The rapid expansion of legalized sports wagering is creating new opportunities for payment providers, financial institutions, and fintech companies. Research from Mercator Advisory Group highlights the dramatic growth of the U.S. market, with billions of dollars flowing through state-regulated sportsbooks each year. A key measure of this activity is the sports betting handle, which represents the total amount wagered by bettors and serves as an important indicator of market size and consumer participation. As sports betting handle volumes continue to rise across leading markets such as New Jersey, Nevada, and Pennsylvania, industry participants must balance growth opportunities with the regulatory, operational, and risk management challenges associated with this fast-growing sector.
A sports betting “handle” refers to the total amount of money wagered by bettors during a given period and is commonly used as a measure of market activity and consumer participation. Unlike sportsbook revenue, which reflects the portion of wagers retained after paying winning bets, the handle represents the overall volume of betting flowing through a market and serves as a key indicator of industry growth and adoption.
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Data for today’s episode is provided by Mercator Advisory Group’s Viewpoint: Acquirer Market Spotlight: Sports and E-sports Betting
6 Top U.S. Sports Betting Markets in 2020 by Betting Handle:
- New Jersey was the top sports betting market in 2020, with $6.02 billion in handle.
- In second was Nevada, with $4.28 billion in handle.
- In third was Pennsylvania, with $3.58 billion in handle.
- In fourth was Illinois, with $1.88 billion in handle.
- In fifth was Indiana, with $1.77 billion in handle.
- Rounding out the top six was Colorado, with $1.19 billion in handle.
About Viewpoint
Rapid growth in sports betting is gaining attention not only from investors and regulators but in the world of banking and fintech too. Even though the regulatory environment is friendlier, there are still risks in servicing this nascent industry.
