Missourians Wager $543 Million During Sports Betting’s First Month

Missouri’s new sports betting market saw $543 million in wagers during its first full month of operation, but with losses reported from some of the state's biggest sportsbooks, the state was left with little.

Despite the high December figures, with 99% of that money coming from online betting, the state collected only $521,200 in net sports betting revenue. Promotional deductions played a major role: operators distributed more than $125 million in free bets and incentives, pushing taxable revenue into the red for most, with deductions exceeding net revenue by about $20 million. Residents clearly took advantage of plenty of Missouri sports betting promos.

Back in November 2024, Missouri sports betting was approved by voters by just 2,691 votes. During the campaign, supporters said legalized betting would produce meaningful funding for education. That promise is now being questioned by lawmakers, who say the early returns have fallen short. 

Representative Dirk Deaton said the legalization amendment was drafted to favor operators of Missouri sports betting apps. The tax rate on sports betting in Missouri is 10% of net revenue, compared with 21% for land-based casinos, which paid $36.2 million in taxes during December alone.

The state did receive nearly $7.5 million in upfront licensing fees from the 16 approved sports betting operators. But long-term revenue remains uncertain, particularly since Missouri’s tax structure is locked into the state constitution and cannot be changed without another statewide vote.

DraftKings and FanDuel dominated the market, together accounting for more than three-quarters of all bets, but both reported negative net results, so neither paid sports betting tax for December.

Regulators decline NCAA request

As Missouri’s sports betting market finds its footing, regulators have pushed back against calls for tighter restrictions on prop bets. The Missouri Gaming Commission rejected the NCAA's request last month to ban bets on individual college athletes, at least for the time being. 

The NCAA raised concerns following a federal indictment involving alleged game manipulation across multiple college basketball teams. It argued that player prop bets are vulnerable to abuse and put student-athletes at risk of pressure or bribery. However, Commission chair Jan Zimmerman said the market is too new to justify immediate rule changes. 

While the Missouri Gaming Commission opened a public comment period before the decision, asking residents whether prop bets should be banned for college basketball, it received only one comment, one hour before the deadline. 

Missouri already limits some college betting. Prop bets are banned for games involving in-state colleges but allowed for other collegiate events, although regulators have said they may revisit the issue once more data is available.

Industry groups opposed the NCAA’s request, arguing that legal sportsbooks help detect suspicious activity and that banning prop bets could push gamblers toward illegal sites. For now, Missouri will continue operating under its existing rules as regulators monitor market developments.