Fact Check: Did New Yorkers Really ‘Win’ $48m On Knicks?
New York-sanctioned sportsbooks reported a paper loss of $48.5 million for the week ending June 14, following the Knicks winning the NBA title. What does this really mean for consumers?
Knicks fans bet heavily on their team and won many bets, resulting in the state’s sportsbooks paying out far more than they took from users during the week.
It was the first losing week ever for New York’s sports betting market. Each week, with the exception of just one so far, New Yorkers typically lose tens of millions of dollars gambling on sports.
But this sportsbook loss on the Knicks championship isn’t the same as user profits, as framed by some industry-friendly commentators.
The reason is that while many users in New York won on their Knicks bets, many, if not most, still have that money in their betting app accounts.
This matters because they can give it back to the sportsbook through other losing wagers. It’s not technically their money until it leaves the sportsbook. One recent study found that many people bet more heavily after wins due to a “house money effect.”
That’s the key: sports betting apps, like any casino in the world, want you to keep playing as long as possible. The more you play, the more you lose.
Americans lost nearly $17 billion to state-sanctioned sportsbooks in 2025. Users who try to develop strategies to win are typically banned or restricted.
U.S. regulated sportsbooks are notorious for slow withdrawals, sometimes drawing the scorn of gambling regulators who describe slow-walking player withdrawals as an egregious business practice.
Direct marketing while waiting for your money can be especially predatory.
New York is considering updating its regulations to slightly better protect consumers. Ultimately, because New York taxes sports betting industry gross revenue, it still wants gambling losses to grow over time.
Sportsbooks must also print money for their owners and executives so they can continue living lavish lifestyles. Meanwhile, everyday Americans are financially harmed day in and day out. A brief winning week is meaningless.
Image by Andrew Scozzari from Pixabay
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