A remarkable 10-year journey by legalized online casinos in New Jersey has been documented in more ways than just words. Atlantic City, NJ, Nov. 21, 2023 /PRNewswire/ -- The story goes far beyond mere words. There are some who might argue that the statistics behind the unparalleled success of NJ's internet gambling industry are more eloquent than the most eloquent prose in elucidating the phenomenon.
Oddsseeker.com explores the numerical aspects of one of the most triumphant sagas in the US gaming industry as the official decennial milestone approaches. NJ online casinos have been in operation for a staggering ten years and generated more than $7 billion in gross gaming revenue and contributed more than $1 billion in taxes, providing a vital lifeline to Atlantic City casinos during the times of economic hardship and a Coronavirus pandemic. The historic run culminated in October.
In reflection on the history of NJ online gambling, it is noteworthy that former Governor Chris Christie sanctioned Senate Bill 1565 into law on February 26, 2013. Following this, on October 21 and October 28, the Division of Gaming Enforcement instituted regulations overseeing internet gambling operations, which stipulated that all patrons must be at least 21 years of age in order to be eligible. 
As of November 21, 2013, the DGE approved the "soft launch" of six licensees, followed on November 25 by the approval of full play for six licensees. On November 26, 2013, the legalization of online gambling in New Jersey was formally announced, which resulted in the creation of more than 126,000 online accounts, according to the Casino Control Commission.
Among the notable beneficiaries since the legalization of online gaming a decade ago, the most notable beneficiary has unquestionably been the State of New Jersey, aside from the operators themselves. From November 2013 to October 2023, the Garden State has collected more than $1.45 billion in taxes from the online casino industry, which will be used to benefit seniors and the disabled in the state. By taxing online casino revenue at a rate of 15%, the state has collected over $1.45 billion in taxes.
A steady upward trajectory has been demonstrated by the revenue tax paid by online gambling since 2013. In its first year, internet gambling contributed approximately $1.26 million in taxes. By the end of 2014, the tax contributions had risen to approximately $18.4 million, and in the following year, they had reached over $22.3 million. As a result of this trend, tax collections in 2021 exceeded $205.2 million, and in 2022 reached $250 million, a record-breaking amount.
It is important to note that, while conventional wisdom suggests that casinos are able to generate profits effortlessly, the reality for Atlantic City's brick-and-mortar casinos is much more gloomy. As a result, legal online casinos have proven to be an almost foolproof business model, offering the profit potential of a gambling parlor without the burdensome overhead costs associated with it.
In the initial 14 months of legalizing internet gambling in NJ, operators reported a modest sum of slightly over $131.2 million. Fast forward to January 2021 and the amount of online gambling revenue per month surpassed the $100 million mark. Throughout the year 2023, online casinos in the state of NJ consistently exceeded $140 million each month. There were three instances when the amount exceeded $160 million, including a record $166.8 million in October 2023.
There is no doubt that NJ online casinos are continuing to break revenue records, however, the question remains: How high can they climb from here? Only time will tell what is behind this kinetic trajectory that has forever changed the landscape of online gaming in America.
The data referenced in this article comes from the NJ Department of General Services and can be found at https://www.oddsseeker.com.

Source prnewswire