Circa Sports has introduced a $10 minimum online wager in Illinois—the highest threshold in the state—to counter mounting tax burdens introduced by new legislation.
Circa Sets Highest Minimum Wager in Illinois Amid New Betting Tax
Circa Sports has introduced a $10 minimum online wager in Illinois—the highest threshold in the state—to counter mounting tax burdens introduced by new legislation.
As of July 1, 2025, Illinois implemented a “per-bet tax” model, charging operators $0.25 for each of the first 20 million wagers annually and $0.50 for every wager beyond that, regardless of whether the bet wins or loses. This shift from revenue-based to volume-based taxation creates severe financial pressure for sportsbooks that rely on high-volume, low-margin models.
Circa: “No Extra Fees—We’d Rather Raise the Floor”
Circa Sports CEO Derek Stevens said the new $10 minimum aligns with their existing customer base, whose average bet size is already around $50. Instead of introducing per-bet fees or altering odds structures, Circa opted to maintain transparency and fairness for serious bettors.
“After careful consideration, we believe raising the minimum wager is the best course for a low-hold, high-volume sportsbook like Circa,” Stevens said.
“We are unwilling to compromise our best-in-class odds or charge per-bet fees.”
Unlike major operators like FanDuel and DraftKings that target a broader casual audience, Circa focuses on high-stakes, experienced bettors—making the $10 minimum largely irrelevant to its core users.
Industry Response: A Split Strategy
Different operators have responded to the tax in varying ways:
| Operator | Response |
|---|---|
| DraftKings / FanDuel | Added $0.50 surcharge per bet |
| ESPN Bet | Raised minimum bet to $1 |
| BetRivers / BetMGM / Hard Rock Bet | Increased minimum wagers |
| Circa Sports | Set $10 minimum, no added fees |
This divergence in strategy is creating a split in the market: casual bettors now face higher costs or limited options, while high-value players continue largely unaffected.
A Heavier Tax Burden, Shrinking Margins
Previously, Illinois sportsbooks paid a flat 15% tax on revenue. The new structure has effectively pushed that burden above 50% for high-volume operators. With additional taxes even on fees passed to users, many sportsbooks now face a squeeze on both sides.
Experts warn the change could stifle promotions, discourage innovation, and eventually push smaller operators out—accelerating market consolidation in favor of dominant players like DraftKings and FanDuel.
Circa Enters Missouri, Snags Rare License
Amid its Illinois tax response, Circa also scored a major win by obtaining one of only two independent mobile sportsbook licenses in Missouri. The company is set to launch operations in the state on December 1, 2025.
While FanDuel secured market access through a partnership with St. Louis City SC, it did not obtain a direct license. DraftKings, by contrast, also landed a direct license, underscoring its adaptability across markets.
