America’s sports betting industry took a progressive step forward this week as the people of Colorado voted in favor of its state-wide legalization.
Though the margins were close, the vote in favor made Colorado the 19th state in the US to regulate sports betting. Residents should be able to place sports wagers by mid-2020.
What’s perhaps most interesting about this legislation is that it could help the state protect and preserve its most valuable natural resource: water. By taxing the huge revenues legalized sports betting is expected to make, Colorado state officials will be able to invest more capital in their water conservation scheme.
News Highlights
- Colorado is the 19th state to legalize sports betting
- Plans to invest tax profits into water management
- Legalization expected to spread further in 2020
Legalized Sports Betting Spreads
Ever since New Jersey’s victory in the 2018 US Supreme Court case, legal sports betting has been on the rise. Federal law previously limited legal sports betting to Nevada, Delaware, Montana, and Oregon. New Jersey’s victory meant that 50 states in the US are now able to offer it.
Legalization Across the US
Within the last year, legalized sports betting launched in numerous states, including New York, Pennsylvania, Tennessee, and Indiana, with many more expected to follow suit in the future.
As well as improving the experience of gambling fans and boosting the local economies, this progressive movement is exciting news for the industry as a whole.
Neck & Neck Decision
The vote for legalizing sports bets in Colorado was successful, but it was far from a landslide decision. For a considerable period leading up to the announcement, support for and against the motion were neck and neck.
In the final moments, a sudden influx of pro sports betting voters tipped the scale, giving them a 1% lead over their opponents.
This close decision seems like an appropriate reflection of America’s attitude towards the online gambling industry. People are starting to see the benefits that come from regulated gambling. Still, they are highly reluctant to let go of their conservative ideals carried for so long.
Where Do Things Go from Here?
Following on from the vote in favor of wagering on sports legally in the state, governing bodies and leading figures in the Colorado Division of Gaming will set the wheels in motion for next year’s launch. The following steps will be taken moving forward.
Gaming Division
The Gaming Division will create new state regulations and review applications from casino operators to decide which of them will be eligible for the 17 available licenses
Retail and Digital Sportbooks
Both retail and digital sportsbooks will be considered for these licenses, and the state will tax the revenue of these firms at 10% of the net proceeds
Revenue Tax
Whatever revenues are generated from these taxes will go towards rebuilding and reinforcing Colorado’s water management infrastructure to ensure it continues to prosper
Who Will Be Next?
Though many states still disapprove, Colorado is an example of how legalizing wagering on sports can offer a huge benefit to people. On the other hand, it provides easier access to what can be considered a vice, if you don’t gamble responsibly.
Yes, sports betting is fun, but it also generates a lot of revenue in the local economy, creates jobs for the unemployed, and, in this context, has been used to strengthen a water-based industry in decline.
With this in mind, we can expect to see other states looking at legalization differently in the near future.
