Puerto Rico is close to being the first U.S. territory to offer legal sports betting. The regulations permit territory-wide mobile betting with remote registration; retail betting at numerous locales; 7 percent tax on brick-and-mortar bets; 12 percent tax on mobile and online wagers; no integrity fees or royalties to leagues; and 18 year-olds can bet.
As written, the regulations permit betting on professional, college, Olympic sports, eSports, and virtual sports. The language may also allow betting on non-sports events such as the Academy Awards and elections, according to Sports Handle.
Based on three studies, Puerto Rico could take in between $15 and $87 million in taxable revenue each year when the market matures.
On the unusual side of the regulatory formula comes a provision to waive a licensing fee for ten years for cock-fighting venues and cut the fees in half for tracks licensed by December 31, 2018, supposedly an advantage to local operators over outsiders.
Operator licensing fees begin at $50,000, with satellite or point of sale licenses beginning at $2,500. Daily Fantasy Sport sites pay a minimum of $10,000 for operators and $1,000 for satellites. Certain employees pay fees as well. Operators have to prepare apps in Spanish and English.
Pro athletes would not be able to place a bet on any sports, not just the one they play. In the U.S., athletes can often bet on other sports. Bets are capped at $2,000 per day per person, which may drive big bettors to go to illegal markets;
Advertising guidelines rank among the strictest, including a ban on animated characters which might be construed as appealing to children.
