October 2024 marked a monumental moment for the Bay State, with bettors wagering $748.1 million, shattering the previous record of $678.7 million set in September by 10.2%. This figure also represents a remarkable 30.8% increase compared to October 2023. However, while the handle surged, taxable revenue fell significantly, revealing a more complex picture of the industry’s trajectory.
October’s Record-Setting Handle and Revenue Trends
The Massachusetts Gaming Commission (MGC) reported that MA online sports betting dominated the market, accounting for $735.0 million of the total handle, while retail sportsbooks contributed $13.1 million.
Leading the charge was DraftKings MA, the state’s clear frontrunner, which generated $24.5 million in taxable revenue from $383.4 million in wagers, maintaining a 6.39% hold. FanDuel followed with $15.1 million in revenue on $215.5 million in bets (7.01% hold), and BetMGM rounded out the top three with $3.5 million in revenue and a 7.04% hold.
Despite the impressive handle, operators collectively posted $48.3 million in taxable revenue for October, a sharp 20.3% decline from the $60.6 million generated in October 2023 and a 35.9% drop from September’s record $75.4 million.
The statewide hold rate settled at 6.46%, with retail operations contributing a mere $5,286 in revenue. As a result, the state collected $9.7 million in taxes, predominantly from online wagers.
Regulatory Spotlight: Player Limits and Industry Accountability
While Massachusetts bettors continue to set records, the regulatory side of the industry is heating up. The MGC is honing in on the contentious issue of player limits, where sportsbooks restrict betting amounts for certain users. This practice, often criticized for targeting winning bettors, has drawn scrutiny from both regulators and the public.
The MGC recently approved a comprehensive data request to all seven licensed operators to uncover how many players are being limited, the criteria behind these decisions, and whether correlations exist between winning behavior and restrictions.
“A review and analysis of the data will presumably show us the volume of patrons being limited and whether…a correlation exists,”
said Carrie Torrisi, the MGC’s Sports Wagering Division Chief.
Operators have defended these practices, citing risk management as a key factor. BetMGM, for instance, stated it limits only 1% of its customers, emphasizing this helps maintain competitive lines and odds for the vast majority of bettors.
Similarly, FanDuel’s Cory Fox explained,
“We have to do [this] in a responsible manner that protects our company,”
adding that limited players are often those who exploit line discrepancies or live-betting delays.
Public sentiment, however, remains critical. Bettors have expressed frustration over being restricted without transparency, with one anonymous patron stating,
“To prey on certain gamblers for larger amounts and then limit other gamblers to $3 bets is just ridiculous.”
This disconnect between operators and bettors has fueled the MGC’s push for potential regulations, including mandatory notifications and clear protocols for player limitations.
A Balancing Act for the Future
Massachusetts’ sports betting market is thriving in terms of engagement, but its regulatory environment is at a crossroads. As the MGC examines player limits and transparency, the industry’s future hinges on balancing profitability with fairness.
With over $748 million wagered in October alone, it’s clear the market has potential — but operators and regulators must collaborate to sustain trust and growth.
