✔️Billy Walters: "The offshore world’s going to be bigger than ever.”

[KVB]

While the public is always going to be quick to blame operators - and they could be more tactful in their language or how they could put tax charges into products such as futures or larger straddles on props - the fact that the states are charging so much tax is the reason for the largest amounts of any increase. DK made their plan known to shed light on the increased state taxes (They are mostly increasing the surcharge in the most heavily taxed states), so the states are trying to bleed extra money out of their tax payers. Most of these companies were not getting any momentum in their stock prices even before last week's sell-off, as they are just up against it with poorly-conceived regulations.

We always knew they would pass the mad costs to operate onto the customer, you do that by charging more for the product. They can increase the vig.

Even under often increased vig (though it has gotten better), they're trying to tax the winners.

Yes, that can be the same thing, but in reality it's not.

A bettor shouldn't care about his vig. That's the truth. He should only care about getting the number he wants or needs.

So those getting the number they need, even with the vig added, that win their bets are now going to be taxed an extra 3.2%? In this way, increasing the vig and taxing the winners are not the same thing.

That's unfair and creates an unfair marketplace as even though the double dipping occurs across all bettors, one gorup is clearly dispropotionately affected. You can do that in this industry wtih risk management, but when you do it through "taxation" it becomes a different animal.

 

[KVB]

That's unfair and creates an unfair marketplace as even though the double dipping occurs across all bettors, one gorup is clearly dispropotionately affected. You can do that in this industry wtih risk management, but when you do it through "taxation" it becomes a different animal.

At first, the customer might be able to go somewhere else, give their business to another company. But taxes like these in a near monopoly become just that, taxes that won't be avoidable across the marketplace.

Praise God for Nevada.

New Jersey should do the right thing too, just as homage to the past if anything else, lol.

 

[KVB]

I do realize that it's not actually the State levying that tax and that it's basically a suracharge to collect your money, but it still become discrimination through taxation when you see it through our eyes.

 

[Brock Landers]

I never left OFFSHORE. Sure I'll bet cash or play at San Duel or whatever if it's convenient at the moment. But I've played offshore for 28 years, no reason not to

 

[KVB]

Wow. Just wow.
As someone said. Sharps, if there were any at DK, will go elsewhere. The public won't know any better.

Remember, who is setting that line across the marketplace? Who is it that sets the TRUE NO Vig line, not the one you calculate from some market's spread? Regardless of tax, that will continue to happen, because when it doesn't, the inefficeincy gets stamped out.

It's all about margin and that tax just eats into it. Sharp money is everywhere, always watching.

Remember the leading and lagging lines in Knowing Your Markets?

 

[KVB]

Regardless of tax, that will continue to happen, because when it doesn't, the inefficeincy gets stamped out.

It's all about margin and that tax just eats into it. Sharp money is everywhere, always watching.

What I'm getting at here is that if these big corporations fukk around enough they'll find out that their revenue source isn't exactly full made up of what they think it is.

And they stand to lose a significant amount of action. This they do not want, handle is everything to them.

Unless of course you're going to surcharge everyone that's left, which is what it would be. Spread would widen and they would be out of business in no time. If the tax is widespread, then the old kings of the industry will be stronger than ever.

It's a road nobody Stateside wants to go back down.

And if it goes that far, the public sure as hell is going to notice.

 

[KVB]

It's a road nobody Stateside wants to go back down.

I take that back.

There are a lot of previously successful neighborhood bookies, some very large ones, and groups of bookies even that wouldn't mind this tax hitting all the firms.

They can go back to offering a tax free underground option that many bettors would be more than happy to go back to. This time it would be double tax free.

Same for all the vig free betting groups out there as well. They will proliferate in such an environment.

Ok ranting over for today.

 

[jjgold]

Locals coming back too

 

[dhristov211]

Locals coming back too

Only until they piss off DK enough to make FBI create a task force and crack down on locals

 

[lekidecincinnati]

gotta make up for all that money spending on commercials

 

[EasyTiger]

Heck at this rate, lines at Fliff are going to look more attractive

 

[rsstreams]

I can whine about the shitty companies and try to pretend I know what I am talking about but maybe FLUT (FD) knows what it is doing, as they reported an absolute stunner of a quarter. FLUT pops 10 pct, while DK drops 2 percent on a monster day. lol

 

[aikman.tr]

DK dropped the tax bullshit. Will likely now resort to -140 on side.

 

[KVB]

DK dropped the tax bullshit.

Of course they did.

It was never going to fly in the industry. A surcharge to collect is a bad idea.

 

[KVB]

I can whine about the shitty companies and try to pretend I know what I am talking about but maybe FLUT (FD) knows what it is doing, as they reported an absolute stunner of a quarter. FLUT pops 10 pct, while DK drops 2 percent on a monster day. lol

Not relevant at all.

FanDuel itself has a variety of revenue streams and the equity value has nothing to do with this discussion.

This is about advertisers pretending to be bookmakers throwing truly shitty ideas at the wall to see what sticks.

 

[mralar16]

DK dropped the tax bullshit. Will likely now resort to -140 on side.

 

[mralar16]

DK dropped the tax bullshit. Will likely now resort to -140 on side.

Are you saying they will increase the vig regardless?

 

[Tanko]

Of course they did.

It was never going to fly in the industry. A surcharge to collect is a bad idea.

So this was all a ploy by DK? Kind of like Coke killing Original Coke and then coming back with "Coke Classic"?

What would they hope to achieve with this???? Is it just a prelude to justifying higher vig?
What else could it be?

 

[aikman.tr]

Are you saying they will increase the vig regardless?

It's the only way they can squeeze more profit out of winners. Where the inflation at the store rises, how does a bookie make more Raise the vig. What they really want is players to hit the casino. Law only says it need to be a fair game, says nothing about the casino dropping the RTP to 80%

 

[KVB]

They still need to remain competitive and that fairness in the marketplace should keep the vig somewhat tight and under control.

It has in the past.

Besides, many early lines have higher vig anyway and they can stay in line with that for the early market shapers.