New York Governor pushes for legalization of online sports betting

New York Governor pushes for legalization of online sports betting

Mobile sports betting will soon become legal in New York.  In an effort to stimulate the state’s economy crippled by COVID-19 pandemic, Governor Andrew Cuomo is pushing for the legalization of sports betting on mobile platforms.

Changing stance on Mobile Sports Betting

Cuomo has a change of heart with regards to allowing mobile sports betting in the state of New York. The Governor has previously casted doubts on the legalization of mobile sports betting. However, the politician later retracted his stance as he has now included in his policy proposals for 2021.

The New York Governor sees the potential of New York to become the largest sports wagering market in the United States by allowing mobile sports betting.  He also stressed the money generated out of mobile sports wagering would rebuild the state’s economy in the aftermath of COVID-19 pandemic.

New York has already allowed sports wagering in the state, though bettors would have to place their bets in person at casinos.

The Growing Trend

The number of states in the U.S allowing online sports betting keeps on growing since the relaxation of the rules in 2018.

New York will become the biggest sports betting market in the United States if Cuomo’s proposal pushes through this year.

The Governor’s statement creates a ripple effect across the industry. DraftKings recorded an 8.8 percent increase in its stock following the announcement, according to Business Insider. DraftKings is the leading sports fantasy operator in the U.S and has recently expanded by offering sports betting and mobile casinos.

For the benefit of New Yorkers

Cuomo assured the public that the bigger chunk of the revenue will go to the government rather than the casinos. He said that unlike in other states where casinos are raking in most of the money, New York would allow online sports betting to generate funds for the state.

“Many states have done sports betting but they basically allow casinos to run their own gambling operations. That makes a lot of money for casinos. But it makes minimal money for the state. And I’m not here to make casinos a lot of money. I’m here to raise funds for the state. So we have a different model for sports betting,” Cuomo emphasized.

New Jersey’s record-breaking year for sports betting influenced Cuomo’s opinion on allowing online sports betting activities in his state. New York’s neighboring state has garnered more than US$931 million worth of sports bets placed in the state. A large chunk of New Jersey’s mammoth sports betting revenue comes from mobile sports betting as it comprises 90 percent of the pie.

An interesting twist of the data is a significant portion of revenues came from New Yorkers. In fact, a 2019 report by Eilers & Krejcik showed New York residents placed some US$837 million worth of bets in New Jersey in 2019. The number comprises 20 percent of the state’s sports betting activity comes from New York City.

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About Lou De Aguila

Lou Ramon Aguila is a contributor for Golden Casino News. He has a degree in BSBA Legal Management with great interest in high-profile legal cases involving sports personalities. An ultimate sports junkie, he covers just about everything in the sporting world with an emphasis on the NBA, NFL, and MLB. In his past time, Lou loves to read manga, watch anime and critique pro-wrestling matches.