Nevada Unanimously Passes Bill Strengthening Illegal Gambling Laws

The Nevada Assembly unanimously passed Senate Bill 256 last week, setting the stage for the state to significantly strengthen its laws against unauthorized gambling operators.

The bill had previously received a unanimous vote in the Nevada Senate earlier in May. 

Bill Adds Enforcement Mechanisms, Jail Time for Operators

The Assembly added one amendment, adding Brittney Miller (D-Clark County) as a joint sponsor of the bill, which will require the Senate to vote on concurrence. However, that should be a formality, with the bill soon to head to Gov. Joe Lombardo for his signature. 

The bill, which was originally introduced by State Sen. Rochelle Nguyen (D-Las Vegas), allows the state to prosecute operators of illegal gambling sites even if they are located outside of Nevada. And while operators already faced $50,000 fines if convicted under current online gambling laws, SB 256 will now increase some misdemeanor gaming offenses to either gross misdemeanors or felonies, with some violators facing up to 10 years of prison time. 

Those found guilty of operating illegal gambling sites will also have to forfeit all profits from those operations to the state.

When she introduced the bill in March 2025, Nguyen said she got the idea from conversations she had during gaming conferences and discussions with the Association of Gaming Equipment Manufacturers. 

“They wanted someone to go after some of these illegal operators,” Nguyen said, via The Nevada Independent. “It’s a black market and it’s unregulated. The bill is pretty straightforward.”

When SB 256 was discussed in the Senate, the focus became clear: accountability for illegal operators.

“With the rise of online gaming apps, we’ve seen an increasing number of unlicensed platforms operating in the shadows, accepting illegal wagers, engaging in fraudulent practices, and profiting outside the bounds of our regulatory framework,” Janice Wong, a legislative intern for Sen. Nguyen, said during a committee hearing. “This bill sends a clear message: if you operate illegally, you will be held accountable.”

Online Gaming Remains Afterthought in Nevada Gambling Landscape

SB 256 also adds penalties for individuals who fail to pay licensing fees and taxes, with such violations classified as felonies. 

Online gambling is very small in scale in Nevada, thanks in large part to opposition from the powerful land-based gaming industry in Las Vegas and throughout the state. 

Online casinos have never been legal in Nevada, while online sports betting is only available if users register an account in person at a casino’s land-based sportsbook. While online poker has been available since 2013, only Caesars’ branded site for the World Series of Poker and a site operated by South Point Casino are currently active in the state. 

According to the American Gaming Association, unregulated iGaming cost licensed operators in the United States more than $17 billion in revenue in 2024.

(Photo: Paul Brady / Alamy)