US Sports Betting Update – Ohio Governor Signs Sports Betting Bill into Law

US Sports Betting Update – Ohio Governor Signs Sports Betting Bill into Law

Ohio can usher in a new era of legal sports wagering in 2022 after Gov. Mike DeWine signed HB 29 into law this week. The bill paves the way for 25 different online sportsbooks to launch in the Buckeye State. Master licenses will be awarded to pro sports teams, casinos and racinos, who can then tie up market access deals with online sportsbooks such as FanDuel, DraftKings and BetMGM.

HB 29 passed through both chambers last week and landed on Gov. DeWine’s desk. He wasted little time in signing it into law, as he is a staunch proponent of legal sports betting. The legal industry will begin no later than January 1, 2023, but it could arrive sooner than that.

Ohio is the seventh largest state by population and GDP, and it has six major professional sports teams: the Cleveland Browns, Cincinnati Bengals, Cleveland Cavaliers, Cleveland Indians, Cincinnati Reds, and the Columbus Blue Jackets. There are also two MLS teams in the state – Columbus Crew and FC Cincinnati – along with several leading college teams. Ohio is therefore expected to have one of the country’s largest sports wagering industries. It is a little smaller than Pennsylvania and Illinois by population and GDP, and they are currently the third and fourth largest sports betting industries in the United States.

A $12 Billion Industry

Analysts estimate that the annual sports betting handle in Ohio could reach $12 million when it is fully mature, yielding $1 billion in annual gross gaming revenue. The bill imposes a 10% revenue tax, so the state is hoping to receive a financial boost of around $100 million per year from the industry. Lawmakers are keen to get the industry up and running as quickly as possible.

Casinos and sports teams must also pay a $2.5 million fee for a master license. Each licensee will be able to host one online skin. They can add a second online skin at a later date if that online sportsbook proves it can bring incremental revenue to Ohio’s sports betting industry. Fees for retail sportsbooks will initially range from $90,000 to $140,000. Ohio’s eight pro sports teams, four casinos and 11 racinos are expected to apply for licenses.

It will be one of the country’s most open and competitive industries, with a reasonable tax rate, so it is expected to be dynamic. Betting on esports will also be permitted – something that is not widely available across the country – but lawmakers rejected a plan to add fixed-odds horse racing betting onto the bill.

Pennsylvania Smashes Revenue Record

Lawmakers in Ohio can look to their eastern neighbor to see the vast potential that sports wagering offers. Pennsylvania earned a record-breaking $84.9 million in sports betting revenue in November, shattering the previous record of $49.3 million set in January. Keystone State sportsbooks handled $761.6 million last month, which was 2% short of the record $776.3 million set in October. However, it was a tough month for sports bettors, allowing sportsbooks to hold 11.1% of the wagers taken.

That ensured Pennsylvania easily broke its previous record in terms of gross revenue. Operators are allowed to deduct promotion costs before paying taxes. They handed out $21.3 million in promo credits during November, bringing taxable revenue down to $63.6 million. The state charges a very high 36% tax, so it raked in almost $23 million for November, which is a new record.

FanDuel maintained its lead over DraftKings as the number one sportsbook in Pennsylvania, with a 31.8% share of the handle and a 44% share of revenue. FanDuel has held a far higher percentage of bets taken than its rivals across the country over the past couple of months. FanDuel earned $37.5 million in revenue, DraftKings accounted for $16 million, Barstool made $8.3 million, BetMGM was fourth with $5.7 million, BetRivers earned $4.1 million and Parx was sixth with $3.7 million, according to the report from the Pennsylvania Gaming Control Board.

New Jersey Also Breaks Revenue Record

New Jersey became the first state to eclipse $100 million in monthly sports wagering revenue during November. Sportsbooks in the Garden State handled $1.26 billion worth of bets during the month. That was slightly lower than the record $1.3 billion handle achieved in October, when a calendar quirk led to five full weekends of NFL action. However, it was a more profitable month for the sportsbooks, as they held $114.8 million in revenue.

That easily broke the previous record of $84.2 million set in October. The state earned $17.3 million in tax revenue. It also ensured New Jersey maintained its status as the largest state for sports betting by a comfortable margin. It could change when neighboring New York soon rolls out its own legal sports betting sector, as that could put an end to the trend of New Yorkers heading into New Jersey to place legal wagers. For now, New Jersey is comfortably ahead of Nevada, Pennsylvania and Illinois as the market leader in the country.

FanDuel also maintained its lead in New Jersey during November. The Meadowlands master license, which hosts FanDuel, PointsBet and SuperBook, put up $59 million in gross revenue, which was more than half the total for the state. FanDuel accounts for the bulk of that figure. Resorts, which hosts DraftKings alongside its own Resorts Sportsbook, came second with $22 million, followed by Borgata, which hosts BetMGM.

Total gambling revenue in New Jersey for 2021 now stands at $4.33 billion, which represents an increase of 68.7% on the performance in 2020. Figures from the New Jersey Division of Gaming Enforcement, show that casinos, racetracks, and their partners reported $439.6 million in total revenue for November, compared to $288.9 million in November 2020, reflecting a 52.2% increase. It is interesting to note that sports betting now accounts for more than a quarter of the total revenue. Land-based casinos brought in $206.9 million in November, and online casinos earned $118 million.

  • William Hill Casino

    $500 Risk Free Bet

    To be eligible for this Promotion, all eligible Patrons must place their first real money sports wager via the William Hill mobile app or desktop site, within 7 days of opening a William Hill NJ Account. If their Qualifying Wager is graded as a Loss the Participant will earn a one-time Free Bet token equal to the lessor of: 1) The full value of the Qualifying Wager or 2) $500 (“Free Bet(s).
  • 888 Sport

    $500 Welcome Bonus

    Player must be at least 21 years old, located in New Jersey, has completed the full registration process with, makes a first deposit equal to or greater than $10 and may be entitled to a Welcome Bonus of 100% up to $500 on the players first deposit at
  • Bet America

    Bet $50 Get $50 [code: BET50]

    Join BetAmerica today for an exclusive Bet $50 and Get $50 using code [BET50] on your next sports bet. Register today and enjoy our Freeplay contests where you can use your sports and casino knowledge to win $1000's in prizes every week.
  • Unibet Sportsbook

    Play Now

    Join Unibet Sportsbook today and once you add funds, we'll insure your first cash bet - get up to $500 back if you don't hit a winner. Make your first cash bet on any event. If your first settled cash bet loses, you will receive a refund to your account equal to the amount of your losing wager (up to $500). Your first cash bet ($10 or over) will qualify. You will receive the refund within 72 hours.
  • SugarHouse

    100% Up To $250 Deposit Match Bonus

    Player must create a new account, make a first deposit up to $250 to get a Deposit Match Bonus. Use code 250MATCH.
  • Caesars

    $1,001 Free Bet

    Make your first deposit and we will match your first sports bet up to $1,001! Cash bet must have minimum odds of -200. On Parlay wagers, each legs must have odds of -200 or greater.
  • FanDuel Sportsbook

    $1000 Risk Free Bet

    New Sportsbook Customers Only. Join FanDuel Sportsbook today and make your first bet. If you lose, we'll give you a refund of up to $1,000 in site credit (within 72h). Your first bet will qualify (If you have multiple selections on one betslip, it will be the first selection you made)
  • Draft Kings Sportsbook

    Get a deposit bonus up to $1,000!

    Join Draft Kings today and with your first deposit of $5 or more, start earning towards a deposit bonus of $1,000. A user’s first deposit (min. $5) made before 02/27/2022 qualifies the user to receive up to $1,000 in bonus funds in the form of site credits that can only be used on DraftKings. Bonus amount is equal to 20% of that deposit amount, not to exceed $1,000 (the user must deposit $5,000 to be eligible to receive the maximum possible bonus amount of $1,000).

Latest news