New York sports bettors flock to neighbouring Connecticut

New York residents are crossing state lines to place wagers in neighbouring Connecticut following the launch of legal sports betting in the Constitution State last week. According to new data from GeoComply, which provides geolocation services to many of the biggest operators in the US, more than 1.2 million sports betting transactions have taken place in Connecticut since the initial soft launch on October 12. Most were placed after Connecticut opened full unrestricted sports betting on October 19, as the state climbed to ninth in respect of overall online sports betting and casino traffic. Connecticut, with a population of just 3.5 million, is now ahead of Colorado, which boasts a population of 5.7 million and launched sports betting back in May 2020. Much of the state’s early online casino and sports betting activity is located in three areas, Stamford, Bridgeport and New Haven, all of which are close to the New York border. GeoComply data shows that 38% of Connecticut’s wagering activity has originated from the southwestern corner of the state, along the I-95 corridor. Historically, New York online gamblers have travelled across the George Washington Bridge to New Jersey to gamble, a habit which now appears to be changing following the Connecticut launch. GeoComply has also highlighted highway entry points along the border as potential hotspots for igaming and sports betting activity.

GeoComply VP of global government relations Chad Kornett explained: “We’ve learned from the New Jersey experience that New Yorkers are clearly motivated to travel locally to bet on sites where proper consumer protections have been put in place that safeguard the integrity of their wager. “Connecticut looks to be quickly following a similar pattern,” he added. Connecticut’s relationship with New York sports bettors is under the spotlight as the New York Gaming Commission’s (NYGC) deadline for prospective sports betting licensees to conform to the state’s taxation structure expires. As part of the rollout of sports betting regulation in the Empire State, the NYGC produced a taxation matrix to serve as the framework for tax rates which may potentially be paid by operators licensed there. Licensees were ordered to confirm their compliance with the taxation framework by amending their applications and were given until today (October 25) to conform, or face exclusion from the licence application process. Sports betting is expected to begin in the Empire State during the first quarter of 2022.