Legalized sports betting is having a significant impact on local tax revenue in many states. In 2018, sports betting was legalized when the Supreme Court struck down the Amateur Sports Protection Act. Since then, states have been able to cash in on sport betting revenues. 

According to Legal Sports Report, legal sports betting has generated more than $25 billion in revenue for states across America, with more than $300 million total. 

New York saw the highest level of betting among its citizens, at more than $16 billion. This was followed by New Jersey at $10.9 billion, Illinois at just under $10 billion, Nevada at $8.7 billion and Pennsylvania at just over $7 billion, according to Visual Capitalist.

New York also topped the list for tax revenue from legal sports betting, as noted in a recent U.S. Census Bureau report, at $188.53 million or more than 37 percent of total tax revenue and gross receipts. Indiana came in second at $38.6 million, followed by Ohio at $32.9 million. 

In 2022, legal sports betting generated more than $7.5 billion, nearly double the previous year when revenues were only $4.3 billion. According to Statista, legal sports betting revenues have steadily climbed since 2018, more nearly doubling each year. Experts predict legal sports betting revenues should reach more than $10 billion by 2028. 

A review of the industry in 2021 found that most people who participated in sports betting and fantasy apps were between the ages of 18 and 25. The most popular app was DraftKings Fantasy. 

Though legalized sports betting has curbed illegal betting, experts are concerned that it is leading to an increase in addiction gambling, particularly among the young. According to Newsweek, in 2021 calls to the National Council on Problem Gambling helpline rose 43 percent, meanwhile texts increased 59 percent and chats jumped to 84 percent. Some countries are looking at policies to prevent athletes from marketing legalized sports betting apps and services.