New Jersey’s Online Sports Betting Boom: Economic Gains and Growing Concerns
New Jersey’s online sports betting industry is experiencing a significant boom, generating substantial revenue for the state while simultaneously raising concerns about gambling addiction and its impact on traditional Atlantic City casinos. The state’s leadership in this sector, stemming from a 2018 Supreme Court ruling, has prompted the state Legislature to hold a hearing to discuss the wide-ranging effects of online sports betting.
Jeremy Kudon of the Sports Betting Alliance highlighted the economic benefits during the hearing, emphasizing job creation and revenue generation. According to Kudon, over 4,000 jobs have been created in North Jersey due to online sports betting. The industry has seen more than $9.2 billion wagered in the first nine months of the year, resulting in $835 million in revenue and over $105 million in taxes paid to the state.
However, the rapid growth of online sports betting has not come without concerns. Felicia Grondin pointed out the increased risk of gambling addiction due to the ease of mobile betting. New Jersey’s problem gambling rates are reportedly higher than the national average, with calls to the 800-GAMBLER helpline surging by 277% since 2018.
In response to these concerns, industry representatives like Lori Kalani from DraftKings emphasized their commitment to responsible gaming initiatives. Kalani noted that DraftKings employs 60 people dedicated to responsible gambling measures and proactively reaches out to customers showing signs of problem gambling.
The impact of sports betting on college athletes has also come under scrutiny. Tim Buckley from the NCAA voiced support for legislation to protect college athletes from betting-related harassment, citing an example of a University of North Carolina player receiving threats due to betting outcomes.
Lia Nower from Rutgers University raised concerns about the impulsive nature of live betting and its potential impact on mental health. Nower reported that a significant percentage of New Jersey sports bettors have experienced suicidal thoughts or attempts.
As New Jersey continues to lead the way in online sports betting, the state faces the challenge of balancing economic benefits with the need to address growing concerns about gambling addiction and its wider societal impacts.