In March of 2020, the COVID-19 pandemic turned the economy of all nations upside down. In Vegas, casinos were shut down, causing panic in the gambling world. With their doors closed, these Vegas casinos wondered how they could stay afloat. While brick and mortar casinos were closed during the start of the pandemic, online gambling remained open and, with professional sports slowly restarting operations in the middle of 2020, online sportsbook sites looked to capitalize while casinos in Vegas remained closed.
By the start of the NFL season in 2020, online sportsbook sites were ready to post their NFL lines for their clients.
2018 Supreme Court Ruling Helps Online Betting During Economic Downturn
There are a couple of things that are helping sportsbook sites. The first is the 2018 Supreme Court ruling that lifted a ban on betting on single games. This ruling opened the way for states to start legalizing online gambling. With states quickly legalizing online gambling, the legalization of online gambling posed sportsbook sites for profit.
By the end of 2021, there will be 30 states that have legal online sports betting, along with two other states laying the groundwork for online gambling.
Sports Gambling by the Numbers During The Economic Downturn
How much has the economic downturn affected online sports betting? It looks like sports betting has gone through the roof.
In 2019, online sports betting raked in $908.9 million. By 2020, when the economic downturn started, sports betting increased to $1.55 billion but, as of October 2021, sports betting revenues were at $3.16 billion, which was a 229.5% increase from the same point in October 2020. With these numbers, sports betting has already broken its record numbers from 2020 so, for the sports betting world, there is no economic downturn at all.
With 60 percent of states on board for online gambling, it expanded the number of people making wagers online. With the pandemic still around, online sports betting offered convenience and safety for those that wanted to still gamble.
What Does the Future Hold for Online Sports Gambling?
The future looks very bright for online sports gambling. It was forecast that sports gambling would have a revenue of around $2.1 billion in the year 2021. However, sports gambling revenues exceed projections by over $1 billion, as 2021 is nearing its close. Under the same forecast, by 2028, sports betting is looking to have revenues of over $10 billion.
With the rate that sports betting is posting yearly revenues, that $10 billion projection might come sooner than 2028. This comes as a surprise with the economy not back to pre-pandemic levels.
Online Gambling Generating Revenue as Casinos Slowly Make Their Way Back to Pre-Pandemic Levels
One thing is for sure; the pandemic is helping online gambling. Casinos that were shut down during the beginning of the pandemic have a lot of ground to make up. Online gambling offered people the gambling experience of Vegas at the palms of their hands. Online gambling helped keep gambling revenues from completely tanking during the pandemic’s beginning.
With more people going back to casinos and more states allowing sports betting online, the future looks good despite inflation concerns and an economy that hasn’t gotten back on track.
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