DraftKings (NASDAQ:DKNG) and Circa Sports are early leaders in the Missouri sports betting race after the Missouri Gaming Commission selected them as the winners of the state’s two highly coveted untethered online sports betting licenses.
An untethered license is highly important because it means that a third-party sportsbook does not have to partner with a brick-and-mortar casino or sports team to land market access. The selection of Circa Sports is considered by industry insiders a major surprise, especially considering it beat out FanDual (FLUT) for the coveted spot. FanDuel (FLUT) is expected to apply for a tethered sportsbook license before the deadline of September 12. Other sports betting operators expected to make a play for a tethered sportsbook license include BetMGM, Bet365, Fanatics, Caesars, Bally Bet (BALY), ESPN Bet (PENN), and Underdog.
Missouri Gaming Commission Executive Director Michael Leara said Circa Sports stood out because it is set up to cater to larger bettors and contrasts with the high-volume models of DraftKings (NASDAQ:DKNG) and FanDuel (FLUT).
Circa Sports CEO Derek Stevens noted that the company was a long shot to win the license, but won by “staying true to who we are.” Las Vegas-based-Circa Sports is known for its vibrant atmosphere, bettor-friendly odds, and expansive betting options. Located at Circa Resort & Casino, it boasts a three-story venue with an exceptionally large sportsbook screen, immersive stadium-style viewing, and diverse seating for up to 1,000 guests. The company’s mobile app provides nationwide access to pro sports, international events, and signature football contests. Circa Sports is currently active in Nevada, Colorado, Iowa, Illinois, and Kentucky.