Nebraska Casinos Get Key Funding Amid Push for Sports Betting

Casinos leading an effort to legalize mobile sports betting in Nebraska got some crucial funding this week. 

DraftKings and FanDuel both confirmed that they contributed over $1 million to an effort to put mobile betting on the midterm election ballot in November. The state’s top casinos lead it and operate under the name Tax Relief Nebraska (TRN). They are currently working to gather the signatures needed by the July 3 deadline. 

While other sportsbooks have made donations to the effort, the significant investment by industry leaders nearly doubles that amount. 

TRN has two different petitions it is gathering signatures for. The first would alter the state’s constitution to allow for mobile betting, which requires signatures from 10% of the state’s voting-age population. The second petition would amend existing gambling regulations and would require only 7% to sign off. 

With their contributions, FanDuel and DraftKings join the following groups in supporting the effort:

• PrizePicks

• Coalition for Fantasy Sports

• Warhorse Gaming

• Caesars Entertainment

• Husker Gaming

• Grand Island Casino Resort PAC

Retail sports betting has been legal in Nebraska since June 2023.

FanDuel, DraftKings not satisfied with sports contracts

While FanDuel and DraftKings can’t offer their world-renowned sports betting platforms in Nebraska, both still offer sports betting for the market.

The nation’s two largest sportsbooks have launched their own prediction platforms, which include sports markets. They have been keeping those out of states with legal sports betting, but have them available in those that don’t, including Nebraska.

Unlike their sportsbooks, the prediction platforms of FanDuel and DraftKings don’t have to follow state gambling regulations or taxes. That makes them far cheaper to operate and avoids the complexity of navigating varying regulations across US markets. As a result, many wondered if or when the sportsbooks would shift their main focus towards predictions.

With their investment in Nebraska, the operators are showing they would prefer swapping their prediction platform for their sportsbooks. That has left many wondering whether the decision signals that DraftKings and FanDuel may be cooling on the future of the emerging industry.