The Big Apple just became the sports betting capital of the United States. New York sports gambling surpassed $1.6 billion in handle in its first month of operation.
“New York has exceeded all our expectations,” Rush Street Interactive COO Mattias Stetz said to the Albany Times-Union. Rush Street Interactive is the owner and operator of the BetRivers app, among others.
New York sports betting began with just four sportsbooks on the market and still reached $1 billion in wagers in 16 days. The state’s $1.6 handle topped New Jersey’s monthly record of $1.3 billion from last October.
The craziest part of New York’s ridiculous return is that they did not open the floodgates until January 8th. The state’s gambling commission calculated the handle through January 30th, meaning they are due for growth.
New York Sports Gambling is a Match Made in Heaven
New York has long been the Mecca for sports in America, with venues like Madison Square Garden and the city’s industrial environment helping to cultivate the best locale for professional athletes. After all, Joe Namath would not have become “Broadway Joe” without captivating the nation.
The fourth-most populous state in America also has a ton of draws across different professional sports. The New York Knicks, Brooklyn Nets, New York Liberty, New York Islanders, and New York Rangers are all in season, while the New York Giants, New York Jets, Buffalo Bills, New York Yankees, New York City FC, and New York Red Bulls will soon return to their respective duties. College sports also attract massive interest, with Syracuse being the most prominent school in this mix.
New York sports gambling has been legal since 2019, though it was exclusive to in-person locations. Now that the second month of online wagering has only just begun, the state is already dominating the marketplace.
A Win-Win Situation
New York’s tax rate of 51% on gambling revenues is the highest in the nation, and with their extreme handle, they were able to generate a record amount of tax profit in their opening month, reaching $57.6 million. This was almost three times as much as the previous month-record, set by Pennsylvania in November 2021. New York’s sportsbooks claimed $113 in gross gambling revenue in January.
“It’s clear that New York is going to be the flagship sports betting market in the U.S. for the foreseeable future,” said Mike Mazzeo, lead analyst at PlayNY.com.
New York betting apps also saw great success. Caesar’s was the most prominent outlet for New York sports betting in its inaugural month, taking $615 million in bets. FanDuel was next in line, accepting nearly $502 million in bets.
As gambling hysteria has swept the nation, New York lawmakers are pushing for casinos to be opened near the city. Governor Kathy Hochul’s latest $216.3 billion budget proposal would bring three permits for casinos into creation if passed.
Every state is in the phase of optimizing and promoting its sportsbooks, but it seems that New York will be at the forefront of the sports gambling revolution in America.