Sports Betting Revenue By State In 2018

Single-game sports betting within the United States was only legal in Nevada until May 14, 2018. On that date, the SCOTUS struck down PASPA, effectively unlocking the legislative key for states that wished to legalize and regulate sports betting within their borders. In the months prior to that date, a handful of states had proactively passed legislation designed to go into effect or further mature if and when the PASPA was eradicated.

Delaware was the first state outside of Nevada to launch single-game sports betting on June 5, taking advantage of its status as an original  “grandfathered” state under PASPA. That allowed it to begin taking single-game wagers without any immediate further legislation. New Jersey soon followed, officially taking its first wager June 14.

Below we take a look at the monthly sports betting handle and hold for each state offering sports betting, along with the key facts to know in each market.

Where is legal sports betting available in the U.S.?

Nevada 

Legalized land-based wagering: 1949

Legalized online/mobile wagering: 2010

Tax Rate: 6.75 percent for land-based sports betting revenue

MonthTotal HandleTotal Revenue/HoldHold %Story
January 2018$418.6 million$25.1 million6.0%Legal Sports Report
February 2018$411.7 million$10.7 million2.6%Legal Sports Report
March 2018$522 million$34.2 million6.6%Legal Sports Report
April 2018$316 million$16.3 million5.2%Legal Sports Report
May 2018 $315.5 million$20.5 million6.5%Legal Sports Report
June 2018$286.5 million$20.2 million7.1%Legal Sports Report

Delaware

Legalized land-based wagering: Effectively May 14, 2018, the day of the SCOTUS decision that struck down PASPA.

Legalized online/mobile wagering: N/A

First wager taken: Tuesday, June 5, 2018 — Dover Downs Racetrack

Tax Rate: Revenue-sharing model

  • Scientific Games (central system, terminals, risk management)- Receive 12.5 percent of revenue
  • State– Receives 50 percent of revenue
  • Casinos– Receive 40 percent of revenue
  • Horse Racing Industry – Receives 10 percent of revenue as supplement for purses
MonthTotal HandleTotal Revenue/HoldHold %Story
June 2018 $7 million$1 million14.3%Legal Sports Report
July 2018$8.2 million$527,1406.4%Legal Sports Report

New Jersey

Legalized land-based wagering: Gov. Phil Murphy signed A 4111 on June 11, 2018

Legalized online/mobile wagering: Mobile betting was legalized on July 18, 2018. DraftKings Sportsbook was the first to accept a legal online bet on Aug. 3.

First legal wager taken: Thursday, June 14, 2018 — Monmouth Park Racetrack

Tax Rate:

  • 8.5 percent for land-based sports betting revenue
  • 13.0 percent for casino-based online sports betting revenue
  • 14.25 percent for racetrack-based online sports betting revenue
MonthTotal HandleTotal Revenue/HoldHold %Story
June 2018$16.4 million$3.5 million21.3%Legal Sports Report
July 2018$40.7 million$3.8 million9.3%Legal Sports Report

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Which states legalized sports betting in the U.S.?

The following states have passed some sort of legislation authorizing single-game sports betting within their borders, but no sportsbooks have yet begun taking wagers.

Pennsylvania

Legalized land-based wagering: Oct. 30, 2017, when Governor Tom Wolf signed omnibus gaming bill

Legalized online/mobile wagering: Oct. 30, 2017

License Fee: $10 million

Tax Rate: 36.0 percent for land-based and online sports betting revenue

Mississippi

Legalized land-based wagering: March 13, 2017 — Governor Phil Bryant signs Fantasy Contests Act, which included a provision to decriminalize sports betting. Official regulations approved June 21, 2018

Legalized online/mobile wagering: Same date, although online wagering will only be allowed on casino grounds.

Tax Rate: 12.0 percent of all sports betting revenue (8.0 percent to state, 4.0 percent to local municipalities)

West Virginia

Legalized land-based wagering: March 9, 2018

Legalized online/mobile wagering: Regulations regarding online wagering clarified June 21, 2018

License Fee: $100,000

Tax Rate: 10.0 percent of all sports betting revenue

New York

Legalized land-based wagering: July 30, 2013 — Gov. Andrew Cuomo signed New York Gaming Economic Development Act, which included authorization for four upstate casinos to offer sports betting under the state’s gaming commission.

Legalized online/mobile wagering: Appears to be prohibited under the current language of the law, but reportedly still being discussed.

Rhode Island

Legalized land-based wagering: June 22, 2018 — Gov. Gina Raimondo signed into law as part of $9.6 billion budget plan.

Legalized online/mobile wagering: N/A

Tax Rate: Revenue-sharing model

  • State– Receives 51 percent of revenue
  • Vendors– Receive 32 percent of revenue
  • Casinos – Receive 17 percent of revenue

States with potential in 2019

A number of states made progress during their respective 2018 legislative sessions on sports betting laws, but not enough to actually enact them. The next opportunity for those jurisdictions will come in 2019. Others are still in active sessions, with an outside chance of passing legislation during the current calendar year. A look at which states seem to be on track to have legalized sports betting within the next 12-18 months.