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Delegate Simon outlines HB 2171 to legalize and regulate iGaming in Virginia
Summary
Delegate Simon presented House Bill 2171, proposing a framework to legalize internet casino games (iGaming) tethered to Virginia land-based casinos, with licensing, geolocation, age verification, and proposed revenue estimates intended to fund a future Virginia Gaming Commission and problem-gambling services.
Delegate Simon presented House Bill 2171 on the subcommittee’s iGaming agenda, describing a framework that would bring online casino games under state regulation and taxation.
"IGaming is internet gaming, or iGaming, it describes online casino games of chance," Delegate Simon said, framing the proposal as regulation of an activity Virginians already undertake. He told members that Virginians wagered an estimated $16,000,000,000 in the unregulated online casino market in 2024 and that a legal market could generate roughly $5,300,000,000 in taxable revenue over five years, depending on tax rates.
The bill would create two licensing roles: internet gaming operators (land-based Virginia casinos that would hold operator licenses) and internet gaming suppliers (consumer-facing platform providers such as large sportsbook and casino app operators). Operators could select up to three supplier platforms. The legislation in 2025 gave the Virginia Lottery oversight for iGaming but Delegate Simon said a 2026 draft would transfer jurisdiction to a standing Virginia Gaming Commission once it is created.
HB 2171 outlines consumer-protection features the sponsor considers essential: mandatory age and identity verification, geolocation to ensure play occurs only within approved jurisdictions, voluntary self-exclusion programs and monitoring/intervention tools for risky play patterns. The bill proposes licensing fee scenarios (for example, an annual $1,000,000 operator license or multiyear $8,000,000 options) and suggested that supplier license fees could seed a regulatory agency’s operating budget.
Members asked about specifics: how strong geolocation would be, whether live-dealer studios must be physically located in Virginia and how aggressive problem-gambling cutoffs would be. Delegate Simon said the bill leaves some specifics to regulators and the gaming commission but that the legislation aims to "bring it under a regulated umbrella" to provide consumer protections and capture tax revenue.
Where the bill places initial oversight with the Lottery Board if a commission is not yet standing, Delegate Simon said temporary licensing via the Lottery could transition to the Virginia Gaming Commission once it is established.
The presentation closed with the sponsor inviting committee input on licensing terms, location requirements, and responsible-gaming triggers.
Ending: The committee received the presentation and followed with a question period; delegates and senators signaled they would return to these details in later briefings and when the commission bill advances.
