California is often at the center of industry regulation debates, so why haven’t they joined other states in welcoming online casino platforms? The answer can be found in politics and the long-standing agreements that the state is unlikely to walk away from.
At the heart of California’s gaming sector sits the tribal nations. Their casinos are under compacts that give them exclusive rights in exchange for revenue sharing with the state. This shows that California acknowledges tribal sovereignty and the significant role the tribes play in the state’s economy and cultural identity. Any decision to bring in outside operators or to regulate new online casinos would threaten those pacts and invite lawsuits.
According to industry observers, California is leaving a significant source of tax reve