Sports Betting in Hawaii: Legalization Nearing Finish Line?

Key Points:

• Hawaii has emerged as an unexpected front-runner to legalize sports betting.

• A bill to legalize sports betting in Hawaii has passed the state’s House and Senate.

• However, amendments led to the bill being sent to a conference committee for negotiation. 

• If the bill passes, the state hopes to go live with sports betting in mid-2025.

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In a year with few surprise developments in U.S. gaming legislation, Hawaii has emerged as an unexpected front-runner to legalize sports betting. But despite the fact that the Aloha State has inched closer than ever to legalizing sports betting, the path to becoming the 40th legal state is still not a done deal. 

(Missouri became the 39th state to legalize sports betting in November 2024. Its sportsbooks will go live by Dec. 1 at the latest.)

House Bill 1308, introduced by Rep. Daniel Holt, cleared major hurdles, passing both the House and the Senate. But the Senate approved key amendments, and when the bill returned to the House, lawmakers refused to concur with the changes, sending HB 1308 into conference committee for negotiation. With a final version yet to be agreed upon, lawmakers have a tight window (legislative session only open until May 1) to find common ground. 

Is sports betting legal in Hawaii? 

Not yet. As of April 2025, Hawaii remains one of only two U.S. states, along with Utah, with no legal form of gambling whatsoever. That means no casinos, no lottery, no sports betting and not even fantasy sports. But that could all change very soon.

Hawaii’s path from unlikely candidate to sudden seeming probable to legalize sports betting 

For decades, Hawaii has been firmly anti-gambling. Culturally and politically, the state has resisted efforts to introduce gaming in any form, citing concerns over potential spikes in addiction, bankruptcy, crime, suicide, child abuse and neglect, divorce, homelessness and the erosion of values. 

This year marks the farthest a sports betting bill has progressed. In 2019, a proposal to legalize sports betting died after barely passing one House committee. If HB 1308 does cross the finish line, Hawaii will be the first state to legalize sports betting without any other gambling options or infrastructure already in place.

With that lack of experience with gambling products, Hawaii may be under-equipped to handle the impacts, including gambling addiction. Hawaii is one of only five states – along with Utah, Idaho, Alaska and Arkansas – that do not allocate any public funding to treat the problem gambling.  

A 2025 surprise twist

Regarding the reasons cited above, entering the 2025 legislative session, almost no one had Hawaii on their sports betting radar. But things changed quickly.

While Holt's original proposal included a 10% tax rate on sports betting revenue, with a portion of tax revenue directed toward problem gambling support services, and a $250,000 licensing fee for operators (valid for five years), one of the House committee’s stripped these figures to spur further discussion, and it worked. HB 1308 gained early momentum by leaving these key financial figures blank, avoiding political friction, fast-tracking the bill through initial committees. 

The bill passed the House and eventually the Senate (15-10), even amid pushback from several state departments and law enforcement leaders. However, in the final Senate committee, members made amendments to the bill, restoring the original 10% tax rate and $250,000 license fee, while shifting regulatory oversight to the Department of Law Enforcement. These changes led to the bill being sent back to the House for concurrence.

But the House didn’t agree, triggering a conference committee process to resolve differences, an often fragile stage where bills can easily die.

If passed, Holt’s HB 1308 will establish a regulated market for mobile sports betting, issuing four sportsbook licenses to “qualified gaming entities,” and it will establish daily fantasy sports contests. The bill includes a universal go-live date within 180 days of becoming law, targeting a July 2025 rollout (but industry experts have strongly questioned if that timing is realistic).

Holt and his fellow proponents argue a regulated sports market will help stamp out the illegal market, which the American Gaming Association estimates brought in around $300 million in illegal bets in Hawaii alone in 2022. According to Holt, as many as 7,100 illegal game rooms operate across the state and are a growing concern – part of what the bill aims to address through increased enforcement funding.

Final steps remaining for sports betting legalization in Hawaii

Hawaii’s legislative session ends on May 1, 2025, giving lawmakers just a couple of weeks to finalize the bill in conference. If the House and Senate reach agreement, the bill will head to Governor Josh Green’s desk.

Gov. Green has signaled his support – if adequate consumer protections and enforcement mechanisms are included – so his signature isn’t likely to be a major hurdle. The real challenge now lies in the conference committee, where small details like oversight authority, tax structure and market scope could derail it. 

When could sports betting go live in Hawaii?

If the bill is signed into law this spring, the legislation proposes an effective date of July 1, 2025. However, that timeline is ambitious.

Hawaii has no existing gambling infrastructure or regulatory body. The bill assigns oversight to the Department of Law Enforcement or possibly the Department of Commerce and Consumer Affairs, depending on final negotiations, and neither currently has experience with gambling operations. 

Add in licensing, staffing, rulemaking, and vendor approval, and it’s hard to imagine operators going live by July. A late 2025 or early 2026 launch appears more realistic if the bill passes.

Legal gambling options today in Hawaii

There are none. Hawaii does not offer:

• Casinos

• Lottery

• Pari-mutuel wagering

• Charitable games

• Sports betting

• Daily fantasy sports

This lack of legal options has contributed to widespread illegal gambling activity in the state, particularly online.

How people bet (illegally) on sports today in Hawaii

Despite the legal ban, sports betting still occurs in Hawaii, whether through illegal or gray-area platforms. Residents may currently turn to:

• Offshore sportsbooks: Unregulated and often predatory, these platforms are unfortunately easily accessible via mobile devices.

• Local bookies: Underground operations that pose high risks to consumers and communities.

• Illegal “game rooms” for gambling

Rep. Holt has argued that legalization would curb these illegal markets by creating a regulated alternative with consumer protections, fair odds and enforcement against illegal game rooms.

Gambling addiction rates and treatment in Hawaii

HB 1308’s introduction of legalized sports betting would also bring about funding for addiction treatment programs, by allocating a percentage of revenues. But the fact Hawaii does not currently have any funding for gambling addiction programs is a cause for concern. 

In 2022, the NCPG estimated that 24,000 people in the islands struggle with compulsive gambling. In 2021, NCPG received more than 2,000 calls for help from Hawaii residents seeking treatment for gambling addiction.

If you or someone you know is in Hawaii and is or could be experiencing gambling-related struggles, Birches Health offers virtual care from the comfort of home. You can receive help from licensed therapists who are specially trained to treat gambling addiction. 

Here’s how to get started confidentially with Birches:

• Book an Appointment Online 

• Call 833-483-3838 

• Email help@bircheshealth.com