SharpRank’s weekly updates on Compliance, Audit, Legislation, Ethics, & Regulation within the Sports Betting Industry.
Topics 7/16/25:
- BetMGM, Hard Rock Impose Minimum Bet Amid Illinois Per-Wager Tax
- Blanche Lincoln Warns State Bans on Prediction Markets Threaten Federal Oversight
- DraftKings Eyes Entry into Prediction Market with Potential Railbird Acquisition
- Missouri Pushes Toward December Sports Betting Launch
- Caesars Adds Universal Wallet for Sports Bettors in Nevada
- Flutter Finalizes Full Ownership of FanDuel with $1.76B Deal
BetMGM, Hard Rock Impose Minimum Bet Amid Illinois Per-Wager Tax
In reaction to Illinois’ newly implemented per-wager sports betting tax, BetMGM will begin requiring a $2.50 minimum bet on all wager types in the state starting Wednesday, while Hard Rock Bet has already established a $2 minimum. These moves are designed to offset the financial burden of the new law, which charges 25 cents on the first 20 million bets annually and 50 cents on any bets beyond that. The tax, expected to cost operators up to $125 million per year, has also prompted FanDuel, DraftKings, and Fanatics Sportsbook to introduce per-bet surcharges. While some operators like Circa Sportsbook are not currently planning to follow suit, the industry is clearly adjusting its strategy to reduce tax exposure and manage overall betting volume.
Blanche Lincoln Warns State Bans on Prediction Markets Threaten Federal Oversight
Former U.S. Senator Blanche Lincoln, a key architect of the Dodd-Frank Act, warned the CFTC that recent state-level actions to block prediction markets, such as cease-and-desist orders issued against Kalshi, pose a threat to the federal commodities oversight regime she helped create. Lincoln, now a lobbyist for Kalshi, claimed that only the CFTC has the authority to ban such contracts and argued that restricting them contradicts Dodd-Frank. However, legal experts note that her testimony misrepresents key portions of the law, which does allow the CFTC discretion to ban contracts deemed contrary to public interest, even if commercially useful. Her recent stance contrasts sharply with her 2010 Senate comments warning that sports-based contracts served no commercial purpose and amounted to gambling. Her shifting views highlight broader legal and regulatory confusion around prediction markets and their categorization under commodity laws.
DraftKings Eyes Entry into Prediction Market with Potential Railbird Acquisition
DraftKings is exploring the acquisition of Railbird, a CFTC-approved prediction market platform founded by former Point72 analysts. While no deal has been finalized, this potential move signals DraftKings’ interest in entering the federally regulated prediction exchange space, which allows trading on real-world outcomes like sports, politics, and economics. Railbird’s national footprint could give DraftKings access to consumers in states without legalized sports betting. This development follows DraftKings’ earlier but withdrawn application to launch its own prediction platform, “DraftKings Predict.” As competitors like Kalshi raise substantial funding and attract attention for similar contracts, DraftKings appears to be pivoting toward the booming prediction market sector to tap into emerging engagement models and reach untapped markets.
Missouri Pushes Toward December Sports Betting Launch
Missouri is moving closer to a legal sports betting launch, with the Missouri Gaming Commission finalizing regulations and licensing protocols to meet a December 1 launch date. The public comment period is open until July 16, with a public hearing scheduled for July 17. Operators may apply for either partnered licenses (aligned with in-state casinos or teams) or untethered standalone mobile licenses. Three applicants—BetMGM, DraftKings, and Underdog—are competing for two standalone licenses to be awarded in August. All other applicants must submit materials by September 12 to go live in time for the college football postseason and NFL playoffs.
Caesars Adds Universal Wallet for Sports Bettors in Nevada
Caesars Entertainment has introduced a universal wallet for its Caesars Sportsbook app in Nevada, letting users integrate their sports betting funds and Caesars Rewards credits across 19 states. Activation requires visiting a Caesars retail location. This upgrade enhances user convenience—especially for bettors traveling to Nevada—and allows a seamless, consistent experience using the same account credentials nationwide. Caesars also continues to expand its digital platform, having recently integrated horse racing betting into its app in Kentucky and Colorado, and deepened its partnership with AGS to bring exclusive online slots and branded titles to players.
Flutter Finalizes Full Ownership of FanDuel with $1.76B Deal
Flutter Entertainment is set to become the sole owner of FanDuel after reaching a $1.755 billion agreement to buy Boyd Gaming’s remaining 5% stake. While Flutter will gain full control, the two companies are extending their strategic partnership through 2038, with Boyd continuing to provide market access in five key states at reduced costs. This deal is expected to save Flutter about $65 million annually. FanDuel currently leads the U.S. online sports betting market with a 43% market share and 27% in iGaming, making this acquisition a major consolidation move in the U.S. gambling landscape.
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