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Sub-national
North America

Colorado (USA): gambling regulation and licensing

State of Colorado

Part of United States

  • Online sports bettingRegulated
  • Online casinoProhibited
  • Online pokerProhibited
  • Horse race bettingRegulated
  • Esports bettingRegulated
  • Daily fantasy sportsRegulated
  • Land-based (reference)Regulated
Regulator
Colorado Division of Gaming
Headline tax
10% GGR
Licence required
Yes
Last verified
21 Oct 2026

Summary

Online, Colorado licenses sports betting, daily fantasy contests and advance deposit wagering on horse racing. Online casino and poker are not authorised: the Attorney General has advised that online gambling is not limited gaming and would need a constitutional amendment. Voters approved sports betting as Proposition DD on 5 November 2019, and it has been legal since 1 May 2020. The Limited Gaming Control Commission issues licences and adopts the rules; the Division of Gaming, part of the Department of Revenue, handles licensing, audit and enforcement. Bettors must be 21. Every online sportsbook needs a contract with a casino holding a master licence in Black Hawk, Central City or Cripple Creek, and each casino may partner with one online and one retail operator. The Division listed 13 online operators in September 2026. The tax is 10% of net sports betting proceeds, but the base has widened. Under House Bill 25-1311, free bets could be deducted only up to 1.75% of total bets from January 2026, and not at all from 1 July 2026. In the year to 30 June 2026 Coloradans staked $6.45 billion, 99.5% of it online, and the state collected $47.2 million, up 28.2%. After costs and $1.74 million to a hold-harmless fund, $43.3 million went to the Water Plan Implementation Cash Fund. Senate Bill 26-131, in force since 12 August 2026, bans credit card deposits, caps online deposits at six per gaming day, bars push notifications and texts soliciting bets or deposits, and writes the under-21 advertising limits into statute. The Commission is turning the emergency rules that implement it, and the free bet change, into permanent rules.

Common pitfalls

Reading the 10% headline rate as cheap: since 1 July 2026 free bets can no longer be deducted, so the base is close to gross revenue less federal excise tax. Assuming a sportsbook can enter alone: it needs a casino master licensee partner, and each casino has one online slot. Treating the minimum age as 18: it is 21. Comparing figures without noting that Colorado reports by fiscal year, July to June. Online casino and poker are not legal.

Key facts

Regulator
Colorado Division of Gaming
Regulator type
Sub-national body
Headline tax
10% GGR
Licence required
Yes
Minimum age
21+
Tax base
Net sports betting proceeds: wagers less payments to players and federal excise taxes paid. The free bet deduction was capped at 1.75% of total bets from 1 January to 30 June 2026 and abolished from 1 July 2026 (HB25-1311). Tax is computed on daily taxable proceeds with losses carried to the next gaming day (Rule 7.8).
Capital
Denver
Currency
USD
Official languages
English

How to get a gambling license in Colorado

The regulator is the Colorado Division of Gaming.

We record 5 licence types for Colorado.

For the Master licence, the application fee is $2,000 (as of 23 Sept 2026).

Applications
Accepted on a rolling basis
Headline tax
10% GGR (see Taxation for the full position)

Licence fees in Colorado

Licence typeApplication feeAnnual feeTerm
Master licenceFixed licence fee; renewal $250. A master licensee conducting sports betting itself pays the operations fee for its channel.$2,000 (as of 23 Sept 2026)Not yet verified2 years
Internet sports betting operator licenceFixed licence fee ($1,200 new or renewal) plus an annual sports betting operations fee set by the Commission, $78,000 for fiscal year 2027$1,200 (as of 23 Sept 2026)$78,000 (as of 1 Jul 2026)2 years
Sports betting operator licenceFixed licence fee plus an annual operations fee of $11,700 for fiscal year 2027$1,200 (as of 23 Sept 2026)$11,700 (as of 1 Jul 2026)2 years

Built from the record on this page, last verified 21 Oct 2026. The Licensing and Taxation sections carry the full detail and sources.

Licensing

Licence required
Yes
Application window
Rolling
Local establishment required
Not yet verified
Local server required
Not yet verified
Active licences
13 (as of 23 Sept 2026)
Notable licensees
DraftKings, FanDuel, BetMGM (Roar Digital), Caesars (William Hill), Fanatics, bet365 (Hillside (Colorado) LLC), BetRivers (Rush Street Interactive), Hard Rock Bet, Circa Sports, Sporttrade Colorado, LLC
Certification requirements
Sports betting systems must meet Rule 7 system, internal control and change control requirements, and online platforms must use a geofence approved to the Director's technical specifications (Rule 7.10).
Barriers to entry
An online sportsbook needs a contract, approved by the Division, with a casino holding a master licence in one of the three gaming towns, and each master licensee may contract with no more than one internet and one retail operator (C.R.S. 44-30-1505). The number of online brands is therefore limited by the number of casinos; 13 online operators were listed on 23 September 2026. Licence fees are low, but the annual operations fee is $78,000.

Licence types

  • Master licence

    Scope
    Held by a casino with a retail gaming licence in Black Hawk, Central City or Cripple Creek; permits sports betting on its premises and contracts with operators
    Term
    2 years
    Application fee
    $2,000 as of 23 Sept 2026
    Fee basis
    Fixed licence fee; renewal $250. A master licensee conducting sports betting itself pays the operations fee for its channel.
    Renewal terms
    Renewal application due 120 days before expiry
  • Internet sports betting operator licence

    Scope
    One individually branded website and matching app, operated under contract with a master licensee
    Term
    2 years
    Application fee
    $1,200 as of 23 Sept 2026
    Annual fee
    $78,000 as of 1 Jul 2026
    Fee basis
    Fixed licence fee ($1,200 new or renewal) plus an annual sports betting operations fee set by the Commission, $78,000 for fiscal year 2027
    Renewal terms
    Renewal application due 120 days before expiry
  • Sports betting operator licence

    Scope
    Retail sportsbook in a casino, operated under contract with a master licensee
    Term
    2 years
    Application fee
    $1,200 as of 23 Sept 2026
    Annual fee
    $11,700 as of 1 Jul 2026
    Fee basis
    Fixed licence fee plus an annual operations fee of $11,700 for fiscal year 2027
    Renewal terms
    Renewal application due 120 days before expiry
  • Vendor major licence

    Scope
    Suppliers that manage wagers or games, operate sports betting system software or hardware, or take a share of sports betting revenue
    Term
    2 years
    Renewal terms
    Renewal application due 120 days before expiry
  • Vendor minor licence

    Scope
    Other persons contracting with or acting for a sports betting licensee and involved in its operation, including marketing affiliates
    Term
    2 years
    Renewal terms
    Renewal application due 120 days before expiry

Taxation

Headline GGR tax
10% GGR
Effective date
1 Jul 2026
Tax base
Net sports betting proceeds: wagers less payments to players and federal excise taxes paid. The free bet deduction was capped at 1.75% of total bets from 1 January to 30 June 2026 and abolished from 1 July 2026 (HB25-1311). Tax is computed on daily taxable proceeds with losses carried to the next gaming day (Rule 7.8).

Earmarked levies

  • Wagering Revenue Recipients Hold-Harmless Fund: 6% of full fiscal year sports betting tax revenue or 6% of $29 million, whichever is less ($1.74 million for fiscal year 2026) (Gaming towns and counties, the State Historical Fund, community colleges and racing purse beneficiaries that show losses caused by sports betting)
  • Water Plan Implementation Cash Fund: All remaining money in the sports betting fund after administration and the hold-harmless transfer ($43.27 million for fiscal year 2026); from SB26-131 no less than the previous year's transfer (Colorado Water Conservation Board water projects)

Compliance

Minimum age
21+
KYC timing
Before any deposit or wager
AML regime
Operators must report suspicious or illegal wagering, including wagers to launder funds, use of agents and false identification, to the Division, and keep records of all bets for at least three years (C.R.S. 44-30-1506(5)).
Deposit limits
An internet sports betting operator may not accept more than six separate deposits from an individual in a gaming day (SB26-131, from 12 August 2026). Operators must offer self-directed limits on deposits, withdrawals and betting as part of their approved responsible gaming strategy (Rule 9.6).
Data localisation
Bets must be initiated, received and made within Colorado (C.R.S. 44-30-1506(6)); online operators must geofence and accept bets only from people physically in the state (Rule 7.10).
KYC requirements
A full identity check must be completed before a patron may wager; only patrons aged 21 and over may deposit or bet, and each patron may hold one active account (Rule 7.11). Operators must record personal details for any in-casino bet of $10,000 or more (C.R.S. 44-30-1506(4)).
Stake limits
Not yet verified
Mandatory player messaging
Sites, apps and kiosks must display a responsible gaming logo linking to a page with the message "Gambling problem? Call or TEXT 1-800-GAMBLER" (Rule 9.1).
Reporting obligations
Report integrity concerns and suspicious wagering to the Division, simultaneously to the sports governing body for integrity matters (SB26-131); submit a responsible gaming strategy update and advertising report by 1 October each year (Rules 9.4 and 9.6); from 1 February 2028, give the Division annual transactional data (SB26-131).
Game content restrictions
Betting on high school sports is prohibited (Rule 5.3); events must be authorised under Rule 5.

Advertising

Advertising permitted
Yes
Affiliate rules
Persons contracting with a sports betting licensee and involved in its operation need a vendor minor licence (Rule 3); the Commission licenses affiliate and media businesses in this class. Statutory and rule restrictions apply to operators and their marketing affiliates alike.
Social media rules
The under-21 targeting and audience rules cover digital communications, and the 1-800-GAMBLER message applies to digital and online advertising.
Bonus advertising rules
Offers must have full, clear terms, with material terms close to the headline claim; they may not be called free or risk free if the customer must risk their own money, and may not stop customers withdrawing their own funds or winnings from them (Rule 9.4(1)).
Mandatory warnings
"Gambling problem? Call or TEXT 1-800-GAMBLER" on all advertising to Colorado consumers, in conspicuous type or audible speech (Rule 9.4(5)).
Penalties for breach
Rule breaches can lead to licence suspension, revocation, a reprimand or a monetary penalty under C.R.S. 44-30-524; in August 2026 Fanatics agreed a $20,000 fine for texting promotions to a self-excluded customer.

Restrictions

  • Operators and their marketing affiliates may not target people under 21 or create content clearly meant for them (C.R.S. 44-30-1506.5, added by SB26-131, and Rule 9.4).
  • No advertising on media where the majority of the audience is reasonably expected to be under 21; public venues where the crowd cannot be profiled are exempt.
  • Online operators may not send push notifications or text messages to account holders soliciting bets or deposits (SB26-131).
  • Operators must make reasonable efforts to keep people on the Exclusion List out of direct marketing by mail, phone, text or email, including through affiliates (Rule 9.3).
  • Only online sports betting may be marketed; online casino and poker are not authorised in Colorado.

Payments

Credit card ban
Yes
Crypto stance
Prohibited
Permitted methods
Debit card, Cash or vouchers at an approved cashier, Reloadable prepaid card issued to the patron and not funded by credit card, ACH transfer, Wire transfer

Enforcement

ISP blocking
Not yet verified
DNS blocking
Not yet verified
Payment blocking
Not yet verified
App store takedowns
Not yet verified
Administrative penalties
Reprimand, licence suspension or revocation, or a monetary penalty; the cap for an operator, or an online operator that accepts credit card deposits, is $25,000 (C.R.S. 44-30-524 as amended by SB26-131).
Criminal penalties
Unlawful acts under C.R.S. 44-30-1511, including accepting bets from under-21s, accepting bets outside a licence and accepting credit card deposits, are class 2 misdemeanours (C.R.S. 44-30-1512).
Operator liability
Accepting a bet at any place or in any manner not authorised by a sports betting licence is unlawful (C.R.S. 44-30-1511). Since SB26-163, Division investigators may inspect, hold or impound premises where they suspect unlicensed sports betting.

Notable actions

  • PointsBet Colorado LLC d/b/a Fanatics Sportsbook27 Aug 2026

    Stipulation put to the Commission: admitted texting promotional offers to a self-excluded patron in February 2026; $20,000 fine, an audit of text marketing against the self-exclusion list from January 2024 to March 2026, and further VIP staff training

    Fine: $20,000 as of 27 Aug 2026

Market data

Figures on this record are drawn from official regulator data.

Online GGR
$581,455,255 as of 30 Jun 2026
Reporting year
2026
Licensed operators
13

GGR by vertical

  • Online sports betting: $581,455,255 as of 30 Jun 2026

Timeline

  1. 13 Dec 2013

    Attorney General Opinion 13-02 concludes online gambling is not limited gaming and needs a constitutional amendment

  2. 5 Nov 2019

    Voters approve Proposition DD, legalising sports betting (800,745 for, 756,712 against)

  3. 1 May 2020

    Sports betting becomes legal with licensed operators

  4. 1 Jan 2023

    Free bet deduction capped at 2.5% of total bets under HB22-1402

  5. 20 May 2024

    HB24-1436 signed, referring the retention of sports betting tax above $29 million to voters

  6. 5 Nov 2024

    Voters approve Proposition JJ, letting the state keep sports betting tax revenue above the $29 million estimated in 2019 for water projects

  7. 15 May 2025

    HB25-1311 signed, phasing out the free bet deduction

  8. 1 Jan 2026

    Free bet deduction cut from 2% to 1.75% of total bets

  9. 14 Jan 2026

    Amended Rule 9 on responsible advertising and the Exclusion List takes effect

  10. 1 Jul 2026

    Free bet deduction abolished

  11. 12 Aug 2026

    SB26-131 and SB26-163 take effect; emergency Rule 7 payment amendments in force

  12. 27 Aug 2026

    Fanatics stipulation for a $20,000 fine goes to the Commission

  13. 17 Sept 2026

    Commission considers the fiscal year 2026 distribution: $43.27 million to the water plan fund

Outlook

Watch the permanent rulemaking for Rule 7: the payment and account rules implementing SB26-131 were on the 17 September 2026 agenda, and the free bet rule (7.8) can be made permanent no sooner than November 2026. Fiscal year 2027 is the first full year with no free bet deduction; the legislature's fiscal note projected $12.9 million of extra revenue from the change in 2026-27. The Division is also preparing rules to let its Director approve vendor minor licences under SB26-163, and Fanatics owes the Division an audit of its text marketing against the self-exclusion list. Online casino would still need a constitutional amendment approved by voters.

Frequently asked questions

Is online casino legal in Colorado?
No. Only sports betting is licensed online. Attorney General Opinion 13-02 concludes online gambling is not limited gaming under the constitution and would need a constitutional amendment.
What is the sports betting tax in Colorado?
10% of net sports betting proceeds. Since 1 July 2026 operators can no longer deduct free bets, which were capped at 1.75% of total bets in the first half of 2026.
How does an online sportsbook get licensed?
It needs an internet sports betting operator licence ($1,200, valid two years) and a Division-approved contract with a casino holding a master licence. Each casino may take one online operator. The fiscal year 2027 operations fee is $78,000.
What did Senate Bill 26-131 change?
From 12 August 2026 it banned credit card deposits, limited online deposits to six per gaming day, banned push notifications and texts soliciting bets or deposits, and put the under-21 advertising limits in statute. Accepting credit card deposits can draw a penalty of up to $25,000.
How does self-exclusion work in Colorado?
The Division of Gaming keeps one Exclusion List covering casinos and retail and online sportsbooks. People choose one, three or five years and are not removed automatically when the period ends.
Where does the sports betting tax go?
After administration and a hold-harmless transfer of $1.74 million, the rest goes to the Water Plan Implementation Cash Fund: $43.27 million for fiscal year 2026.
How much does a gambling licence cost in Colorado?
For the Master licence, the application fee is $2,000 (as of 23 Sept 2026). For the Internet sports betting operator licence, the application fee is $1,200 (as of 23 Sept 2026) and the annual fee is $78,000 (as of 1 Jul 2026). For the Sports betting operator licence, the application fee is $1,200 (as of 23 Sept 2026) and the annual fee is $11,700 (as of 1 Jul 2026). The Licensing section lists all 5 licence types recorded for Colorado. Last verified 21 Oct 2026.
Who regulates gambling in Colorado?
The Colorado Division of Gaming regulates gambling in Colorado. Other authorities with a role include Colorado Limited Gaming Control Commission and Colorado Division of Racing Events.

iGT 25 companies with ties to Colorado

Glossary and directory

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Interim results from a state-funded University of Nevada, Las Vegas study suggest 7% of Colorado's sports bettors report serious gambling problems, in a year when the state's sports betting tax take rose 28% to $47.2 million. On the reported numbers, the figure rests on about 20 sports bettors in a 500-person sample, and the full method has not been published.

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Sources

Source tiers. Tier 1: the law, official gazette, licence register or regulator itself. Tier 2: other official sources such as ministries, parliaments, courts and statistics agencies. Tier 3: established trade press, used to find and date the primary source. Only tier 1 and tier 2 sources can support a fact on their own.

  1. Colorado Limited Gaming Act with Constitutional Amendment (DR 9100, updated March 2023), including C.R.S. 44-30-1501 to 1516 (sports betting) and 44-30-1601 to 1609 (fantasy contests)

    Colorado Division of Gaming (Department of Revenue)

    Compilation predates HB25-1311, SB26-131 and SB26-163; amended provisions are taken from those session laws.

    Tier 1Accessed 23 Sept 2026Published 6 Feb 2023
  2. Tier 1Accessed 23 Sept 2026Published 13 Dec 2013
  3. Tier 1Accessed 23 Sept 2026Published 15 May 2025
  4. HB 25-1311 Final Fiscal Note (July 14, 2025)

    Colorado Legislative Council Staff

    The fiscal note and the legislature's bill summary give the January to June 2026 free bet cap as 1%; the enacted text (Session Laws 2025, ch. 195) sets one and three-quarters percent, which this record follows.

    Tier 2Accessed 23 Sept 2026Published 14 Jul 2025
  5. Tier 1Accessed 23 Sept 2026Published 20 May 2024
  6. Tier 1Accessed 23 Sept 2026Published 1 Jun 2026
  7. Tier 1Accessed 23 Sept 2026Published 29 May 2026
  8. Tier 1Accessed 23 Sept 2026
  9. Tier 1Accessed 23 Sept 2026
  10. Tier 1Accessed 23 Sept 2026
  11. Tier 1Accessed 23 Sept 2026
  12. Tier 1Accessed 23 Sept 2026Published 12 Aug 2026
  13. Emergency Sports Betting Rule 7, Regulation 7.8 (effective 8/17/2026)

    Colorado Division of Gaming (Department of Revenue)

    Tier 1Accessed 23 Sept 2026Published 17 Aug 2026
  14. Tier 1Accessed 23 Sept 2026Published 14 Jan 2026
  15. Sports Betting (Division of Gaming)

    Colorado Division of Gaming (Department of Revenue)

    Tier 1Accessed 23 Sept 2026
  16. Sports Betting Master License

    Colorado Division of Gaming (Department of Revenue)

    Tier 1Accessed 23 Sept 2026
  17. Sports Betting Operator License

    Colorado Division of Gaming (Department of Revenue)

    Tier 1Accessed 23 Sept 2026
  18. Sports Betting Operating Fees (FY 2027, approved May 21, 2026)

    Colorado Division of Gaming (Department of Revenue)

    Tier 1Accessed 23 Sept 2026Published 21 May 2026
  19. Licensed Sports Books and Operators

    Colorado Division of Gaming (Department of Revenue)

    Tier 1Accessed 23 Sept 2026
  20. Tier 1Accessed 23 Sept 2026
  21. Self-Exclusion (Colorado Division of Gaming, BetSmart)

    Colorado Division of Gaming (Department of Revenue)

    Tier 1Accessed 23 Sept 2026
  22. Limited Gaming Control Commission

    Colorado Division of Gaming (Department of Revenue)

    Tier 1Accessed 23 Sept 2026
  23. Tier 1Accessed 23 Sept 2026Published 16 Jul 2026
  24. Tier 2Accessed 23 Sept 2026
  25. Tier 2Accessed 23 Sept 2026
  26. Colorado Sports Betting Proceeds, July 2026

    Colorado Division of Gaming (Department of Revenue)

    Tier 2Accessed 23 Sept 2026
  27. What is Legal? Gambling Questions in Colorado

    Colorado Division of Gaming (Department of Revenue)

    Tier 1Accessed 23 Sept 2026
  28. Fantasy Contests

    Colorado Division of Gaming (Department of Revenue)

    Tier 1Accessed 23 Sept 2026
  29. Authorized Advanced Deposit Wagering Facilities (ADWs)

    Colorado Division of Racing Events (Department of Revenue)

    Tier 1Accessed 23 Sept 2026
  30. Hold Harmless Fund

    Colorado Division of Gaming (Department of Revenue)

    Tier 1Accessed 23 Sept 2026
  31. Complaint by Gaming Patron (with link to the Sports Betting Complaint Form)

    Colorado Division of Gaming (Department of Revenue)

    Tier 1Accessed 23 Sept 2026
  32. Tier 3Accessed 21 Oct 2026Published Nov 2024

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This page is industry reference information and not legal advice.

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