New Jersey Sports Betting Sites
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Feb 02, 2021 Yes, online sports betting is legal in NJ. The New Jersey sports betting law includes provisions for online and mobile betting anywhere within the state’s borders. Each property can deploy as many as three individual brands, the first of which launched in August 2018. NJ online casinos and poker sites have been operating since November 2013. New Jersey sports betting set the standard for the US legal sports betting market. The Garden State led the nation in overall betting handle in every month of last year at its retail and online. Jan 13, 2021 New Jersey Sports Finishes Year With All Time High $6,016,968,399 Wagering in 2020 on Sports Betting World Sports Network reports that New Jersey has finished the 2020 calendar year with another. There are now more than 50 legal betting sites operating in New Jersey across sports, casino and poker. These sites are being run by more than 27 different brands, all either being or partnering with the 7 land based casino and 2 racetrack license holders present in the state. New Jersey Sports Betting. New Jersey was among the first states to legalize sports betting in 2018 following the U.S. Supreme Court ruling removing the federal prohibition that had prevented states other than Nevada from doing so. The state’s casinos and racetracks moved quickly, immediately opening sportsbooks to provide sports bettors a.
Being a sports bettor in the state of New Jersey kind of makes you feel like royalty these days. With so many different companies and apps available to players, you really have your pick of the litter.
The good news for bettors in the Garden State is that there are 18 online sportsbooks willing to take your action. With so many options, it can sometimes be challenging to determine what’s the best NJ online sports betting app for you to play.
With that in mind, we’ve compiled this page of the top online sportsbooks in New Jersey to point you in the right direction. Our experienced team has taken them all for a test drive, and here’s what we found:
Best NJ Online Sports Betting App Offers
New Jersey Sports Betting Sites Odds
Current Legal Online Sports Betting Apps in NJ
As of August 10, 2020, 18 online and mobile sports betting platforms are currently operating legally in NJ:
Online Sportsbook | Land-Based Affiliate | Sports betting partner(s) | Launch date |
---|---|---|---|
DraftKings | Resorts AC | Kambi | Aug. 6, 2018 |
FanDuel | Meadowlands | Flutter/IGT | Sept. 1, 2018 |
Caesars | Caesars AC | Scientific Games | Sept. 6, 2018 |
PointsBet | Meadowlands | NA | Dec. 11, 2018 |
BetMGM | Borgata AC | GVC/Roar | Aug. 22, 2018 |
Fox BET | Resorts AC | NA | Sept. 13, 2018 |
SugarHouse Sportsbook | Monmouth Park | Kambi | Aug. 23, 2018 |
Golden Nugget Sportsbook | Golden Nugget | SBTech/Scientific Games | Feb. 19, 2019 |
888sport | Caesars | Kambi | Sept. 10, 2018 |
Resorts Sportsbook | Resorts AC | SBTech | Jan. 31, 2019 |
Borgata Sports | Borgata AC | GVC/Roar | May 14, 2019 |
Bet365 Sports | Hard Rock AC | bet365 | Aug. 30, 2019 |
Unibet Sports | Hard Rock AC | Kambi | Sept. 10, 2019 |
BetAmerica | Golden Nugget | SBTech | Feb. 2, 2019 |
TheScore | Monmouth Park | Bet.Works | Sept. 3, 2019 |
Ocean Resort Sportsbook | Ocean Resort Casino | William Hill | Unknown |
Hard Rock Sportsbook | Hard Rock AC | GiG | Jan. 26, 2019 |
Harrah's | Harrah's AC | Scientific Games | Unknown |
Bally's | Bally's AC | Scientific Games | Unknown |
CG Technology | Meadowlands | Stadium Technology | 2019 |
William Hill | Monmouth | NA | Sept. 1, 2018 |
Best of the Best Online Sportsbooks In NJ
New Jersey Sports Betting Sites
While there are lots of good options on the board, in this section, we’ve narrowed the field down to our top 10 online sports betting apps in NJ with short descriptions in order to help you make a decision on where to play.
DraftKings Sportsbook app
DraftKings Sportsbook is licensed through Resorts in Atlantic City. However, it is strictly a sports betting app. New players can claim up to $1,025 in signup bonuses, receiving a $25 free bet, a 50% deposit bonus up to $500 on deposit, and a risk-free first bet up to $500.
FanDuel Sportsbook app
FanDuel Sportsbook is one of the best options in the Garden State. Loaded with tons of betting odds, props and live betting options, this sportsbook will give you a $500 risk-free bet when you sign up for a new account.
Sugarhouse Sportsbook app
SugarHouse Sportsbook is one of the best online sports betting options in the Garden State. New customers can get a 100% bonus on their first deposit up to $250 and that only comes with a one-time wagering requirement. Remember to use the promo code ‘PLAY250’.
Fox Bet Sportsbook app
Sports Betting Sites In New Jersey
FOX Bet Sportsbook, which might look familiar as it carries the well-known FOX brand, offers new customers a trio of incentives: a $1 bet on the 76ers to win the Championship that pays 76/1, up to $500 risk-free bet as well as a deposit bonus up to $500 when you first sign up. You must use promo code ‘PLAYBONUS’.
PointsBet Sportsbook app
Pointsbet Sportsbook is known for having a huge selection of odds. They’re general with new customers too, offering up to $250 in free bets when you sign up and use the promo code ‘PLAYNJ’.
Caesar’s Sportsbook app
Caesar’s is an international gaming magnate and their NJ sportsbook app doesn’t disappoint. The app looks good, loads fast, and offers a ton of various banking methods for you to easily deposit and withdraw.
888 Sportsbook app
888 Sports is a global brand that has quickly developed a loyal following in the Garden State. When you sign up for a new account, you can earn a risk-free bet up to $500.
William Hill Sportsbook app
One of the world’s best-known sites, William Hill Sportsbook is an industry leader in New Jersey. When you sign up for a new account, you can get a $10 Free Bet offer and also a 100% deposit bonus up to $150.
Play MGM Sportsbook app
One of the most respected names in gaming is one of the best options for sports bettors in the Garden State. Sign up and use the promo code ‘PLAYBONUS’ to get a 100% deposit bonus up to $500.
Hard Rock Sportsbook app
This well-known gaming brand has run their online sportsbook app in New Jersey since January of 2019. When you sign up for a new account, you can earn a 100% bonus up to a whopping $1000.
Types of sports bets you can make in NJ
Point Spread – A point spread is a margin of victory. This is mostly used in basketball and football. You bet on a team to ‘cover’ or win by a set point spread. For example, if it’s a 3.5-point spread, the favorite has to win by four points or more to cover while the underdog can lose by three or less, or win, and they would cover.
Moneyline – This is a simple bet where you predict the outright winner of the game. There are no points or spread involved. If the team you bet on wins, you win your bet.
Total (Over-Under) – The total is the combined final score of the two teams. You bet on whether the final score will go over or under the number that is set by the oddsmakers.
Runline – A runline is a type of spread in baseball and is always either -1.5 or +1.5. That means you either bet on a team to win by two or a team to lose by one or less, or win the game.
Puckline – The puckline is exactly the same thing as the runline but in hockey. You bet on a team either at -1.5 or +1.5.
Parlay – A parlay is a multiplier, which gives you a chance at a big payday. What you do is tie together many outcomes and if they all win, you multiply your winnings. However, it’s a risky proposition because if any single selection loses, you lose your entire parlay.
Teasers – A teaser is a type of bet that allows you to shift the point spread. For example, a two-team, seven-point teaser means you can shift the point spread in two games in your favor – however you want – by seven points. However, you also have to parlay at least two outcomes in the teaser, so there is greater risk there.
Futures Bet – A futures bet is a type of wager that is decided further down the road. That includes betting on things like who’ll win the championship, who’ll win the division or regular season win totals. These types of bets take longer to grade but if you’re right, there is usually a big payday.
Prop Bets – Props are related to all sorts of other outcomes besides the winner and loser of the game. Player props typically refer to player performance, like who’ll score the first touchdown or how many catches will a player finish with?
Team props are related to the team’s performance, such as will they score over or under a certain amount of points? Game props are related to the game itself – both teams – and could involve something like whether the game goes to overtime or betting on if there will be a score of any kind in the first 7.5 minutes of the game?
Live Betting – Live betting is the act of placing bets while the games are ongoing. As the game unfolds, the point spread, moneyline, total – and many other lines – will change based on who is winning and what’s happening in the game. Live betting is the process of betting in-game as all of the action takes place.
NJ Online Sports Betting Bank Options
All of the operators in New Jersey are legal, licensed sportsbooks, so that means that banking with them is all the easier. When you’re looking to deposit or withdraw from the NJ sports betting apps, you’re going to have a number of options available to you.
NJ online sports betting apps offer the following deposit & withdraw options but keep in mind that options vary by sportsbook:
- Credit card – This is likely the easiest method for most as many people have credit cards handy.
- Debit card – Debit is another form of plastic that many have available. Transactions are instantaneous.
- Online banking sign-in – Online bank transfers are popular as you can transfer money almost as you would pay a bill.
- PayPal – The popular online e-wallet is one of our favorite ways to deposit and withdraw. It’s fast and secure.
- Echeck – Also known as ACH, this is another option you have for online transfers into your sportsbook account.
- Wire transfer – This is mostly reserved for bigger amounts. If you’re a big bettor, you’ll want to use wire transfers to get money in and out.
- Play+ card – This is a prepaid card that allows for very fast transactions.
- Neteller – This is an online e-wallet similar to PayPal but usually with higher fees.
- Skrill – This is a popular online e-wallet that’s often used by Europeans when they play at their online sportsbooks, and it’s now available in North America.
- Cash @ Cage – You can deposit or withdraw from your account by dropping off or picking up cash at the casino cage (at a sportsbook in Atlantic City).
- PayNearMe at 7-Eleven– This is a method that allows you to fund your account at your local 7-Eleven store.
Live betting online in New Jersey
One of the most popular ways to bet on sports these days is live betting. Also known as in-game betting, this allows you to wager on the action as it happens.
Of course, you can lock in your bets before kickoff, tip-off, or first pitch, but with the innovation in technology, every sportsbook in the Garden State allows you to bet on sports in real-time. That means that after each touchdown, shot and pitch, the odds will change accordingly.
This gives you a big edge as you can watch some of the game, see how the game flow is going, and then make your decision rather than just trying to decide what to do ahead of time.
Top NJ online sportsbooks that offer Live betting
FanDuel sports betting app – Tons of live betting options on a daily basis. They have every game in every major sport covered.
DraftKings sports betting app – Live betting for days. Every type of event you’d want and more. They also have a lot of great in-game betting options beyond just the regular spread, moneyline and total.
Fox Bet betting app – Great live betting experience. Lots of lines and the app works really fast, which is important for in-game betting.
PointsBet sports betting app – Really good job with the user interface. Lots of games available for live betting.
William Hill sports betting app – Really smooth live betting experience. There is tons of in-game action available on a daily basis.
NJ sports betting tips & tricks
With sports betting growing every day in NJ, more and more fans will be looking to enter the betting market for the first time.
However, if you want your money to last or if you’re trying to find success with sports betting so that you make a profit, you’ll have to have a strategy. If you just wing it, you’re likely to lose.
With that in mind, here are some betting tips to help get you off on the right foot:
Understanding Odds & Pricing
The first thing you have to do is to develop an understanding of the basic numbers that you’ll see in a sportsbook. You might recognize the team names and the players, but you’re going to see a lot of numbers (the odds) and it’s important you understand what they mean.
American Odds
When you see numbers like -130, +120, -600 or +1000, these are all betting lines in the American odds style. If the odds have a minus sign, that’s how much you’d bet to win $100 (-130 means a $130 bet pays $100).
On the other hand, a plus sign indicates how much you’d win if you bet $100 (+1000 means a $100 bet pays $1000).
Fractional Odds
Odds are sometimes written out as fractions. In this case, you might see something like 5/1 or 15/1. This means that for every $1 you bet, you’d get $5 back (5/1) or $15 back (15/1) in profit.
It’s just a different way of writing out the odds. For example, 5/1 in fractional odds is equal to +500 in American odds.
Decimal Odds
Decimal odds are another way to see the odds. You might see something like 1.3 or 2.5, which is simply another way of seeing the odds. Americans like American odds while Europeans and Asians often use the other two.
If anything seems complicated, just add a bet to your bet slip and enter an amount (before confirming) and you’ll see what the payout will be.
Point Spread
Most point spreads come with odds of -110 on the moneyline but they have a separate number you have to keep in mind: the spread itself. This is a margin of victory.
New Jersey Online Sportsbooks
For example, the New York Jets might be a seven-point favorite (-7 -110), so if you bet on them, they have to win by eight or more for you to win your bet. Can they cover that number or is it better to bet against them?
Totals
When you see the odds for the over-under, they are going to have a number and you have to determine whether the final combined score of the two teams will go over or under the number.
For example, the total for a football game might be 52.5. You have to determine whether the final score will be above that number or below it. That’s how you handicap the over-under.
Best bets for beginners
If you’re new to sports betting, your best bet is to start with simple bets like moneylines, point spreads and totals. In the long run, you’ll discover that there are all sorts of options like player props, futures and teasers, but start with the basics until you get the hang of it.
The biggest key to success is handicapping the games. Read up on the matchups, study all of the different types of trends and see what the experts are saying. Then when you come to a conclusion, think about where you see value.
- Is it on the moneyline where a team has to win outright?
- Is there value on a point spread one way or the other?
- Or maybe you have a clear-cut vision as to whether it will be a high-scoring or low-scoring game, which might point to an over or an under?
Stick with these three types of bets when you’re new to the game and as you get a feel for sports betting, move to expand and include more wager types.
Bankroll Management
Bettors often get excited about getting in the game but if you want to be successful with sports betting, you have to have a strategy. That starts with your bankroll because if you’re not careful with it, you’re going to get cleaned out very quickly.
Think about it this way: if you’re starting with a $600 bankroll and you’re betting $200 per game, it will only take you three losses to hit zero. That’s the scenario you want to avoid because you don’t want to be reloading your account every other week.
Typically, a wise strategy is to have your average bet be about 5-10% of your bankroll. That means if you’re starting at $600, your average bet would be about $30. That way you’re able to withstand a losing streak.
Remember that bankroll management is about staying disciplined. You can’t go from betting $30 per game to betting $90 because you want to recover your losses. Come up with a game plan and stick to it.
Finding the Best Lines and Odds
One of the most important strategies you should employ is shopping around for the best odds. There is no cost to having accounts at multiple sportsbooks (it’s free), so it’s always good to have money in each because this will save you money.
NJ online sports betting apps will often have similar but different lines.
While that might not sound clear, let’s illustrate with an example:
- FanDuel Sportsbook
- Boston Red Sox +140
- New York Yankees -160
- DraftKings Sportsbook
- Boston Red Sox +145
- New York Yankees -165
As you can see, these are two of the best NJ online sportsbooks with similar, but different lines. If you like the Yankees, you’ll want to bet them at FanDuel and if you like the Red Sox, you’ll want to bet them at DraftKings.
While it might not seem like a big difference, that five-cent change can save you a lot of money in the long run. If you bet $100 per game, win half of your bets and save $5 on each loss, that means you’ll save about 2.5% per bet.
Over 20 bets, which might be a week or two of action, you might save at least $50. The most important note here is that it costs you nothing to do it, so if you don’t shop around, you’re costing yourself money.
Online sports betting restrictions in NJ
When you open up an account at a sportsbook in New Jersey, you’re going to feel like you can bet on everything. That’s because they have so many lines up on the board and cover so many sports, that it really does feel like everything.
However, there are some limits to what’s allowed in the state. This is still a relatively new pastime, so you can expect the restrictions to ease as we make progress.
- Academy Awards and esports: Not all sportsbooks offer that but when sports betting first opened up shop in the Garden State, these odds were not on the board.
- Presidential Elections: As of now, you can’t bet on Presidential Elections but it seems like this is only a matter of time.
- High school sports: We’re also not able to bet on high school sports in the Garden State, which is not a surprise. These are generally prohibited everywhere and few people have really shown interest in it. However, something like Little League World Series could possibly be something that becomes available.
For the most part, we’re seeing the regulators respond and make decisions based on what the players want. During the 2020 COVID-19 pandemic, we saw sportsbooks start to offer odds on Russian table tennis, Chinese professional baseball, European basketball, Belarussian hockey, Cage Warriors MMA, and exhibition tennis.
There was even a push to get the annual Hot Dog Eating contest approved and they managed to do so in the nick of time. What it takes is the will of the people to request it from the sportsbooks and the sportsbooks to go to the Gaming Division and ask for the ability to open the lines.
The main restrictions these days are the election odds, some entertainment props, and a variety of obscure leagues in Europe.
The overwhelming majority of people are more than satisfied with what’s offered.
NCAA betting restrictions in NJ
If you’re a fan of betting on college sports (who doesn’t love a good college football Saturday?) then you’ll be happy with what’s offered in the state of New Jersey.
Nj Sports Betting New News
For the most part, you’re able to bet on whatever you want in terms of college football and college basketball (and even some other college sports) minus a few restrictions.
- The first limit is that you can’t bet on any college competitions that take place in the state of New Jersey.
- If the NCAA Tournament decided to host games in the Izod Center in East Rutherford or in the Prudential Center in Newark, that would preclude New Jersey sportsbooks from having lines up on the events.
- The other limitation is that you won’t see any lines up on New Jersey college teams regardless of where they are playing.
- For example, you’ll never see Rutgers football games up on the board or any Seton Hall or Princeton college basketball odds.
- The good news is there aren’t a ton of big-time NCAA programs in New Jersey, so it’s not a huge drawback for bettors.
Betting on NJ’s popular sports teams
New Jersey sports fans usually root for their hometown team according to what side of the state line they fall on. Support for Philadelphia teams runs deep throughout the entire southern part of New Jersey while support for the New York teams comes from the northern section of New Jersey.
When it comes to the four major sports leagues, New Jersey currently has six teams playing in the state with only one identifying as a New Jersey team (New Jersey Devils). The remaining five identify as New York teams.
As for Philadelphia, they are one of twelve cities that host at least one team in each of the four major sports leagues (NFL, NBA, NHL, MLB). Here’s a look at the major teams in each state:
MLB BETTING
- New York Mets
NFL Betting
- New York Giants
- New York Jets
NBA BETTING
- New York Knicks
- Brooklyn Nets
NHL BETTING
- New York Rangers
- New York Islanders
How licensing works for New Jersey betting sites
The sports betting landscape changed in May of 2018 when the United States Supreme Court decided to allow each state to make its own rules about sports betting. Since it was no longer federally restricted, many states started to welcome in sports betting with New Jersey being one of the first.
Regulated sports betting was a big win all the way around as players were obviously still betting but doing so in all sorts of unsafe ways and the states were now able to generate some income that could then be put towards infrastructure, schools or other things.
In New Jersey, online operators had to pay an initial licensing fee of $100,000 and see their gross online revenue taxed at 13.5%. Online operators also had to partner with land-based casinos, so we saw a lot of new partnerships come to light.
The entire operation is overseen by the New Jersey Division of Gaming Enforcement, which not only hands out the licenses but keeps a close eye on all of the operators to make sure they’re running a kosher operation.
They have already been doing so with online casinos and horse racing bets in NJ, so now this is just an expansion of their role as they aim to make sure that everyone is having a safe and fair experience with the online operators in the state.
NJ online sports betting FAQ
Can I bet sports on my phone in NJ?
Yes, you can bet on you phone in New Jersey as long as you’re a resident of the Garden State and at least 21 years of age. Every sportsbook in the Garden State has either an app or a mobile-friendly website that makes it easy to bet on the go.
Is sports betting legal in NY?
Sports betting is not currently legal in the state of New York. However, you can download any of the apps in the list above, including FanDueland DraftKings, and create your account at home. From there, it’s a matter of crossing over to NJ to place your bet.
Can I deposit & withdraw using NJ online sports betting apps?
Yes, you can deposit and withdraw right from the apps. The apps allow you to do virtually everything that the full web versions of these sites do, which includes any type of banking like funding your account or requesting a withdrawal.
What are the best credit cards for gambling in NJ?
Typically, Visa and Mastercard are your best bets. Some sportsbooks will also accept American Express. Some banks are friendlier to sports betting transactions while others restrict them, so keep that in mind when funding your account.
How do I gamble online without a credit card?
There are lots of ways to deposit into a sports betting account without a credit card. You can use e-wallets like PayPal or Skrill, use PayNearMe, online bank transfers or even deposit cash at the cage of a land-based casino. Check the banking methods of the sportsbook you want to play at as they’ll have plenty of options for you.
Do NJ sportsbooks accept VISA?
Yes, sportsbooks in New Jersey accept Visa. It is often one of the easiest ways to deposit funds into a sports betting account.
What banks allow NJ online gambling?
Banks can be a bit finicky as to whether they allow online gambling or not. Sometimes even two credit cards from the same bank will produce different results. The vast majority of banks have become friendly to it, though, and you shouldn’t have a problem.
What withdrawal options are available for NJ online sports betting apps?
There are a whole host of options when you want to withdraw your funds. That could be everything from PayPal to receiving a check in the mail to picking up cash at the casino cage in Atlantic City. Typically, an e-wallet like PayPal is the easiest method to use.
Can I make bets on NJ apps outside the state?
Unfortunately, you can’t. If you’re from New Jersey and bet with a sportsbook in New Jersey, but visit California for the weekend, you’ll still be able to log into your account to check things out but while you are out of state, you won’t be able to place your bets.
Can I search sports betting odds outside of NJ?
Many sportsbooks like FanDuel, DraftKings, and many others will allow you to surf their website and see what the sports betting odds are for the various events.
You don’t have to be a resident of any specific state – or even be of age – to simply browse the betting lines.
The No. 1 contender to New Jersey’s online sports betting dominance finally appears ready to enter the game.
After dismissing the idea for the better part of two years, New York Gov. Andrew Cuomo announced his support of online sports gambling last week. It was one of several policies included in the governor’s annual budget presentation as a way to make up state revenue shortfalls from the coronavirus pandemic.
“New York has the potential to be the largest sports wagering market in the United States, and by legalizing online sports betting we aim to keep millions of dollars in tax revenue here at home, which will only strengthen our ability to rebuild from the COVID-19 crisis,” Cuomo said in a statement to the Daily News.
The governor does not have to look very far for a successful online sports gambling market to convince lawmakers in Albany that taxing legal wagers would help replenish state coffers.
New Jersey will exceed $5 billion in total online sports wagers for 2020, generating more than $40 million in taxes for the state in the calendar year.
New Jersey Sports Betting Sites Mlb
December numbers will be released on Jan. 13.
Will New York overtake the online sports betting leader?
Most industry analysts believe that the Empire State’s online sports betting market will surpass New Jersey’s.
“Gov. Cuomo’s embrace of mobile sports betting immediately positions New York to soon lead all other states and generate significant revenue for state coffers,” Sara Slane, an industry consultant and former official with the American Gaming Association, told the Associated Press. “New York, with a population of nearly 20 million, dwarfs any other state with legal betting and should have no problem regularly topping $1 billion a month in wagers.”
The Garden State was an early adopter of online sports betting and quickly became a standard-bearer.
Jane Bokunewicz, coordinator of the Lloyd D. Levenson Institute of Gaming, Hospitality & Tourism at Stockton University, said, “it was inevitable that other states would follow, especially after seeing New Jersey’s success.” New Jersey was aware that competition would eventually arrive.
“As the market for sports betting continues to develop and expand both within New Jersey and in neighboring states, New Jersey could lose ground in terms of market share, but it will be far from out of the race,” she said. “Sports betting will continue to contribute significant tax revenue to the state even if not at the same levels we’ve been seeing given both New Jersey’s near-monopoly on East Coast online sports wagering and the pandemic.”
Business has been good for NJ
New Jersey lawmakers included online tax rates when they legalized and regulated sports betting in the spring of 2018. The first online operator, DraftKings Sportsbook, started taking wagers that August and eight others followed suit by the end of the year.
New Jersey Sports Betting Sites Real Money
New Jersey collected just under $7 million from a 13% tax applied to online sports betting revenue in 2018. Almost 63% of the total sports wagering handle that year was from online action.
In 2019, 84% of the nearly $4.6 billion statewide handle were bets placed via NJ sports betting apps. New Jersey collected more than $31.8 million in taxes from online sports betting revenue.
With Atlantic City casinos and New Jersey’s racetracks closed for part of 2020, taxes from iGaming and online sports betting helped to offset losses. New Jersey collected $39.2 million (through November) from online sports betting. Nearly 92% of the state’s $5 billion sports handle was from online wagers.
Ironing out NY sports betting details
Even as impressive as New Jersey’s tax collections from online sports betting are, Cuomo sees larger numbers for his state. Rather than allow casino operators to conduct online sports betting, Cuomo wants a monopoly operator to run the show and share revenue with the state.
“And I’m not here to make casinos a lot of money. I’m here to raise funds for the state. So we have a different model for sports betting,” he said.
New York state lawmakers, however, do not agree with the governor’s approach. A bill introduced Thursday would allow four commercial casinos and three tribal operators to license two skins each. The bill proposes a tax rate of 12% for online sports betting revenue.
A financial summary of the bill estimates $79 million annually for the state. Cuomo’s budget director suggested that a single-operator system could generate $500 million per year.
Tax collections could drop
Should New York launch an online sports betting market, the state of New Jersey would see tax collections drop.
A sizable percentage of the online sports betting market includes New York residents who are currently crossing state borders to bet in New Jersey. A representative for FanDuel Sportsbook (New Jersey’s most profitable sports betting operator) estimated that 25% of online customers hail from New York. The state’s second-largest operator, DraftKings Sportsbook, did not provide a figure, but it would be reasonable to assume the percentage is comparable.
“The pent-up demand for legal sports betting in New York, and throughout the east coast, has led many New Yorkers to cross state lines for the purpose of wagering with New Jersey sportsbooks. The (FanDuel) sportsbook at the Meadowlands (Racetrack) has perhaps benefitted most from this phenomenon,” Bokunewicz said, before noting that one retail location grosses more than the eight Atlantic City casino sportsbooks combined. “This is an indication of the strength of the New York market.”
Because states such as New Jersey and Pennsylvania have already set up successful regulatory models, New York’s rollout of an online market should happen fairly quickly, she said. But, even with an aggressive launch by New York, the impact to New Jersey may not be immediate.
“Consumers have developed a relationship with New Jersey sportsbooks and may need at least a little persuasion to change over to New York-based books,” Bokunewicz said. “This transition period may be shortened of course by those operators, such as market leaders DraftKings and FanDuel, which will likely operate in both states. These operators could make the transition between states virtually seamless for their established customer base.”