Cash is King in Sports

By: Victor H Royer

hile the rest of the

Wgaming industry seems to push head-first into the maelstrom of cashless gaming – which is a Dead Duck upon arrival, and has always been a Dead Duck from its ridiculous inception – Sports Wagering is different. Somehow – seemingly against all possible odds and expectations – Sports Wagering has managed to strike what seems to be the perfect balance between real-cash sports betting, and “virtual” or Mobile cashless wagering.

But that’s really not that far-fetched.

When Sports Betting was only allowed in Nevada, and there weren’t any such things as Smart Phones, Tablets, Internet, or Wi-Fi, cash-inperson was the only way to make a bet on sports. And the same applied to the Billions of illegal sports bets made by people all over the US, and elsewhere in the world, with their local “bookies.”

And even when Smart Phones, the Internet, and Mobile access became commonplace, old and ancient and out-of-date gaming regulations – even in States like Nevada – still prohibited Sports Players to place bets remotely, using a “virtual wallet.” And then, in Nevada, came a relaxation, which at the time stipulated that Sports Players who set up a remote-access account in a casino Sports Book, in person, and deposit the required minimum

deposit of money – in cash, of course – would then be allowed to make Sports Bets remotely, first by phone – you know, those bulky old things with a cord – and then, later, with their Smart Phones.

But it wasn’t until the 1961 Wire Act and the much-hated PASPA were “relaxed” or “re-interpreted” that the Sports Boom, as we see it today, truly exploded in the United States. And just like the Poker Boom of 2003, Sports Wagering is breaking all records and surpassing all expectations. But unlike the stupidity of the politicians in 2006 – when they passed the UIGEA, and by so doing killed off $20 Billion in annual taxable revenue (more than $40 Billion by today’s standards) – here, in 2021, cash-strapped States, and the Feds, are all agog over Sports Betting. It’s the cash-cow they’ve been panting for, not only to help them recover from the effects of the Pandemic, but also from horrendous budget shortfalls, many of which were – and continue to be – the inevitable results of earlier legislative stupidities.

As of the time of this writing – August of 2021 – much has changed in the world of Sports Wagering, which continues to expand exponentially everywhere, and not just in the USA. In Canada, for example, single-game sports betting was just approved – although at this time no one is quite sure what that means. We all guess it means that Canadians will now be able to bet on single sports events – whatever such may be. Legislative, and perhaps legal, clarification is no doubt soon to come.

And even in arch-conservative and “religious” States, like Tennessee, there are now a couple of Sports Books available, just in time for the American Football season (that’s “American” football, which really should be called “Toss-Ball” because the ball is always

RIGHT: Victor H Royer

“tossed” and rarely actually “kicked” with a “foot”).

And the spread of Sports Betting in America continues. Even the tribes in Connecticut have finally agreed with the State on how to run Sports Books. And major Sports Betting Operators, like BetMGM, Draft Kings, Fan Duel, and so on – many of which I have mentioned in my other recent article – continue to snap up relationships with Sports Teams and Sponsors, forever so firmly embedding Spots Wagering among the fiscal requirements of local and State Governments, and Federal Tax founds, that it’s now quite unlikely that any future local, State, or Federal change of government can, or will,

dislodge them – and waste all that nice, juicy, tax money. Like they did in 2006 with the UIGEA, which killed online and live Poker everywhere. And lost the government billions in taxable revenue as a result.

And juicy money it is, indeed.

By the end of 2020, while still in the midst of the Pandemic, US Sports Wagering revenue was around $3 Billion. Yes, that Billion, with a “B” as in “Big Bucks.” And by the beginning 0f 2021, that grew by almost 55% – and the end of that growth curve is nowhere in sight.

Daily, it seems, new Sports Books, new Sports Wagering legislation, and new Sports Betting arrangements and options become more and more available. And that means more growth, and more of those “Big Bucks.” There are now even agreements, and permissions, for what’s called “MicroWagering” – which means that players (or Punters) are now able to make their bets in-game, such as, for example, pitch-by-pitch in Baseball, and play-by-play in Football (that American version of it), and even playby-play-within-a-play. Some of that has already been available in Nevada, as long as you were sitting the Casino Sports Book and made your bets on the console in front of you, from an account you set up earlier at the Desk.

And so – how is all that money being wagered?

In cash about half the time, and by Mobile, or remotely, the other half.

And, of course, this doesn’t count the local “bookie-joints” which still exist, and which can still take your action. In cash only, of course.

Bottom line – while cashless gaming is a Dead Duck for real-world Casinos, it’s always been here for Online Poker, Online Casinos, and now for Mobile and Remote Sports Wagering. And that’s the logical progression – from an Online Poker Wallet, to the Online Casino Wallet, and now to a Mobile, Remote, or Online Sports Betting account (and wallet).

But cashless gaming in a real-world casino?

Why?

What’s the point? If you can make a Sports Bet from your Phone, why would you spend thousands of dollars on a plane ticket to a casino, or a drive to a casino, and pay Hotel Fees with hidden “facility” and “usage” fees, and then pay to park your car for the privilege of losing your money in their casino – and then, when you get there – make your bets using a Cashless Kiosk?

Why?

What’s the point, then?

You can do all this from home using your phone or your computer, and save all those thousands of dollars to make Sports Bets, instead of wasting them on a trip to a real-world casino – only to find it’s all cashless, and – hence – no different to your betting when using your Smart Phone from home.

And that’s why Cash should always be King in the real-world Casino, and in real-world Casino Sports Books.