Preparations to get Colorado sports betting up and running by May are in full swing. The Limited Gaming Control Commission has scheduled three-day sports betting summit to discuss the rules and regulations of the industry with stakeholders. The hearings will take place between Monday and Wednesday this week, and the issues that will be addressed range from general rules to compliance, technology, integrity, and responsible gambling.
The Commission has invited more than 50 businesses to weigh in on the regulations. The invitees include established sportsbook operators like FanDuel, DraftKings, and William Hill, as well as casino operators and software providers.
Major sports leagues like Major League Baseball and the PGA Tour have been invited to make presentations on integrity and information. The Commission is also looking forward to hearing the opinions of consulting firms like iDEA, law experts, data vendors, sports teams, media, tribal gaming operators, digital marketers, and private citizens.
The stakeholders’ testimonies will go a long way in shaping the regulatory framework of Colorado’s regulated sports wagering industry.
Regulated Sportsbooks To Debut In 2020
The state of Colorado legalized sports betting through a voter referendum on Nov. 5. The state’s regulated wagering law, passed by the legislature in May, allows the 17 commercial casino operators and the Ute Mountain Indian tribe to add sports betting to their offerings starting May 1, 2020. The jurisdiction has more than 33 commercial gaming venues across the cities of Blackhawk, Cripple Creek, and Central City.
The Ute Indian Tribe operates two casinos; Ute Mountain in Towaoc, and Sky Ute Lodge in Ignacio. The Limited Gaming Control Commission will regulate the industry, but the entity is yet to release the rules that will govern the market. The Commission’s meetings with the stakeholders next week will play a huge role in determining the regulations for the industry. The Commission’s goal is to launch the market in May, and applications for sports betting licenses will open once the rules are finalized.
Experts See Growth Ahead Of Colorado Sports Betting Launch
The Centennial State is expected to have a thriving sports betting market. The state’s gambling law paves the way for the casinos to partner with sportsbook operators like DraftKings, PointsBet, Churchill Downs Inc., and FanDuel to offer regulated sports wagering services. Each of the commercial and tribal casinos is allowed to offer one skin per license, and this means that there could be more than 30 sportsbooks in the state when the market goes live next year.
Unlike Iowa and Rhode Island, where bettors are required to register for online accounts in-person, Coloradans will be able to download sportsbook apps and place wagers from any location in the precinct.
Mobile betting is expected to be the primary source of revenue for the Colorado operators, given that the state’s casinos are concentrated in Blackhawk, Cripple Creek, and Central City. In addition to legalizing statewide mobile betting, Colorado set the tax rate for licensees at 10 percent, which has been viewed to be friendly to operators. According to gaming analysts, the state could see a very healthy sports betting industry if all the casinos decide to add sportsbook services to their offerings. The experts have projected that the market could generate between $214 million and $275 million in annual revenue when fully implemented.