A new report shows that legal online gambling continues to grow across the U.S., now representing 74% of the $90.1 billion market. The findings come from Yield Sec’s USA National 2024 report, commissioned by the Campaign for Fairer Gambling (CFG), and offer a broad look at the current dynamics between licensed platforms and offshore operators.
Market Growth on Both Sides
While regulated online gambling revenues grew 36% last year, offshore operators also saw an increase—up 64%—highlighting a competitive digital environment. The report found that 88% of online users in the U.S. are exposed to offshore gambling content, whether through search engines, social platforms, apps, or streaming services.
Events like March Madness, the Super Bowl, Copa America, and the Olympics brought increased traffic across the board, helping both licensed and offshore brands attract new users. Offshore platforms tend to appeal through broader product offerings, promotions, and access across all states.
Consumer Choice and Content Reach
Offshore sites often provide a wider range of games, including sports betting, casino products, and prediction markets such as elections and economic forecasts. This one-stop-shop appeal makes them attractive to users who may not yet have access to similar options through legal platforms, depending on state laws.
The report also points to affiliate marketing as a driving factor, with 668 affiliates promoting offshore sites compared to 106 promoting licensed operators. These affiliates help boost visibility and retention across platforms that reach large audiences.
Industry Voices Call for Broader Collaboration
Derek Webb, founder of the Campaign for Fairer Gambling, pointed to the need for a more complete strategy. “US legalization of internet gambling without a gameplan to tackle the illegal sector has been an unmitigated disaster. In California, where online gambling is illegal, the total population loss per capita for 2024 is $141. In comparison with New Jersey, where online sports and casino gambling are legal, the illegal loss per capita on sports is $103 and on casino is $169, being a total of $272, nearly twice as much as in California.”
Ismail Vali, Founder and CEO of Yield Sec, stressed the importance of a combined effort from all sectors: “Let’s not pin this on gambling regulators alone. Their job is to supervise the licensed industry, not to chase criminals who never applied for a license. Illegal gambling is everyone’s problem—operators, law enforcement, media companies, social platforms, and governments all have a role to play.”
Industry Snapshot
According to the report, 917 offshore gambling operators currently target U.S. users, compared to 95 licensed ones. Offshore operators generated $67.1 billion in revenue during 2024, while regulated brands accounted for $23 billion. The data suggests that even with strong growth in the legal space, offshore activity remains highly active and well-positioned in the market.
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