Bringing children to a casino city sounds like a category error and it is not, but it does require knowing three things that nobody tells you at check-in.
The first is the age rule. Mississippi sets twenty-one as the gaming age, and it is enforced on the floor rather than at the front door. Families walk through gaming floors here constantly, because in most of these resorts the restaurants, the lifts and the pool are on the other side of one. Under-21s may cross; they may not stop, sit down or hang about. In practice that means you walk with purpose and nobody says anything, and it also means the middle of a resort is not a place to let a nine-year-old wander while you find the car keys.
The second is geography. The strongest children's attractions on this coast are not in Biloxi. The Mississippi Aquarium and the coast's hands-on children's museum are both in Gulfport, thirteen miles west along the beach road or the interstate, about twenty-five minutes. The ferry that reaches the island beach also leaves from Gulfport. Plan on at least one day that starts by driving west, and do not book a hotel on the assumption that everything is walkable from it.
The third is the water, and it is the one that produces the most disappointment and the most pleasant surprise in the same trip. The sand along US 90 is an artificial beach, built in 1951 and 1952 to protect the seawall, and it fronts the Mississippi Sound rather than the open Gulf. The water is shallow a long way out, warm from May to October, tea-coloured by nature because five rivers drain into it, and almost completely without surf. If you came for waves you will be disappointed. If you have a three-year-old, it is one of the easiest pieces of water on the whole Gulf coast, because there is nothing to knock them over and no rip current to worry about. The trade-off is that there are no lifeguards along most of it, and the state posts water-contact advisories after heavy rain, so you check before anyone goes in.
Get those three right and the rest is straightforward. There is a working shrimp boat that hauls a net in front of your children and lets them hold a blue crab, a downtown ballpark five minutes from the strip, an island with clear water and a fort on it, and enough air-conditioned museum space to absorb a summer afternoon when the storm rolls in, which between June and September it will.