Missouri Sports Betting: A New Era Dawns with Surprising Licensing Choices
As December approaches, Missouri is set to make a significant mark in the sports betting landscape, with operators eagerly preparing for their launch. The state’s gaming authority has recently made some unexpected licensing decisions that could redefine the competitive field.
Fanatics Sportsbook has made headlines with its partnership announcement, teaming up with Boyd Gaming to access the Missouri sports betting market. Their strategy includes both online and physical sportsbooks, leveraging Boyd’s established presence with Ameristar casinos located near Kansas City and St. Louis.
This move places Fanatics among several ambitious operators entering the Missouri market. Recently, the Missouri Gaming Commission granted two untethered licenses to DraftKings and Circa, while other interested sportsbooks must navigate partnerships with local casinos and professional sports franchises to secure one of the remaining 14 online licenses.
The launch of sports betting in Missouri is set for December 1. All tethered license applications are due by September 12, making this a crucial time for operators hoping to capitalize on the upcoming betting season.
The Surprising Path of Licensing Decisions
In a twist, FanDuel, a primary contender for one of the untethered licenses, was passed over in favor of its top competitor, DraftKings, and Circa, which targets a niche market segment. Missouri Gaming Commission Chairman Jan Zimmerman noted that the decision was challenging but highlighted the intention to diversify the state’s betting offerings.
FanDuel quickly adapted by forming a partnership with the MLS team, St. Louis CITY SC. “Missouri boasts some of the most passionate sports fans nationally, and we are excited to bring our innovative platform to the state,” stated Mike Raffensperger, FanDuel’s sports president.
Circa’s Unique Appeal
The untethered licenses, available at a $500,000 application fee, differ from the $250,000 tethered option, which requires revenue-sharing arrangements with a local partner. During the licensing hearing, Circa owner Derek Stevens showcased his sportsbook’s unique approach, emphasizing a competitive hold target of 3.5%. He explained that this model focuses on high-stakes wagers, setting Circa apart from others in the market.
MGC Executive Director Michael Leara noted that Circa’s distinctive approach is likely to draw a different clientele, which could positively impact state revenue. While FanDuel projects a remarkable $400 million in annual revenue once the market stabilizes, Stevens opted not to disclose revenue expectations, emphasizing Circa’s unique value proposition instead.
The Battle for Market Access
Despite previous legislative hurdles delaying sports betting in Missouri for several years, a coalition of state sports teams successfully initiated a ballot measure that ultimately passed in November 2024. Both DraftKings and FanDuel invested over $40 million in the campaign to legalize betting.
Interest in the soon-to-be-launched market is growing rapidly; Bet365 has aligned with the St. Louis Cardinals, while BetMGM has partnered with Century Casinos. Other operators, including Underdog and financial heavyweight Caesars, are also pursuing licenses, eager to stake their claims in Missouri’s evolving landscape.
As the countdown to the launch continues, Missouri’s sports betting scene is shaping up to be a dynamic and diverse marketplace that may surprise even the most seasoned experts.