Sports betting fans from New York can breathe a sigh of relief. The US state’s Gaming Authority allowed mobile online offerings to go live. They started to allow this last January 8, 2022. The first four licensed providers include DraftKings, Caesars, BetRivers and FanDuel.
Any New York resident aged 21 or older can bet in web football (เว็บบอล) on the outcome of sporting events. The approval was preceded by a long licensing process. After sports betting was first allowed in terrestrial casinos in 2019, online providers are now allowed to follow suit.
51% goes to the state
However, companies pay a high price for the license. They had to commit to giving over 51% of their gross earnings to the state.
The volume of sports betting in New York is expected to increase to USD 10 billion annually by 2025. The state expects gross proceeds of around USD 1 billion. The taxes of a good USD 500 million that flow to it are to be invested primarily in social programs such as education and training. In addition, USD 6 million is reserved for measures to combat gambling addiction.
In addition to the annual tax payments, the now approved bookmakers had to pay an entry fee worth millions. A transfer of USD 25 million to the state treasury was due before the license was granted.
In the future, nine online sports betting providers
Overall, the Gaming Authority accepted nine applications for a license. The other candidates are BetMGM, Resorts World, BallyBet, WynnBET and PointsBet. These should also be able to start promptly after the final licensing details have been clarified.
Financial experts expect that New York could soon outstrip the previous sports betting sales leader New Jersey. There, providers achieved gross revenues of over USD 100 million for the first time last December.
So far, 29 states plus Washington DC have legalized online sports betting. However, with its 20 million inhabitants, New York is considered to be the most lucrative state in which bookmakers will be allowed to market their mobile offers in the future.
New Jersey could be a potential loser from legalization in New York. Until now, many residents of New York City who were enthusiastic about betting preferred to place their bets across the border to the neighbouring state instead of driving to the nearest New York casino with sports betting offer, which is more than an hour away.