Maine entered the realm of legal sports betting on November 3, and within the inaugural month, bettors in the state enthusiastically contributed $37 million to regulated sports wagers, as reported by the Maine Gambling Control Unit. The implementation of legalized sports betting comes after Governor Janet Mills signed a law in May 2022, granting exclusive online wagering rights to tribes. In this transformative period, DraftKings and Caesars emerged as the pioneers, with the former securing $4.3 million in adjusted gross receipts from a $30.5 million handle and the latter reporting adjusted gross receipts of $382,374 with a handle of $7.1 million.
Inaugural Month Performance:
The first month of legalized sports betting in Maine witnessed an impressive $37 million in total wagers, underscoring the enthusiasm and quick adoption of legal sports wagering by the state’s bettors.
Adjusted Gross Receipts and Taxes:
Players’ winnings amounted to $32.7 million from the first 27 days of wagering. After accounting for voided bets and federal excise tax, the adjusted gross receipts totaled $4.6 million.
The State of Maine Gambling Control Unit reported the collection of $464,152 in other taxes, reflecting the positive economic impact of legalized sports betting.
Market Participants:
DraftKings and Caesars took the lead as the sole operators in November, both launching on the market’s opening day. DraftKings, in collaboration with the Passamaquoddy tribe, secured a substantial $30.5 million handle, contributing to an impressive $4.3 million in adjusted gross receipts.
Caesars, working in partnership with three of the Wabanaki nations, reported adjusted gross receipts of $382,374 with a handle of $7.1 million.
Legislation and Exclusive Tribal Rights:
The journey towards legalized sports betting in Maine began when Governor Janet Mills signed a law in May 2022, granting tribes exclusive rights to conduct online wagering. This legislative move aimed to provide economic opportunities for tribal nations in the evolving landscape of sports betting.
Revenue Projections and Taxation:
Sports betting is expected to generate revenue between $3.8 million and $6.9 million for the state of Maine. The applied tax rate stands at 10% of adjusted gross sports wagering receipts, contributing to state coffers while fostering a regulated and responsible gambling environment.
Maine’s successful launch into legal sports betting, as evidenced by the robust participation and substantial figures in the inaugural month, highlights the state’s embrace of this burgeoning industry. With DraftKings and Caesars at the forefront, the collaboration with tribal nations underscores the commitment to inclusivity and economic empowerment. As the industry matures, Maine is poised to capitalize on the positive trajectory of legalized sports betting, providing both entertainment and economic benefits to its residents.