In the first year of sports gambling legalization in Ohio, players placed $7.7 billion in bets, more than double initial projections.
About 97% of revenue came from bets placed online. Only about 3% of revenue came from bets placed at retail locations, such as one of Ohio's casinos or racinos or sports betting at an arena or stadium.
According to the Ohio Casino Control Commission, Ohio betting generated $937 million in revenue for casinos and sportsbooks. The remaining money was paid out as winnings.
Ohio legalized sports betting in 2021 after a U.S. Supreme Court ruling in 2018 struck down a federal law that had previously banned sports betting in most states and legalized it nationwide. It is now legal in 38 states.
Ohio's law went into effect in 2023.
Where did Ohioans win the most?
There are 17 brick-and-mortar locations where sports gambling is legal in Ohio, as well as 20 authorized online or app-based sports gambling operators, whose ads you're probably familiar with if you've watched a sporting event in the past few years.
Payouts on some online platforms have reached billions of dollars, with ubiquitous brands like Fanduel and Draftkings each topping the list.
In order to offer sports betting online or via app, gambling operators must have a physical place of business in Ohio with several employees. Many gaming sites have partnered with existing casinos to meet these criteria.
Here are the top five sites by gambling payouts in 2023:
- Belterra Park (Fanduel): $2,307,582,985
- Hollywood Toledo (Draftkings): $2,216,121,030
- MGM Northfield Park (BetMGM): $439,702,023
- Cleveland Guardians (Bet365): $369,376,123
- Hollywood Columbus (bar stool): $336,088,905
The gap between app-based and online betting and in-person betting in brick-and-mortar establishments has been enormous.
According to the Ohio Casino Control Commission, Hollywood Columbus topped the list of highest retail location payouts to players:
- Hollywood Columbus: $34,564,911
- Jack Cleveland: $24,004,901
- MGM Northfield Park: $23,688,325
- Hard Rock Cincinnati: $23,121,151
- Hollywood Gaming at Dayton Raceway: $15,846,460
When did Ohioans place the most bets?
The year started strong – January 2023 was by far the most popular month for betting. Ohioans placed $1.1 billion in bets in the first month of the year. The next largest month was March, where players placed $737 million, likely driven by the popular NCAA March Madness tournament.
Summer was the weakest season, the worst month was June, where only $362 million worth of bets were placed.
How do the totals compare to the forecasts?
Legalized sports gambling has more than exceeded predictions made before the start of the first year. The totals so far exceed the expectations of Ohio lawmakers and officials, who predicted a $3.35 billion sports betting market by mid-2024.
PlayOhio, a gambling news organization, made predictions that were closer to the mark, predicting $8 billion in wagering in 2023.
Where does the tax revenue go?
Sports betting revenue from casinos, gambling sites and other providers is taxed at 10%. Winnings are taxed as income, and companies with a gambling license also pay fees.
Of the proceeds, 2% goes to gambling addiction resources and 98% goes to interschool and youth programs.
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