Gambling Laws in Hawaii

Which type of gambling is legal in Hawaii?

The gambling laws of this state are detailed in Hawaii Revised Statutes 712-1220. I’m going to keep this really simple. After completing my research, I found that gambling is almost entirely illegal, except for social games, under certain circumstances.

Landbased and online casino games

There are no land-based casinos in Hawaii because all games are illegal. I noticed that playing at online gambling sites isn't mentioned in the state's legislation, which leaves the activity in limbo. However, almost all forms of online gambling are prohibited in Hawaii, except social and sweepstakes casinos. 

The general definition of gambling is staking something of value on a game of chance. While doing so could risk prosecution, residents still play online casino slots at foreign sites.

Playing poker

Land-based poker is illegal in Hawaii, despite some claiming that the game is one of skill. A 1961 ruling deemed that it should be classified as a casino game for legal purposes.

Playing poker with real money online is also illegal. Free sites like Zynga are the only form of online poker available to residents of Hawaii.

I found that you can play poker socially in the state, but the game must be carried out in a private setting. This means that friends can meet up and play for fun. None of the participants can profit from the game or take home any winnings. 

Bingo halls and online games

Bingo gambling is illegal. Unlike other US states, Hawaii does not even permit games operated by charitable organizations. As such, the state has no bingo halls.

Online bingo gambling is similarly restricted, with the activity regarded as illegal based on the state's all-encompassing definition of gambling.

Lottery

Hawaii is one of only 5 US states where lottery gambling is not legally permitted. There are no state lotteries or facilities for residents to buy tickets for national draws.

Like other forms of online gambling, online lotto isn't specifically mentioned in Hawaii's laws. Those searching online lottery games for real money will certainly find them via the many available websites. There's little evidence that the state is interested in punishing those who engage in such activities.

One exception I did notice, though, is that Hawaiian residents are allowed to purchase lottery tickets from other states where it is permitted. This is when they are physically present in that location, however. 

Gambling at home and online crypto casinos

The only form of legal gambling in Hawaii is social games within private residences, as long as no profiting is involved. Lootboxes were targeted by lawmakers in 2018 in the form of a ban on the sale of video games to those under the age of 21. This sets a precedent for skins gambling, which is currently unregulated in Hawaii.

While cryptocurrencies aren't illegal in Hawaii, they aren't recognized as legal tender either. When it comes to crypto casinos, residents would need to head to offshore sites but risk a hefty fine if caught doing so.

Where does Hawaii stand on sports betting?

It’s important to remember that also sports betting is illegal, and even social sports betting is not permitted under current regulations. There is also a ban on horse racing and greyhound race betting in the state. Online sports betting falls under the definition of gambling in Hawaii and is deemed illegal.

Daily fantasy sports (DFS) often find favor in terms of US gambling legislation because they are games of skill. However, in January 2016, Attorney General Doug Chin clarified that such activities are illegal in Hawaii. It is one of the few US states where neither FanDuel nor DraftKings operates.

Gambling age restriction

Since gambling is almost entirely illegal, there is very little mention of a legal gambling age in Hawaii. However, it is stated that those participating in social gambling must be aged 18 or over. The sale of video games containing lootboxes is restricted to those aged 21+.

Gambling tax regulations in Hawaii

At the end of the day, there are no Hawaii gambling tax regulations since gambling is illegal. Those continuing to push the case for the legalization of sports betting in the state have proposed a 55% tax on operators, though.

A brief history of Hawaiian gambling laws

The earliest mention of gambling laws was in 1893, when the idea of a lottery was proposed, but the bill was never enacted. When Hawaii became the 50th US state in 1959, all forms of gambling were deemed illegal.

Poker was considered a casino game for regulation and, therefore, classified as illegal in 1961. In 2016, DFS was made illegal in the state, and the sale of video games featuring lootboxes was restricted to those aged 21 or over in 2018.

In more recent years, some legislative efforts have been made to try to introduce state lottery and casino games. However, all attempts have failed. The main concerns about legalizing gambling include the following: 

• Social issues 

• Addiction 

• Negative impact on Hawaiian culture 

• Lack of resources to tackle problem gambling 

• Upturn in crime 

Key facts

• Casinos, poker, bingo, and lottery gambling are all illegal in Hawaii.

• Social casino games played at home where no profiting is involved are permitted by those aged 18 or over.

• Sports betting and daily fantasy sports are illegal.

• Online gambling is deemed illegal based on the state’s definition of gambling.

• The National Council on Problem Gambling estimates that 24,000 people in the islands struggle with compulsive gambling. 

• Hawaii does not allocate any public funding toward gambling addiction programs.