Illegal gambling takes up nearly a third of US wagering
The American Gaming Association (AGA) has released a new analysis building on a June report that examined illegal gambling in the US. The latest findings show that nearly one-third of the US market consists of illicit gaming, with the June report revealing that 74% of the market’s revenue was directed to offshore platforms.
In a post on the AGA website, the analysis found that since the last report in 2022, the illegal market has grown by 22%. Despite more states opening up gambling laws to incorporate online wagering, 31.9% of the market is still made up of illegal operators.
https://twitter.com/AmericanGaming/status/1955645549195247854/
This, according to the AGA, is costing the US $15.3 billion a year in taxes, with offshore platforms getting a total turnover of $53.9 billion.
Taxes have been one of the major reasons for the crackdown on things like sweepstakes casinos. As this style of casino skirts gambling laws, as well as often being offshore, tax is often lost, which New York brought up when discussing banning them.
While it seems gloomy on the outset, the AGA has actually tracked that sports wagering has increased its legal share in the US. DraftKings and FanDuel continue to dominate the market as more states open up or consider opening sportsbooks.
AGA research shows nearly $9.5 billion lost to unregulated gambling machines
Projected growth of legal market share in sports betting and iGaming from 2022 to 2025. Credit: AGA
Outside of sports, another threat the AGA has spotted is unregulated slots or other gaming machines. There are over 625,000 machines in the US, costing states $9.5 billion in taxes. We’ve recently reported on crackdowns aimed at scuppering these operations.
The AGA’s CEO and President, Bill Miller, said:
“It’s time for a national crackdown on the pervasive illegal market that is draining state coffers and putting people at risk.
“These bad actors operate in the shadows with zero consumer protections, no responsible gaming obligations, and no economic return to the communities they exploit.
“Combating them requires not only stronger U.S. enforcement, but also continuing to work closely with our international partners to shut down offshore operators and hold them accountable.”
Featured image: The American Gaming Association
The post Illegal gambling takes up nearly a third of US wagering appeared first on ReadWrite.