Vermont Sports Betting License Bids Filed By Five Sportsbooks
Five sportsbook operators have submitted bids for mobile sports betting licenses in Vermont. The Vermont market is slated to go live in January 2024. Operators who applied include the likes of BetMGM, DraftKings, Fanatics, FanDuel, and the upcoming PENN-run ESPN BET. Regulations allow for six online sportsbooks in Vermont to go live.
Vermont License Tempts Major Players
Some of the best sports betting sites are looking to operate in Green Mountain State. The deadline to submit bids was on Sept 6, 2023. A likely second round of bidding is expected so the final Vermont sports betting license can be issued (assuming each bid thus far is granted).
Vermont will be an online-only market, joining the likes of Tennessee and Wyoming in that respect. Vermont neighbors three markets that host online betting. This launch will make locals close to the state’s borders less likely to travel to wager, keeping the revenue in-house.
What Vermont Requires From Applicants
In order to be granted a betting license in Vermont, operators must showcase they are capable of operating within state regulations. The Vermont Department of Liquor and Lottery is regulating the market. This department will review the applications and approve or deny the bids.
Each operator had to submit regulatory conditions proposals which will be probed and reviewed by the department. Additionally, operators will be graded on a points scale, 0-1,000 which is largely graded on how much tax revenue the sportsbook is willing to share.
While the regulations set the minimum tax rate at 20%, Vermont is looking for operators willing to share more of the revenue. Operators that listed a higher tax rate (up to 51%) received more points and were more likely to get approved. A bulk of the points will also be granted based on an operator’s history and reputation in other markets.
Applicants will also be graded on their ability to demonstrate technical operation capabilities. The department will grate geolocation systems, deposit and withdrawal operations, consumer protection protocols, and more.
Each applicant has a history of running sports betting in other markets. Even ESPN BET will be a reskin launch of the previous PENN-operated Barstool Sportsbook. Passing the probing phase should be easy for these veteran operators.