New York Becomes Fastest State to Reach $25 Billion Sports Betting Handle

New York announced that it had $25.15 billion been spent on sports betting in the state since it began accepting bets in January 2022. That makes it the third state to reach the impressive mark, joining New Jersey and Nevada. New York crossed the threshold in half the time it took those states, signaling that they could become the largest sports betting market in the country.

The Empire State was expected to bring in big numbers when they launched regulated sports betting in 2022. The state’s size gives it an advantage, as does its proximity to Atlantic City. Many New Yorkers were crossing state lines to take advantage of legal sports betting in New Jersey, meaning a strong market was already established. Those two factors led to this massive handle, and the state has been reaping the benefits.

New York Receives Massive Tax Revenue

New York's school systems are the biggest beneficiary of the sports betting industry’s success. The state is estimated to have received more than $980 million in tax revenue from sports betting so far. $5 million of that goes to fund youth sports yearly, with $6 million earmarked to fund problem gambling programs. The remaining amount goes into the state’s education system. While it is unlikely to see any of that funding cut in the future, it is possible New York will adjust allocations as their revenue continues to climb.

New York’s Top Sportsbook

New York features the top sportsbooks in the country, but FanDuel and DraftKings have established themselves as the most popular options in the state. FanDuel Sportsbook held the top spot in New York for almost 80 weeks before DraftKings overtook them in June. The two are still neck-and-neck and remain far ahead of the competition. 

One sportsbook to watch will be Fanatics, who just completed a purchase of PointsBet’s US business. That deal gives them access to the New York market, allowing them to launch their new sportsbook quickly. Fanatics is already an established brand, so it could soon become a prominent player in the New York sports betting industry.