Vermont debuts online sports betting with with three operators
Players can now place bets with DraftKings, FanDuel, and Fanatics, with the state forecasting $7m in taxation revenue as a result of regulation
Vermont has announced the launch of its regulated sports betting market today (January 11), with players now able to wager on sports with DraftKings, FanDuel, and Fanatics.
The bill that legalized the sports betting market in the Green Mountain State was signed into law by Governor Phil Scott in June 2023, with the launch date confirmed by Scott and the Vermont Department of Liquor and Lottery commissioner Wendy Knight last month.
The bill stipulates that only six online sportsbooks can operate in Vermont and that operators will pay tax at 20% of their respective adjusted gross sports betting revenue. This tax rate led to the Department of Liquor and Lottery forecasting that the state would generate an additional $7m in revenue during the first year of legalization.
DraftKings, FanDuel, and Fanatics were chosen to be the state’s first three operators in December, following a competitive bidding process that began in July.
BetMGM and PENN Entertainment also threw their hats in the ring but were unsuccessful in their respective attempts.
As part of the bidding proposals, applicants were scored on several criteria areas focused on technical and revenue-related standards up to a maximum of 1,000 points. Factors reviewed in the process included product design, responsible gambling, revenue sharing with the state, and the attitudes and approaches of the respective operator to issues.
The contracts will last for three years, with eligible operators required to be “full-service providers” licensed in at least three US jurisdictions.
This launch marked DraftKings’ 26th in the US as well as Ontario in Canada. The operator has already lined up its 27th market launch by securing market access in North Carolina via a deal with racing association NASCAR.
On the launch in Vermont, Matt Kalish, president of DraftKings North America, said: “As a Boston-based company, we are thrilled for the opportunity to further expand in the New England region and provide Vermont with access to safe and legal sports betting.
“This is an exciting time of year with the NFL playoffs about to kick off and Vermonters will now have the opportunity to engage with their favorite sports on our industry-leading DraftKings Sportsbook app.”
Fanatics also marked its 10th state launch in Vermont since Fanatics Betting and Gaming agreed to acquire PointsBet’s US operations.
In a statement, Fanatics commented: “The Fanatics Sportsbook makes being a fan easy with fast signup, easy betting, transparent withdrawals, and is disrupting the sports betting industry by offering exciting new features to online customers in Vermont.”