Travis Hoium

And the hard answer has been there really isn't one.

If the better odds are just a click away, they're just a click away.

Most of these users are gonna have multiple accounts.

You have a lot of competition in every one of these states.

The other piece that I think is really challenging is the tax rates.

in each of these states, if these companies suddenly get really profitable in, I think it was Illinois recently, Illinois just goes, wait a second, we wanna have a little bit of that revenue and they just jack up their taxes.

And so that ultimately hits the bottom line of these kind of companies.

This is a space that I've only invested in tangentially through MGM Resorts.

They have an online gaming business, 50-50 joint venture with Entain.

They also own some of their operations internationally.

So that's the way that I have done it because I look at it as more of a value.

You're actually getting a free cash flow, positive business.

I know that the operations have improved in some of these online gaming companies recently, but I just really struggle with what the moat is if you don't have some sort of physical tie.

And so I think that's the challenge.

And now prediction markets come in.

And look, that is a real, real threat.

And I think that the legality of that may change in the near future.

But that just shows you what sort of, you know, they're playing a digital game.

And I don't know that there's a huge moat there.

another way to get exposure to this space.