Spin Cycle: Nevada’s Record-Setting Year, DraftKings’ Latest Legal Woes Highlight Week In Gambling

Welcome to “Spin Cycle,” Casino Reports’ weekly Friday roundup of all things impactful, intriguing, impressive, or idiotic in the gambling industry. Pull up a chair, grab a stack of chips and a glass of your beverage of choice, and take a spin with us through this week’s news cycle …

Vegas, baby!

The 2024 full-year numbers for Nevada are in, and … well, ya know that saying, “The house always wins”? It has been confirmed again.

In December, Nevada set an all-time single-month gaming revenue record of $1.46 billion, contributing to a full-year record of $15.61 billion.

This despite a bumpy end to the year in terms of NFL betting — a sign that sports betting is but a tiny sliver of the giant Nevada gambling pie.

Despite these rosy numbers for the state’s signature industry, it should be noted that 2024’s total gaming revenue was up just 0.6% over 2023’s total, so, factoring in inflation, there’s room for some “yeah, but” when celebrating Nevada casinos setting a collective record.

Here’s one record-setting number, though, that doesn’t require any inflation-related asterisks: The Las Vegas Convention and Visitors Authority said visitation to Sin City was the highest of any year since the pandemic, with 41.67 million people descending in 2024, up from 40.8 million in 2023.

A lawsuit DK needs to sweat?

Another day, another legal filing taking aim at DraftKings. The latest is a class-action suit filed in New York district court alleging that the sportsbook operator is “deceiving” customers with its promo language as well as taking advantage of vulnerable gamblers with its VIP program.

As reported by SBC Americas, this suit is the latest to take issue with terminology such as “risk-free” (which DraftKings and other major operators have largely discontinued) and “no-sweat.” The plaintiffs assert that there is “risk” and “sweat,” as the rules of these promotional bets typically dictate that a bettor can lose real money under the promotion if they lose both a first wager and a second wager.

Perhaps more interesting is the allegation of VIP hosts targeting problem gamblers — right in line with the high-profile suit filed in December by a woman who claimed the site took advantage of her now-estranged husband and depleted their family’s savings.

Hot commodities

Much like DraftKings, the Commodity Futures Trading Commission (CFTC) and prediction-market operator Kalshi keep working their way into industry headlines.

On Monday, the CFTC announced that Acting Chairman Caroline Pham is launching a series of public roundtable discussions, which would seem to very much bear watching as the gaming industry tracks the legality of various operators’ recent entry into forms of exchange wagering.

“Innovation and new technology has created a renaissance in markets that presents new opportunities that are accessible to more people, as well as risks,” Pham said in the press release. “The CFTC will get back to basics by hosting staff roundtables that will develop a robust administrative record with studies, data, expert reports, and public input.”

On Wednesday, more news was made in the space when Kalshi submitted to the CFTC for approval more sports markets it would like to offer. Kalshi is asking for permission to post “Will <achievement> be held by <participant>?” contracts, and defined those terms as follows:

This has our attention. Whether a certain player will win the French Open is a straight-forward futures bet. But could the format soon apply to questions like “Will over 110.5 rushing yards in the Super Bowl be held by Saquon Barkley?”

Casinos taketh … and some giveth back

In New Hampshire, casinos operate under a charity model, where they’re required to donate a percentage of their winnings to worthy causes.

The Brook, a casino in the town of Seabrook that puts a twist on New Hampshire’s “Live free or die” motto with its tagline “Live free & play,” announced last week that it raised over $11 million for charities in 2024, bringing its total since 2019 to nearly $30 million.

“I hope we’ve built something special here at The Brook, where every game played funds and fuels essential community service organizations,” CEO Andre Carrier said in a release. “Our work isn’t just measured in dollars or visitors but in the possibilities and resources it helps provide our community and state.”

Among the recipients of The Brook’s donations in 2024: Seacoast Mental Health Center, which ensures accessible mental health services for residents in eastern Rockingham County, and Gather, a nonprofit combating food insecurity.

House Rules: Insights from around our network

MERRY CRIS-MAS: One-time offshore sportsbook BetCris readying for launch in Arizona [by Chris Altruda]

C&D ASAP: West Virginia poised to go on offensive against ‘sweepstakes’ operators [by Eric Raskin]

HORNETS NEST: WSJ: Federal probe of NBA betting scandal widens to include Terry Rozier [by Jeff Edelstein]

TIPS OF THE TRADE: Talking trash and collecting cash [by Richard Schuetz]

A NUMBERS GAME: Battle lines drawn over Nevada lottery amendment [by Jeff Edelstein]

EITHER SIDE OF THE OLD LINE: Maryland’s Watson makes case for legalized iGaming, to mixed response [by Chris Altruda]

SPY GAMES: Why ex-spy NIMBYs are freaking out about proposed casino [by Jeff Edelstein]

RANK AND FILE: Legislative roundup: Indiana makes iGaming progress, multiple bills filed in Hawaii [by Chris Altruda]

EXIT SURVEY: Keith Whyte’s NCPG exit raises questions about future of responsible gambling movement [by Jeff Edelstein]

COUP DE PENN: Large PENN Entertainment shareholder nominates three for board, citing ‘abject failure’ of interactive strategy [by Chris Altruda]

LEAGUE OF THEIR OWN: Prominent sports law professor predicts leagues will act as betting exchange operators in near future [by Brett Smiley]

ULTERIOR MOTIVES: The radical Massachusetts sports betting bill wasn’t designed to pass — so what’s its purpose? [by Matthew Bain]

PLAYING HARD BALL: DeSantis-backed Florida bill could strengthen Hard Rock’s gaming hand [by Chris Altruda]

Low stakes and hot takes

This week on the Casino Reports podcast Low Rollers, my co-host Jeff Edelstein and I welcomed Prime Sports co-founder Joe Brennan, Jr. — who shares my love of the Philadelphia Eagles — to talk Super Bowl odds and give all sorts of other industry analysis. Here’s a taste:

We also covered the notion of leagues as betting exchange operators, BetCris’ arrival in Arizona, bills filed in New Hampshire, Hawaii, and Indiana, and Edelstein’s “house divided.” Full episode:

The Shuffle: Other news and views

THE PARLAY OF THE LAND: America has fallen in love with long-shot sports bets [The Wall Street Journal]

BIGGER BUCKS?: Montana gaming industry split on proposal to raise maximum video poker bets, payouts [NBC Montana]

THE PLOT THICKENS: Feds: Mizuhara wasn’t a gambling addict before Ohtani thefts [ESPN]

BAR NONE:  BetMGM slapped with $261K fine in PA for letting self-excluders gamble [SBC Americas]

GONNA BE A WHILE: Iowa House bans new casinos in the state for five years [WGEM]

HOMEWARD BOUND: Alex Dixon comes home to Vegas to helm Resorts World [CDC Gaming Reports]

THE BOOKIE’S WIFE: Nicole Bowyer says she was a pawn; Nevada regulator unmoved [iGaming Business]

VEGAS BOUND: Kambi expands Americas footprint with Nevada licensing approval [SBC Americas]

SHIFTING SANDS: Planning to build on Long Island, Las Vegas Sands CEO concerned about iGaming expansion in New York [CDC Gaming Reports]

DEEP CUTS: FanDuel Sports Network engages in round of layoffs [Barrett Media]

The Bonus Round

Completing the Spin Cycle with some odds and ends and our favorite social media posts of the week:

• Do you play the New York Times game Strands? It’s basically a themed word search, where each letter is used once, and the theme is spelled out across a word (or words) that stretch either the height or width of the puzzle. Anyway, this Tuesday’s edition landed right in our sweet spot. Here it is, solved (with the game congratulating me on being “perfect!” which I appreciated):

• This is fun: Jesse Learmonth, host of The Betting Startups Podcast, is leaping into the awards show waters with The Starties — gaming industry awards for startups. It’s coming March 12 in New York City and … well, click through the tweet thread for more details:

• Underdog Sports has reached a multi-year extension with former NBA star Gilbert Arenas to continue his live daily YouTube show, Gil’s Arena. Congrats to all involved. (And please tell me I’m not the only one who saw the name of the show and immediately flashed to that Simpsons episode where Lisa is put on the spot to make an anagram out of Jeremy Irons’ name and comes up with “Jeremy’s iron.”)

• Anyone who plays on FanDuel Casino knows how they love having exclusive slots titles, and for the next big one coming, there’s a trailer on the home page and a countdown clock ticking down to next Tuesday, Feb. 4 — when Huff N’ More Puff arrives in all five FanDuel Casino states. FanDuel Casino Product Senior Direct Ian O’Reilly called the Light & Wonder game “one of the most popular” brick-and-mortar slots. As you may have guessed from the title, the game has a three-little-pigs theme. Needless to say, gamble responsibly, or else you may end up living in a house made of straw.