting offshore or out-of-state online casinos. Each of these platforms usually tops the withdrawal charts, using perks like fast payouts, lots of games, and easy betting options to attract players. This shows that even with strict local rules, the demand for online gambling remains strong.

Revenue Holds Steady

The ban on digital currency hasn't slowed down Montana’s 16,000-plus licensed video poker and keno machines. They continue to bring in steady revenue across bars and taverns. Although bets placed monthly differ, the machines reliably deliver cash for the state.

In January, players wagered $5.75 million, bringing in $1.29 million in revenue. There was a significant decrease in February, with $3.74 million wagered, and revenue down to $185,000. In March and April, however, wagers placed rose again. $6.2 million was wagered each month, and revenue reached $685,000–$760,000.

In May, wagers fell to $4.98 million, but revenue went up to $763,000, which is higher than the previous months. Even though the amounts wagered kept dropping, there was an increase in revenue in June. $3.96 million in wagers, and $1.02 million in revenue.

And according to the latest American Gaming Association (AGA) report, the commercial gaming revenues for Q2 have gone up in almost every state, including Montana, which rose to $2.5 million, up 52.3% YoY.

Sports Betting Sees Modest Gains

Sports wagering remains small but is growing. Wagers placed through the state’s Sports Bet Montana platform reached $3.7 million in July, a 26% YoY increase. This shows a gradual adoption of Montana’s lottery-based model. However, revenue remains far below mobile-first markets like Michigan or New Jersey.

By comparison, Wyoming, where online sports betting is legal, sees more than double that amount monthly despite having much fewer residents.

Law Targets Sweepstakes Casinos

Montana’s ban on internet gambling is a reflection of a national crackdown. About a dozen states, including Louisiana, Arkansas, Washington, Connecticut, Delaware, Michigan, Maryland, Mississippi, Nevada, New Jersey, and New York, have targeted sweepstakes casinos.

Their concern is that sweepstakes can operate under promotional sweepstakes laws, yet they mimic slots. The Social and Promotional Games Association (SPGA) has condemned this gambling business model, especially on Montana’s SB 555 bill. They argue that the move has now criminalized online gaming.

Regulatory Moves and What’s Next

There are legal debates over the broad language used in SB 555. Stakeholders worry that it might unintentionally include free-to-play apps that offer no currency-based gameplay because of the way it broadly defines internet gambling. Some industry groups already warn that the language could very much stretch to include everyday digital promotions.

Nationwide, regulators are also preparing for tax changes in 2026. New federal rules could apply phantom taxes on gambling winnings. If passed, this would create tighter reporting requirements both for players and operators, and states like Montana could feel the most pressure.

Outlook: A Land-Based Future

Without online casinos or competitive mobile betting in Montana, growth will likely remain incremental, even though it won’t see huge spikes. The steady growth will continue to be driven by tavern gaming and modest sports wagering.

For now, the state will keep gambling on the ground, even as the rest of the country moves online. The big question remains how long they can hold on to this view as digital play dominates everywhere.

This content was produced in partnership with General Studios. If you or anyone you know has a gambling problem, call 1-800-GAMBLER.

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