Fanatics Sportsbook Joins Race for Missouri Betting License, Forgoing “Untethered” Path
Fanatics Sportsbook has officially entered the race for a Missouri sports betting license, becoming the fifth operator to apply in the Show-Me State. The company is seeking both retail and online licenses but is notably taking a different strategic path than some of its top competitors.
A “Tethered” Approach in a New Market
As reported by Robert Linnehan from Sports Betting Dime, unlike rivals DraftKings, FanDuel, and Circa Sports, Fanatics has not applied for one of the state’s two highly coveted “untethered” online licenses.
These licenses are particularly valuable because they do not require a partnership with a local casino or professional sports team, freeing the operator from revenue-sharing agreements.
Instead, Fanatics will pursue a “tethered” license, which requires a market access partnership with one of Missouri’s 13 casinos or six professional sports franchises.
The company has not yet announced its partner, but the move signals a more traditional, partnership-focused approach to market entry. The deadline for all tethered license applications is September 12.
A Crowded Field and a Looming Launch Date
The application from Fanatics adds another major player to what is shaping up to be a highly competitive market. DraftKings, FanDuel, Circa, and Underdog have also submitted applications.
The state has set a target launch date of December 1, 2025, and the Missouri Gaming Commission is working to review all applications and finalize rules before that date.
The battle for the two untethered licenses is particularly intense, with DraftKings and FanDuel seen as the clear favorites due to their massive financial contributions to the campaign that legalized sports betting in the state. The commission is expected to announce its decision on those licenses on August 15.
A Long Road to Legalization
Missouri’s path to legal sports betting has been a long one, with years of failed legislative efforts. The breakthrough finally came in November 2024, when voters narrowly approved Amendment 2, making Missouri the 39th state to legalize the activity.
The new law establishes a 10% tax rate on adjusted gross revenue, with the funds earmarked for education. It also allocates $5 million annually for problem gambling programs and $4 million for rural infrastructure.
The market is expected to be lucrative, with projections from H2 Gambling Capital suggesting it could reach $1 billion in annual handle. The state’s large population of passionate sports fans and its relatively low tax rate make it an attractive target for operators.
Fanatics, which is currently live in 22 states, is a formidable new entrant, but it will face a tough fight for market share. DraftKings and FanDuel are already deeply entrenched in the state’s daily fantasy sports market and are expected to leverage that position for a strong start. The stage is now set for a major battle for customers when the market goes live this winter.
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