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GreaT LakeS , GreaT STakeS
Since its launch in January 2021 , Michigan has become one of the biggest online gaming markets , due to the fact it is one of the few states that offers both iGaming and mobile sports betting . The influence of the market is reflected in the amount of promotional spending by operators , which has only increased over time .
According to data from the Michigan Gaming Control Board and published by PlayMichigan . com , the projected 2024 promotional spending totals for four of the state ’ s top five iGaming operators — FanDuel , DraftKings , Caesars and BetRivers — are all expected to exceed their outputs from both 2023 and 2022 .
BetMGM had been the top spender by far in both previous years , investing $ 55.6 million in 2022 and $ 58.6 million in 2023 , but for 2024 that title will likely go to FanDuel , which is projected to shell out $ 59.6 million this year as opposed to just $ 40.5 million in 2023 .
In Michigan , promotional deductions for iGaming fall under a graduated scale : in years 1-3 , operators can deduct up to 10 percent of gross receipts , which then falls to 6 percent in year four , 4 percent in year five and 0 percent in year six and beyond .
Promotional Spend by Michigan ’ s Top 5 Online Casinos
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ID verification provider AU10TIX recently released its Q1 2024 Global Identity Fraud Report , which identifies fraud trends in a variety of global industries .
Unfortunately for operators , the online gaming industry made its first appearance on the report . It was placed third in global fraud attacks ( 5 percent ), behind only payments ( 62 percent ) and crypto ( 24 percent ). That means gaming ’ s total was already more than the banking ( 3 percent ) and e-commerce ( 2 percent ) sectors .
According to the report , the online gaming industry saw its share of identity fraud attacks increase by more than 250 percent from the fourth quarter of 2023 to the first quarter of 2024 .
As much as 50 percent of those attacks , AU10TIX said , are attributable to bonus abusers , or those who look to take advantage of new member promotions by opening several accounts . The firm ’ s analysts project that this trend could slow down as global regulation continues to ramp up and more operators adopt more stringent age verification and know-your-customer protocols .
6 Global Gaming Business JULY 2024