The Impact of the Offshore Betting Market on the Global Economy

The sports betting industry is a multi-billion industry. It’s projected to grow in double digits for the next five years. When you think about it, offshore betting contributes a large percentage of the global betting market share.

Before the US Supreme Court legalized sports betting in 2018, Americans would spend up to $6 billion at offshore betting companies yearly. Nowadays, the exact income generated by overseas gambling businesses isn’t clear.

However, below is how the offshore betting industry has impacted the global economy:

Facilitates Sports Betting to Millions of Sports Fans

Many sports fans love to bet on sports. A case in point: Maryland and South Dakota asked their citizens to vote on whether to legalize betting in 2020, and the people passed these bills by an overwhelming majority.

Around the world, there are millions of people who like to bet on football, basketball, and tennis. Sadly, betting isn’t legal in their countries yet. Offshore betting websites solve this problem.

They allow people who may not have access to sports betting to wager on their preferred sports hassle-free. All you need is a free account, and a means to deposit money.

Of course, it’s also essential that you choose a reputable sportsbook. A good betting website provides competitive odds to help you maximize your profits. It can also give you free bets and bonuses.

If you need help finding a top-tier offshore bookmaker, read this complete BetUS review. It is one of the best-rated betting websites for US players.

Tens of Thousands of Jobs

The offshore betting industry employs tens of thousands of jobs and pays out millions of dollars in salaries every year. To provide some context, 75,000 Americans work in the gambling industry.

Offshore betting is a much larger industry. This means it employs a lot more people. These employees often live in countries like Malta, Curacao, and Panama, where they help grow local economies tremendously.

Compared to land-based sportsbooks, online betting companies don’t employ many people. Still, they need programmers, managers, accountants, oddsmakers and customer service agents.

Since the betting industry is growing, it will create more jobs. When you also consider jobs created indirectly by offshore betting: the sector creates a positive financial impact on the world.

Millions of Dollars in Taxes

Contrary to popular belief, offshore betting websites pay taxes. Betting sites located in Malta pay taxes to the Maltese government. Those located in Panama, Costa Rica, and Curacao pay taxes to the governments of these countries.

The millions of dollars paid by betting firms in taxes help build the healthcare, educational, and transport infrastructures used by millions of people. In some countries—Malta and Curacao—the betting industry is one of the biggest contributors to government revenues.

Besides taxes, gambling businesses often pay tens of thousands of dollars to acquire appropriate licenses. And sometimes, they have to renew the licenses yearly.

Helped Popularize Online Betting

The history of online sports betting started in the Caribbean, where many offshore sportsbooks are located. Investors attempted to introduce betting to the US. But the move was opposed.

With no legal betting in the US, Americans had to rely on Las Vegas casinos to bet on sports for over two decades. Not everyone wagered at physical casinos, though. And that’s all thanks to overseas betting companies.

Offshore bookmakers persevered over years of opposition by governments and lobbyist groups to help the dream of betting online stay alive. They would often go too long lengths to ensure bettors worldwide had access to convenient betting.

Offshore bookmakers still facilitate betting, as we mentioned above. And they often lead in introducing features and services that better the lives of sports bettors.

Helps Improve Online Betting

Many excellent services you find at your favorite sportsbook wouldn’t exist without offshore betting. Think of the fantastic bonus deals you get, the fast payouts and the competitive odds.

Your favorite bookie treats you right because it has to. Otherwise, it will lose business to the hundreds of offshore bookmakers always eager to offer excellent betting services to the world.

When you think about it, many countries commercialize sports betting because of stiff competition from offshore bookies. Canada is an excellent example. Before last year, single-event betting was illegal in the country.

The country’s ten provinces offered parlay betting through province-owned sportsbooks. But due to excessive competition from offshore sportsbooks, Canadian jurisdictions are now commercializing the industry.

Commercialization is suitable for sports betting. It adds competition to the industry. And in doing so, it forces sportsbooks to improve their odds, sweeten their bonus deals, and speed up payments.

Publicizing Major and Minor Sports

Major sports like football and basketball don’t need much publicizing in North America. But think of Europe, Asia and Africa. People only discover North American sports in these regions through the press and sports betting.

We could say the same for minor sports like table tennis, curling, Australian rules, eSports and MMA. Sure, you may have heard of Curling. But you probably didn’t pay much attention until you got a free bet to wager on the sport.

Sportsbooks provide a platform for millions of people to learn about new sports and leagues. In many cases, people who discover a new sport at a betting website end up watching the sport on TV.

Sponsoring Sports and Athletes

One of the most remarkable contributions of offshore sportsbooks to the global economy is their support for local and international sports. Think of any sport in the world. It probably has a betting sponsor.

Sure, many sports and leagues these days work with local betting companies. But keep in mind that some offshore bookmakers hold multiple licenses. And they often sponsor sports in these regions.

In the UK, betting companies spend more than $100 million yearly sponsoring football teams. In the US, betting sponsorship is now a billion-dollar investment. This money helps organizations nurture young athletes, purchase equipment and invest in sports research.

This article does not necessarily reflect the opinions of the editors or management of EconoTimes