New York’s online sports betting market kicked off 2026 with one of its most impressive months in history, solidifying the state’s status as the largest regulated sports wagering market in the U.S.

In January 2026, online sportsbooks handled $2.44 billion in wagers, which resulted in a gross gaming revenue (GGR) of $250.6 million and contributed $127.8 million to the state tax coffers. Boasting a 10.26% hold rate, operators efficiently converted betting volume into revenue. Additionally, the state’s substantial 51% tax on online sports betting revenue once again led to the highest monthly tax collection in any U.S. jurisdiction.

New York’s tax framework distinctly sets it apart from other legal markets. While operators take home less than 50% of gross revenue, this model consistently yields exceptional financial returns for the state each month. The results from January underscored the significant concentration at the top of New York’s sportsbook landscape.

FanDuel and DraftKings combined to capture the lion’s share of both handle and revenue, leaving the rest of the market vying for a relatively small portion.