Delaware, one of the first U.S. states with legal online casino gaming since 2013, closed FY2025 with net proceeds of $85.5 million. The growth is attributed to the relaunch of the BetRivers platform by Rush Street Interactive, and House Bill 365 (HB 365) remains on the horizon, which could loosen exclusivity and push the market toward a multi-operator model.
For a small state with a population of about 1 million people, these figures look disproportionately large. Delaware has for many years been called a mature jurisdiction, where digital gaming has become an extension of the existing racino infrastructure rather than a separate experiment.
How the system is structured and why the market remained closed for a long time
Online casino gaming in the State of Delaware operates through the state lottery, which acts as the regulator and the centralized owner of the model. Licenses are effectively tied to three racinos, which are considered agents of the system, and digital products end up being “layered on top of” land-based venues.
This structure resembles a single, integrated technology stack, where rules, oversight, and cash flows converge in a single center. Historically, such a scheme limited direct competition between brands, but it ensured manageability and predictable revenue distribution.
Key FY2025 figures without overcomplicating the math
Fiscal year FY2025 is considered the period from July 2024 to June 2025. The main indicators reflect a market that, after the platform upgrade, picked up new momentum, and promotional activity became a noticeable part of the product’s economics:
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Net proceeds totaled $85.5 million, including video slots $58.4 million, table games $27.1 million, poker $53,609
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The peak month was April 2025, $8.8 million
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Handle (total amount wagered) reached $3.3 billion, averaging more than $200 million per month
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Unique registrations totaled 51,280, averaging 4,273 new per month
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Promotional activity deducted from the net-proceeds base, $12.5 million
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The distribution of funds included $17.6 million to the general fund, $3.7 million to purses in horse racing, $24.7 million to sellers sellers
Such statistics clearly show the scale of engagement, but they raise questions about the quality of revenue, since high volumes do not always mean equally high margins under a strict tax framework and active bonuses.
The BetRivers relaunch and Delaware’s place in nationwide dynamics
The key trigger was the contract with Rush Street Interactive and the relaunch of BetRivers, after which monthly online casino revenue became about four times higher than previous levels. In the industry, this effect is usually described as the result of simultaneous technology upgrades, content expansion, and more aggressive retention mechanics through bonuses and loyalty programs.
The growth structure looks traditional for the U.S. The bulk of revenue comes from video slots rather than poker, bringing the online storefront closer to what racino audiences are used to.
Against the national backdrop, Delaware looks more like a “small but heavyweight” market. In the second quarter of 2025, commercial gambling in the U.S. grew by 8.7% in revenue, and iGaming in May 2025 added 33% year over year, while full-scale iGaming remains a rarity and is available only in a limited number of states.
The product mix, where the money is made in video slots and table games
Video slots delivered 68% of revenue, or $58.4 million, on handle of $2.1 billion, reinforcing how slot games drive growth in the casino industry. This segment relies on a fast mobile format and recognizable mechanics similar to slot machines at racinos, which lowers the barrier to entry and drives faster repeat sessions.
Table games contributed 32%, or $27.1 million, on handle of $1.2 billion. The focus is on blackjack and roulette, as well as the live dealer format, where a dealer hosts from a studio and players connect online; Evolution is mentioned here as the technology provider.
Poker generated less than 1% and amounted to $53,609. The product is described as revitalized after the BetRivers launch, but in terms of scale it remains niche, which may reflect both competition with larger liquidity pools in other jurisdictions and the limited local audience.
Sports betting in the same ecosystem, but reported separately
The sportsbook in the State of Delaware exists as a separate lottery product, but it is integrated into the BetRivers ecosystem, which supports cross-play between casino and sports. For the operator, this usually means a single wallet and a shared bonus logic, and for the regulator, that reporting and oversight remain within the established framework.
It is the sports vertical that is most often mentioned in connection with potential rule changes. HB 365 separately discusses tax parameters and the operator access model, which could change incentives for new brands.
HB 365 and the fork in the road between monopoly and competition
HB 365 proposes allowing multiple operators at each racino, up to two per venue. The license is valued at $500,000 for five years, and the tax on sports is set at 18% GGR (gross gaming revenue), plus 1.5% toward purses.
The status of the initiative is described as committee review in July 2025. In practice, this is not the finish line yet, but rather a sign that the topic has moved from declarations into a working phase, where bargaining over the details begins.
The potential effect is twofold. On the one hand, competition can increase handle and content diversity; on the other hand, initial estimates mention the risk of market fragmentation and a reduction in the shares of current participants by 20% or 30%. In the sports segment, DraftKings and FanDuel are named among potentially interested brands, which adds intrigue to the discussion about the future of exclusivity.
Innovative formats as a factor of competition
In online casinos that are licensed in the state, players are offered classic games - roulette, slots, card entertainment, and so on. However, the development trend in the iGaming segment is such that more and more players prefer innovative formats, such as crash games, a Wheel of Fortune with live dealers, or Plinko.
However, in Delaware they are available only through international casino platforms, rather than those specifically licensed in the state.
As an example, we looked at the game Funky Time. We chose it because its developer, Evolution Gaming, began supplying its live games to Delaware via the BetRivers platform. However, Funky Time is still sparsely represented in Delaware’s licensed online casinos. As a result, players who want to play this game choose an international online casino where it is available. Another option is a mobile app. According to the website about the Funky Time game, available if you click link, a downloadable app is offered by many online platforms. Among them are online casinos with an international license available in Delaware.
Despite the fact that formally they fall into a “grey area,” in practice they are active competitors for licensed casinos. One contributing factor is the monopoly.
The audience after the upgrade and oversight of the rules
The player profile looks relatively balanced by gender, 51.5% women and 48.5% men, and the age core falls on the 18 to 44 group, 52.5%, and the 45 to 64 group, 30%. After RSI’s upgrade, the mobile format became the main one, and promotions and loyalty programs noticeably support retention.
The behavioral picture highlights fast slots and live tables, as well as cross-play between casino and sports. The mention of responsible gaming tools indicates built-in limits and self-control that reduce regulatory and reputational risks.
Oversight is built around two centers. The Lottery Director is responsible for licenses and approvals, and the Division of Gaming Enforcement conducts inspections, audits, and 24/7 monitoring. An internet lottery is permitted, including video games, table games, and poker; tournaments are possible with approval; cryptocurrency is prohibited; self-excluded players are not permitted.
Compliance is based on MICS, i.e., Minimum Internal Control Standards (MICS), and on suspicious activity monitoring under the Bank Secrecy Act framework. The tax and distribution burden is described as an effective rate of around 50%, and net proceeds are calculated as handle minus payouts, chargebacks, and promotions, which makes bonuses a visible part of the financial model.
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