Virginia was another state that had a record month in the sports betting industry as it completed its first year of launch. The state set a new monthly handle record of $485.5 million, according to the state’s lottery officials.
Virginia’s Sports Betting Handle for January
The previous sports betting handle record in the Old Dominion was set back in October 2021, with a total of $427.3 million in wagers taken. The average betting volume for January would convert to about $15.66 million per day.
The adjusted gross revenue for the month was $18.2 million, which is an increase of 80 percent from December’s $10.1 million. The state was able to collect $2.9 million in taxes from sportsbook operators, which is up 66.4 percent from the previous month.
The sports betting market launched in mid-January last month, and at the time, Virginia was the fastest jurisdiction to reach the $1 billion mark. Virginia has become a prominent market in the industry as sportsbooks operators accepted over $3.4 billion in wagers in its first year of launch.
Dann Stupp, who is the lead analyst for PlayVirginia.com, stated;
“Five weekends of football, which included an extra week of regular season football and expanded NFL playoffs, were unquestionably a boon for sportsbooks in January.”
Bettors across Virginia have won a total of $446.5 million as sportsbook operators combined to maintain a hold of 8.04 percent. Sportsbooks won $39.1 million in gross revenue for the month, which is the second-highest to this point in the Virginia sports gambling market.
Sportsbook Operators Spent $16.9 Million in Promotional Spending
Sportsbook operators that conduct business in the state spent $16.9 million in promotional spending and $4 million in other deductions. That meant that $18.2 million was taxable, and the state was able to collect $2.8 million in taxes. A small portion of the state taxes will be going towards gambling treatment programs.
It is expected that the average betting volume is expected to drop after March Madness concludes as the Spring is known to be an unfavorable schedule.
In-State College Sports Betting is Still Banned in Virginia
Numerous markets throughout the industry have restrictions on betting on college sports. Some restrict all forms of betting on student-athletes, and others allow people to bet on college sports at retail sportsbooks except prop wagers. Virginians are known to be hardcore supporters of their in-state programs but aren’t able to bet on them yet.
Two bills that would have legalized sports betting didn’t get enough support to make it to the legislature. House Bill 1127 was denied in the House General Laws Committee, while Senate Bill 576 didn’t pass through the same committee last week as it passed through the Senate.
Lawmakers who support the cause of allowing in-state college sports betting know that residents will use offshore sportsbooks or local bookies to place wagers on programs like the Virginia Cavaliers and Virginia Tech Hokies.
The goal of allowing in-state betting will allow those bets to be traced than being done illegally. Supporters believe the initiative will pass in the future.