North Carolina bettors may soon have some new options available to them.
On Wednesday, the North Carolina State Lottery Commission announced its sports betting committee unanimously approved a notice of proposed pari-mutuel rule-making that also gives the staff the ability to move forward with the procedures.
Regulators also moved closer to offering retail sports betting and adding esports to the state's online wagering catalog. That move kicked off a 30-day window open until Oct. 18 allowing public comments for feedback and potential changes. The rules will be up for adoption after that process is completed.
No timetable was given for when horse racing wagering could launch because of numerous moving parts, but the commission staff plans to move “efficiently and responsibly.”
“As we move to this next phase of implementation, we plan to present our expectations to applicants and licensees to conduct transparent rule-making, accept and review stakeholder feedback, and develop regulations in the same and responsible way we did with sports wagering,” Sterl Carpenter, deputy executive director of Gaming Compliance and Sports Betting, said during Wednesday’s meeting.
The first package includes 160 rules, many similar to sports wagering, but several have different wording. Carpenter said North Carolina regulators are also in the process of creating an advanced deposit wagering (ADW) system, vital for operators to take online horse racing bets.
The commission is taking the next steps in setting the standards and technical requirements for that process and will have ADW application forms ready for commission approval soon.
Carpenter said the committee will conduct a background check on applying operators before they’re up for ADW approval by the commission.
Retail in the works
North Carolina launched online sports betting on March 11 and is several weeks into football season’s big boon without any retail sportsbooks in operation, despite their inclusion in the law passed in June 2023.
The N.C. Lottery Commission told Covers in May that no operator had been approved or even applied for retail sports betting. The committee was still putting together the compliance package.
The Tar Heel State got a step closer to adding brick-and-mortar shops that can be located at, or adjacent to, sports venues with Wednesday’s unanimous compliance approval.
Carpenter said no single launch date for retail sports betting will be announced as each operator and venue will have a unique opening plan. They will have to work closely with the commission and undergo several requirements to obtain a compliance certificate.
Under that approved compliance process, operators must be in good standing with regulators, submit operational documents, obtain lab certification, and host on-site inspections before launch.
Adding to a robust market
The ability to wager on the growing esports market could soon be coming to North Carolina.
The committee voted to approve an esports guidance and petition that will be recommended for adoption at the N.C. Lottery Commission’s Sept. 25 meeting.
A recent study projects the global esports market to have a $7.5 billion valuation by 2031. Revenue for 2024 is expected to reach $2.5 billion. This would add to an already robust North Carolina wagering catalog that currently includes controversial college player props.
The Tar Heel State’s eight online operators have combined to generate over $2.3 billion in wagers since March and gross $275 million in gaming revenue.
North Carolina has pocketed an estimated $49.5 million in tax revenue from sports wagering.
