Connecticut’s online gambling and sports betting industry got started in mid-October, and we now know how the month faired. After starting on October 12, the online services generated around $1.7 million through October 31. This is a nice chunk of change for the new industry, and it is estimated to only grow from here.
A Breakdown from the Month
The majority of the revenues were generated from online casino gambling provided by the Mohegan tribe and the Mashantucket Pequot tribe. Services created around $1.2 million of the total. The remaining $513,000 came from sports betting operations via the tribes and the state Lottery.
The funds created from the new industry go toward the general fund of the state. Connecticut earns 13.75% of the gross gambling revenues generated from sports betting. A total of 18% is provided via casino gaming online. The iGaming percentage remains in place until 2026 when it will increase to a higher 20% hold.
The state is not provided any payments from sports bets placed within the casinos that are operated by the Mohegan and Mashantucket tribes. Both are offering services via temporary sportsbooks while the permanent locations are under construction.
The Office of Fiscal Analysis has estimated that the state could see as much as $30 million in revenues from the new online sector within the first fiscal year. Already, the state is off to a great start, and it will be interesting to see if the trend continues.
The new sports betting industry was delayed somewhat in Connecticut due to a delay in publication regarding the gaming compacts of the two tribes. Amendments were made to the compacts to legalize the industry and until publication took place, the services were not allowed to begin.
While there was a small delay, it was not expected to be lengthy. The details were worked out quickly so that the certified platforms were in compliance with regulations and ready to go before services were allowed to start.
The Mohegan Sun has teamed up with FanDuel to offer services both online and within the casino of the tribe. The Mashantucket Pequot signed a deal with DraftKings for its sports betting service options. With two big brands on offer in the state, it is not surprising that the sports betting industry has already been successful.
We won’t have a good idea for monthly estimates until November and December totals are revealed. It will be a few months before we can tell how solid monthly returns will be for the state’s new online gambling service options.