American sportsbetting market experiencing ‘gold rush’ growth

In the United States and sportsbetting has quickly grown since the 2018 revocation of the Professional and Amateur Sports Protection Act (PASPA) to now sit as an activity that regularly books aggregated monthly handle of over $7.1 billion.

According to a December 16 report from the Bloomberg news service, legal sportsbetting was once confined to Nevada but the United States Supreme Court’s decision to throw out the PASPA-linked prohibition has led to a ‘sports gambling gold rush’ that has quickly grown to be ‘absolutely off the charts’. The source asserted that the nation is now experiencing ‘a multibillion-dollar betting boom’ as dozens of American jurisdictions including the states of New Jersey, Pennsylvania, Illinois, Arizona and Indiana have legalized various forms of retail and online sports wagering.

Convivial connections:

Bloomberg reported that more sportsbetting cash is now wagered in New Jersey than in Nevada while California could become the nation’s most lucrative market should voters agree on legalization next year. As this industry expands and the boundaries that once existed between gambling and professional sports leagues are purportedly disappearing with teams such as the Buffalo Bills, Boston Red Sox and Detroit Pistons inking direct partnership agreements with operators such as FanDuel Group, DraftKings Incorporated and PointsBet USA.

Read the report from Bloomberg…

“Betting lines now roll across television screens during sports broadcasts and professional teams and leagues have established direct partnerships with gambling companies. Media and entertainment companies including such family-friendly giants as the Walt Disney Company have pursued similar partnerships or opened the door to them.”

Potential peril:

Bloomberg moreover reported that sportsbetting was earlier considered an ‘add-on’ for land-based casinos that helped them add to the entertainment mix and draw in punters to enjoy more profitable pursuits such as slots, roulette and keno. However, it noted that sports wagering is now ‘surging’ thanks to the prevalence of digital apps that allow punters to place bets on their mobile devices and could well be ‘threatening the business of bricks-and-mortar casinos.’

Positive projection:

The news service cited a prediction from Goldman Sachs Group Incorporated that the United States’ sportsbetting market could well be processing up to $39 billion in annual online wagers by 2033. Although the current figure purportedly stands at less than $1 billion, mobile action was given a giant boost after the coronavirus pandemic led to the temporary closure of more traditional retail sportsbooks.

Bloomberg’s report read…

“Mobile wagering has become the preferred method of sports gamblers and in states where sports betting is popular, mobile has quickly overtaken on-site sportsbetting. Sports gambling companies are on pace to make about $4 billion this year but the market could grow exponentially if California legalizes it next year.”