Business

New York On Track to Legalize Online Gambling

Published

6 years ago

September 21, 2019

Online gambling is slowly gaining popularity in different parts of the world. More countries across the globe are opening up to online gambling.

This has led to the tremendous growth of the online gambling sector. However, in New York, things are different. Unlike other states in the US, New York has not fully made progress when it comes to online gambling.

They are still lagging behind other states, and this has limited its progress. It is no secret that there are plenty of racetracks and land-based casinos in New York. But, its elected representatives have not yet legalized online gambling, and this has New York missing out on millions of dollars online gambling can contribute in terms of revenue.

This begs the question, when did this reservation start? The reservation of New York legislatures begins way before the emergence of online gambling.

The History of Online Gambling in New York

When it comes to gambling, New York State is a pioneer but not in the most positive way. The reason why they were a forerunner in gambling is that they banned gambling constitutionally first in 1821 and set a pace for more gambling bans in the state. The other gambling bans came in 1864 and 1894.

This heralded the start of gambling prohibition, which lasted until the late 1930s. This prohibition made gambling take on a different phase and scale during the 1930s era.

One of the massive changes was the beginning of underground casinos run by the Mob or “families.” This went on for quite a while until the government finally decided to legalize horse racing.

Horse racing was the first legal form of gambling in New York. In line with other states, horse racing in New York was either in the form of polled betting systems or track bets.

Over the years, New York has allowed racing tracks to use Simulcast systems—this system shows horse races from different tracks all over the US and It also offers visitors gaming machines.

With these improvements, horse racing tracks slowly became popular entertainment venues. Over time, other gambling ventures gradually became popular.

In 1957, bingo games became legal. This was followed by the legalization of the lottery in 1996 and Charity gaming in 1970, but the breakthrough for poker and casinos came much later.

The legalization of casinos and poker games began when casinos located on tribal lands were given the opportunity to operate table and slot games.

This legalization eventually led to an increase of casinos with more choices for games for gamblers to play. However, over the years, the Indian tribe casinos slowly became commercial ones.

This led the legislation to pass a law in 2013 that enabled several casinos to open in New York. Despite the progress, New York has made online gambling is still not quite popular.

These laws also come with restrictions that do not allow players to participate in any form of criminal sanctions. The state now monitors and regulates gambling and no tolerance, especially for any type of illegal gambling.

The Current State of Online Gambling in New York

As mentioned, New York is not opposed to land-based gambling like horse racing, lotteries, and offline casinos. It is still, however, opposed to online gambling. Could there possibly be a major change happening in the future?

There might be a light at the end of the tunnel for the legalization of online gambling in New York. One of the ways this is possible is if Joseph Addabbo Jr – a New York senator – can prove that the demand for sports betting is growing within the state. This helped convince the Senate on the importance of sports betting.

And it immediately led to the passing of the bill. This bill allowed for the expansion of casinos in terms of their mobile and online betting services. With this in motion, New York can finally start tapping into the revenue that comes from mobile sports betting.

This bill also makes it possible for the Senate to address issues like problematic gaming, the development of credible gaming industries, and the satisfaction of the constitutional requirements.

To facilitate the search of evidence, the senator is using the New York Gaming Commission to acquire information. The commission is looking into research firms to help expand their gaming study as well.

This will help evaluate how much New Yorkers would love to see the expansion of online gambling. The study will not only focus on the impact of sports betting in New York but also on a wider scale.

With this bill still facing opposition, it might take some time before online gambling can become a reality in New York. Some of the arguments raised include the lack of measures to tackle online gambling. With several measures in place, this no longer has to be an issue. With the history of unfriendliness to gambling, New York might take some time to legitimize online gambling.

Mike Tan From Online Casino Gems believes that the legalization is definitely on its way. “The state of New York has been in denial for too long. Their players continue to siphon off to New Jersey, especially those in NYC. As New Jersey continues to show tens of millions in taxable revenue each month, New York legislations are under pressure to get onboard. And they will.”

As much as we agree with Mr. Tan, one thing remains certain: whether New York will legalize online gambling is a difficult thing to say. On the one hand, gambling laws are more liberal than before. On the other hand, crackdowns against illegal online gambling are still a part of the process.

In Closing

Whatever the future may be, understanding the law is essential. After all, nobody wants to be prosecuted for enjoying a game of online poker.

This will make it quite easy for gamblers to know whether they are breaking the law. Although with the passing of the evidence bill, things are looking better for online gambling companies.

The more the State warms up to the idea of online gambling, the more their market will grow. It’s all a matter of taking it one step at a time and being hopeful.

This could create a massive shift in terms of lawmaking. Eventually leading to the legalization of online gambling. However, for the most part, we will just have to wait and see the outcome.

Business

High Volume, High Value: The Business Logic Behind Black Banx’s Growth

Published

2 weeks ago

June 16, 2025

Matthew Wiles

In fintech, success no longer hinges on legacy prestige or brick-and-mortar branches—it’s about speed, scale, and precision. Black Banx, under the leadership of founder and CEO Michael Gastauer, has exemplified this model, turning its high-volume approach into high-value results.

The company’s Q1 2025 performance tells the story: $1.6 billion in pre-tax profit, $4.3 billion in revenue, and 9 million new customers added, bringing its total customer base to 78 million across 180+ countries.

But behind the numbers lies a carefully calibrated business model built for exponential growth. Here’s how Black Banx’s strategy of scale is redefining what profitable banking looks like in the digital age.

Scaling at Speed: Why Volume Matters

Unlike traditional banks, which often focus on deepening relationships with a limited set of customers, Black Banx thrives on breadth and transactional frequency. Its digital infrastructure supports onboarding millions of users instantly, with zero physical presence required. Customers can open accounts within minutes and transact across 28 fiat currencies and 2 cryptocurrencies (Bitcoin and Ethereum) from anywhere in the world.

Each customer interaction—whether it’s a cross-border transfer, crypto exchange, or FX transaction—feeds directly into Black Banx’s revenue engine. At scale, these micro-interactions yield macro results.

Real-Time, Global Payments at the Core

One of Black Banx’s most powerful value propositions is real-time cross-border payments. By enabling instant fund transfers across currencies and countries, the platform removes the frictions associated with SWIFT-based systems and legacy banking networks.

This service, used by individuals and businesses alike, generates:

Volume-based revenue from transaction fees
Exchange spreads on currency conversion
Premium service income from business clients managing international payroll or vendor payments

With operations in underserved regions like Africa, South Asia, and Latin America, Black Banx is not only increasing volume—it’s tapping into fast-growing financial ecosystems overlooked by legacy banks.

The Flywheel Effect of Crypto Integration

Crypto capabilities have added another dimension to the company’s high-volume model. As of Q1 2025, 20% of all Black Banx transactions involved cryptocurrency, including:

Crypto-to-fiat and fiat-to-crypto exchanges
Crypto deposits and withdrawals
Payments using Bitcoin or Ethereum

The crypto integration attracts both retail users and blockchain-native businesses, enabling them to:

Access traditional banking rails
Convert assets seamlessly
Operate with lower transaction fees than those found in standard financial systems

By being one of the few regulated platforms offering full banking and crypto support, Black Banx is monetizing the convergence of two financial worlds.

Optimized for Operational Efficiency

High volume is only profitable when costs are contained—and Black Banx has engineered its operations to be lean from day one. With a cost-to-income ratio of just 63% in Q1 2025, it operates significantly more efficiently than most global banks.

Key enablers of this cost efficiency include:

AI-driven compliance and customer support
Cloud-native architecture
Automated onboarding and KYC processes
Digital-only servicing without expensive physical infrastructure

The outcome is a platform that not only scales, but does so without sacrificing margin—each new customer contributes to profit rather than diluting it.

Business Clients: The Value Multiplier

While Black Banx’s massive customer base is largely consumer-driven, its business clients are high-value accelerators. From SMEs and startups to crypto firms and global freelancers, businesses use Black Banx for:

International transactions
Multi-currency payroll
Crypto-fiat settlements
Supplier payments and invoicing

These clients tend to:

Transact more frequently
Use a broader range of services
Generate significantly higher revenue per user

Moreover, Black Banx’s API integrations and tailored enterprise solutions lock in these clients for the long term, reinforcing predictable and scalable growth.

Monetizing the Ecosystem, Not Just the Account

The genius of Black Banx’s model is that it monetizes not just accounts, but entire customer journeys. A user might:

Onboard in minutes
Deposit funds from a crypto wallet
Exchange currencies
Pay an overseas vendor
Withdraw to a local bank account

Each of these actions touches a different monetization lever—FX spread, transaction fee, crypto conversion, or premium service charge. With 78 million customers doing variations of this at global scale, the cumulative financial impact becomes immense.

Strategic Expansion, Not Blind Growth

Unlike many fintechs that chase customer acquisition without a clear monetization path, Black Banx aligns its growth with strategic market opportunities. Its expansion into underbanked and high-demand markets ensures that:

Customer acquisition costs stay low
Services meet genuine needs (e.g., cross-border income, crypto access)
Revenue per user grows over time

It’s not just about acquiring more customers—it’s about acquiring the right customers, in the right markets, with the right needs.

The Future Belongs to Scalable Banking

Black Banx’s ability to transform high-volume engagement into high-value profitability is more than just a fintech success—it’s a signal of what the future of banking looks like. In a world where agility, efficiency, and inclusion define competitive advantage, Black Banx has created a blueprint for digital banking dominance.

With $1.6 billion in quarterly profit, nearly 80 million users, and services that span the globe and the blockchain, the company is no longer just scaling—it’s compounding. Each new user, each transaction, and each feature builds upon the last.

This is not the story of a bank growing.

This is the story of a bank accelerating.