Connect with us

    Hi, what are you looking for?

    DocupdatesDocupdates

    Questions & Answers

    How Is The Gambling Legislation Increasing Revenue In The United States?

    Overview Of Sports Betting Launching In The U.S.

    As many projected some years ago, the gambling industry has been a significant money maker across different parts of the United States.

    Everything changed back in May 2018, when the Supreme Court of the United States overturned the Professional and Amateur Sports Protection Act of 1992 (PASPA). The Supreme Court determined that this violated the country’s Tenth Amendment, and the ruling gave all 50 U.S. states the option to launch mobile/online and in-person sports betting if they wished.

    Gambling was illegal almost everywhere in the U.S. prior to the SCOTUS’ ruling. Soon after the PASPA was overturned, the states of Delaware, New Jersey and Mississippi joined Nevada in running legal sports betting (it was legal in Nevada even during the PASPA’s 26 years of existence).

    More than two dozen U.S. states have since legalized a form of sports betting, and the state of Kansas is widely expected to launch it at some point in the final months of 2022 or in early 2023.

    If sports betting launches in The Wheat State, customers would be able to take advantage of several special welcome offers through sportsbooks like  BetMGM Kansas, DraftKings, Caesars and FanDuel.

    The anticipated offer from BetMGM Kansas would be a risk-free bet of up to $1,000. Through this sportsbook, customers would be able to place all sorts of different wagers — including parlays, futures (division winners, award winners, etc.), prop bets and more.

    It’s tough to project the potential sports gambling revenue for a state like Kansas. As David Caraviello noted in The Kansas City Star, nearby states in Nebraska, Oklahoma and Missouri don’t have legalized sports betting. And as pointed out by Caraviello, The Wheat State also places 35th among all 50 states in population.

    The state of Kansas doesn’t have any “big four” professional sports teams (NFL, NBA, MLB or NHL), but residents will be able to place wagers on nearby teams like the NFL’s Kansas City Chiefs and Kansas City Royals. And of course, Kansas is home to several prominent collegiate programs including the men’s Jayhawks basketball team.

    New York, New Jersey & Illinois Among Nation’s Leaders In Gambling Revenue

    The state of New York is the nation’s biggest moneymaker in the gambling industry since launching in January of this year.

    According to the New York State Gaming Commission (h/t  Elite Sports NY) The Empire State took in just over $800 million in online sports gambling handles last month. Although this number is incredibly high especially compared to the monthly amounts in other states, it was noted by Elite Sports NY that this was the lowest number for New York since launching in June.

    Otherwise, The Empire State has easily exceeded the $1 billion mark each month since launching.

    In July, Gov. Kathy Hochul announced that New York State had made $302.3 million in tax revenue through mobile sports wagers. The announcement noted that it was more than every other U.S. state.

    The tax revenue generated from sports betting in New York goes towards good causes such as education, youth programming and addiction services (including gambling).

    As for the state of New Jersey (as previously mentioned, one of the first states to launch sports betting following the SCOTUS’ 2018 ruling), the state is consistently taking in close to $1 billion worth of handles each month.

    The State of Illinois is also a prominent leader in the sports gambling industry. A recent report from the Illinois Gaming Board shows that the state took in $764.6 million in wagers. As strong as that number is, it was a noticeable drop from the April totals which came in at $839.4 million.

    Also of interest: A new study indicates that the United States could take in $6.35 billion annually in tax revenue through wagers in the iGaming industry.

    U.S. states that allow mobile/online and/or in-person sports betting are making significant and noticeable tax revenue. The state of New York should lead the way long-term given its high population (around 20 million) and the fact they have 10 “big four” professional sports league franchises.

    Over time, more and more U.S. states have launched or are at least making significant progress in legalizing mobile/online and in-person sports betting.

    Click to comment

    Leave a Reply

    Advertisement