Brick-and-mortar books, which make up less than 20 percent of betting handle in mature markets such as New Jersey and Pennsylvania, will continue to see their share of total wagers drop. Like the hundreds of unlicensed offshore sites that accept sports bets online, the success of the legal market depends on a robust regulated mobile market stateside, Henwood said. To take substantial market share from the offshore sites will mean not just more states with legal wagering, but effective policies nationwide. Legal books took in $2.5 billion in total wagers in September, the most ever for a single month, which was a 75 percent year-over-year increase from September 2019. Assuming as many as 44 states are taking bets at the time, GGR could reach $10 billion by 2030.ĭespite its small revenues (compared to offshore options), the legal market is already showing massive progress with only about half of all states taking bets. Legal annual gross gaming revenue (GGR) could reach $6.8 billion by 2024. He cited an American Gaming Association study that said 74% of respondents believe sports bettors should only bet with legal providers but showed 55% of current sports bettors didn’t know they were wagering illegally.Ĭontinued exposure and more state legalization efforts could help the legal market chip away at the enormous revenue disparity with the offshore market, Henwood said. “If it isn't, at the current rate of conversion, in our estimation, it is going to take a decade for the legal market to catch up with its illegal counterpart.”Ī central problem, Henwood said, is that most American bettors are simply sticking with their former providers - many of which they don’t even realize are illegal. “This is clearly a problem that needs tackling probably on a (multi-state) level rather than at the state level,” Henwood said during the Sports Betting USA digital conference on Thursday. Speaking at an industry conference Thursday, H2 Gambling Capital director David Henwood said that despite rapid legalization over the past two and a half years, the legal market still is nowhere close to revenues from the sports betting black market, which has been accentuated by booming offshore sites that have served American since the mid 1990’s. sports betting this year, the second complete year since the Supreme Court struck down the federal wagering ban, will still amount to just 8% of the estimated $17 billion in annual revenues for offshore sites and unregulated operators. The $1.4 billion in projected gross gaming revenue from legal U.S.

How big is sports betting industry