Colorado becomes second state to offer fixed-odds betting on horse races

Fixed-odds betting on horse racing launched on Wednesday in Colorado after racing constituents in the state reached an agreement that will allow fixed-odds betting on racing signals imported to the state, according to the parties.

The agreement allows Bet365, a British company with operations in the U.S., to offer fixed-odds bets from tracks around the world, including two U.S. tracks, Evangeline Downs and Delta Downs, both in Louisiana. The agreement required consents from Arapahoe Park, the state’s horsemen, and the racing commission.

The racing signals are being provided by Sports Information Services, a simulcast and data marketing company that has long been pressing the U.S. racing industry to offer fixed-odds betting on racing. Under fixed-odds betting, bettors receive the odds on a horse at the time they place a bet, in contrast to the pari-mutuel system, in which odds fluctuate until the close of betting.

Only two states, Colorado and New Jersey, have devised regulations on fixed-odds betting on horse racing since the landmark Supreme Court decision in 2018 that allowed states to authorize sports betting. Monmouth Park, a track in New Jersey that is operated by the state’s horsemen, launched fixed-odds betting in 2022, initially limited to the track’s own races. The menu expanded last year to include races from a handful of other tracks.

Unlike at Monmouth Park, where fixed-odds horse race betting is available at the track and on a mobile app dedicated exclusively to racing, the Colorado races will be available on Bet365’s sports betting app, so players will be able to build parlays using race and sports bets. Sports Information Services controls content from more than 140 tracks globally, so fixed-odds on races are expected to be offered on Bet365’s app nearly round-the-clock, every day.

The Colorado Limited Gaming Control Commission authorized fixed-odds betting on racing late in 2023. The approval allowed for a 24-month trial period. During the trial, data will be collected on how the betting impacts live and simulcast wagering in the state.

The agreement reached between Colorado racing constituents includes Arapahoe Park, which is owned by Bally’s, and the Colorado Horsemen’s Association. According to a release from the groups, a “portion of the turnover” on fixed-odds betting will be directed to racing.

“We are committed to ensuring that horse racing in Colorado is economically viable for the participating owners and trainers, who are the backbone of the sport,” said Kim Oliver, president of the Colorado’s Horsemen’s Association. “Fixed-odds betting will produce a new revenue stream and exposure for horse racing. This launch represents a pivotal moment for our group.”

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