Online sports betting in Michigan is nearing a magical number, and for the fifth straight month, the state set a record for total handle.
In January, the total handle from online sports betting operators in Michigan came in at $496.8 million, just missing the half a billion mark, according to the Michigan Gaming Control Board. The total handle tops the previous state record of $484.5 million set in December of 2021. Dating back to September of last year, Michigan has set a new mark for total online sports betting handle each month.
With the addition of retail sports betting ($36.6 million), the total handle for Michigan sports betting in January was $532.7 million — up more than three percent from December.
Why is Michigan Sports Betting So Popular?
Michigan launched online sports betting in January 2021. It was the first large midwestern state to do so, and it’s proved tremendously popular, while also feeding tax revenue to the state.
But why has Michigan seen growth and popularity in online sports betting leading to a string of record months?
It’s likely due to several factors, including marketing efforts by the sportsbook operators, confidence in the security of the industry from consumers, and the popularity of college and professional football as well as the NBA and NHL seasons coinciding with the surge in sports wagers in the Wolverine State.
In January, the NFL had one additional week of games as compared to the previous year, which also added to the record-breaking month. Once data is released for February, which included Super Bowl LVI, it wouldn’t be surprising to see Michigan record a new high in sports betting wagers for a single month.
Life after football: What’s next for Michigan sports betting after the Super Bowl?
Ranking Michigan Sports Betting’s Top Sportsbooks
- FanDuel Michigan: $132.7 million in online wagers
- DraftKings Michigan: $132.03 million in online wagers
- BetMGM Michigan: $110.9 million in online wagers
Those three sportsbooks accounted for 75 percent of the total handle in Michigan in January 2022 from online sports betting. BetMGM, DraftKings, and FanDuel have reported increases in total handle and adjusted gross revenue in each of the last four consecutive months of activity in Michigan.
The MGCB reported a Total Adjusted Sports Gross Sports Betting Receipts in January of $19.1 million. Based on that figure, the MGCB estimates that nearly $2 million will be paid in taxes ($1.37 million to the state and $596,000 to the City of Detroit).
Where’s the money going?: Michigan sports betting tax revenue use under review
Monthly Online Sports Betting Data for Michigan
Out of the gate, Michigan online sports betting has been a success. In February 2021, the first full month of legal online sportsbooks in Michigan, sports bettors wagered more than $301 million, a record for the first month by any state at the time.
- July 2021: $187.9 million in total handle
- August 2021: $192.2 million
- September 2021: $354.2 million
- October 2021: $463.3 million
- November 2021: $473.8 million
- December 2021: $484.5 million
- January 2022: $496.8 million
To date, an estimated $8.6 million has been paid to the State of Michigan for online sports betting since it launched on Jan. 22, 2021.