Illegal Online Gambling
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According to The American Gaming Association (AGA), the gambling industry in the US is worth $261 billion and supports 1.8 million jobs in 40 states (1); however, gambling has had a difficult (and illegal) history in the USA and it is just up until now that the path is being cleared.
In most cases, the act of online gambling is not illegal, however there are some countries that restrict the type of domestic online gambling available to its residents. Some countries, such as the United States place restrictions on the operation of online gambling sites, but not on the act of placing bets online. Legality of online gambling Majority of countries restrict betting via Internet, but it is allowed in several states in US. Government is very strict about rules of regulations for those providers who offer people online gambling services. They need to get a special license for performing their business.How To Report Illegal Online Gambling
Several anti-gambling laws have been in place since the great depression and gaming has been heavily regulated ever since. Some of those regulations haven’t been updated since the 60’s. Despite this, the widespread use of the internet (and online casinos) have made the betting scene change notably and laws have started to shift (2).
Today, the industry faces a rapid growth and increased revenue moving away from the stigma it once held, making it easier for people to access online gaming and betting.States Illegal Online GamblingGambling Revenues in the USA
USA gambling revenues increased to over $160 billion in 2018. Now that sports betting is legal, most gaming experts and financial analysts predict the total revenues for US betting each year will top $200 billion. Whether it’s a lottery ticket, slot machines, sports bets, bingo, or poker, Americans love to gamble.
As each year passes, US state governments expand legalized and regulated games of chance, which encourages more gambling. 2018 was no different. Below is a breakdown of the revenue generated by each form of betting each year.INDUSTRY2017 GROSS REVENUES2018 GROSS REVENUESCommercial Casinos$41.2 Billion$51.4 BillionTribal Casinos$31.945 Billion$32.801 BillionPoker Rooms$1.9 Billion$1.9 BillionLottery Revenues$80.55 Billion$72 BillionLegal Bookmaking$248 Million$430.6 MillionUS Online Gambling$247.5 Million$306.5 MillionPari-Mutuel$295 Million$299 MillionCharitable Games/Bingo$2.15 Billion$2.1 BillionTotal Revenue$158.54 Billion$161.24 BillionUSA Casino Revenues
US commercial casinos generated $41.2 billion in 2017, a 3.7% increase year-to-year from 2016 and a new record for gross gaming revenues for US commercial casinos. New casinos in Maryland and New York added to the increased revenues in 2017. MGM National Harbor in Maryland was the most successful new casinos, but Del Lago Resorts, Rivers Casino, and Resorts World Catskills in New York state also contributed.
In all, commercial casinos generated $51,395,562,664 in revenues in 2018. The total represents a 3.5% increase over 2017. Commercial casinos sustained 737,450 jobs and paid $34.334 billion in worker income. The Las Vegas Strip generated $6.59 billion in gaming revenues in 2018, making it the top destination. Atlantic City came in second with $2.51 billion, which shows a strong 5-year bounce back from its $2.1 billion in 2014. Chicagoland, Baltimore-Washington DC, and New York City finished 3rd, 4th, and 5th among commercial casino markets.USA Tribal Casino Revenues
The National Indian Gaming Council still has not released full tribal casino statistics, so the NIGC’s 2016 gross gaming revenues are the most recent official revenue statistics. In 2016, America’s tribal casinos generated $31.195 million in gross gaming revenues. That is up nearly $1.3 billion from 2015, which itself increased $1.4 billion from 2014. If one projected similar growth year-to-year from 2016 to 2017, one might expect to see gross gaming revenues in the range of $33.3 billion for 2017. To avoid speculation, we list the 2016 official statistics. The NIGC releases the previous year’s figures in June or July each year, so check back for the latest results.
Tribal casinos generated $32.801 billion in 2018 — a 3.5% increase over 2017. At its current pace, the tribal casino industry should overtake commercial casino revenues by the year 2030. Like the commercial gambling industry, a handful of tribal casinos launched sportsbooks.
The Mississippi Band of Choctaw Indians opened sports betting at their three land-based casinos, while the Pueblo of Santa Ana opened a sportsbook at Santa Ana Star Casino near Albuquerque, New Mexico. The bookmakers’ success could open the door for many other tribal sportsbooks across the United States.US Poker Room Revenues
Nevada poker room revenues showed less than 1% growth, as gross gaming revenues were $118.46 million. The 2017 poker rake was $117.7 million. The Nevada figures were a minor miracle, considering that several Nevada poker rooms closed in the past year. MGM Resorts closed the Mirage poker room in February 2017, while the Hard Rock Las Vegas poker room closed in March 2017 and Luxor cardroom closed in May 2017. (The cardrooms for the Linq, Eastside Cannery, The Plaza, and Aliante Casino closed in 2016.)
Atlantic City’s seven poker rooms added $28.38 million in gross gaming revenues in 2017. Pennsylvania’s live poker revenues equaled $60 million. MGM National Harbor in Maryland collected $44.5 million in poker rake alone last year, which was the vast bulk of Maryland poker revenues in 2017. New York’s new live poker rooms, on the other hand, contributed only $6.7 million to the nation’s live poker revenue total. It is difficult to calculate accurately the live poker revenues for America’s 6,100+ live poker rooms. Tribal casinos contain many card rooms and they do not have to report their earnings to states. Thus, it is likely that some poker revenues might be listed under tribal casino statistics.Fbi Illegal Online Gambling
Nevada poker rooms increased their total rake from $118.45 million to $120.1 million. On the other hand, Atlantic City poker revenues dropped from $28.38 million in 2017 to $27.028 million in 2018. Pennsylvania’s live poker revenues remained in the $60 million range. MGM National Harbor remained high with over $45 million in poker rake, while the New York state live card rooms continued with a week haul with a little over $7 million in revenues. As always, it’s difficult to gauge total poker revenues, because tribal casinos include their poker rake with their other casino games.
The Worst Hand in Blackjack By Henry Tamburin No other hand makes blackjack players feel queasy than the dreaded 16. Players hate to hit the hand because they are afraid to bust. So many chicken out and stand no matter what the dealer shows. Others opt for the surrender option if it’s available figuring losing half a bet is better then losing it all. No other hand perplexes the blackjack player as much as the dreaded 16, which is why it is known as the worst hand in blackjack applies. Players hate this hand because they are afraid to busten - so getting more than 21 points and automatically losing.
Ultimately, the official US poker room revenues remained steady at $1.9 billion. 2018 showed the US poker industry holding steady after two years of decline. Fewer Las Vegas casinos have card rooms than they did ten years ago, but 2018 did not have any major Vegas poker rooms close. 2016 and 2017 showed a marked decline. MGM Resorts closed the Mirage poker room in February 2017, Hard Rock Las Vegas’s poker room closed in March 2017, and the Luxor cardroom closed in May 2017. In 2016, the cardrooms for The Plaza, the LINQ, Eastside Cannery, and Aliante Casino closed. Still, the United States has over 6,100 poker rooms, so the revenue stream remained steady throughout 2018.New Jersey Online Gambling Revenues
US online gambling produced $247.5 million in revenues in 2017. New Jersey’s online gambling industry continues to grow. In 2017, the combined revenue of Atlantic City’s online casinos and poker sites was $245 million. That’s a 21% increase from 2016 when New Jersey’s iGaming niche generated $195 million. Delaware added only $2.4 million in online gambling revenues, which was an 18% decline.
Mike Lawton of the Nevada Gaming Control Board said online poker revenues are included in total poker revenues for the state, so it is hard to get official statistics for Nevada online poker. Given the fact, only two Nevada online poker sites exist and state regulators try to hide the small revenue stream, one can assume Nevada’s iPoker stats are tiny. Nevada has about twice the online gamblers as Delaware, so $5 million is a safe assumption. Those poker revenues are not included in our figures, though, because they are included in Nevada’s overall poker stats.
New Jersey grabbed the lion’s share of legal US online gambling revenues in 2018 with $298.7 million. Five years into its experiment with online gambling, New Jersey’s online casino and poker portals continue to grow apace. Delaware and Nevada both have regulated online poker, but despite the Multi-State Internet Gambling Association (MSIGA), their revenues were negligible. Pennsylvania will be a huge factor in 2019, but its online poker and casino industry was still getting off the ground in 2018.Reporting Illegal Online Gambling
Interstate online gambling faces a severe test in 2019. The U.S. Department of Justice declared in January 2019 that interstate online poker is illegal under federal law, striking a blow to the MSIGA pact between Delaware, Nevada, and New Jersey. The New Hampshire Lottery sued because its online lotto ticket sales are endangered by the 2019 DOJ opinion, while New Jersey and Pennsylvania filed their own lawsuit to protect their online poker and casino industries. Whatever happens with the legal cases, US online gambling revenue growth should be significant in the coming year, because Pennsylvania’s iGaming industry launches.US Lottery Revenues
Like the tribal casino revenues, compiling an official list of lottery revenues takes a bit longer each year, because of the patchwork of state-run lotteries and multistate lottery associations. In 2016, US lottery ticket sales were $80.5 billion. The projected figures for 2017 are expected to exceed $85 billion, due to upticks in the sale of scratchcards and the increases in the Powerball and Mega Millions jackpot sizes. Scratch-off tickets are the biggest contributor, with the Powerball and Mega Millions multi-state lottery association games contributing the second and third-most to the revenue pool.
New York state had the biggest lottery ticket sales, with over $10 billion. California, Florida, Massachusetts, and Texas were next in line. Each of those four states had between $5 billion and $6.5 billion in lottery sales.
The combined revenues of US lotteries for 2018 sit around the $72 billion mark. The U.S. Census Bureau releases the official lottery revenue statistics each year. So far, the Census Bureau has not released official 2018 lottery revenues. The 2017 lottery total was $71.826 billion, while the 2016 lottery statistics were $72.649 billion. That shows a regression of nearly $800 million from 2016 to 2017, though that number reflects a statistical anomaly in lottery drawings more than a loss of interest in the state and multistate lotteries.
State politicians are leery of allowing legal online gambling, though, because they fear it would harm lottery sales. Departing Michigan Gov. Bill Snyder vetoed an online poker and casino bill in December 2018, because he said lottery taxes are higher and iGaming would hurt lottery sales (thus tax revenues). Given the recent trends, it’s a safe bet that US lottery revenues in 2018 were around $72 billion for the year. Mega Millions and Powerball drawings continue to dominate national attention, while their revenues increase year to year.United States Legal Sportsbooks
The revenue figures for US legal sportsbooks came from Nevada and Delaware in 2017. Nevada bookmakers won $248 million from sports bettors in 2017, which was a record year. New forms of betting on eSports helped, though the growing impact of William Hill USA on the Nevada sports betting scene helped. Even hockey betting was up in 2017, thanks to the inclusion of the Las Vegas Golden Knights to the NHL. The Golden Knights’ surprising first-year performance helped drive local sports betting, though it was general NFL, Super Bowl, MLB, NBA, and March Madness betting which generated the most revenues.
Delaware, which had legalized sports lotteries, generated the remaining $6 million in sports betting revenues. Delaware’s sports lotteries require players to make parlay bets of 3 or more games. Delaware sportsbook revenues should increase significantly in the wake of the US Supreme Court’s repeal of the PASPA sports betting ban. Delaware plans to open legal sportsbooks at Dover Downs, Delaware Park, and Harrington Raceway on June 5, 2018. New Jersey sportsbooks at the Atlantic City casinos and Monmouth Park Racetrack in Oceanport should follow suit quickly. Gorilla gaming company. US sports betting revenues should have a big jump in 2018.
Given the landmark US Supreme Court decision to strike down the Professional and Amateur Sports Protection Act (PASPA) as unconstitutional, US sports betting revenues increased significantly. Several states (New Jersey, Delaware, Mississippi, West Virginia) legalized sports betting in the months after the May 14 SCOTUS decision. Led by New Jersey, the new sports gambling jurisdictions generated $129.6 million in a little over 6 months of activity.
Meanwhile, Nevada benefited from the additional media coverage given to sportsbooks, so it generated $301.0 million. In all, the legal US sports betting industry generated $430.6 million in revenues – a $182 million increase from 2017. The number should increase significantly in 2019, when New Jersey and Mississippi feature a full year of sportsbook operations. Pennsylvania bookmakers also launched in late 2018 and early 2019, which should boost numbers greatly.US Pari-Mutuel Racebook Revenues
Pari-mutuel racebooks generated $300 million in revenues in 2018. Pari-mutuel wagering is the legal term for betting on horse racing and dog racing. Bettors receive winning for the thoroughbreds, harness racers, or greyhounds which finish in the top three of a particular race (win-show-place). Pari-mutuel wagering also includes a variety of trifecta bets and parlay bets, which pay out more, but hit for the bettor less often.
Dog racing now is allowed in only 5 US states, as the Florida electorate voted to ban greyhound racing (Amendment 13) in the coming years. Most greyhound tracks continue to act as off-track betting facilities (OTBs), offering simulcasting and wagers at over 200 race venues worldwide. Churchill Downs, site of the annual Kentucky Derby, continues to generate almost 60% of the racebook revenue ($175 million) in the United States. Besides the world-famous Louisville-area horse track, Churchill Downs Incorporated owns racetracks and even a few land-based casinos across the United States.
The US pari-mutuel racebook industry must find new ways to drive customers or die a slow death in America. Race betting declined significantly in the past generation due to competition from the lottery, tribal casinos, online casinos, and mobile betting. After the US Supreme Court repealed the federal ban on sports betting (PASPA) in May 2018, sports betting should grow significantly in the coming 5 to 10 years. US pari-mutuel racebooks face another major competitor, so they’ll need to find innovative ways to bet on horse and dog racing or that $300 million total will decline.
For generations, charitable bingo halls have generated cash for civic organizations, veterans groups, religious groups, fraternal organizations, firefighters, and other charity organizations. Charitable bingo remains a major focus, but organizations also hold raffles, poker nights, and sell pull-tab games to the public.Fbi Illegal Online Gambling
As lottery betting and tribal casinos have increased over the past two decades, charitable gaming and bingo participation has decreased in many states. Charitable gaming is a major source of fundraising for nonprofit organizations in the United States. The numbers haven’t declined across the board, as Michigan’s poker nights (millionaires clubs) increased greatly from 2002 to 2012, due to making it easier to attain a charitable gaming license. Even in Michigan, though, the decline since 2012 has been significant. Meanwhile, Minnesota increased its charitable gaming revenues significantly, as part of a plan to fund the Minnesota Vikings’ football stadium.
As the US population has increased in the past 16 years, the number of charitable organizations holding bingo nights and raffles has increased. That means the overall decline in charitable gaming revenues was slight, from $2.2 billion to $2.15 billion, though the decline in revenue-per-venue and real money value due to inflation is stark.
Each US state organizes and regulates charitable gaming in their own way. Groups pays taxes to the states, but otherwise remain coy about their fundraising. Different states have different terms for their games (Millionaire’s clubs, pickle games, fish games), which adds to the confusion. This makes a completely accurate total of charitable gaming revenues more an estimate than an official tally. Charitable gaming revenues stayed in the $2.1 billion range for 2018.What Is Online Gambling in the US?
The gambling industry in the United States is the sum total of all forms of legal betting. US gambling includes commercial and tribal casinos, state and multistate lotteries, sportsbooks and racebooks, real money online casinos and poker sites, as well as charitable gaming and bingo halls.
US gambling statistics do not include unregulated online gambling, local bookies, organized poker games in your neighborhood, office pools, fantasy leagues, or March Madness brackets. Because such gaming is unregulated and untaxed, it is hard to get accurate statistics for them. The American Gaming Association and other groups estimate yearly betting turnover of illegal gambling, but the AGA’s data is an educated guess.
In this US gambling report, Online United States Casinos stick to the facts. Most of the statistics below are compiled from state regulatory agencies. Each month, gaming commissions, gaming control boards, and state lotteries across the United States produce gambling statistics. We’ve collected the latest gaming data and compiled it into several gambling categories, which we present below.Is Gambling Legal in the US?
Many forms of gambling are legal in the United States, but no form of gambling is legal everywhere. Because the United States is a constitutional republic with a federated system of government, the USA is a patchwork of s
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According to The American Gaming Association (AGA), the gambling industry in the US is worth $261 billion and supports 1.8 million jobs in 40 states (1); however, gambling has had a difficult (and illegal) history in the USA and it is just up until now that the path is being cleared.
In most cases, the act of online gambling is not illegal, however there are some countries that restrict the type of domestic online gambling available to its residents. Some countries, such as the United States place restrictions on the operation of online gambling sites, but not on the act of placing bets online. Legality of online gambling Majority of countries restrict betting via Internet, but it is allowed in several states in US. Government is very strict about rules of regulations for those providers who offer people online gambling services. They need to get a special license for performing their business.How To Report Illegal Online Gambling
Several anti-gambling laws have been in place since the great depression and gaming has been heavily regulated ever since. Some of those regulations haven’t been updated since the 60’s. Despite this, the widespread use of the internet (and online casinos) have made the betting scene change notably and laws have started to shift (2).
Today, the industry faces a rapid growth and increased revenue moving away from the stigma it once held, making it easier for people to access online gaming and betting.States Illegal Online GamblingGambling Revenues in the USA
USA gambling revenues increased to over $160 billion in 2018. Now that sports betting is legal, most gaming experts and financial analysts predict the total revenues for US betting each year will top $200 billion. Whether it’s a lottery ticket, slot machines, sports bets, bingo, or poker, Americans love to gamble.
As each year passes, US state governments expand legalized and regulated games of chance, which encourages more gambling. 2018 was no different. Below is a breakdown of the revenue generated by each form of betting each year.INDUSTRY2017 GROSS REVENUES2018 GROSS REVENUESCommercial Casinos$41.2 Billion$51.4 BillionTribal Casinos$31.945 Billion$32.801 BillionPoker Rooms$1.9 Billion$1.9 BillionLottery Revenues$80.55 Billion$72 BillionLegal Bookmaking$248 Million$430.6 MillionUS Online Gambling$247.5 Million$306.5 MillionPari-Mutuel$295 Million$299 MillionCharitable Games/Bingo$2.15 Billion$2.1 BillionTotal Revenue$158.54 Billion$161.24 BillionUSA Casino Revenues
US commercial casinos generated $41.2 billion in 2017, a 3.7% increase year-to-year from 2016 and a new record for gross gaming revenues for US commercial casinos. New casinos in Maryland and New York added to the increased revenues in 2017. MGM National Harbor in Maryland was the most successful new casinos, but Del Lago Resorts, Rivers Casino, and Resorts World Catskills in New York state also contributed.
In all, commercial casinos generated $51,395,562,664 in revenues in 2018. The total represents a 3.5% increase over 2017. Commercial casinos sustained 737,450 jobs and paid $34.334 billion in worker income. The Las Vegas Strip generated $6.59 billion in gaming revenues in 2018, making it the top destination. Atlantic City came in second with $2.51 billion, which shows a strong 5-year bounce back from its $2.1 billion in 2014. Chicagoland, Baltimore-Washington DC, and New York City finished 3rd, 4th, and 5th among commercial casino markets.USA Tribal Casino Revenues
The National Indian Gaming Council still has not released full tribal casino statistics, so the NIGC’s 2016 gross gaming revenues are the most recent official revenue statistics. In 2016, America’s tribal casinos generated $31.195 million in gross gaming revenues. That is up nearly $1.3 billion from 2015, which itself increased $1.4 billion from 2014. If one projected similar growth year-to-year from 2016 to 2017, one might expect to see gross gaming revenues in the range of $33.3 billion for 2017. To avoid speculation, we list the 2016 official statistics. The NIGC releases the previous year’s figures in June or July each year, so check back for the latest results.
Tribal casinos generated $32.801 billion in 2018 — a 3.5% increase over 2017. At its current pace, the tribal casino industry should overtake commercial casino revenues by the year 2030. Like the commercial gambling industry, a handful of tribal casinos launched sportsbooks.
The Mississippi Band of Choctaw Indians opened sports betting at their three land-based casinos, while the Pueblo of Santa Ana opened a sportsbook at Santa Ana Star Casino near Albuquerque, New Mexico. The bookmakers’ success could open the door for many other tribal sportsbooks across the United States.US Poker Room Revenues
Nevada poker room revenues showed less than 1% growth, as gross gaming revenues were $118.46 million. The 2017 poker rake was $117.7 million. The Nevada figures were a minor miracle, considering that several Nevada poker rooms closed in the past year. MGM Resorts closed the Mirage poker room in February 2017, while the Hard Rock Las Vegas poker room closed in March 2017 and Luxor cardroom closed in May 2017. (The cardrooms for the Linq, Eastside Cannery, The Plaza, and Aliante Casino closed in 2016.)
Atlantic City’s seven poker rooms added $28.38 million in gross gaming revenues in 2017. Pennsylvania’s live poker revenues equaled $60 million. MGM National Harbor in Maryland collected $44.5 million in poker rake alone last year, which was the vast bulk of Maryland poker revenues in 2017. New York’s new live poker rooms, on the other hand, contributed only $6.7 million to the nation’s live poker revenue total. It is difficult to calculate accurately the live poker revenues for America’s 6,100+ live poker rooms. Tribal casinos contain many card rooms and they do not have to report their earnings to states. Thus, it is likely that some poker revenues might be listed under tribal casino statistics.Fbi Illegal Online Gambling
Nevada poker rooms increased their total rake from $118.45 million to $120.1 million. On the other hand, Atlantic City poker revenues dropped from $28.38 million in 2017 to $27.028 million in 2018. Pennsylvania’s live poker revenues remained in the $60 million range. MGM National Harbor remained high with over $45 million in poker rake, while the New York state live card rooms continued with a week haul with a little over $7 million in revenues. As always, it’s difficult to gauge total poker revenues, because tribal casinos include their poker rake with their other casino games.
The Worst Hand in Blackjack By Henry Tamburin No other hand makes blackjack players feel queasy than the dreaded 16. Players hate to hit the hand because they are afraid to bust. So many chicken out and stand no matter what the dealer shows. Others opt for the surrender option if it’s available figuring losing half a bet is better then losing it all. No other hand perplexes the blackjack player as much as the dreaded 16, which is why it is known as the worst hand in blackjack applies. Players hate this hand because they are afraid to busten - so getting more than 21 points and automatically losing.
Ultimately, the official US poker room revenues remained steady at $1.9 billion. 2018 showed the US poker industry holding steady after two years of decline. Fewer Las Vegas casinos have card rooms than they did ten years ago, but 2018 did not have any major Vegas poker rooms close. 2016 and 2017 showed a marked decline. MGM Resorts closed the Mirage poker room in February 2017, Hard Rock Las Vegas’s poker room closed in March 2017, and the Luxor cardroom closed in May 2017. In 2016, the cardrooms for The Plaza, the LINQ, Eastside Cannery, and Aliante Casino closed. Still, the United States has over 6,100 poker rooms, so the revenue stream remained steady throughout 2018.New Jersey Online Gambling Revenues
US online gambling produced $247.5 million in revenues in 2017. New Jersey’s online gambling industry continues to grow. In 2017, the combined revenue of Atlantic City’s online casinos and poker sites was $245 million. That’s a 21% increase from 2016 when New Jersey’s iGaming niche generated $195 million. Delaware added only $2.4 million in online gambling revenues, which was an 18% decline.
Mike Lawton of the Nevada Gaming Control Board said online poker revenues are included in total poker revenues for the state, so it is hard to get official statistics for Nevada online poker. Given the fact, only two Nevada online poker sites exist and state regulators try to hide the small revenue stream, one can assume Nevada’s iPoker stats are tiny. Nevada has about twice the online gamblers as Delaware, so $5 million is a safe assumption. Those poker revenues are not included in our figures, though, because they are included in Nevada’s overall poker stats.
New Jersey grabbed the lion’s share of legal US online gambling revenues in 2018 with $298.7 million. Five years into its experiment with online gambling, New Jersey’s online casino and poker portals continue to grow apace. Delaware and Nevada both have regulated online poker, but despite the Multi-State Internet Gambling Association (MSIGA), their revenues were negligible. Pennsylvania will be a huge factor in 2019, but its online poker and casino industry was still getting off the ground in 2018.Reporting Illegal Online Gambling
Interstate online gambling faces a severe test in 2019. The U.S. Department of Justice declared in January 2019 that interstate online poker is illegal under federal law, striking a blow to the MSIGA pact between Delaware, Nevada, and New Jersey. The New Hampshire Lottery sued because its online lotto ticket sales are endangered by the 2019 DOJ opinion, while New Jersey and Pennsylvania filed their own lawsuit to protect their online poker and casino industries. Whatever happens with the legal cases, US online gambling revenue growth should be significant in the coming year, because Pennsylvania’s iGaming industry launches.US Lottery Revenues
Like the tribal casino revenues, compiling an official list of lottery revenues takes a bit longer each year, because of the patchwork of state-run lotteries and multistate lottery associations. In 2016, US lottery ticket sales were $80.5 billion. The projected figures for 2017 are expected to exceed $85 billion, due to upticks in the sale of scratchcards and the increases in the Powerball and Mega Millions jackpot sizes. Scratch-off tickets are the biggest contributor, with the Powerball and Mega Millions multi-state lottery association games contributing the second and third-most to the revenue pool.
New York state had the biggest lottery ticket sales, with over $10 billion. California, Florida, Massachusetts, and Texas were next in line. Each of those four states had between $5 billion and $6.5 billion in lottery sales.
The combined revenues of US lotteries for 2018 sit around the $72 billion mark. The U.S. Census Bureau releases the official lottery revenue statistics each year. So far, the Census Bureau has not released official 2018 lottery revenues. The 2017 lottery total was $71.826 billion, while the 2016 lottery statistics were $72.649 billion. That shows a regression of nearly $800 million from 2016 to 2017, though that number reflects a statistical anomaly in lottery drawings more than a loss of interest in the state and multistate lotteries.
State politicians are leery of allowing legal online gambling, though, because they fear it would harm lottery sales. Departing Michigan Gov. Bill Snyder vetoed an online poker and casino bill in December 2018, because he said lottery taxes are higher and iGaming would hurt lottery sales (thus tax revenues). Given the recent trends, it’s a safe bet that US lottery revenues in 2018 were around $72 billion for the year. Mega Millions and Powerball drawings continue to dominate national attention, while their revenues increase year to year.United States Legal Sportsbooks
The revenue figures for US legal sportsbooks came from Nevada and Delaware in 2017. Nevada bookmakers won $248 million from sports bettors in 2017, which was a record year. New forms of betting on eSports helped, though the growing impact of William Hill USA on the Nevada sports betting scene helped. Even hockey betting was up in 2017, thanks to the inclusion of the Las Vegas Golden Knights to the NHL. The Golden Knights’ surprising first-year performance helped drive local sports betting, though it was general NFL, Super Bowl, MLB, NBA, and March Madness betting which generated the most revenues.
Delaware, which had legalized sports lotteries, generated the remaining $6 million in sports betting revenues. Delaware’s sports lotteries require players to make parlay bets of 3 or more games. Delaware sportsbook revenues should increase significantly in the wake of the US Supreme Court’s repeal of the PASPA sports betting ban. Delaware plans to open legal sportsbooks at Dover Downs, Delaware Park, and Harrington Raceway on June 5, 2018. New Jersey sportsbooks at the Atlantic City casinos and Monmouth Park Racetrack in Oceanport should follow suit quickly. Gorilla gaming company. US sports betting revenues should have a big jump in 2018.
Given the landmark US Supreme Court decision to strike down the Professional and Amateur Sports Protection Act (PASPA) as unconstitutional, US sports betting revenues increased significantly. Several states (New Jersey, Delaware, Mississippi, West Virginia) legalized sports betting in the months after the May 14 SCOTUS decision. Led by New Jersey, the new sports gambling jurisdictions generated $129.6 million in a little over 6 months of activity.
Meanwhile, Nevada benefited from the additional media coverage given to sportsbooks, so it generated $301.0 million. In all, the legal US sports betting industry generated $430.6 million in revenues – a $182 million increase from 2017. The number should increase significantly in 2019, when New Jersey and Mississippi feature a full year of sportsbook operations. Pennsylvania bookmakers also launched in late 2018 and early 2019, which should boost numbers greatly.US Pari-Mutuel Racebook Revenues
Pari-mutuel racebooks generated $300 million in revenues in 2018. Pari-mutuel wagering is the legal term for betting on horse racing and dog racing. Bettors receive winning for the thoroughbreds, harness racers, or greyhounds which finish in the top three of a particular race (win-show-place). Pari-mutuel wagering also includes a variety of trifecta bets and parlay bets, which pay out more, but hit for the bettor less often.
Dog racing now is allowed in only 5 US states, as the Florida electorate voted to ban greyhound racing (Amendment 13) in the coming years. Most greyhound tracks continue to act as off-track betting facilities (OTBs), offering simulcasting and wagers at over 200 race venues worldwide. Churchill Downs, site of the annual Kentucky Derby, continues to generate almost 60% of the racebook revenue ($175 million) in the United States. Besides the world-famous Louisville-area horse track, Churchill Downs Incorporated owns racetracks and even a few land-based casinos across the United States.
The US pari-mutuel racebook industry must find new ways to drive customers or die a slow death in America. Race betting declined significantly in the past generation due to competition from the lottery, tribal casinos, online casinos, and mobile betting. After the US Supreme Court repealed the federal ban on sports betting (PASPA) in May 2018, sports betting should grow significantly in the coming 5 to 10 years. US pari-mutuel racebooks face another major competitor, so they’ll need to find innovative ways to bet on horse and dog racing or that $300 million total will decline.
For generations, charitable bingo halls have generated cash for civic organizations, veterans groups, religious groups, fraternal organizations, firefighters, and other charity organizations. Charitable bingo remains a major focus, but organizations also hold raffles, poker nights, and sell pull-tab games to the public.Fbi Illegal Online Gambling
As lottery betting and tribal casinos have increased over the past two decades, charitable gaming and bingo participation has decreased in many states. Charitable gaming is a major source of fundraising for nonprofit organizations in the United States. The numbers haven’t declined across the board, as Michigan’s poker nights (millionaires clubs) increased greatly from 2002 to 2012, due to making it easier to attain a charitable gaming license. Even in Michigan, though, the decline since 2012 has been significant. Meanwhile, Minnesota increased its charitable gaming revenues significantly, as part of a plan to fund the Minnesota Vikings’ football stadium.
As the US population has increased in the past 16 years, the number of charitable organizations holding bingo nights and raffles has increased. That means the overall decline in charitable gaming revenues was slight, from $2.2 billion to $2.15 billion, though the decline in revenue-per-venue and real money value due to inflation is stark.
Each US state organizes and regulates charitable gaming in their own way. Groups pays taxes to the states, but otherwise remain coy about their fundraising. Different states have different terms for their games (Millionaire’s clubs, pickle games, fish games), which adds to the confusion. This makes a completely accurate total of charitable gaming revenues more an estimate than an official tally. Charitable gaming revenues stayed in the $2.1 billion range for 2018.What Is Online Gambling in the US?
The gambling industry in the United States is the sum total of all forms of legal betting. US gambling includes commercial and tribal casinos, state and multistate lotteries, sportsbooks and racebooks, real money online casinos and poker sites, as well as charitable gaming and bingo halls.
US gambling statistics do not include unregulated online gambling, local bookies, organized poker games in your neighborhood, office pools, fantasy leagues, or March Madness brackets. Because such gaming is unregulated and untaxed, it is hard to get accurate statistics for them. The American Gaming Association and other groups estimate yearly betting turnover of illegal gambling, but the AGA’s data is an educated guess.
In this US gambling report, Online United States Casinos stick to the facts. Most of the statistics below are compiled from state regulatory agencies. Each month, gaming commissions, gaming control boards, and state lotteries across the United States produce gambling statistics. We’ve collected the latest gaming data and compiled it into several gambling categories, which we present below.Is Gambling Legal in the US?
Many forms of gambling are legal in the United States, but no form of gambling is legal everywhere. Because the United States is a constitutional republic with a federated system of government, the USA is a patchwork of s
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