Online casinos have been legalized nationwide, leading to an ongoing surge in record-breaking revenues reported by various states.
States across the United States are swiftly embracing the legalization of online casinos, and it becomes apparent when observing the impressive outcomes witnessed in states like New Jersey, Pennsylvania, and Michigan.
The state of New Jersey
The iGaming industry in New Jersey came close to reaching $1 billion in revenue by the end of 2020. Furthermore, as the figures for the initial month of 2021 are being reported, the state’s upward progress is still ongoing.
In January 2021, New Jersey achieved a remarkable milestone by becoming the first state in the US to generate over $100 million in online casino revenue within a single month. According to the New Jersey Division of Gaming Enforcement, the total revenue for January 2021 reached an impressive $103.8 million, marking an outstanding 88.4% increase compared to January 2020.
In the state, Golden Nugget and Borgata emerged as the highest-grossing online casinos.
Land-based casinos experienced a significant decline in revenue, with a 16.6% decrease compared to the previous year. In New Jersey, land-based casinos are operating under limited capacity and following social distancing measures. However, market predictions indicate that online casinos will maintain their growing popularity even when these restrictions are lifted.
Michigan
After legalizing online casinos last year, Michigan is now aiming to emulate the success achieved by New Jersey. With the first casinos going live in January 2021, the recent numbers have been evaluated, and Michigan lawmakers are satisfied with the outcomes.
The Michigan Gaming Control Board reported that online gaming generated an impressive revenue of $29.4 million, despite being open for only nine days in January.
The top online casinos in terms of revenue were, in respective order, BetMGM earning $11.1 million, DraftKings earning $6.9 million, and FanDuel earning $6.6 million.
During these uncertain times, the state of Michigan greatly needs additional tax revenue. This will be accomplished by generating $4.3 million, which will be allocated towards crucial areas such as funding for K-12 students, the city of Detroit, and Michigan tribal communities.
