Super Bowl LIX proved to be a landmark event for online sports betting, with GeoComply, a leading provider of anti-fraud and geolocation compliance technologies, reporting a remarkable 14% increase in active player accounts on sportsbook platforms compared to the previous year’s big game. Notably, the surge was particularly significant in states where local regulators have taken strong actions against illegal offshore sportsbooks, underscoring the positive effects of these enforcement measures on legal betting.
Impact of regulatory actions on legal sportsbook growth:
GeoComply’s data revealed that in states where regulators had issued cease-and-desist orders against illegal sportsbooks, the growth rate in active accounts was approximately double that seen in states that had not yet taken similar steps. This data reinforces the idea that regulatory intervention plays a crucial role in directing bettors to authorized and compliant platforms.
The company’s findings come on the heels of a year marked by considerable legal progress. In the 12 months leading up to Super Bowl LIX, 14 states took action against illegal sportsbooks, demonstrating a unified effort to curb offshore betting activity. GeoComply’s call to action in February 2024 urged both state and federal authorities to intensify efforts against illegal online gambling. The move has clearly had a lasting impact on shifting bettors towards regulated platforms, which is critical for the ongoing development of the legal sports betting landscape in the U.S.
According to Anna Sainsbury, CEO and Co-Founder of GeoComply, these enforcement efforts directly contribute to increased consumer engagement with legal sportsbooks. “When states take enforcement action, we see a correlation with increased engagement on our customer’s platforms. More fans are choosing legal sportsbooks, driven by stronger consumer protections and enhanced user experiences,” Sainsbury explained in the company’s press release. “This means even greater tax revenues to support local communities and promote responsible growth while reducing reliance on illegal sportsbooks.”
GeoComply’s role in enabling massive fan engagement:
In addition to her praise for regulatory efforts, Sainsbury also highlighted GeoComply’s role in supporting sportsbook infrastructure during major events like the Super Bowl. “GeoComply’s unwavering commitment to reliability and scalability means that during big moments like the Super Bowl, our customers can trust us to support them fully. We’re proud to power the infrastructure that allows millions of fans to participate in one of the most important sporting events of the year, and we’ll continue innovating to meet the ever-growing demands of this dynamic market,” she added.
The Super Bowl weekend also marked significant fan engagement in New Orleans, with GeoComply recording nearly 535,000 geolocation transactions from over 60,000 active accounts. These figures represented an impressive increase of 150% in transactions and a 220% rise in users compared to a typical week. The excitement of Super Bowl weekend was palpable as fans flocked to legal sportsbooks to place their bets, signaling growing confidence in the regulated market.
Across the U.S., GeoComply recorded the creation of more than 724,400 new online wagering accounts from sportsbooks operating in regulated states. The surge in sign-ups indicates a shift towards more secure and compliant platforms as bettors look for reliable and legal ways to participate in major sporting events. Notably, during the Super Bowl itself, GeoComply observed a peak of 14,300 geolocation transactions per second (TPS) just after the Philadelphia Eagles scored their third touchdown. This peak highlighted both the intensity of fan engagement and the scalability of GeoComply’s infrastructure, which can handle the massive traffic generated by such high-stakes events.
The Eagles’ victory, defeating the Kansas City Chiefs with a commanding 40-22 scoreline, further fueled the dramatic increase in sportsbook activity. The Philadelphia Eagles, entering the game as underdogs, surprised many by dominating the Chiefs, who were aiming for their fifth Super Bowl title in recent years. This unexpected outcome undoubtedly contributed to a higher level of interest in the game and in betting activity.
GeoComply’s technology, which verifies a player’s location using over 820 data points before a wager can be placed, remains an essential component in ensuring compliance within the U.S. regulated sports betting industry. This commitment to security and reliable geolocation is vital in maintaining the integrity of the legal market, particularly as the popularity of online betting continues to rise.
