New Jersey and New York are geographic neighbors and share many similarities, especially socially and politically. They also both have regulated gambling markets. New Jersey has a well-established and profitable online gambling market. New York has a lucrative sports betting market, but online gambling is not yet permitted in New York.
The presence of betPARX in New Jersey
Online and physical casino-based gambling is legal in New Jersey and governed by the New Jersey Casino Control Act. Online and land-based sports wagering is also permitted.
There are several legal gambling apps in New Jersey, including a local one that is thriving despite global competition. BetPARX is backed by Parx Casino in Bensalem, Pennsylvania. The betPARX app provides access to real-money casino games on mobile devices through a regulated NJ online casino. It was launched in 2022 in partnership with Playtech and has grown by employing various tactics, including focusing on user experience and offering online sign-up bonuses. The app covers core games and ties into XClub rewards for extra perks.
New York sports betting
In 11 months of 2025, sports betting revenue in New York overtook the previous year’s total revenue. In November 2025, the sports betting handle was $2.6 billion. New gross revenue was a record of over $280 million. With many major sports events taking place in 2026, sports betting revenue could go even higher.
The New York State Gaming Commission regulates sports betting, and illegal gambling operations in New York may receive heavy fines and even prison sentences.
Online sports betting
Online sports betting launched in New York in 2022, and there are currently nine licensed online sportsbook operators.
Physical casinos
As of 2026, New York has four commercial retail casinos, all located upstate. Plans are to add three more in 2026. New York City and Metropolitan Park are two of the chosen sites, both of which are in Queens. People have been sharing on social media about the proposed sites and raising questions about competition. The third site is in the Bronx. The new sites will increase competition, but they will also give consumers more options.
The political focus on these land-based casinos is taking some attention away from making online gambling legal in New York.
Tax revenue
New York taxes sports betting revenue at 51%, which is the highest rate in the U.S. In 2025, it generated $1.19 billion in taxable revenue. The tax funds go mainly toward education, youth sports programs, and problem gambling initiatives. There have been discussions about a tax cut, but no action has been taken.
When it comes to online gambling tax revenue, New York could look at New Jersey as an example. Online gambling is taxed at a rate of 15% in New Jersey, which incentivizes investment and gets more people to play more quickly. Launching online gambling in New York with a proper tax rate could go a long way to maturing the market quickly.
What can’t players bet on in New York?
Sports bettors aren’t allowed to place bets on any college team based in New York, regardless of where the game is played. Proposition bets on the performance of college athletes aren’t allowed either. High school sports are also off-limits for betting.
Will New York legalize online gambling in 2026?
When looking at the online gambling market in 2026, New York has huge online sports betting revenue potential. However, it is still missing out on online casino tax revenue. New York has the potential to generate $1 billion annually from online gaming with the correct approval and legislation.
New York could become the most lucrative online gambling market in the U.S. and is well-positioned for more than 20 potential online gambling platforms. Some of the nation’s highest-grossing online casino operators would be interested, and commercial casinos in the state are also likely to apply for online gambling licenses.
Advocates for online gambling believe that the state is missing out on the revenue-making opportunities that exist in other states. However, there is still pushback from those who believe the move could cost jobs and be harmful for those who experience gambling problems.
