Online Gambling Makes $86 Million In New Jersey In May
Published June 28, 2020 by Sol FH
With all the land-based casinos and resorts still on lockdown, iGaming websites are booming in New Jersey.
When the State of New Jersey finally approved online gambling in the garden state, it was estimated that they could take some business away from the brick and mortar casinos that operate therein. However, no one thought that all of the land-based casinos would be closed for most of 2020, due to COVID-19, but that is the unfortunate reality.
Lucky for online operators, iGaming sites have skyrocketed and NJ-based online casinos and gambling sites marked a record-breaking revenue for the month of May with a jaw-dropping $86 million. Moreover, even with most sports leagues down and out, even sportsbook apps contributed another $10 million.
The New Jersey Division of Gaming Entertainment posted this data last week and the numbers are staggering, but it goes to show the potential that iGaming can have on the economy of each state.
Poker sites crushed the numbers from 2019, with $4,516,529 in rake, which is more than double the revenue from the same month last year. The biggest take by an online casino was by the Golden Nugget, which grossed $29,057,893.
The state of NJ didn't go home empty-handed, as online gambling is taxed heavier than land-based gambling. In fact, iGaming businesses must pay almost double what a brick and mortar casino resort are required to pay. Online casinos combined for $14.2 million in state and local taxes in May.
Resorts Casino was in second-place in revenue with $15,918,179, much of that thanks to DraftKings Casino. PokerStars also chipped in with $1,746,417 for a total of $17,664,596.
This new record was an increase of 123% from 2019.
Sports betting also had a month in the green, with a total of $9.91 million in revenues. That is a shocking figure as international sports are still out. It seems that eSports have been quite popular, as most punters from NJ do not bet on the Bundesliga... The biggest sports events that were offered by the NJ bookmakers were NASCAR and the UFC, which help contribute to the over $10 million total in revenues.
If quarantine continues for the remainder of June, these numbers should grow even larger than they are today as more and more players will be looking for fun and excitement in the summer months.
