Legalized online sports betting has been a major financial boost to New York, as the Empire State has collected over $740 million in revenue since the industry was green-lit in January.
Governor Kathy Hochul, who just won the election to remain the state’s chief effective on Tuesday, announced that New York raked in $542 million in taxes from online betting, along with over $200 million in licensing fees since the beginning of the year.
That revenue has been more money than any other state in the country during that time.
“By bringing sports wagering to New York, we have not only opened the door to responsible entertainment for millions of sports fans, but we have also brought in significant revenue to support schools, as well as youth sports, while implementing important safeguards to help those who need it,” Hochul said in a statement.
Legalized sports books, such as FanDuel and DraftKings, pay a 51 percent tax rate on gross gaming revenue for the rights to operate in the state.
Meanwhile, the state is also pushing to increase the number of brick-and-mortar casinos that would offer on-site betting.
“New York continues to lead the nation in sports wagering thanks to Governor Hochul’s enacting of smart gaming policies that deliver real, transformative results for New Yorkers,” said New York State Gaming Commission Chairman Brian O’Dwyer. “The revenue generated from sports wagering will provide critical support to our schools, youth sports and responsible gaming programs.”
Thus far, the money being gambled has come from the MLB ($2.6 billion), the NBA ($2.5 billion), the NFL ($1.3 billion), college football ($406 million), and other events, according to the governor’s office.
Online gambling has been legalized in 34 states and Washington, D.C..
One notable state where online wagering is not currently allowed is California, one of the biggest potential markets in the country.
During Tuesday’s election, residents of the Golden State soundly rejected a ballot measure that would have legalized mobile sports gambling with over 80% of the population voting against the idea.
In New York, the state has invested heavily in the Office of Addiction Services and Supports, which helps those struggling with gambling addiction.
“OASAS stands ready with services and supports for New Yorkers struggling with problem gambling,” siad Commissioner Chinazo Cunningham. “This additional revenue from mobile sports wagering will allow OASAS to expand important prevention, treatment, harm reduction and recovery services across the State.”
The newly-elected governor, who took over for former chief executive Andrew Cuomo when he resigned last year, praised the additional revenue stream pouring into the state from the newly-created industry.
“I’m proud of the work that has been done to secure our state’s top position in mobile sports wagering, and I am excited to continue the trend as we secure hundreds of millions of dollars to support programs that will improve the lives of New Yorkers,” Hocul said.