Maine Becomes the Ninth U.S. State to Legalize Online Poker

How the law was passed

LD 1164 grants exclusive online gambling rights to the four Wabanaki tribes. They will be able to launch online casinos and poker rooms, allowing them to choose their own technology partners and operators.

Importantly, the law does not apply only to slots and table games. The language of the law explicitly allows for online poker,making Maine the ninth U.S. state to legalize online poker.

The governor’s decision represented a political compromise. Janet Mills had previously criticized the expansion of the gambling market, but ultimately allowed the law to go into effect without her signature, effectively recognizing the tribes’ right to operate online gambling platforms.

Regulation and Taxes

Online gaming will be regulated jointly by tribal authorities and state regulators, including the Maine Gambling Control Unit.

The law establishes a tax rate of approximately 18% on operators' gross gaming revenue, that is, after winnings are paid out to players. These funds are channeled into the state budget. Estimates suggest the market could generate between $1.8 million and $3.6 million annually in the first few years.

The Main Challenge for Online Poker in Maine

Legalization alone doesn't mean a full-fledged poker market has emerged. Maine's population is approximately 1.4 million, which is very small for sustaining a healthy online poker ecosystem.

The experience of other states reveals the same problem. Connecticut and Rhode Island have formally legalized online poker, but major poker rooms have been holding off on entering these markets for years.

The situation in Maine is similar. The current version of the law lacks a mechanism for joining interstate compacts to consolidate player pools. Without this, even if poker rooms launch, the market is likely to suffer from low liquidity and modest prize pools for promotions and tournaments.

Prospects 

The enactment of the law regarding online gaming on tribal reservations is an important precedent. Maine has officially recognized online poker as legal and secured the right to operate it for tribal operators. From a political standpoint, this represents a step forward.

However, in practical terms, the key issue remains player liquidity. Without interstate agreements, online poker in Maine will remain a formal option.

If the state allows pools to be consolidated with other jurisdictions in the future, the situation could change dramatically. For now, this legalization currently remains largely symbolic, with limited practical impact for players.