Rhode Island's iGaming Market Booms: Online Casinos Surpass Sports Betting

Rhode Island's online gambling market is breaking all records in May 2026. Online slots are particularly driving growth, while sports betting is experiencing a slowdown. These figures reveal a clear shift in player preference away from traditional sports betting and towards digital casino offerings. This trend is not only relevant for Rhode Island but also mirrors global developments. My observation is that this highlights the increasing importance of digital entertainment.

Combined handle from sports betting and iGaming rose 14 percent year-on-year to $187.4 million in May. Interestingly, this increase was primarily driven by the online casino segment. Industry opinions see this as confirmation of the growing importance of the online casino market.

Numbers and facts

The iGaming handle reached an impressive $155.8 million in May, up 21 percent compared to May 2025. Online slots were the clear winners here, generating $111.5 million in wagers, representing a 35 percent increase year-on-year and setting a new monthly high. While online table games saw a subdued month with wagering falling 5 percent to $44.3 million, this did not derail the overall upward trajectory of the iGaming sector.

In contrast, sports betting continued to soften. The total sports betting handle fell 11 percent year-on-year to $31.6 million. Online sportsbooks accounted for $27.0 million in wagers, down 9 percent. Only retail betting at Rhode Island's two casinos bucked the wider trend, rising 5 percent to $4.6 million. Gross gaming revenue from sports betting totaled $2.3 million, with online sportsbooks contributing $2.14 million and retail sportsbooks generating just over $184,000.

Combined revenue from sports betting and iGaming increased 9 percent year-on-year to $8.9 million. iGaming revenue climbed 36 percent to an all-time monthly high of $6.57 million. Sports betting revenue, however, fell 30 percent to $2.3 million, reflecting lower betting volumes and less favorable operator margins during the month. Online sports betting revenue declined 23 percent, while retail sportsbook revenue dropped 65 percent compared to May 2025.

Background

Rhode Island is currently examining the future of its sports betting market. The state currently operates a monopoly model, but policymakers are considering proposals to introduce additional sportsbook licenses to increase competition and stimulate growth. The latest figures underscore the necessity of such reform, as iGaming is proving to be the driving force behind the state's gaming revenues.

In the broader gambling industry, we are seeing increasing professionalization and diversification. Stephanie Bryan, Tribal Chairwoman and CEO of the Poarch Band of Creek Indians, once emphasized the significance of the gaming industry for her community: > "It enabled us to provide our citizens with jobs, public safety, better health care, and decent housing. From that one meager establishment, our gaming and business footprints have expanded far beyond what any of our elders could have imagined." Her statement highlights how gambling, when properly regulated, can provide crucial economic impulses. Innovations like provably fair games in the Plinko segment, which promise an ultra-low house edge of just 1 percent and offer multipliers up to 1,000x, could become increasingly relevant in regulated markets in the future. It is important for us to continue observing these developments closely.

Why it matters for German players

The development in Rhode Island clearly shows that online casinos are becoming increasingly popular worldwide and are even outperforming sports betting in some regions. For German players, this means that the trend towards regulated online casino offerings is also strong here. Since the State Treaty on Gambling 2021 (GlüStV 2021), Germany has had strict regulations for online gambling, ensuring that players can operate in a safe environment.

GlüStV-compliant online casinos must meet stringent requirements, including a betting limit of 1 Euro per spin on slot machines and a monthly deposit limit of 1,000 Euros to ensure player protection. Furthermore, all licensed providers must be connected to the nationwide self-exclusion system LUGAS and may only allow verified players. This prevents excessive gaming and ensures a responsible playing experience.

Foreign platforms operating under licenses from Malta (MGA) or Curaçao are not subject to these strict German protective measures. They often offer higher betting limits, larger bonuses, and no connection to LUGAS, which can pose a significant risk for German players. My advice is always to prioritize player safety.

What it means for GGL-licensed casinos

For casinos licensed by the Joint Gambling Authority of the Federal States (GGL) in Germany, the development in Rhode Island means they must continue to focus on their strengths as safe and reputable providers. The demand for online gambling exists and is growing. It is important to meet this demand within the strict legal framework.

The restrictions of GlüStV 2021, such as the 1 Euro limit and the deposit cap, are designed to protect players and prevent excessive gambling. Although these measures might be perceived as restrictive by some players, they serve an important purpose: addiction prevention. My advice as a casino editor is always to check the GGL whitelist and only play with legal providers. This is the only way to ensure safe and fair gaming.