As the U.S gambling industry starts to evolve due to the introduction of bills aim to regulate other forms of gambling, credit debt watcher Fitch Ratings sounded alarm bells that such progress will come with a hefty price.

Fitch warned that Atlantic City casinos will feel the full brunt of these pending gaming regulations in the near term even though other casinos across the US will also face a changing regulatory landscape

Among the challenges that Atlantic City has to face includes the surge of public’s interest in iGaming and daily fantasy sports, and the casino expansion in North Jersey. New Jersey residents is expected to put to vote on whether to legalize gaming outside the Atlantic City in November.

Should New Jersey residents vote in favor of the construction of new casinos in North Jersey, Fitch pointed out that more Atlantic City casinos will be shuttered.