Connecticut Sports Betting Uptick From New York Could Soon Be Over

Written By Veronica Sparks on December 6, 2021 - Last Updated on December 9, 2021
Connecticut May Lose New York Bettors in 2022 if Sports Betting Legalizes in NY

Connecticut successfully ushered in both on-site and online sports betting in Oct. 2021.

Over one-third of October’s revenue from sports betting in CT came from New York residents crossing the border.

However, with NY sports betting on the horizon, the Empire State could take back that lost revenue by early 2022.

Early success for Connecticut online sports betting

In just the first week after its Oct. 19 launch, Connecticut ranked 9th among 18 states in sports betting traffic and online sports betting. The state ranked higher than Colorado, despite having a population that’s almost 40% less.

According to GeoComply, 1.2 million online sports betting transactions took place in CT since the beginning of the launch in mid-Oct.

GeoComply is a geolocation compliance company used by many licensed online gambling operators in the US. The platform upholds state regulations to ensure that online sports bets are taking place in states where it’s legal.

Sports betting locations in Connecticut

October saw the launch of Connecticut sports betting at multiple locations, including:

Sports betting in CT is also available online via both FanDuel and PlaySugarHouse mobile apps and websites.

Sports betting in CT coming from NY residents

The wild success of Connecticut’s first week of sports betting shows that much of the revenue came from NY residents.

Oct. data provided by GeoComply shows that almost 40% of sports betting wagers in CT were concentrated in the “southwestern corner of the state along the I-95 corridor.” The cities of Stamford and Bridgeport have seen significant incoming traffic as they are highway entry points close to the New York border.

Since online sports betting is permitted in CT, outside residents need only to cross the border to participate.

New Jersey poaching revenue from New York

Sports betting wagers made outside state lines are nothing new for New York. New Jersey broke records this past Sept. by being the first state to take over $1 billion in sports bets.

NY legislators know that its residents contributed to NJ’s record-breaking sports betting revenue in Sept. An estimated 20-25% of revenue for NJ sportsbooks was generated by NY residents crossing the border to play.

New York State Sen. Joseph P. Addabbo Jr. commented on New Jersey’s success saying, “It bothers me because I know 25% of that is our money.”

New York to take back sports betting revenue in 2022

The good news for NY, and possibly not-so-great news for its neighbors, is that NY plans to legalize sports betting by the first quarter of 2022.

Once NY residents can place bets in their state, both NJ and CT sports betting revenues could take a hit. New York legislators previously approved the legalization of sports betting and supported it in the 2022 budget back in Apr.

NY has resolved technological kinks and ensures programs for responsible play, despite the delay in legalizing sports betting.

The number of licenses to be issued for New York sports betting remains under deliberation. While the number will fall somewhere between 1 and 14 total licenses, gaming legislators are shooting for the highest number to compete with surrounding states.

Addabbo says the aim is to have online sports betting live in NY as early as possible in 2022.

“The first bet in my opinion is going to be sometime in January, during the NFL playoffs,” he said. “And then we’ll be up and running efficiently by the Super Bowl.”

CT has benefitted from wagers placed by border-crossing citizens in the first weeks after launching its sports betting locations and online platform. However, this early success may have an expiration date, since NY is not far behind in legalizing sports betting.

Only time will tell the effect of legal New York sports betting in Connecticut and the revenue it brings to the state.

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Veronica Sparks

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