New York Governor Andrew Cuomo has decided to push for online sports betting in his state.
“New York has the potential to be the largest sports betting market in the US. By legalizing online sports betting, we want to generate millions in tax revenues here at home, which only strengthens our ability to rebuild from the COVID. 19 crisis, ”Cuomo said in a statement.
Cuomo had long resisted the idea of legalizing online sports betting, but events related to the COVID-19 pandemic appear to have changed his mind.
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“At a time when New York is facing a historic budget deficit due to the COVID-19 pandemic, the current online sports betting structure is an incentive for a large portion of New Yorkers to travel out of state to take part in online sports betting or continue to patronize black markets, "said Cuomo.
Cuomo will provide more details on the future of online sports betting in New York in his state speech next week.
New York's neighbor New Jersey developed into an online sports betting juggernaut last year and, according to the state, completed sports betting worth over $ 4 billion in 2020. These bets generated $ 36.5 million in tax revenue for New Jersey.
Four New York state casinos currently accept sports betting, but these bets are personal and only a small fraction of what online betting would mean in the state. According to public data, over 90% of all bets placed in New Jersey are placed online.
Many sports betting stocks rose in the days following the news. For the past two trading days, DraftKings
is up more than 5%, Penn National Gaming
is up over 5% and Caesars Entertainment
is up 5.5%, MGM Resorts
has increased by 2.2%.