Blask Report Highlights Offshore Platform Dominance in the US

A new analysis from AI market analytics platform Blask shows that despite years of legalization and rapid growth, offshore operators remain the dominant force in the US gambling sector. The firm’s 2025 assessment of the US online gambling landscape reveals an enormous, yet fragmented market that operates through a patchwork of distinct state-level systems.

Revenue Outflow Is a Significant Issue

The USA presents significant opportunities for operators. The report shows that the nation’s online gambling market generated approximately $79.8 billion in Competitive Earning Baseline (CEB) during 2025. This figure places the USA far ahead of all other regulated markets, including the United Kingdom, which remains a distant second. However, this impressive figure hides a substantial imbalance between licensed operators and offshore platforms.

Seven individual US states now operate at volumes comparable to global top-tier jurisdictions.

Blask report

Blask estimates that out of roughly 362 operators serving American players, about 290 operate outside domestic regulatory frameworks. Offshore companies control 80% of the brands active within the US online gambling market. Revenue streams reflect this discrepancy. Of the $79.8 billion market value identified in the report, only about $25.2 billion was captured by regulated domestic operators, with the remaining two-thirds siphoned offshore.

The contrast becomes evident in different types of states. The offshore market share in jurisdictions that have legalized both online casino games and sports betting services only averages around 38%. However, in states where only sports betting is legal, offshore platforms maintain a 74% maket share. Markets that do not permit any form of online gambling lead to an 100% offshore presence by default.

Legalization Can Significantly Mitigate Risks

Despite these worrying results, the Blask study reveals that legalization has a noticeable impact. When states implement comprehensive regulatory systems, consumer spending shifts toward legal alternatives. The process, however, unfolds gradually rather than overnight. While no US state has eliminated offshore activity, the data suggests it can be drastically reduced through comprehensive legislation.

Market maturity is another significant factor. Newer jurisdictions often encounter difficulties with channelization in the early stages of regulation. Rhode Island, one of the most recent states to legalize online gambling, serves as a perfect example. While the share of domestic operators remains overshadowed by offshore platforms, the scales are already beginning to tip.

Regulation shifts market balance rather than removing offshore competition entirely, a dynamic that continues to define the structure of the American online gambling industry.

Blask report

Licensed brands carry inherent advantages, allowing them to expand their offerings and foster consumer trust. Established operators typically invest in stronger products, responsible gambling tools, and marketing campaigns that reinforce the advantages of regulated play. This reality also underscores significant untapped opportunities in the US market, particularly in states that have not yet implemented regulated gambling.