US Sports Betting Market Assessment, Expansion, and Growth Forecast

Nevada used to be the only state in the US where sports betting was legal. In the past few years, however, this has changed with more states decriminalizing sport betting activities. Experts predict a 9.45% growth in the Gross Annual Gaming Revenue of the sports betting industry for the period between 2019 and 2026.

The state of Nevada first legalized sports betting in 1949, when it was looking for a way to attract more tourists and boost its economy. The gambling industry in Nevada was booming after World War Ⅱ, with different Las Vegas Strip investors helping hotels and casinos in the area to grow.

The federal government levied a tax of 10% on all sports bets in 1951. This, however, was too high of a rate for some sportsbooks and many of them were forced to cease their operation. In 1974, Congress introduced some changes to the law, reducing the tax on sports bets to 2%. This helped the sports betting industry in Nevada to regain its strength, contributing a huge amount to the government’s revenue.

During these years, mobsters were among the main investors that supported the gambling industry in Nevada. In an attempt to fight organized crime, Congress introduced various legislations, with The Federal Wire Act of 1961 being the most popular. Despite the different legislations throughout the years, illegal bookmaking was still an issue during the ’70s and ’80s.

In 1992, Congress introduced a new law known as PASPA (Professional and Amateur Sports Protection Act). It banned states from legalizing sports betting activities, allowing professional and amateur sports organizations to also enforce the PASPA law. One exception was the clause allowing states that had already legalized sports betting to continue legally offer sports wagers. At that time, those states included Nevada, Delaware, Oregon, and Montana. Oregon was offering a Sports Action Lottery, which had been discontinued in 2007. Meanwhile, Delaware could only offer parlay betting via sports lottery.

In 2006, Congress was aiming to regulate online sports betting by introducing the Unlawful Internet Gambling Enforcement Act (UIGEA). It was deemed illegal for individuals who were involved in betting and wagering activities to accept funds via credit cards, EFT transfers, or other payment solutions. Banks and other financial institutions were also required to block such transactions, making it impossible for US-based punters to bet real money online.

The sports betting scene in the country started changing in 2018 after the US Supreme Court ruled the PASPA law unconstitutional. With the law being eradicated, states in America were allowed to legalize sports betting. New Jersey was the first state that managed to legally offer sports wagering, with several other states following its steps towards legal sports betting.

While many predict that the sports betting industry in the US will continue growing in the following years, not all sportsbook operators are included in the estimates. Factors like the high tax rates and the overall cost of promoting sports betting to potential new customers are among the reasons for some betting amenities ceasing operation. In addition to that, the COVID-19 pandemic inflicted a devastating blow on the entire gambling industry in the US, including many sports betting facilities that were forced to close down for several weeks.

Since studies show that a large number of US bettors participate in illegal gambling, many states are working towards legalizing sports betting and implementing proper regulation of the industry. If consumers are given access to the legal market, it is believed that they will change their behavior and start contributing to the further growth of the sports betting revenue in the US.

The Current State of Affairs – Overview of the States with Legal Sports Betting

As of now, after the repeal of PASPA, quite a few states have legalized sports betting. In addition to that, many states are also striving towards passing bills that will allow them to legally offer sports wagering.

New Jersey

New Jersey was the state that helped the revocation of PASPA and opened the road towards sports betting legalization for numerous other states. Online and mobile sports betting was launched in New Jersey in June 2018. DraftKings was the first sportsbook operator to launch in the state of New Jersey, offering its patrons a variety of features, including live betting. The sports betting sector in the state is regulated by the New Jersey Division of Gaming Enforcement.

To place sports bets in a sportsbook located in New Jersey, you will also need to be physically present in the state and be at least 21 years old. Bets on elections, in-state college teams, collegiate events, and high school sports are not allowed. As of now, New Jersey has reported a handle (wagered amount) of over $9.9 billion, while the revenue of the state amounted to more than $674 million, representing a hold of 6.8%. The taxes of New Jersey are estimated at over $87 million. Online and mobile sportsbooks contribute around 80% of the state’s handle.

Pennsylvania

After the Supreme Court overturned PASPA in 2018, the state of Pennsylvania licensed both land-based and online sports betting. To be able to place sports bets in Pennsylvania, you will need to be physically located in the state and be at least 21 years of age. If you meet these two conditions, you are allowed to make bets on both professional and college sporting events.

The state’s regulator is the Pennsylvania Gaming Control Board. With a tax rate of 36% and a license cost of $10 million, the sports betting industry in Pennsylvania is expected to bring the state pretty good revenue. The handle that Pennsylvania has reported is estimated to be more than $4 billion, with a revenue of over $290 million and a hold of 7.2%. The state’s taxes amount to over $73 million.

Delaware

Delaware was also among the first states to start offering single-wager sports betting in 2018 after PASPA was revoked. To be able to place bets, the state requires punters to be at least 21 years of age and be physically present in Delaware. This is also one of the several states that allow daily fantasy sports betting.

The sports betting industry in the state is regulated by the Delaware Lottery. Delaware has reported a handle of over $302 million, with a revenue of over $43 million, representing a hold of 14.3%. Delaware’s state revenue amounts to over $28 million.

Mississippi

Mississippi was also among the states that legalized sports betting in 2018 after PASPA was repealed. As of now, only in-person sports betting is legal in the state of Mississippi, with the legal age being 21 or older. The regulatory body that oversees the sports betting activities in the state is the Mississippi Gaming Commission.

The handle that Mississippi has reported since 2018 until now is about $780 million, while the revenue is estimated to be over $87 million. The hold of the state is 11.2%, while the taxes amount to over $10 million.

Nevada

Until the PASPA law was revoked, Nevada used to have a monopoly on single-bet sports wagering in the US. The legal age for sports betting in Nevada is 21 and both in-person and mobile betting is legal for residents of the state. Even though the other states also legalized sports betting in 2018, Nevada was still generating huge revenue. The state has one of the lowest tax rates in the US at 6.75%.

The Nevada Gaming Control Board and the Nevada Gaming Commission are the regulatory bodies that oversee the sports betting industry in the state. The handle that Nevada has reported is more than $11 billion, with the revenue amounting to more than $683 million. The state’s hold is 5.95%, while the taxes are estimated to be around $46 million.

Rhode Island

In 2018, after PASPA was struck down, Rhode Island became the eighth state to legally offer sports betting. At the beginning of 2019, the state also legalized online and mobile sportsbooks. Punters who are 18 or older and are physically located in Rhode Island can place bets on professional, collegiate, and international sporting events.

Rhode Island Lottery is the body that regulates the sports betting sector in the state. Rhode Island reported a handle of over $388 million, with the revenue surpassing $29 million. The state’s hold is 7.63%, while its share of revenue is estimated to be over $15 million.

West Virginia

West Virginia launched sports betting in September 2018, following other states that legalized sports wagering after the revocation of PASPA. Online and mobile sportsbooks are also legal in the state, allowing those who are physically located in West Virginia and are at least 21 years old to bet on various sports.

The state’s sports betting sector is regulated by the West Virginia Lottery Commission. The licensing and renewal fee in the state is set at $100,00, while the tax rate is 10%. The state has reported a handle of over $568 million, with revenue of more than $43 million. West Virginia’s hold is 7.6%, while the taxes amount to more than $4 million.

Arkansas

The start of sports betting in Arkansas was in Oaklawn Casino in July 2019. Additionally, other state casinos also introduced sports bets later that year and at the beginning of 2020. As of now, only land-based sports bets are allowed in the state, with the legal age being 21.

The Arkansas Racing Commission is the regulatory body that oversees sports betting in the state of Arkansas. The handle the state has reported amounts to more than $31 million, with revenue of over $3 million. The hold of Arkansas is 11.5%, while the taxes of the state are estimated to be $493,077.

New York

Sports betting launched in New York in July 2019, following the other states that legalized sports wagering after the fall of PASPA. Currently, only land-based sports betting has been legalized in the state. Although there were plans for allowing mobile sports betting in 2020, the COVID-19 pandemic shifted the direction of everyone’s concerns. To be able to place sports bets at New York sports betting locations, you will need to be at least 21 years old.

The sports betting industry in this state is overseen by the New York Gaming Commission. Sports wagering was active only for a few months in 2019 and 2020, with all sportsbooks in the state being forced to close down for a few months during the pandemic. Since sports betting has been legalized in New York, the state has reported revenue of over $11 million and taxes of more than $1 million.

Iowa

The beginning of sports betting in Iowa was marked by making the first sports bet in August 2019. Punters who are at least 21 years old will be able to bet on professional sports, college games, and international events. The state allows land-based, online, and mobile sports betting for individuals who are physically located in Iowa.

The regulatory body that oversees the sports betting sector in the state is the Iowa Racing and Gaming Commission. The handle that the state has reported amounts to over $595 million, with revenue of more than $45 million, and a hold of 7.6%. The taxes collected by the state amount to more than $3 million.

Indiana

The first sports bets in Indiana were placed in September 2019, with online and mobile betting in the state also launching a month later. While the state allows bets on professional and college sports, betting on high school sports and esports is not allowed. The legal age for sports betting in Indiana is 21.

The sports betting industry in the state is regulated by the Indiana Gaming Commission. The state’s handle is surpassing $1 billion while the revenue amounts to more than $130 million. Indiana’s hold is 7.9% and the taxes collected by the state surpass $12 million.

Oregon

Sports betting in Oregon was resumed in September 2019, with the first sportsbook being a tribal gaming facility at Chinook Winds. In October, the state lottery launched a sportsbook website and mobile app. To be able to palace sports wagers, you will need to be at least 21 years old and be physically located in the state of Oregon. Bets on college sports are not allowed.

The regulatory body that oversees the sports betting industry in the state is the Oregon Lottery. The state’s handle amounts to more than $211 million while the revenue is estimated to be over $15 million. Oregon has a hold of 7.5%. It should be mentioned that these numbers do not include tribal betting.

New Hampshire

New Hampshire had its first sports bets placed at the end of 2019 but since there are no casinos in the state, there are no retail sportsbooks in New Hampshire. Instead, the state allows only online/mobile sports betting that is exclusively offered by DraftKings. To be able to place sports bets, you need to be at least 18 years old and be physically located in New Hampshire.

New Hampshire Lottery is the body that oversees the sports betting activity in the state. Currently, the handle of New Hampshire is over $194 million, with revenue of over $14 million. New Hampshire’s hold is 7.4%, while the state’s share surpasses $6 million.

Michigan

Sports betting became legal in Michigan at the end of 2019 and the first state sportsbook launched in March 2020. Unfortunately, for now, only retail sports betting is allowed in the state but there are plans for the release of online/mobile betting by the end of 2020 or early 2021. Currently, the legal sports betting age in Michigan is 21.

The regulatory body that oversees the sports betting sector in the state is the Michigan Gaming Control Board. For the several months that sports wagering has been active in the state, Michigan’s handle amounts to over $95 million, while the revenue is over $14 million. The state’s hold is 14.6% and the taxes it has collected are estimated to be around $1 million.

Colorado

Sports betting in Colorado launched in May 2020, amidst the coronavirus pandemic. The tax rate on sport betting the state agreed on is 10%. Both retail and online/mobile sports betting is allowed in the state, with punters having to meet the condition of being physically located in Colorado and be at least 21 years old.

The sports betting industry in the state is regulated by the Colorado Department of Revenue. The state’s handle since sports betting has been legalized is over $459 million, while the revenue is more than $22 million. The state’s hold is 5% and the taxes it has collected amount to $814,662.

Washington DC

Washington DC legalized sports betting in 2019 but the first actual sports bet was made in mid-2020. Both in-person and online/mobile sports betting is allowed in the district. To be able to make bets, you will need to be physically present in Washington DC and be at least 18 years old.

The jurisdiction that has taken upon the task of regulating sports betting in the district is the DC Lottery. The district’s handle is over $46 million, while the revenue is more than $7 million. Washington DC’s hold is 15.6% and the taxes that were collected amount to $545,018.

Illinois

The first legal sports bet in Illinois was placed in March 2020, with both in-state and online sports betting being allowed in the state. The state does not allow betting on collegiate sports or non-sport events such as elections and awards. To be eligible to make sports bets, you need to be physically located in the state and be at least 21 years of age.

The sports betting industry in the state is regulated by the Illinois Racing Board. The handle that the state has reported is estimated to be over $507 million, while the revenue is more than $18 million. The state’s hold is 3.6% and the taxes it has collected almost reach $3 million.

Tennessee

Although Tennessee put the legalization of sports betting into law in September 2019, it took more than a year for the bill to be passed. The state legalized sports wagering in November 2020 and currently the only form of allowed betting in Tennessee is via online/mobile sportsbooks. The annual licensing fee the state will be charging is set at $75,000> and the tax rate on bets is 10%.

To be able to place sports bets while being physically present in the state of Tennessee, you will have to be at least 21 years of age. The regulatory body that oversees the sports betting sector in the state is the Tennessee Education Lottery Corporation. Since sports betting has been active only for a few weeks in the state, there are still no data about Tennessee’s handle or betting revenue.

Legislative Progress across the Rest of the US

Ohio is one of the states that are close to legalizing sports betting but it is still not quite there due to the coronavirus pandemic that shifted the attention of lawmakers. Despite that, the hope is for a law to be passed by the end of the year and residents of Ohio to be able to legally bet on sports in 2021.

Legislators will have to legalize sports wagering in Ohio by the end of 2020. Otherwise, they will have to rely on new sponsors. The reason for that is Sean O’Brien lost re-election and Eklund is nearing the end of his final term. Both of them have worked on the update of the legislation with the hope for the law to be passed by the end of 2020.

The latest draft that has been presented by Eklund and O’Brien enjoyed strong support, with many complimenting the idea for mobile betting inclusion, esports betting, as well as the tax rate of 8%. Even though iDEA Growth also supports the draft, it expressed its disappointment with the decrease of proposed skins per casino. Instead of the initial suggestion for three skins, the number is now reduced to two skins. This change would affect the final number of online operators that will be able to offer sports betting in Ohio, bringing them down to 22 from 33.

As the end of 2020 is approaching, Ohio has less time to pass the bill and finally legalize sports betting in the state. This being said, there is still hope for soon change.

Massachusetts is also on its way to allow sports betting as House Bill 4559 was introduced for the purpose of legalizing this industry. Although there were many speculations for a regulated and legal sports betting market in Ohio by 2020, the Covid-19 pandemic postponed the talk to the end of 2020.

Unfortunately, in mid-November, the state Senate rejected the inclusion of sports betting in the 2021 budget proposal. This meant that any chance of legalizing sports betting in Massachusetts by the end of 2020 was turned down. According to Senator Bruce Tarr’s amendment to the budget proposal, both retail and online sports betting was to be legalized in the state. However, this proposition was turned down by Senate President Karen Spilka who stated that the ongoing COVID-19 pandemic was the main priority at the moment.

Even though the Senate did not agree on legalizing sports betting in Massachusetts, the House of Representatives has shown its full support for launching sports wagering in the state. Betting operators, as well as sports teams in Massachusetts, were very disappointed by the Senate’s decision as many were hoping that the industry will be fully legalized by the end of 2020.

The NFL Continues the US Sports Betting Market

The fall of PASPA and the legalization of sports betting across numerous states had a great impact on the overall gaming industry. In August 2020, American sportsbooks reported a record-high handle and second-highest revenue total for a single month. As many land-based betting operators were forced to close down for several months due to the worldwide pandemic, many understood the importance of online sports betting.

With many states legalizing sports betting just on time for the NFL season, the percentage of legal bets in the US has increased to 20% from 18% the previous year. A survey conveyed by the American Gaming Association (AGA) showed that about 13% of American adults were planning on participating in sports betting during the NFL season.

Despite the lower interest in the 2020/2021 NFL season, about 34% of the surveyed US adults have expressed their decision to bet on NFL games via both legal and illegal online sportsbooks. Meanwhile, that percentage was 29% last year. The percentage of punters who will bet through a bookmaker either in-person or via a mobile app has also increased to 18% from 12% last year. Meanwhile, casual bets have decreased to 50% compared to 53% during the previous year.

Adults who generally enjoy sports bets are much more enthusiastic about the 2020/2021 NFL season than NFL fans. The legalization of sports betting across several states, including a few in 2020, has definitely helped bring the aforementioned numbers up.

Onshore vs. Offshore Sports Betting in the US

One of the many reasons why so many states are pushing for the legalization of sports betting is the goal to decrease illegal betting with offshore operators. According to data presented by the AGA, about 52% of US sports bettors are engaging in illegal betting activities. While sports bettors express their desire to bet legally with regulated operators, about 74% of them participate in illegal betting without being aware of that. The reason for that is that about 55% of these punters think they are betting legally.

As more states legalize sports betting, there is a trend of numerous punters choosing to bet at legal sportsbooks. Unfortunately, there are still plenty of offshore betting operators that are benefiting from bettors’ confusion over the legality of sports betting in their state, especially if there are still no bills that have been passed.

The same AGA study shows that about 48% of US bettors are willing to change their betting ways if they learn that they are participating in illegal sports betting activities. This is why it is very important to educate consumers on the legality of sports betting in their respective states. Punters should also learn about the illegal ways to place sports bets so they can avoid them. More than 90% of potential, recreational, and core gamblers support the legalization of sports betting in their respective state.

Major Players on US Sports Betting Market

With many states legalizing online and mobile sportsbooks, several betting operators have established themselves as the top players on the sports betting market in the US. Each one of them offers US bettors different betting features and makes sure hat they will enjoy fair and safe sports betting online. To be able to operate in different states, these sportsbook operators have obtained licenses from the respective state regulatory bodies and comply with all of their restrictions.

DraftKings Sportsbook

DraftKings Sportsbook is one of the leading betting operators in several states that have legalized online betting after the fall of PASPA. DraftKings was founded in 2011 and after its merger with SBTech in 2020, the newly-formed company has become the only vertically integrated sports betting and online gaming supplier in the US. About 93.76% of the website’s traffic comes from the US. The highest peak of visits for the last 6 months was marked in September, with an average of 14 million visits.

Currently, bettors who are physically located in the states New Jersey, Pennsylvania, Colorado, Indiana, West Virginia, New Hampshire, Iowa, Illinois, and Tennessee will be able to place sports bets on DraftKings’ online sportsbook. The states of Illinois and Iowa require punters to go through an in-person registration to participate in online betting. Due to the pandemic, however, Illinois has waived this requirement until further notice.

DraftKings is the number one mobile betting operator in Indiana, generating 83.5% of the state’s handle. The company is also the leader in West Virginia, contributing 77% to the state’s handle via its mobile app. DraftKings is also the leading sportsbook operator in Oregon.

FanDuel

FanDuel Sportsbook was established in 2018 but despite having just a couple of years of experience, the betting operator has established itself as one of the leaders on the US market. Currently, the sportsbook accepts punters based in Colorado, Iowa, Illinois, Indiana, Michigan, New Jersey, Pennsylvania, Tennessee, and West Virginia. The website offers its members the opportunity to place bets on the numerous US and International sporting events. About 96.69% of the website’s traffic comes from the US, with the peak for the last 6 months being reported for the month of September, with more than 13 million visits.

FanDuel is the leading sportsbook operator in some states, contributing a huge amount to their revenue. The sportsbook is one of the leaders in New Jersey and the top performer in the state of Pennsylvania, where mobile betting generates about 89.5% of the state’s sports betting revenue. FanDuel is also in the top positions in states like Indiana, Illinois, and Colorado.

William Hill

The next major name in the US sports betting field is William Hill, which joined the US market in August 2020. The first state to come into an agreement with the UK sports betting company was Nevada. In late November, the shareholders of William Hill voted in favor of the deal that will have Caesars Entertainment taking over the sportsbook company. This will most probably result in creating the largest sportsbook operator in the US, helping Caesars Entertainment to strengthen its presence in the online betting sector.

Currently, William Hill is the third largest sports betting provider in the US, with 3.65% of the website’s traffic coming from the US. At the moment, the sportsbook accepts bettors from Iowa, Nevada, Illinois, and Rhode Island. The company is the leading sports betting provider for Nevada, contributing around 33% to the state’s gross betting revenue. It is also the main player in Iowa’s sports betting revenue, with 69% of its handle being generated thanks to mobile betting. William Hill has a full monopoly in Rhode Island, with 45% of the state’s revenue coming from mobile betting.

PointsBet

PointsBet launched in the USA in January 2019 and it is one of the fastest-growing sports betting operators in the country. About 94.38% of the website’s traffic comes from the US, despite the fact the company was originally founded in Australia. The sportsbook allows bettors to make use of different betting options and place wagers on major US and international sporting events.

PointsBet offers some of the best odds to punters based in New Jersey, Iowa, Illinois, Indiana, and Colorado. Thanks to its partnership with the Meadowlands Racetrack, PointsBet is one of the top sports betting companies in the state of New Jersey.

BetMGM

BetMGM is another prominent sports betting operator in the states and it keeps growing as the number of states where BetMGM is active continues to increase. BetMGM had its first online sportsbook in the US in August 2018, debuting in the New Jersey betting market. Currently, the sports betting operator is also active in Indiana, West Virginia, Nevada, and Colorado. On November 1, 2020, BetMGM also started offering sports bets to bettors in Tennessee.

Punters have the chance to place sports bets both online and on the go via dedicated Android and iOS apps. BetMGM is offering a number of betting options, allowing its patrons to place wagers on US and international sports. The sportsbook operator is a prominent sports betting company in Indiana and Colorado.

Main Drivers of the Industry’s Growth

In the past two years, the sports betting industry in the USA grew immensely and it continues to generate quite the revenue as more states continue to legalize sports wagering. There are definitely several factors that have heavily contributed to the expansion of this industry and they will probably continue to positively affect the popularity of sports betting among US bettors.

Legalization of Sports Betting in Different States

After the fall of PASPA, several states followed New Jersey in the act of legalizing sports betting. This major change in the law brought the single-wager sports wagering monopoly of Nevada to an end. The more states began to allow in-person, online, or both forms of betting, the bigger the gaming revenue of the country was.

Before the Supreme Court’s decision to repeal PASPA, numerous offshore betting operators enjoyed huge profits thanks to the contribution of US bettors. The estimates for the losses that the country was suffering due to US punters betting at offshore sites amounted to a shocking $150 billion. According to the AGA, over 40 million Americans used to participate in sports betting in offshore betting sites before the changes resulting from the revocation of PASPA.

After many states were allowed to offer sports betting, the huge economic impact was felt through the taxes that were imposed on legal sports bets. By the end of 2018, gambling activities in the US contributed more than $430 million compared to the previous year when the amount was two times lower. Individual states have tax rates on sports betting that range between 7% and 15%. Studies show that after the legalization of sports wagering in various states, the federal government could potentially rake in a tax balance of about $4.9 billion every year thanks to the taxes collected by legal sports betting operators.

Commercialization of Professional Sports

Another factor that also had an impact on the growing sports betting industry in the US is the commercialization of professional sports. Since the fall of PASPA, we have seen several crossovers between professional athletes or people involved in this industry and betting companies.

For instance, the sports commissioners of NBA, NHL, and Major League Baseball have announced partnerships with major sportsbook operators. The giant media company Fox Sports also announced that it will launch its own sports betting mobile app, allowing punters to place bets on major sporting events.

According to research by the AGA, Major League Baseball gained about $1.1 billion in projected revenue thanks to legalized sports betting after the repeal of PASPA. Meanwhile, the numbers for the National Football League amounted to around $2.3 billion in revenue from legal sports wagers. The legalization of sports betting was estimated to bring the National Basketball League an increase in revenue by $585 million. As you can see, professional sports leagues enjoy quite the benefit of legalizing sports betting in more states across the country. As avid bettors enjoy placing bets even more than fans of professional sports, it is clear why there is so much commercialization in the industry in the last few years.

Rise of Digital Technologies

Without any doubt, advanced digital technology has also contributed to the popularity of sports betting in the USA. Since many states have legalized online/mobile sports wagering, this has significantly boosted the gaming revenue of the country. If we take for example the state of New Hampshire where there are no casino entities so the only legal form of betting is online or via mobile apps, the sports betting revenue of that state is solely generated through the single licensed operated in the state – DraftKings.

With the legalization of online sports bets, several major sportsbook operators appear on the US market. Thanks to advanced technology, these websites allow punters to choose from competitive odds, different betting markets, and great betting features. While some states require in-person registration for online betting, others allow bettors to sign up for virtual betting in just a few simple steps. Many of the US web-based sportsbooks also offer user-friendly apps that can be installed on any Android or iOS device. This enables bettors to place bets no matter where they go. With more states legalizing online/mobile betting, this industry is expected to continue to grow in the upcoming years.

2020 Figures and Growth Forecasts

Even though several other states legalized sports betting in 2020, the COVID-19 pandemic had a serious negative impact on the industry. Due to the several months that land-based sportsbooks were forced to close down, the betting sector is expected to go through a slow process of recovery. This being said, there are some record-high thanks to new states launching legal sports betting in the past few months.

Numbers show that during August 2020, Americans spend about $2.1 billion on sports bets. During the same month, the revenue generated by sportsbooks amounted to $119.4 million, which is the second-best result for the year. The total revenue for August 2020 shows a 90.2% year-over-year increase.

The state of New Jersey recorded the highest single-month handle across all states, amounting to $668 million. Indiana, Pennsylvania, and West Virginia also reported their highest single-month handles in August 2020.

On a nationwide-basis, sports betting revenues for the first eight months of 2020 have gained 31.5% compared to the same period in 2019. The handle for the same months has also increased by 24.1%. Estimates show that online wagering contributes more than 80% to the gaming industry revenue.

Illinois, which previously offered online sports betting through three sportsbooks, launched another two sports betting websites in September. This was just in time for the NFL seasons, with the state hoping for even bigger revenue for the upcoming months. With the NFL season, which is scheduled to last until February 2021, the sports betting in the country is expected to reach new records and enjoy a slow recovery despite the tough year.