Offshore Bets Boom Big Time
Unlawful U.S. Sports Betting Market Dwarfs Legal Counterpart
In the United States, where legal sports betting is now available in 38 states, a fresh study has shown the offshore betting market is twice as massive. This market's financial value is not far behind the regulated one.
Doubling the size of legal sportsbooks.
Carrying data points like search interest and user engagement, the study by Blask and Next.Io demonstrates that offshore sites extend their reach almost double that of the regulated market. Furthermore, the offshore market might have generated an astounding $300 billion, contrasting with the projected $150 billion handle for the regulated market in 2024.
Taking a Closer Look
The survey conducted by Blask and Next.Io surveyed California and Texas, home to a combined 65 million residents and lacking legal sports betting. However, in states where sports betting is legal, offshore sportbooks still retain a substantial share of the market. For instance, Florida, with the most US residents and a legal sportsbook, still sees around 80% of the market controlled by offshore operators.
The researchers also found that five of the leading US betting brands are actually offshore operators, with Bovada topping the list as the market leader in the unregulated sector. Even in Florida, where Hard Rock Bet is the only regulated sportsbook, Bovada takes the lead with more bettor interest.
Challenges Ahead
The study sheds light on the presence of at least one unregulated operator within the five most popular sportsbooks across New York, Ohio, Massachusetts, and Illinois. To put it bluntly, the unregulated sector contests the regulated one head-on in several states.
Online Casinos could be the Answer
Offshore operators seem less significant in states that have fully legalized online gaming along with sports betting. The research shows no unregulated operators among the top five most popular brands in New Jersey, Pennsylvania, Michigan, and West Virginia.
Key Factors for Offshore's Dominance
- Specialized Markets: Offshore platforms offer niche bets and exotic markets, catering to enthusiasts seeking deeper engagement.
- Crypto-Friendly Features: Many offshore books accept Bitcoin and other cryptocurrencies, offering faster transactions, lower fees, and enhanced privacy.
- Regulatory Arbitrage: With patchwork regulations and restrictions in some states, offshore platforms thrive with no state-level limitations.
- Marketing Advantages: Offshore operators provide larger sign-up bonuses compared to regulated books, enticing new users.
For the sake of financial comparison, the regulated US market annually generates over $10 billion after the 2018 PASPA repeal. Offshore market estimations from pre-2018 studies hovered around $150 billion annually, with current values likely still elevated due to continued demand for unregulated perks. Though exact figures for 2025 are not available, the offshore market's sustained competitiveness is evident.
The offshore betting market, with a reported value not far behind the regulated one, doubles the size of legal sportsbooks in the United States, where sports betting is legal in 38 states. (Offshore, sportsbooks, legalized)
The study by Blask and Next.Io reveals that offshore sportsbooks retain a substantial share of the market, even in states where sports betting is legal, such as Florida, where 80% of the market is controlled by offshore operators. (Offshore, sportsbooks, sports-betting)
The survey also found that five of the leading US betting brands are actually offshore operators, with Bovada as the market leader in the unregulated sector, outperforming even the regulated book in Florida. (Betting, offshore operators, Bovada)
The unregulated offshore sector contests the regulated one head-on in several states, with at least one unregulated operator among the top five most popular sportsbooks in New York, Ohio, Massachusetts, and Illinois. (Offshore, unregulated sector, regulated one)
