With Release Of Mobile Betting Rules, New York Advancing Toward Early 2022 Launch

A few steps still remain before New Yorkers can place online wagers

A mobile sports betting launch in New York is moving closer to reality. Last Wednesday, the New York State Register — the official journal of the New York state government that contains information on proposed regulations and rule-making — shared the state’s official sports betting rules

The release of official rules marks another hurdle cleared for mobile sports betting in New York. A few steps remain before mobile sports betting goes live in the state, though. 

In early November, the New York Gaming Commission recommended the issuance of nine mobile sports betting operator licenses. Bally Bet, BetMGM, Caesars Entertainment, DraftKings, FanDuel, Genting, PointsBet, Rush Street Interactive, and WynnBET were the nine to receive conditional licenses. 

Those operators quickly went to work forging partnerships. BetMGM, for instance, teamed up with Madison Square Garden, becoming the official betting partner of the New York Knicks and New York Rangers. 

“We’re thrilled to see the BetMGM brand connected to a space as iconic as Madison Square Garden,” BetMGM Chief Revenue Officer Matt Prevost said at the time. “New York is a critical state for BetMGM’s continued growth, and I can’t think of a better way to begin our relationship with The Empire State than partnering with The World’s Most Famous Arena and their legendary team franchises.”

Several of the operators, which are eager to take advantage of the likely lucrative New York mobile betting market, shared comments during the rule-making process that were answered in the register. 

DraftKings had a few requests, most of which were denied. The operator wanted employees of a mobile sports wagering licensee to be allowed to wager on competitors’ platforms. DraftKings also requested that customer complaint links be allowed to be placed on a customer’s account page, rather than the main page of the site. DraftKings even asked to pay taxes monthly rather than weekly. The operator also hoped to submit promotional ideas only when the promotion was new, rather than have every promotion reviewed for approval. Additionally, DraftKings requested that crediting a customer’s e-wallet would be considered a withdrawal method. 

All five of those requests were denied by the commission. 

Penn National Gaming asked that “odds boost” and “odds benefit” be removed from the definition of “mobile sports wagering promotion.” The commission disagreed with that suggestion, saying “pre-approval of promotions such as odds boosts enhances regulatory control and consumer protection.”

The New York Racing Association shared interest in offering its advance deposit wagering (ADW) platform in conjunction with New York online sports betting licensees. The commission didn’t oppose this idea, which would allow customers to use an electronic wallet to place wagers on the ADW or the mobile sports betting platforms. 

Early 2022 launch likely

The target date for a mobile sports betting launch in New York is early 2022, perhaps before the Super Bowl. That’s been the expected mobile sports betting launch date for a few weeks. 

Retail sports wagering is currently available in the state, and New York law stipulates that servers used to run mobile sports wagering be located in the state’s four commercial casinos that offer in-person sports betting. That’s one logistical hurdle that needs to be cleared for mobile sports betting to launch. 

The launch will allow New Yorkers to make mobile bets in their home state, rather than traveling to neighboring states like Connecticut and New Jersey to place wagers.

Photo: Shutterstock


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