New York State makes money from online sports betting because of its high tax rate, but at least one Albany lawmaker wants to crack down on “predatory” behavior from the likes of DraftKings, FanDuel, BetMGM and PointsBet, among others.
New York State Senator Pete Harkham introduced Nov. 30 Senate Bill S9605 To try to reduce the gambling-related harm caused by regulated sportsbooks. The bill, of only one page in its current form, states its objective:
“To issue rules and regulations relating to predatory sports betting bonuses in mobile sports betting, including but not limited to deposit matching, risk free betting, free money, free bets, site credits and winnings increase.”
New York has seen up to $1.6 billion bet online in the one month since online sports betting began in January 2022, alarming many responsible betting advocates. Legalizing sports betting was bipartisan in New York.
Gov. Kathy Hochul said in early November that since early January, when mobile sports betting became available in New York, the state had collected $542 million in taxes through the end of October. An additional $200 million in licensing fees was also collected, bringing total revenue to over $740 million.
“By bringing sports betting to New York, we not only opened the door to responsible entertainment for millions of sports fans, but we also brought in significant revenue to support schools, as well as youth sports, while implementing important preventive measures to help those out,” said Governor Hochul.
“I am proud of the work that has been done to secure the #1 spot in our state in mobile sports betting, and I am excited to continue this trend as we secure hundreds of millions of dollars to support programs that will improve the lives of New Yorkers.”
State Senator Joseph B.
According to a statement from Gov. Hochul, GeoComply, a software company used by sportsbooks to ensure geolocation requirements, reports that more than 11.3 million unique player accounts have been created since January, and they have made nearly 985 million transactions.