Legalization Efforts Prompt the Rise of New Sports Gambling Options

As the legal system slowly becomes more friendly towards online sports betting, states around the country turn towards the young and popular industry as a means for generating stronger tax revenue and improve budgets. For example, last year the progress made in Illinois in regards to online sports betting vastly expanded the mobile wagering options available to the state's 12.7 million residents, helping the state to generate millions. According to data from Odds.com, which was published by Forbes, Illinois was poised to generate upwards of USD 73 Million in taxable revenue if the estimates of a USD 488 Million annual market come to fruition. The 15% tax imposed on gaming revenue could see this number rapidly increase once measures to allow online and mobile offerings are put in place. FansUnite Entertainment Inc. (OTCQB FUNFF) (CSE FANS), DraftKings Inc. (NASDAQ DKNG), GAN Limited (NASDAQ GAN), Wynn Resorts, Limited (NASDAQ WYNN), Scientific Games Corporation (NASDAQ SGMS) .

States are now also anticipating a tax revenue bump from the Super Bowl this coming Sunday. According to The American Gaming Association, Americans are estimated to wager a total of USD 4.3 Billion on the highly anticipated matchup between Kansas City Chiefs and the Tampa Bay Buccaneers. Among Super Bowl bettors, a record 7.6 million will bet with online sportsbooks this year, up 63% year-over-year. This year's Super Bowl is expected to generate the largest single-event legal handle in American sports betting history, said AGA President and CEO Bill Miller. With a robust legal market, Americans are abandoning illegal bookies and taking their action into the regulated marketplace in record numbers.

FansUnite Entertainment Inc. (OTCQB FUNFF) (CSE FANS) and Vancouver-based OneComply Inc. announced last month that they have, entered into a partnership. OneComply, a compliance and licensing solution, will assist FansUnite as they enter additional North American legalized gaming jurisdictions by advising on protocol and strategy.

This move follows the June 2020 announcement by FansUnite of the amalgamation with Vancouver-based Askott Entertainment Inc. to create one of Canada's leading online gaming companies, focused on sports betting, esports wagering, and casino games.

'We are pleased to be partnering with OneComply as we look to tackle the North American gaming market,' said Scott Burton, CEO of FansUnite. 'As a licensed betting and iGaming company, we understand how difficult and nuanced the licensing process can be. With the help of OneComply, we will be able to streamline the process to enter new North American markets and showcase our suite of gaming solutions to a broader audience.'

The repeal of PASPA, being the Professional and Amateur Sports Protection Act, has created a wave of newly regulated States across the United States' gaming market. Companies seeking to gain market entry into these States face massive regulatory processes to obtain operational licenses. The United States legalized gaming industry is State-regulated, meaning companies need to file for each jurisdiction independently. These individual disclosure filings can be thousands of pages in size resulting in substantial internal and external expenses.

'The amount of opportunity in North America for new-to-market companies can be overwhelming given the various licensing processes and jurisdictional requirements, with companies no longer trying to enter one jurisdiction, but multiple jurisdictions simultaneously. This creates a tremendous amount of lag in productivity even with the most seasoned of compliance and legal teams,' said Cameron Conn, CEO of OneComply Inc. 'We understand the importance FansUnite places on regulation, and we look forward to supporting them scale in the North American market.'