BetMGM Sets Illinois Minimum Bet at $2.50 in Response to Tax Changes

Per messages from the sportsbook, the state's players will no longer be able to make bets below this threshold.

Ziv Chen

Last Updated: July 15, 2025 2:50 PM EDT • 2 minute read

BetMGM Sets Illinois Minimum Bet at $2.50 in Response to Tax Changes — Pictured: In this photo illustration, a BetMGM logo is seen on a smartphone, and in the background, as we look at the company setting a minimum bet in Illinois. Photo by Pavlo Gonchar / SOPA Images/Sipa USA.

BetMGM, one of our best sports betting sites, is realigning its Illinois operation by implementing a $2.50 minimum bet mandate for all customers, starting Wednesday, July 16. The move mirrors an industry trend, with operators reacting to Illinois' recently introduced per-bet tax.

Per messages from the sportsbook, the state's players will no longer be able to make bets below this threshold, a step that seems aimed at balancing rising transactional expenses.

The operators cite the Illinois sports betting per-bet tax increase as the impetus for these changes. Under the revised structure, the state will impose a fee of $0.25 on each of the first 20 million annual online wagers a sportsbook processes, increasing to $0.50 for each additional bet.

Hard Rock Bet has already taken the same approach, establishing a minimum bet of $2.00. The institution of these minimums represents a change in how sportsbooks format bets, illustrating the increasing pressure brought about by escalating tax expenses in one of the nation's most prolific sports betting markets.

Illinois is one of the leading states in terms of online sports betting volume. In April 2025 alone, bettors placed almost $1.3 billion in wagers at Illinois sports betting apps, according to the Illinois Gaming Board.

DraftKings and FanDuel introduce transaction fees

BetMGM is not the first or last sportsbook to alter its policies. FanDuel recently announced that it would start assessing a $0.50 flat fee on all online bets, win or lose, as of September 1. DraftKings followed suit two days later with the same plan.

This is the second tax hike Illinois sportsbooks have faced in less than a year, prompting operators' concern about the market's long-term viability. The Illinois Gaming Board has acknowledged the developments and is reviewing the issue.

BetMGM raises 2025 financial outlook

BetMGM recently updated its financial outlook for fiscal year 2025 due to robust performance in real-money online casino and online sports betting during the first half of the year. Entain plc, BetMGM's joint venture partner, revealed the update in a regulatory filing.

Updated estimates put the company's projected net revenue at at least $2.6 billion, above the previous range of $2.4 to $2.5 billion. The operator also increased its EBITDA guidance to at least $100 million, an upgrade from prior guidance, which had only called for positive EBITDA without specifying an amount.

Executives characterized the company's enduring growth as a confirmation of its developing strategic paradigm. BetMGM emphasized that its Online Sports segment will be contribution-positive in 2025, supported by persistent achievement in the iGaming vertical.

The platform reaffirmed its long-term financial objective of achieving $500 million in EBITDA in the coming years.

A fuller breakdown of the company's performance is due on July 29, when BetMGM will report its H1 financials and update projections.

Written by:
Ziv Chen

Ziv has over two decades of experience in the igaming and sports betting industry, having served in senior marketing and business development positions with both B2C and B2B companies, including Playtech and Microgaming. In 2019, Ziv decided to pursue his passion for writing and became a fulltime industry journalist, covering casino, sports, and gambling business news. He’s specialties include casino games and technology, US state gambling regulation, company performance, as well as gambling affiliates and marketing. As a Pitt graduate, Ziv is a diehard fan of all Pittsburgh sports teams, with the Steelers at the top of the list. In his free time, he enjoys reading crime fiction, biographies (mainly of sports personalities, but not only) and American history. Ziv’s Favorite quote: “We're going to pursue perfection, knowing full well we won't catch it, but we're going to relentlessly chase it," Mike Tomlin, Pittsburgh Steelers Head Coach.