Horse racing reigns supreme in Kentucky, but Bluegrass State racetracks have played a pivotal role in attaining a level of respectability in the sports betting realm despite a muddy path to legalization.
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About Sports Betting in Kentucky
It would have been quite logical for Kentucky to move briskly once the U.S. Supreme Court cleared the way for the nationwide implementation of sports betting in 2018. The state was – and is – the epicenter of one of America's oldest forms of wagering in horse betting. Why not swiftly welcome more sports into the fold?
Things are rarely so simple, however, and it took Kentucky until 2023 to launch statewide sports betting online and in person. Predictably, the state's powerful horse tracks -- foremost among them Churchill Downs, home of the Kentucky Derby -- would be at the center of the newly legalized form of wagering, having been given the exclusive right to host retail sportsbooks and to partner with up to three mobile platforms apiece.
Unlike most states, Kentucky has set an age minimum of 18 for people within its boundaries to bet on sports, mirroring a standard long applied to horse wagering. But national operators have their own standards, and many have chosen to voluntarily enforce a 21+ age requirement for sports betting in the Bluegrass State.
Horse racing may still reign supreme in Kentucky, and the state is devoid of Big Four professional franchises. But Kentuckians' affinity for college basketball and other athletic pursuits has led to it attaining a level of respectability in the national sports betting landscape.
14.25% tax on mobile sports betting revenue and a 9.75% tax on retail revenue, with 2.5% of those proceeds going to the education and treatment of alcohol, drug, and gambling addictions, and the rest funding state pensions.
All retail sportsbooks are based at the racetracks and affiliate properties like OTBs.
Initial sports wagering license fee is $500,000, with an annual renewal fee of $50,000. The initial fee for an online operator is $50,000, with an annual renewal fee of $10,000.
Each of Kentucky's nine horse tracks are granted three online skins, meaning up to 27 mobile sportsbooks could theoretically operate in the state.
The age minimum for sports betting in Kentucky is 18, but most mobile sportsbooks have chosen to stick to the more prevalent 21+ standard.
College betting of all kinds is allowed, but there's no wagering on the NFL draft, elections, or entertainment industry award ceremonies.
Legalization Timeline
Legislature fails to pass sports betting bill despite governor's support
April 15, 2020
After years of opposition from his predecessors, Governor Andy Beshear voices his full support for a bill introduced by Rep. Adam Koenig. Nevertheless, the state legislature adjourns on April 15 without legalizing sports betting.
Gov. Beshear signs sports betting into law
March 31, 2023
It would take another three years before Beshear's support would translate into legislative success, as the governor signs a sports betting law that designates the state's existing horse racetracks as the fulcrum of the newly legalized form of wagering.
Beshear places first in-person sports bet at Churchill Downs
September 17, 2023
Fittingly, it is Beshear who places the first sports wager in Kentucky history. Just as fittingly, he does so at Churchill Downs Race & Sports Book, placing a three-legged parlay futures bet on the University of Kentucky and Louisville football teams to eclipse their projected season win totals and for Duke's rival pig-skinners to hit the under for theirs.
Mobile betting commences
September 28, 2023
Online wagering begins in Kentucky, with eight mobile sportsbooks accepting bets of all types.
Division of Sports Wagering created
March 26, 2024
Beshear signs into a law a bill that removes sports wagering oversight from the KHRC's Division of Parimutuel Wagering and instead places it under the supervision of the KHRC’s newly created Division of Sports Wagering, thus drawing a thin but clear line between the regulation of horse betting and sports betting in the cradle of the Thoroughbred industry.
FAQs
Is sports betting legal in Kentucky?
Yes. While Kentucky was something of a late adapter, both retail and mobile sports betting launched in September of 2023.
Who can bet on sports in Kentucky?
As with horse betting in the state, the minimum legal age to wager on sports in Kentucky is 18. Most mobile sportsbooks have nevertheless chosen to enforce the 21+ standard that prevails in most other states that have legalized sports betting.
Who regulates sports betting in Kentucky?
The Kentucky Horse Racing Commission (KHRC), which includes a Sports Wagering Advisory Council and Division of Sports Wagering, regulates sports betting in Kentucky.
What can I bet on in Kentucky?
The KHRC has approved wagering on a plethora of sporting events in the Bluegrass State, including: Olympics (Winter and Summer), Australian Rules Football, baseball, softball, basketball, billiards, bowling, bull riding, boxing, chess, cornhole, cricket, cycling, darts, esports, football, futsal, golf, ice hockey, lacrosse, MMA, motorsports, rugby, sailing, snooker, soccer, competitive eating, X-Games, table tennis, tennis, volleyball, and winter sports.
What can't I bet on in Kentucky?
Kentucky has declined to approve wagering on award ceremonies like the Oscars or Grammys, esports, and political elections. College sports wagering of all types is allowed.
Is DFS legal in Kentucky?
Daily fantasy sports are a gray area in Kentucky, which has neither approved nor explicitly banned DFS. Despite this limbo state, DraftKings and FanDuel offer DFS contests in Kentucky.
Is it legal to bet on horse racing in Kentucky?
Does a bear spit in the woods? Of course it's legal to bet on horse racing in Kentucky, home to Churchill Downs, the Kentucky Derby, and the epicenter of the U.S. equine industry. Patrons can bet on live races at no fewer than nine racetracks, while simulcast wagering is available through their affiliated off-track betting facilities and several advance-deposit wagering websites, including Churchill's own TwinSpires platform. Kentucky is also home to the nation's most lucrative collection of slot-like Historical Horse Racing (HHR) machines, which can be found at several tracks and OTBs.
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