Industry experts say Ohio's new sports betting law is arguably the best in the U.S.

An analysis by PlayOhio, an independent gaming industry publication in the same network as PlayUSA, found Ohio's sports betting framework could be one of the nation's largest, most dynamic markets.

According to a press release, the analysis found, the state's approach to sports betting encourages a competitive environment with minimal restrictions, and a fair tax structure.

"The state took its time in legalizing sports betting and then took a collaborative approach with existing casino stakeholders, local pro sports franchises, and the lottery program," said Eric Ramsey, data analyst who co-authored the PlayOhio.com market analysis. "The result is a structure that is the new standard in the U.S."

PlayOhio says highlights of the law, include:

  • Authorizes both retail and state-wide online betting in Ohio.
  • Allows betting on all professional and collegiate sports, plus esports and the Olympics.
  • Gives professional sports teams and gaming facilities preferential consideration for licensure.
  • Allows lottery retailers to host sports betting kiosks with limited offerings.
  • Creates a tax rate of 10% of adjusted revenue.

PlayOhio estimates that by the third year in operation, Ohio online and retail operators will generate between $9 billion and $12 billion in bets each year. They say that would in turn generate a state tax revenue between $70 million and $90 million annually.

"The law strikes a pragmatic balance between rewarding the state's existing stakeholders – the casinos, racinos, and lottery – and incentivizing participation from the largest national sports betting brands," Ramsey said. "Every major operator in the country will seek licensure in Ohio, fostering the sort of competition that is essential to generating wagers in significant volume."

Ramsey went on to say, "Ohio appears poised to emerge as the second- or third-largest sports betting market in the country, clearly behind New York, but perhaps rivaling Nevada, New Jersey, and Illinois for No. 2."

Sports betting in Ohio is scheduled to launch by January 1, 2023.