New Jersey has penalized Evolution Gaming and Fanatics Sportsbook for violating regulations.

Evolution New Jersey, LLC, operating under the name Evolution, has consented to a $12K fine to address regulatory violations at two of its live dealer studios in Atlantic City, according to the New Jersey Division of Gaming Enforcement (DGE).

According to the DGE, Evolution violated New Jersey's iGaming laws on four instances between June 2021 and September 2023.  The incidents were self-reported by the company.

Evolutionary Regulatory Mishaps

The DGE report states that in June 2021, an Evolution dealer at the Hard Rock studio failed to deal themself a card during the first round of blackjack, hence they dealt the wrong cards.

The phrase "Dealer Must Stand on 17" rather than the correct phrase "Dealer Must Hit Soft 17" appeared in an Evolution table game in January 2023.  When the dealer holds a hand worth 17 that includes an ace—which may be played as a 1 or an 11—it is called a soft 17.

When playing online roulette in March 2023, certain Evolution dealers were unable to spin the pit quickly enough for the ball to complete the necessary four rotations around the wheel before dropping into a slot. Additionally, an Evolution dealer used a five-card short deck to deal more than 400 rounds of blackjack in September 2023.

"The failures of Evolution’s dealers and managerial staff to ensure proper dealing of table games resulted in numerous violations,” said New Jersey DGE Interim Director Mary Jo Flaherty.

After longstanding DGE Director David Rebuck, who oversaw the state gaming organization for over 13 years, retired last year, Flaherty took over as interim director.

When it comes to live-dealer games on iGaming platforms, Evolution is the industry leader.  The interactive gaming provider runs live-table game studios at Tropicana, Ocean Casino, and Hard Rock in Atlantic City.  The iGaming platforms of DraftKings, Fanatics, Golden Nugget, BetMGM, Caesars Palace, BetRivers, and bet365 all host its live dealers and interactive games.

Evolution intends to replace its in-casino operations with a $75 million live-dealer studio complex in Atlantic City.  2301 Fairmont Avenue is the facility's aim.

Fanatics Also Fined

In related DGE news, FBG Enterprises Opco, LLC, operating under the name Fanatics Betting and Gaming, was penalized $55K by the state gaming regulator for "various violations of the Sports Wagering Act."

The Fanatics Sportsbook's sports betting violations were not detailed in the director's notice.  Through a collaboration with Bally's, Fanatics is authorized to accept online bets in addition to operating a retail sportsbook at Ocean Casino Resort. 

Internet Gaming Leader The state with the highest revenue from internet gaming is New Jersey, one of only seven states where iGaming and sports betting are permitted.

New Jersey made $2.38 billion from iGaming in 2024.  Over $1 billion was earned by oddsmakers for a total online revenue of roughly $3.4 billion.

Next came Pennsylvania, where online sports bets brought in nearly $500 million and iGaming won $2.18 billion.  With $1.93 billion from online sports betting and iGaming, Michigan came in third.

West Virginia, Connecticut, Delaware, and Rhode Island are the other states having legal internet casinos and sportsbooks.