On Tuesday, the Wisconsin Senate passed the AB601 bill with a 21 to 12 vote, taking a significant step towards the legalization of online sports betting. The bill adopts a "hub-and-spoke" model, requiring all online bets to be processed through servers located on tribal lands, in line with federal court rulings on tribal gaming. Simply put, it aims to make the tribes the house, while commercial companies can only benefit marginally.
Tribal monopoly model: 60% revenue floor blocks commercial giants
The core controversy of the bill lies in the Indian Gaming Regulatory Act, which requires tribes to retain at least 60% of the net gaming revenue in any gaming agreement. Representatives from the sports betting alliance stated at the hearing that it is economically unfeasible for commercial operators to surrender more than 60% of their revenue. This clause may block national brands like DraftKings and FanDuel from entering, altering Wisconsin's competitive landscape.
Political differences unresolved: Not all 11 federally recognized tribes support, governor remains reserved
Not all of Wisconsin's 11 federally recognized tribes support the current framework. Governor Tony Evers has expressed reservations about the lack of unanimous consent from the tribes, highlighting potential internal conflicts. The bill has passed both the Senate and the House and is now awaiting the governor's signature. If enacted, Wisconsin will join the ranks of states legalizing online sports betting, but its unique regulatory framework may limit the participation of national operators and alter the anticipated tax revenue model. Interested in the latest updates on gambling legislation across the US? PASA's official website continues to track.
————
This article is from "PASA-Global iGaming Leaders," a gambling industry news channel:https://t.me/pasa_news
Original in-depth gambling channel:https://t.me/gamblingdeep
Free data reports: @pasa_research
PASA Matrix: @pasa002_bot
PASA official website: https://www.pasa.news
