New York State Gaming Commission approves mobile sports betting rules

During a meeting on Monday, the New York State Gaming Commission (NYSGC) unanimously approved the proposed rules for mobile sports betting in New York.

This comes after the state regulator revealed which operators have submitted proposals for mobile sports betting licenses in New York last week.

New York regulator approves mobile betting rules

During a short nine-minute meeting on Monday 16 August, the New York State Gaming Commission unanimously approved proposed rules for sports betting that were published back in July.

The rules, which were the only item on the agenda, were approved after some minor amendments were made to them.

NYSGC Executive Director Rob Williams confirmed that all selections regarding sports betting licensees must be made by 6 January. 

New York sports betting rules

The proposed rules, which will also update land-based betting rules, received 14 amendments from the draft rules that launched the RFA process in July.

The majority of the changes revolved around cleaning up the language of the rules.

As the rules stand,  only platforms and operators approved by the state through the RFA process may be permitted to offer betting in the state. The licensees granted through this process will last for 10 years.

Operators will be required to display responsible gambling information prominently on their sites and have a problem gambling plan that they must submit to the Commission.

Under the rules, credit cards will be permitted to fund gambling, however, players may only deposit up to $2,500 a year using this method.

Furthermore, details of all promotions must be sent to the Commission at least 15 days ahead of that promotion’s launch for approval.

To ensure that activity is compliant with the state constitution, servers that process bets must be located in one of the state’s land-based casinos. Under the rules, these hosting facilities must also receive a fee for doing so.

Regulator reveals who made bids

Last week, the NYSGC revealed that it received six bids for mobile sports betting licenses.

FanDuel, teamed up with competitors DraftKings, BetMGM, and Bally’s Corporation’s online sportsbook Bally Bet.

Sportsbook solutions provider Kambi has also made a bid in partnership with Caesars sportsbook, Resorts World, PointsBet, Rush Street Interactive, and WynnBet. Kambi also made a second bid that would see the provider team up with former FanDuel CEO Matt King’s new company Fanatics, and Penn National Gaming’s Barstool Sportsbook.

The online betting giant Bet365, theScore, and Fox Bet all submitted individual sports betting licence bids.

The NYSGC went on to publish further details of the bids, which revealed that the bid led by FanDuel would see DraftKings, BetMGM, and Bally’s enter the market as platform providers and operators, with each offering to pay a 50% tax rate.

What happens now?

The next step in the licensing progress for mobile betting in New York will be oral presentations from the six bidders. These can start from 1 September.

Now that the application deadline has closed, the Commission will have 150 days to select a winner, which sets a deadline for 6 January 2021.

There is no set launch date for mobile sports betting in the RFA, however, finalists will be selected before 6 December, and licenses are set to be awarded at the following commission meeting.