Fanatics Casino Standalone iGaming App Launches in Four States
Fanatics Betting and Gaming, the sportsbook division of the sports apparel and collectibles firm owned by billionaire Michael Rubin, is reinforcing its commitment to online gambling by launching its independent internet casino application.
On Friday, Fanatics Casino was introduced on iOS and Android in Michigan, New Jersey, Pennsylvania, and West Virginia, which are four of the seven states where online slots and interactive table games are regulated in iGaming. Fanatics is presently running its online sportsbook in those regions.
To support the company's entry into iGaming, Fanatics Casino users can participate in a sweepstakes for an opportunity to win a portion of $2 million in FanCash, redeemable for bonus bets and in-store purchases. Every week until June, one fortunate participant will be awarded $25K in FanCash. To participate in the weekly sweeps, customers of Fanatics Casino need to wager a minimum of $10 on any casino game.
Fanatics Casino is launching through apps, but web versions of the online gaming suite are set to be released next week, starting with New Jersey on Monday. The launch of the Fanatics Casino is expected to be widely advertised at next month’s Fanatics Fest at the Javits Center in New York City.
Clients to Bettors
Fanatics has committed several hundred million dollars to its gaming projects, which began after the company purchased PointsBet US in 2023 for $225 million. The PointsBet agreement offered a rapid growth opportunity for its Fanatics Sportsbook to penetrate various online sports betting markets.
Fanatics' share of the online sportsbook market has jumped from under 0.5% in November 2023 to over 5% by the end of 2024. Fanatics has successfully transformed numerous customers of its merchandise and collectibles into sports wagers. It now aims to achieve the same in iGaming, a challenging endeavor given that DraftKings and FanDuel lead the iGaming market.
Fanatics has engaged multiple top iGaming developers for its online slot machines and tables, such as Light & Wonder, IGT PlayDigital, Evolution, and White Hat Studios.
Evolution will offer live dealers for table games on both the Fanatics Casino app and desktop version. Live dealers can be found for blackjack, roulette, and baccarat.
iGaming is Major Industry
In contrast to sports betting, which features a narrow-margin gaming sector, iGaming offers operators more substantial and consistent gaming income. Although sports betting revenue can vary from month to month based on event outcomes, online casino operators have greater assurance that the odds favor them.
Licensed iGaming operators in the seven regulated states — including Connecticut, Delaware, and Rhode Island as the additional three — produced gross gaming revenue of $8.41 billion in the previous year. Sports wagering, permitted in 39 states along with Washington, DC, produced a GGR of $13.71 billion.
The potential of iGaming is highlighted by its ability to win over half of what oddsmakers achieved, despite being active in fewer than a quarter of the states, with its seven legal markets being some of the least populous (West Virginia — 40th, Rhode Island — 45th, Delaware — 46th), which presumably explains Fanatics' investment in online casinos.
The growth of iGaming continues to surpass that of sports betting. In 2024, iGaming GGR rose by 29% compared to the previous year, whereas sports gambling revenue grew by 24%.
