Arizona

Sub-national unit

Enter only with a secured tribal or sports-franchise tether, or as a B2B supplier to existing operators.

6 open · 2 restricted · 6 closed · 6 not yet assessed → 20 classes
Collected 25 Oct 2026 · Published 25 Oct 2026 · Changed 18 Oct 2026 PDF Sign in for PDF Compare

Can we offer our product?

Every product class, in fixed taxonomy order. The band is what you can do; where the recorded legal status says something the band does not, it is shown beside the product.

Player products

  • CasinoProhibited · Models agree
    Closed
  • PokerProhibited · Models agree
    Closed
  • BingoProhibited · Models agree
    Closed
  • LotteryState monopoly
    Closed
  • Sports betting
    Restricted
  • Other event betting
    Not yet assessed
  • Horse and greyhound racing betting
    Not yet assessed
  • Esports betting
    Restricted
  • Exchange betting
    Not yet assessed
  • Pool betting
    Not yet assessed
  • Virtual event betting
    Not yet assessed
  • Fantasy sports
    Open
  • Skill gamesProhibited · Models agree
    Closed
  • Prediction markets
    Not yet assessed
  • SweepstakesOutside the regulatory perimeter · Models agree
    Open
    Varies by form · 1
    • Dual currency: grey_zone
  • Free playOutside the regulatory perimeter · Models agree
    Open

Supply roles

  • Software / B2BModels agree
    Open
  • Affiliate marketing
    Open
  • Payments for gamblingModels agree
    Open

Settlement rail

  • Crypto gamblingProhibited
    Closed

Class-level certainty is graded for 8 of 20 classes.

Board briefing

Arizona is a large, low-tax US sports wagering market gated by a unique dual-tether sponsor model.

What has changed

  • All ten tribal licences are filled again as of 3 August 2026 — after Sporttrade's 25 May 2026 exit vacated a slot, ADG's June-July 2026 application window resulted in the licence being awarded to Circa Sports Arizona LLC for the San Juan Southern Paiute Tribe; Governor Hobbs' FY2027 budget also proposes a 45% top-tier tax for the largest operators.

What to do now

  • If you lack a tribal or sports-franchise sponsor, target B2B supply to the ~13 active operators rather than seeking a new B2C slot.

What to watch

  • The tiered-tax proposal's legislative path and the June-July 2026 application window for sports-franchise slots.

11 answers, each dated and graded

The weather grades favourability for an operator, not legality: legality is the product table above. The left rule is our confidence: solid confirmed, dashed probable, dotted uncertain.

01 · What kind of market is this?

Overview

Mixed

The Arizona Department of Gaming's Division of Racing summarily suspended Skyfall 7, LLC dba Turf Paradise's teletrack permit effective 16 October 2026, closing the on-track simulcasting and off-track wagering network this licensee operates. The stated basis is loss of property access and insufficie…

Full analysis · 118 words

The Arizona Department of Gaming's Division of Racing summarily suspended Skyfall 7, LLC dba Turf Paradise's teletrack permit effective 16 October 2026, closing the on-track simulcasting and off-track wagering network this licensee operates. The stated basis is loss of property access and insufficient licensed personnel amid a landlord-tenant dispute between TP Racing, L.L.L.P. and lessee Skyfall 7, LLC, not a licensing-standards finding. A hearing is scheduled for 19 November 2026. The suspension is specific to this licensee's teletrack channel; it sits alongside a functioning event-wagering framework, under which the Arizona Department of Gaming allocated an event-wagering operator licence to Circa Sports Arizona LLC, designee for the San Juan Southern Paiute Tribe, in August 2026 under A.R.S. § 5-1304.

  • Dual-tether model bars independent operator entry — tribal or sports-franchise sponsor mandatory
  • Significant operator churn since launch (multiple exits 2022-2025)
  • Proposed 45% top-tier tax for large operators (Hobbs FY2027 budget)
ConfirmedAI-generatedRead full analysis & tables →
02 · Can we get a licence?

Licensing and regulation

Mixed

The Arizona Department of Gaming administers event-wagering licensing under A.R.S. 5-1301(8) and A.A.C. R19-4-106(D). The Department allocated nine new limited event-wagering (retail sports betting) licenses effective September 11, 2026, to operators including American Wagering Inc. dba Caesars Spor…

Full analysis · 101 words

The Arizona Department of Gaming administers event-wagering licensing under A.R.S. 5-1301(8) and A.A.C. R19-4-106(D). The Department allocated nine new limited event-wagering (retail sports betting) licenses effective September 11, 2026, to operators including American Wagering Inc. dba Caesars Sportsbook and Skyfall 7 LLC dba Turf Paradise. The allocation is a regulator action taken under existing rule rather than a change to the statute itself; the statutory basis and rule predate the allocation. This licensing avenue remains limited to retail, in-person event wagering; online casino gaming sits outside this framework and outside the licensed perimeter entirely, pending the 2027 tribal compact renegotiation window.

ConfirmedAI-generatedRead full analysis & tables →
03 · How hard is entry, really?

Market entry in practice

Mixed

Commercially viable but structurally restricted by the mandatory tribal-or-sports-team tether. With all ten tribal licences filled and roughly 13 active operators of 20 possible, capacity remains only via securing a partnership with an Arizona tribe or qualifying professional sports franchise — not …

Full analysis · 72 words

Commercially viable but structurally restricted by the mandatory tribal-or-sports-team tether. With all ten tribal licences filled and roughly 13 active operators of 20 possible, capacity remains only via securing a partnership with an Arizona tribe or qualifying professional sports franchise — not an open commercial market. The 10% online tax is competitive, but recurrent operator churn warrants caution. B2B technology suppliers should target the existing online operators rather than seeking new-entrant slots.

04 · What do the licences cost?

Licence fees

Mixed

ADG charges application and licensing fees for event wagering operator licences under A.R.S. § 5-1301 et seq. for both tribal-track and sports-franchise-track applicants. The line-item current fee schedule was not retrieved at this run and is logged as a gap; ADG reports lifetime privilege-and-licen…

Full analysis · 51 words

ADG charges application and licensing fees for event wagering operator licences under A.R.S. § 5-1301 et seq. for both tribal-track and sports-franchise-track applicants. The line-item current fee schedule was not retrieved at this run and is logged as a gap; ADG reports lifetime privilege-and-licensing fee contributions in the tens of millions.

UncertainAI-generatedRead full analysis & tables →
05 · What is the tax take?

Tax

Favourable

Arizona applies two separate statutory rates: 10% of adjusted gross event wagering receipts for online/mobile sports wagering and 8% for retail/land-based, plus a 0.25% federal excise tax on handle. Free-bet/promo deductions are capped at 10% of revenue. At 10% online, Arizona is among the lowest-ta…

Full analysis · 73 words

Arizona applies two separate statutory rates: 10% of adjusted gross event wagering receipts for online/mobile sports wagering and 8% for retail/land-based, plus a 0.25% federal excise tax on handle. Free-bet/promo deductions are capped at 10% of revenue. At 10% online, Arizona is among the lowest-taxed US markets. Governor Hobbs' FY2027 executive budget (Feb 2026) proposes a tiered structure adding a 45% top tier for operators above $75M average monthly revenue — not enacted.

ConfirmedAI-generatedRead full analysis & tables →
06 · Can we move player money?

Payments and banking

Favourable

Standard US online sports wagering payment stack: ADG-licensed operators accept ACH, debit/credit cards, e-wallets (PayPal, Venmo) and prepaid. MCC 7995 is functional for licensed operators. BSA/FinCEN AML obligations apply with SAR/CTR filing; ADG requires an AML compliance programme and tribal ope…

Full analysis · 46 words

Standard US online sports wagering payment stack: ADG-licensed operators accept ACH, debit/credit cards, e-wallets (PayPal, Venmo) and prepaid. MCC 7995 is functional for licensed operators. BSA/FinCEN AML obligations apply with SAR/CTR filing; ADG requires an AML compliance programme and tribal operators carry additional NIGC/compact AML duties.

07 · Can we advertise?

Marketing

Mixed

Marketing is ADG-regulated under A.R.S. § 5-1301 et seq. with mandatory 21+ targeting and responsible-gaming disclosures. Free-bet/promotional deductions are capped at 10% of revenue. Sponsorship is structurally central — professional sports team partnerships (Cardinals, Suns, Diamondbacks) are them…

Full analysis · 74 words

Marketing is ADG-regulated under A.R.S. § 5-1301 et seq. with mandatory 21+ targeting and responsible-gaming disclosures. Free-bet/promotional deductions are capped at 10% of revenue. Sponsorship is structurally central — professional sports team partnerships (Cardinals, Suns, Diamondbacks) are themselves the mandatory licensing gateway for the sports-franchise track. The college-event advertising restriction remains unverified against primary ADG rules; secondary reporting indicates Arizona permits college wagering, including in-state teams, but restricts certain props on individual college athletes.

08 · What must the platform meet?

Technical compliance

Favourable

Geolocation is required to verify players are physically within Arizona at the time of wagering (GeoComply-class standard). No specific AZ server-residency requirement was identified at this run; this is flagged not_yet_assessed against ADG technical standards (A.A.C. R19-5).

09 · Can we ship through apps and platforms?

Distribution and platforms

Mixed

All online sports wagering requires a tether to either a federally recognised tribe (up to 10 tribal-track licences) or a professional sports team/facility (up to 10 sports-franchise-track licences). There are no standalone independent operator licences. Platform providers require ADG approval and t…

Full analysis · 61 words

All online sports wagering requires a tether to either a federally recognised tribe (up to 10 tribal-track licences) or a professional sports team/facility (up to 10 sports-franchise-track licences). There are no standalone independent operator licences. Platform providers require ADG approval and tribal operators are subject to concurrent tribal gaming commission oversight. App-store and ad-platform availability is standard for US-licensed sports wagering.

10 · How hard does the regulator enforce?

Enforcement

Favourable

The Arizona Department of Gaming's Division of Racing summarily suspended Skyfall 7, LLC dba Turf Paradise's teletrack wagering permit effective 16 October 2026, citing lack of property access and lack of the necessary licensed personnel to support authorized pari-mutuel wagering operations. The sus…

Full analysis · 143 words

The Arizona Department of Gaming's Division of Racing summarily suspended Skyfall 7, LLC dba Turf Paradise's teletrack wagering permit effective 16 October 2026, citing lack of property access and lack of the necessary licensed personnel to support authorized pari-mutuel wagering operations. The suspension arises from a property dispute between landlord TP Racing, L.L.L.P. and lessee Skyfall 7, LLC, rather than from a finding against licensing standards or operator suitability. A hearing is scheduled for 19 November 2026 to determine whether the suspension is lifted, modified, or continued, and the viability of the licensee's planned late-November race meet remains unresolved pending that outcome. The swiftness of the summary action, exercised over an operational and personnel-capacity dispute rather than a conduct finding, indicates the regulator will act to protect wagering-operations continuity even where the precipitating cause is a private commercial dispute between landlord and operator.

ProbableAI-generated20 enforcement eventsRead full analysis & tables →
11 · What is coming?

Outlook

Mixed

Arizona's market is commercially active (2025 handle ~$9.13bn, up 14.7% YoY; lifetime handle >$33bn and >$179.9M in state taxes by mid-2025) but structurally constrained by the dual-tether model and marked by recurring operator churn. The principal live reform is the Hobbs tiered-tax proposal, which…

Full analysis · 62 words

Arizona's market is commercially active (2025 handle ~$9.13bn, up 14.7% YoY; lifetime handle >$33bn and >$179.9M in state taxes by mid-2025) but structurally constrained by the dual-tether model and marked by recurring operator churn. The principal live reform is the Hobbs tiered-tax proposal, which would sharply raise the rate for the largest operators — a tightening signal. No iGaming legislation is active.

Evidential record & source register 1 enforcement · 25 red flags · 13 sources · Expand full record

Enforcement record

What the regulator has actually done, newest first. 1 recorded event.

  1. 2 Aug 2024
    Arizona Department of Gaming · Plannatech / Sporttrade
    Confirmed
    Sources

What gets operators fined

25 red flags (11 high, 11 medium) and 3 controls that address them.

Controls

  • 001
    Tether verification
    Confirm and document a valid tribal or sports-franchise sponsorship before applying.
    Sources
  • 002
    Geolocation enforcement
    Deploy certified geolocation to block out-of-state wagers.
    Sources
  • 003
    BSA/FinCEN AML program
    Maintain SAR/CTR filing and AML compliance program meeting federal thresholds.
    Sources

Worked scenarios

5 entry scenarios, each with the move we would make.

B2C operator without a sponsor seeks AZ entry

No standalone licence exists; the operator must secure a tribal or sports-franchise tether, and all ten tribal slots are filled.

Do this: Pursue a sports-franchise tether in the next window or pivot to B2B.

Sources

Platform supplier targeting AZ

B2B suppliers require ADG approval and should target the ~13 existing operators.

Do this: Obtain ADG supplier approval and contract with licensed operators.

Sources

Large operator modelling future tax

The Hobbs FY2027 proposal would raise the rate to 45% above $75M average monthly revenue.

Do this: Stress-test P&L against the proposed top tier.

Sources

Operator considering iGaming

Online casino is prohibited in Arizona; only event wagering and DFS are authorised.

Do this: Do not offer iGaming; monitor reform horizon.

Sources

Operator handling college markets

College wagering is broadly permitted but certain athlete props may be restricted; rules require verification.

Do this: Confirm permitted college markets against ADG rules before launch.

Sources

What we looked for and could not find

Confirmed absence is a finding of its own. These are the questions we searched and could not answer from a citable source, with the searches we ran. Never behind the paywall.

Marketing. College-event advertising/wagering restriction unverified against primary ADG rules (A.A.C. R19-5).
  • searched: Arizona ADG college sports wagering advertising restriction A.A.C. R19-5
  • searched: Arizona prohibition wagering in-state university teams ADG rules
  • searched: A.A.C. R19-5-2001 Arizona event wagering college restriction
  • checked: gaming.az.gov
Fees. Line-item current ADG application/annual fee schedule not retrieved.
  • searched: Arizona ADG event wagering licence application fee schedule
  • searched: ADG event wagering operator annual fee amount
  • searched: Arizona sports wagering licence fee A.R.S. 5-1304
  • checked: gaming.az.gov

Source register

Every source on a four-step tier scale. A claim is never shown at a stronger tier than the source it cites.

Claims with their own provenance

Arizona taxes online sports wagering at 10% and retail at 8% of adjusted gross receipts.

US-AZ-CLAIM-001 · T3 of 4 (asserted T2, shown at its source's tier) · published 15 Apr 2026 · Confirmed
Pipeline-sourced · From Advennt research · Rule detail not yet extracted
Sources

H.B. 2772 authorises up to 20 event wagering licences split 10 tribal / 10 sports franchise.

US-AZ-CLAIM-002 · T1 of 4 · published 7 Jun 2024 · Confirmed
Pipeline-sourced · From Advennt research · Rule detail not yet extracted
Sources