The Sports Betting Industry is an unbelievably fast growing industry in the world. Sports betting is essentially the act of placing a bet on the result and predicting sports outcomes. The world has become obsessed with this exciting sport and as such betting on sports has become huge worldwide. The number of sports betting matches on offer has increased dramatically over the years. The sheer number of matches available on sportsbook changes every day and so it can often be an incredibly confusing experience for individuals to decide which one to place their bets on.
The Sports Betting Industry is billions of dollars per year and is growing larger by the day. The extent of sports betting varies considerably from market to market, with most bets being placed on smaller sportsbooks that cater to a very specific audience. Some market sizes are hundreds of customers per square mile, while others are only a few dozen.
In terms of the size of a sportsbook, some are literally millions of dollars while others are only a few million. The larger betting industry has the potential to create a significant profit for any individual or business willing to put their money into the market. It is estimated that more than seven hundred billion pounds are wagered on UK sports betting exchanges every week.
The size of the legal sports gambling industry in the UK is growing significantly but at a much slower rate than the illegal sports gambling market. In the year 2021 there were only a few handful of sites operating in the UK legal sports gambling industry. As of 2021 there was also only one UK company that was registered with the Financial Services Authority as a result of conducting direct marketing. In spite of this slow growth there are still many sites available that have been established over a number of years. This relatively low growth rate is attributed to the fact that the UK has not yet experienced the same level of internet activity and property related fraud that may inhibit the growth of the illegal sports gambling industry.
The lack of growth in the legal sports gambling market comes as no surprise when you consider the massive sums of money that people lose at UK casinos and online sports gambling sites. Over the last twelve months alone more than five hundred thousand pounds has been lost at UK online sports betting exchanges by members of the public. Of course, the loss was made in a single day when a large number of punters came to see the site for the first time. With so much money lost in a short period many online sportsbooks and casinos quickly closed their doors.
Many US states have legalized sports gambling but the problem here is that none of these states have the same level of regulation as the UK. Legal sports gambling in the United States is governed by a patchwork of state laws that have no official relationship with each other. For example, in some states gambling is strictly prohibited whereas in others it is not. The situation can be far more complicated when it comes to online gambling. This is because none of the states have made the important decision to regulate online sports gambling like the UK.
As such there is a huge grey area that encompasses legal sports gambling across the entire US. While states such as Oregon, which legalized horse racing are now attempting to regulate the grey area of gambling generally it is too small a market to generate meaningful revenue. In fact it is estimated that a mere twenty percent of the seven billion dollars collected annually in the United States from legal sports gamblingnings is going to the state governments. This means that the US is one of the few developed countries in the world that lacks a regulatory body that monitors and taxes its grey area grey markets.
So why has the UK regulated the illegal sports gambling market? There are two main reasons. The first is simply to create a legal alternative for the online gambling industry that cannot exist in the US due to the lack of regulation. The second reason is to make sure that an already legal market such as the one that exists in the US doesn’t become overtaken by illegal sports gambling. The result of which is the US becoming a much larger illegal sports gambling market than it ever has been before.