- The global online gambling market is expected to reach $93 billion by 2023—a 40% jump from its value today
- Sports betting has been a major growth driver, after the U.S. Supreme Court legalized it federally in 2018
The World of the Online Betting Industry
The world of online betting is undergoing tremendous change, setting it up to flourish in the years to come. The market is worth $67 billion today and estimated to reach about $93 billion by 2023—growing at roughly 11.5% per annum.
There are two trends that are bringing about this growth. First, more of our activities are taking place online, a trend that extends to betting as well.
Second, is loosening regulation. The U.S. Supreme Court uplifted the Professional and Amateur Sports Protection Act in May of 2018 to legalize sports betting on a federal level. Since then, over two dozen (plus Nevada) have followed through, taking the state tally to 25.
The Most Popular Online Betting Activities
Online betting activity breaks up into a few unique categories. Casino is a big one, making up 32% of all online betting activity. It appears traditional casino games like blackjack carry the same thrill online. Bingo’s popularity is a lot more modest at 4.5%.
But the most popular activity by far is sports betting, which makes up over 40% of the total online betting market—and the $66 billion in value it encapsulates.
|Online Betting Activity Type||Share of Total|
|Other / Skill Gaming||3.5%|
Betting On Betting
The numbers behind sports betting are truly staggering.
Since the Supreme Court’s decision, $57 billion in legal sports bets have been made, $4.1 billion in revenues have been generated, and $571 million has been collected in tax or jurisdiction revenues.
And these numbers reflect activity in some 20 states. The total count is expected to reach some 40 states in the years to come, brewing optimism towards the industry.
The surge in betting has trickled into the world of investing. The BETZ ETF, one of only two betting ETFs, has over doubled the performance of the S&P 500 since its inception.
It appears investors are now betting on betting.
Where does this data come from?
Source: Innovecs Gaming
Notes: Betting activity popularity is rounded off to the first decimal