American Gaming Association Report Highlights iGaming Profitability

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The American Gaming Association (AGA) late released its yearbook “State of the States” report.

The in-depth report, which provides a comprehensive overview of the US commercial cassino industry, revealed that gaming has more than recovered from the COVID-19 pandemic. It also showed that for states seeking to substantially bring forth young revenue enhancement streams through gaming expansion, iGaming easily tops sports betting.

As of December 31, 2021, 30 states, plus DC, had some form of legal sports betting. Only Captain Hicks states permitted online casinos with interactive expansion slot machines and tabularise games.

Mobile sports betting had pentad times the number of effectual jurisdictions compared with the figure of iGaming states. But online casinos generated 86% of the amount of porcine revenue that oddsmakers did.

The 31 sport betting markets reported 144 gaming revenue (GGR) of $4.33 billion. The sise iGaming states tallied online GGR of $3.71 billion.

Considering iGaming is only if effectual in half-dozen states, and sports betting is legal inwards 30+ states, it signifies how profitable the iGaming securities industry is, or canful live (especially compared to sports betting),” Atlantic City-based gaming attorney C.J. Fisher, who co-chairs practice of law steadfast Fox Rothschild’s Gaming Practice Group, told Casino.org.

“In short, the comparison is compelling, and I suppose it supports farther expansion of iGaming inwards the US,” Fisher added.

Though lifespan began to take to some sensation of normal inward 2021, and land-based casinos were for the most part open up for business, iGaming revenue continued to flourish. GGR from regulated online casinos grew 139% from $1.55 one million million inwards 2020.

iGaming Tax Benefit

Not only if does iGaming generate to a greater extent gross revenue than sports betting, but states typically revenue enhancement online gambling casino revenue higher than sports betting.

New Jersey, for instance, is unity of the few states where both iGaming and sports betting (retail and mobile) are legal. The country levies an effectual task charge per unit of 9.75% on brick-and-mortar sports betting GGR, and 14.25% on mobile. iGaming platforms are required to percentage 15% of their porcine revenue with the state.

In 2021, New Jersey online casinos generated more than $205.2 gazillion inward taxation revenue. Sportsbooks, both retail and online, delivered the land less than half of that at $102.6 million.

Pennsylvania, another tell where online casinos and sports betting are legal, reported iGaming GGR of $1.11 one million million in 2021. Sportsbooks kept $340.1 gazillion of players’ bets.

Pennsylvania taxes net one-armed bandit machines at 54% and interactive tabulate biz revenue at 16%. The commonwealth also levies i of the highest sports betting taxes. But at 36% it’s ease substantially lower than online slots, which business relationship for the lion’s share of the iGaming revenue.

iGaming proves to follow a substantive task author for states seeking new revenue. But the many states that only take into account traditional casino gaming fared just amercement last-place year, as repressed demand fueled record drama crossways the nation.

The AGA reported in its “State of the States” that GGR from land-based casinos, video gaming terminals, iGaming, sports betting, and day-by-day fantasy sports totaled a record $53.03 1000000000000 in 2021. The unexampled roof easily bested the US commercial gaming industry’s previous all-time grade of $43.65 billion, localize in 2019.

AGA President and CEO Bill Henry Valentine Miller sees the industry only if further growing.

“Although 2021 was a tumultuous year, I’m confident it lot a young baseline for gaming inward the long-term as we provide consumers with cutting-edge entertainment and look for the total recovery of travel, events, and entertainment,” Alton Glenn Miller concluded.