Some of the interactive sports betting operators, which include big names in the growing legalized gambling industry, and their affiliates have held special events to highlight new gambling options in the nation’s ninth largest state. According to the American Gaming Association, North Carolina is now the 30th state, along with the District of Columbia, to offer mobile sports betting.
Registered customers within the state’s borders can bet on professional, college or Olympic-type sports.
“North Carolina is a state we have been looking forward to getting into for a couple of years now,” said Jeremy Elbaum, Chief Commercial Officer of DraftKings, at a public event at the NASCAR Hall of Fame in Charlotte, where retired Carolina Panthers player Greg Olsen placed a ceremonial first online bet. “The way the sports calendar works here, the love of the college, the love of NASCAR in particular and obviously the other major sports, has made this a key state for us.”
The North Carolina State Lottery Commission, charged under the June 2023 law authorizing games to license operators and set rules, announced several weeks ago that mobile and computer wagering would begin at noon Monday. The start date, on the eve of the popular Atlantic Coast Conference men’s basketball tournament, was not lost on sports fans.
Gov. Roy Cooper, who signed the sports betting bill passed by the General Assembly and an ardent fan of the NHL’s Carolina Hurricanes, said he had bet on the team to win the Stanley Cup by the end of the year. He said any monetary winnings would go to the team’s charitable foundation.
“Legalizing sports betting will provide a significant boost to North Carolina’s economy and allow our thriving sports industry to continue to grow,” Cooper said as he posted a video, pre-filmed before the noon start, of him walks the ice at the team’s PNC Arena in Raleigh.
The commission announced the eight initial licensees on Feb. 29. The next day, these operators began creating accounts for players aged 21 and over and receiving cash deposits. This has triggered a series of television and social media advertisements by gambling operators seeking to lure customers with financial incentives.
In addition to DraftKings, initial sports betting licenses went to BETMGM and Underdog Sports Wagering; operating companies such as FanDuel Sportsbook, Fanatics Sportsbook, bet365 and ESPN BET; and an entity associated with the Eastern Band of Cherokee Indians, which with Caesars Sportsbook already operates in-person sports gambling at the tribe’s two Western North Carolina casinos and now offers mobile betting. All eight operators were active Monday, the lottery commission said.
A late adjustment to the 2023 law said that most interactive betting company applicants needed to enter into an agreement with a state professional team, or certain golf or auto racing venues or professional government bodies, to obtain a license. For example, DraftKings has a deal with NASCAR, while Fanatics Sportsbook is associated with the Hurricanes.
The law also authorizes in-person betting at future sportsbooks that are expected to be located at or near certain large sports or auto racing venues. The commission said these will be opened on a case-by-case basis as operators meet the requirements. Legislative provisions allowing the commission to regulate horse racing betting at the state level and establish rules for live horse racing will also be implemented in the future.
The legislation will tax sports betting at a rate equal to 18% of gross betting revenues minus distributed winnings. According to a legislative branch analysis, revenues could exceed $100 million annually within five years.
The government’s share will go in part to athletic departments at 13 University of North Carolina schools, amateur and youth sporting events and gambling addiction education and treatment programs. Some licensees have talked about “responsible gaming” features in their betting apps.