New York is one of America’s most populous states, with approximately 20 million people living there, making it the fourth largest in terms of population. As a result, it makes it a popular business option for many industries.
The sports betting industry is one of those that has found America to be a new market. Indeed, with New York City being a hub for American sports teams, including some of the world’s biggest, it’s no surprise that the city has embraced the market.
The city welcomed sports betting following a 2018 ruling by the Supreme Court, which overturned the Professional and Amateur Sports Protection Act (PASPA). This allowed states to regulate sports betting at their level, leading New York to duly oblige. While the city’s journey had initially began in 2013, it wasn’t until 2021 when further movements were made.
Then-Governor Andrew Cuomo legalized mobile sports betting in 2021 when signing a bill as part of the state’s 2022 budget to allow mobile sports betting. The New York State Gaming Commission (NYSGC) was established and provided nine operators with licenses, with the activity being legally launched in January 2022. As part of the legislation created, a 51% tax rate was imposed on gross gaming revenues, making it one of the highest in the United States. In addition, operators had to pay $25 million to acquire the license and then an additional $5 million annually to maintain it.
While sports betting is legal, New York may still explore other opportunities to grow its betting culture and market further. For instance, the introduction of online casinos could be a significant step that the Big Apple may consider taking in the future.
These sites are growing in popularity, and the state’s officials have recognized this. Senator Joseph Addabbo and Assemblyman Gary Pretlow have pushed for iGaming legalization since 2022, with bills like S8185 (2024) proposing a 30.5% tax rate and a $2 million licensing fee. Addabbo estimates that iGaming could generate $2.77 billion in gross gaming revenue (GGR), yielding $844 million in annual tax revenue, potentially surpassing sports betting.
Players across the country have been able to discover USA real money online casinos at https://www.resourceamerica.com and should NYC legalize it, many from the state will certainly be able to use their services to ensure they find the best options for them. This would enable New York to maintain a safe gambling environment, as the site prioritizes player safety.
With many states around New York already implementing regulations to permit iGaming, such as New Jersey, Pennsylvania, and Connecticut, the Big Apple could follow suit, especially if they analyze the successes those individual areas have had on their own revenues.
Sports betting could also enjoy further expansion. Proposals to include eSports betting or other forms of competitive gaming or betting markets could make the industry more appealing to a younger generation of bettors. At the same time, they could reduce the tax rate, which may open the market to other operators and increase the revenues that are enjoyed. For instance, New Jersey’s rate is only 13%, making New York a very expensive option for betting firms.
While those figures may have been enough to put operators off, they were right to remain involved. The state has experienced significant growth, with established markets having been surpassed.
According to figures, the first five weeks of the activity being legalized saw New Yorkers wagered over $2.4 billion, generating nearly $80 million in tax revenue. By the end of its first two years (2024), nearly $58 billion in total bets had been placed. Tax revenues have continued to increase, with the state generating $862 million from mobile betting in 2023, while the beginning of 2025 had seen total tax revenue since it was legalized surpass $2.3 billion. A significant portion of the tax revenue is allocated to the education sector.
Indeed, its popularity as an activity remains consistent for the state’s residents. The handle from sports betting generated continues to exceed $1 billion every month in previous years, while it can be greater than $2 million in peak sports months.
