Maryland Sports Betting 2023 Update: Key Insights on Draft Rules

Maryland Sports Betting: A New Era Begins

The landscape of sports betting in Maryland has experienced a pivotal transformation with the release of draft regulations, marking a significant moment for stakeholders and bettors alike. The Maryland Lottery and Gaming Control Agency unveiled detailed rules, setting the stage for a robust and regulated sports betting market in the state.

The One-Brand Rule Explained

At the heart of these regulations is a directive that could shape the competitive dynamics of the market: each mobile sports wagering licensee is permitted to operate under a single branded website. This means that whether it’s a professional sports team, a racetrack, or a small off-track betting facility, partnership with only one brand, such as FanDuel or DraftKings, is allowed on their mobile platform. With Maryland offering up to 60 mobile/online licenses under its 2021 sports wagering law, this rule ensures a diverse array of options for bettors while maintaining a level of exclusivity for the operators.

Maryland’s law allowing sports betting (HB 940) was passed in 2021, letting up to 60 online sports betting licenses and 47 physical sportsbook licenses, all regulated by the Maryland Lottery and Gaming Control Agency with initial checks done by the Sports Wagering Application Review Commission (SWARC).

Registration Options for Bettors

The draft regulations also map out the registration process for mobile and online sports bettors, offering two distinct pathways. Bettors can either register in person if the mobile sports betting licensee also possesses a retail sports betting license or opt for online registration through a mobile app or website approved by the Maryland Lottery and Gaming Control Agency. This bifurcated approach aims to balance accessibility with regulatory oversight, ensuring a secure and reliable betting environment.

Geofencing and In-Person Betting

An essential component of Maryland’s regulatory framework is the use of geofencing technology to ensure that mobile and online bets are placed within state lines. This technological safeguard is complemented by provisions for in-person wagers, which can be placed at designated betting windows, via runners, or at self-service kiosks located within licensed facilities. The clear delineation between mobile/online and retail betting operations underscores Maryland’s commitment to a regulated, orderly market.

The Maryland Lottery and Gaming Control Commission set forth rules for sports betting (COMAR Chapter 36, Subtitle 10) effective from January 2022, with significant updates in 2023, including notice in the Maryland Register and a period for public feedback.

Upcoming Regulatory Milestones

The Maryland Lottery and Gaming Control Commission is poised to cast a crucial vote on these draft regulations, signaling the next step towards the realization of sports betting in the state. Following the vote, a 30-day public comment period will be initiated, allowing stakeholders and citizens alike to voice their opinions and suggestions. This process of public engagement is integral to the development of a sports betting ecosystem that reflects the needs and preferences of Maryland’s diverse population.

Anticipating the Launch

While an exact launch date for Maryland sports bettinggdaily.io/news/sports-betting/ultimate-guide-to-maryland-sports-betting-launch/” title=”Ultimate Guide to Maryland Sports Betting Launch”>Maryland sports betting remains undetermined, state regulators have hinted at a potential rollout this fall for some of the 17 brick-and-mortar facilities earmarked for in-person sports betting licenses. Prominent venues such as FedEx Field and Oriole Park at Camden Yards, along with major casinos, are among those expected to lead the charge, heralding a new chapter in Maryland’s gaming and entertainment landscape.

The rules mandate registration for sports betting vendors working with license holders, establish fees for vendor registration and renewal, and permit the Commission to keep a public record of registered or banned vendors (COMAR 36.10.06.11). In 2024, Maryland officials decided to limit certain college player proposition bets following a request from the NCAA; actions by various operators and regulators since then have altered the availability of college player prop bets in Maryland. Maryland taxes revenue from sports betting at 15 percent, and operators also pay a federal excise tax on betting amounts; regulatory and budget talks have also covered limits on promotional credit deductions and funding for gambling addiction prevention.

The Road Ahead

As Maryland stands on the precipice of an exciting era in sports betting, the release of these draft regulations represents a critical juncture. The thoughtful balance between operational flexibility for licensees and protective measures for bettors illustrates Maryland’s pragmatic approach to this burgeoning sector. As the state navigates the regulatory process and gears up for the official launch, the anticipation among sports betting enthusiasts and operators continues to build. The future of Maryland sports betting, characterized by innovation, security, and diversity, looks promising indeed.