Online Gaming in Delaware

Paid-entry daily fantasy sports (DFS) are legal and regulated in Delaware. The state continues to license major DFS operators such as DraftKings and FanDuel. DFS contests remain subject to a 15.5% tax rate on gross revenue, and contests on college and amateur events are prohibited.

Online gambling in Delaware launched on 31 October 2013. Delaware's online gaming model has the Delaware Lottery operating as the sole provider of online gaming. Existing Delaware casinos hook into software operated by the Delaware Lottery to offer the full suite of casino games, including blackjack, poker and slots.

In May 2013, Williams Interactive, 888 and Scientific Games were chosen to provide Delaware with online gambling software and services. In February 2015, Delaware signed an agreement with Nevada that allows players in the two states to play against each other. The intrastate compact is particularly important for Delaware, whose population of 917,000 isn't big enough to sustain a viable online poker industry by itself. The two states officially launched the Multi-State Poker Network in March 2015.

In June 2017, Delaware became the 14th state to regulate paid-entry fantasy sports with the passage of House bill 249. Operators must pay a $50,000 fee and a 15.5% tax rate on gross revenue, the highest fantasy sports rate in the country at the moment. The law prohibits contests surrounding college and amateur events as well as horse racing. A report will be due in 2019 detailing suggested revisions to the law.

In 2015, Delaware signed an agreement to pool liquidity for online poker with Nevada. New Jersey joined the shared player liquidity pool in July 2018.

During the pandemic-ridden 2020, online poker grew 120%, and online table games soared 137%. For the first time since launching in 2013, internet gaming revenue exceeded a $3.75 million threshold that entitles commercial casino operators to a share of the revenue.

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