The Cashout: A Sneak Peek At 'Maturity' in US Sports Betting?

Gambling news roundup: California AG says daily fantasy is illegal; Rep. Titus promises bill to fix gambling tax change in Big Beautiful Bill; Bet365 buys building that is home to its Denver HQ.

Jul 06, 2025

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TCL provides market analysis in the US gambling space in The Cashout every weekend to paid subscribers, along with a news roundup for free subscribers.

As the pace of online sports betting legalization slows, are we getting a preview of maturity or the next phase of the U.S. market?

But first, the gambling news roundup:

Gambling news roundup

Fix for gambling tax change in the Big Beautiful Bill? (Rep. Dina Titus, D-Nevada, on Twitter): “On Monday I’m introducing the FAIR BET Act, the Fair Accounting for Income Realized from Betting Earnings Taxation Act, to permanently restore the 100% loss deduction from gambling winnings. I welcome all other members to join this common sense fix.”
- More here. The backstory, if you’re playing catch-up:
  - Lose bets, pay taxes? New bill has some gamblers apoplectic (Washington Post): “A few sentences slipped into the 940-page tax bill approved by Congress this week could force some gamblers to pay income taxes even after losing money. The provision came to light just a few days before the bill cleared the House and Senate, surprising industry officials and causing professional sports bettors to fear for their livelihoods. Gary Kondler, a Las Vegas-based CPA who prepares taxes for full-time sports bettors and poker players from across the country, described a week of ‘absolute chaos’ fielding clients’ panicked calls. Until now, gamblers have been allowed to deduct all of their betting losses from their declared income — meaning, bettors who win more than they lose over the course of a year pay taxes only on their profits. The new bill, which the House approved Thursday and President Donald Trump is poised to sign into law, allows gamblers to deduct just 90 percent of their losses while still making them pay income tax on all their winnings.”
If you missed the news dump on Thursday before the Fourth of July:
The California Opinion On Daily Fantasy Sports Drops: What You Need To Know
Dustin Gouker
·
Jul 3
The California Department of Justice released a much-anticipated opinion from Attorney General Rob Bonta on the legality of fantasy sports in the state.
Read full story
Online betting giant buys downtown Denver HQ for $135M (9 News): “A London-based online sports betting company has doubled down on Denver, acquiring the downtown building where it established its U.S. headquarters in a deal worth $135 million, according to a special warranty deed filed Thursday.
1701 Platte Owner LLC, an entity connected to San Francisco-based real estate investment firm Shorenstein, sold the 248,783-square-foot building at 1701 Platte St. to Hillside New Media Holdings US Inc., records show. That company is associated with Bet365's gambling businesses in the U.S.”
DraftKings stock price target lowered to $53 at Jefferies on tax headwinds (Investing.com): “Jefferies has lowered its price target on DraftKings Inc. (NASDAQ:DKNG) to $53.00 from $60.00 while maintaining a Buy rating on the stock. The stock, currently trading at $41.31, has shown strong momentum with a 15.7% return over the past six months. According to InvestingPro analysis, DraftKings appears undervalued based on its Fair Value calculations, with analysts setting price targets ranging from $36 to $74. The firm cited tax headwinds from New Jersey, Louisiana, Illinois, and Maryland as the primary reason for the adjustment. Jefferies expects these tax impacts to create approximately $25 million in headwinds in both the third and fourth quarters of 2025, with an additional $10 million headwind in the fourth quarter from Missouri’s launch in December.”
Giant shuttered Jersey Shore casino goes up for sale at $55M as redevelopment plan falters (NJ.com): “Efforts to redevelop a shuttered Atlantic City casino appear in jeopardy after the property was listed for sale earlier this month. The former Atlantic Club Casino, a double-towered building that’s become an eyesore at the city’s southern end, was listed for sale in mid-June for $55 million, according to a real estate site Crexi.”
Lotteries hail win as Manitoba judge explains why he chained Bodog (Canadian Gaming Business): “The Manitoba judge who banned Bodog in the province stated in his official reasoning for the decision that he was left with no other choice by the offshore online gambling operator’s brazen and ‘illegal’ actions. Court of King’s Bench of Manitoba judge Jeffrey Harris granted Manitoba Liquor & Lotteries’ (MBLL) a permanent injunction against Bodog’s parent company Il Nido Ltd. and its Canadian trademark owner Sanctum IP Holdings Ltd. on May 26. The Caribbean-based brand added Manitoba to its list of restricted provinces in June.”

FanDuel’s Trusted Voices: Conversations About Betting is designed to equip adults, including parents and coaches, with tools and resources to talk to young people about gambling, including information on warning signs, risks and proxy betting. The program is led by retired professional basketball player Randy Livingston and his wife, basketball agent Anita Smith, who share their personal stories related to problem gambling, with the hope of preventing others from experiencing similar harms. Learn more and join the conversation here.