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Despite these efforts, illegal gambling continued to thrive, often operating in secret or under the guise of social clubs. June 1933Pari-mutuel wagering was legalized in an attempt to stimulate economic growth and pull California out of the Great Depression. Racetracks and off-track betting facilities launched across California. From the height of the Gold Rush in the 1800s to today, California has a long history with gambling as a pastime. Despite its obvious popularity, the government has struggled to bring the industry under state regulations, leaving many of the most popular forms of gaming unregulated. California State Lottery The California State Lottery offers various games, including draw games, scratch-offs, and multi-state games like Powerball and Mega Millions.