Massachusetts celebrated its one-year sports betting anniversary in 2024. The state got the perfect anniversary present when the Boston Celtics won the NBA title, helping to boost the state’s sports betting numbers. The Massachusetts Gaming Commission (MGC) reported a June handle of $509.4 million, up 65.1% from the $332 million generated from the same month in 2023. Online sports betting accounted for $500.7 million of the monthly handle.
It wasn’t, however, smooth sailing for Bay State sportsbooks. During the second year of operation, some providers were still having trouble navigating Massachusetts’ regulations relative to in-state college sports. Massachusetts does not allow betting on in-state college sports unless they’re participating in a national tournament. Bay State regulators, however, didn’t cut operators any slack, slamming them with fines for any infractions.
This year, Massachusetts was one of the only states probing operators about the industry practice of bettor limiting – the restricting of the bet size of individual bettors. Although, regulators admitted they’ll need more data before they can render a decision on the contentious practice.
Massachusetts Sports Betting: 2024 Highlights
Jan. 31: Massachusetts retail sports betting celebrated its one-year anniversary. One year earlier, Wynn’s Encore Boston Harbor, the MGM Springfield, and the Plainridge Park Casino accepted their first sports bets.
February: After less than a year of operation, both Betr and WynnBet pulled out of the Massachusetts online sports betting market. Betr exited on Feb. 15, while WynnBet exited on Feb. 23, leaving six online operators.
March 10: Massachusetts online sports betting celebrated its one-year anniversary. One year earlier, BetMGM, Caesars Sportsbook, DraftKings, FanDuel, Penn Interactive and WynnBet opened their doors to mobile bettors.
April 11: The Massachusetts Gaming Commission released a report entitled “Year One at a Glance,” highlighting the state’s first year results. Some first-year statistics included:
- $594.9 million in gross gaming revenue
- 1,629,065 active user accounts
- $118.5 million collected in tax revenue
May 23: The state senate shot down an effort to increase the sports betting tax. Democratic Sen. John Keenan proposed Massachusetts increase its tax for online sports betting revenue to 51% from its current 20%, which would have made Massachusetts one of the costliest jurisdictions in the U.S. for operators.
May 23: The MGC fined Fanatics $10,000 for accepting an illegal bet on a college football game. The $50 bet was placed in December 2023 on a football game between Boston College and Southern Methodist University.
July 2: Bally Bet launched in the Bay State, becoming its seventh online sports betting operator. Bally Bet had received its license back in January 2023, but needed time to complete its launch in another market before it had the bandwidth to take on Massachusetts.
July 11: The MGC fined Fanatics $15,000 for allowing a $2 bet on an in-college game as part of a parlay.
Sept. 11: After many failed attempts to discuss player limiting, the MGC finally got a hearing with both operators and players.
Oct. 3: The Massachusetts Attorney General’s Office issued a cease-and-desist letter to the unlicensed operator Bovada. Before the end of the month, Bovada had added Massachusetts to its restricted list. Massachusetts was the 12th state to successfully use this legal strategy.
Dec. 5: The MGC fined FanDuel $10,000 for erroneously accepting three bets totaling $11. The bets were placed on Boston College prior to the team’s admittance to this year’s NCAA Tournament.
Massachusetts Sports Betting: Where Things Stand
While operators may chafe at Massachusetts’ enforcement actions, the threat of piddly six-figure fines are nothing compared to the specter of a tax hike. Some Massachusetts lawmakers wanted to raise the sports betting tax to more than 50%, comparable to New York state. Luckily, that found little traction in the Massachusetts Senate and likely won’t come up again any time soon.
Another idea that died on the vine this year was offering Massachusetts sports betting kiosks at bars and restaurants, like those offered in the District of Columbia. The decision not to pursue kiosks was cemented by a report prepared by Spectrum Gaming Group for the MGC. In the report, Spectrum concluded “in the big picture, there is little to no economic upside for kiosk hosts and the Commonwealth itself while there is an increased risk of negative social impacts.”
Massachusetts Sports Betting: What’s Next?
The friction over bet limiting won’t disappear any time soon. The fact that recreational bettors can arbitrarily get labeled as advantage players is an issue that needs additional probing. And the MGC is one of the few regulators willing to take it on.
Massachusetts may also take more of a lead on cracking down on unlicensed operators. While it has focused on regulating its licensed sports betting providers, Massachusetts, like every other state with legalized sports betting, wants to find more effective ways to tackle the prevalence of offshore operators.
Massachusetts Sports Betting: Notes and Quotes
Jordan Maynard was the MGC’s interim chair since Cathy Judd-Stein’s retirement in March. On Oct. 28, the Massachusetts Governor Maura Healy officially appointed Maynard as the MGC chair. The continuity of leadership will help Massachusetts stay focused on the issue of bettor limiting, which arguably will take time to resolve.
"I know that patrons and those who follow the commission's work are eager for quick determinations, but we are a deliberative body and we will not sacrifice getting an issue right just for expediency's sake," Maynard said.
