Michigan’s Digital Gaming Market Hits New Heights
March 2025 proved to be a historic month for Michigan iGaming and Sports Betting Revenue Growth. Commercial and tribal internet gaming operators combined to report $293.5 million in gross receipts, a 9.3% jump from February. iGaming alone generated $260.5 million — setting a new monthly record — while internet sports betting brought in $33 million despite a dip from the prior month.
Adjusted gross receipts (AGR) also reflected strong momentum. iGaming contributed $246.1 million to AGR, a 17.7% rise from February, even as internet sports betting AGR fell 46.4% to $14.6 million. Combined, Michigan’s online gaming activities delivered $51.4 million in state taxes and payments, underscoring the critical role digital wagering now plays in the state’s public finances.
Betting Handle and Operator Overview
The online sports betting handle — the total amount wagered — climbed to $475.1 million in March, reflecting strong consumer engagement driven by NCAA March Madness and broader seasonal trends. Although the handle grew, actual revenue from sports betting fell, highlighting the variance and risk operators face despite growing participation rates.
As of March 2025, 15 authorized commercial and tribal operators offer iGaming, with 12 of those also providing internet sports betting. Heavyweight brands continue to dominate, but Michigan’s diverse market includes emerging operators supported by a strong regulatory framework led by the Michigan Gaming Control Board (MGCB).
Cracking Down on Unlicensed Markets
While the regulated market flourishes, Michigan is waging an aggressive campaign against offshore and unlicensed operators. Over 20 unregulated gambling websites have been forced out of the market, and the MGCB has launched active investigations into sports prediction markets like Polymarket, Kalshi, and ForecastEx2.
These prediction exchanges, while innovative, operate outside Michigan’s legal betting system. They often frame betting contracts as “financial investments,” sidestepping consumer protection standards like age verification, KYC compliance, and anti-money laundering protocols. The MGCB has emphasized that such unlicensed activity undermines both consumer safety and the integrity of the regulated market.
What’s Next for Michigan’s iGaming Landscape?
Michigan’s iGaming success story paints a clear picture: regulated markets can thrive when innovation is balanced with strong consumer protections. However, the continued rise of offshore operators and experimental platforms like prediction markets presents new challenges for regulators.
Looking ahead, Michigan will need to double down on enforcement, education, and innovation partnerships with operators to maintain its leadership position. With iGaming revenues surpassing traditional casino floors, and major national conferences like NCLGS 2025 spotlighting gaming policy evolution, Michigan’s model could become the gold standard if handled correctly.
At the same time, the fight to protect market integrity must not stifle innovation entirely. As more unregulated alternatives emerge, Michigan — and other states — must find ways to license and integrate new formats without sacrificing the consumer safeguards that have made legal iGaming successful so far.
