In a note to clients, analysts from CFRA Research, Andrew Tam and Tuna Amobi point out that the US sports betting market is still in its formative stages, but gaining significant traction.

The analysts see the North American iGaming and sports wagering segments ascending to $25 billion to $42 billion by 2030. The latter projection is among the highest on Wall Street, but not the rosiest forecast. Earlier this year, Goldman Sachs said online sports betting and internet casinos could jump to $39 billion and $14 billion, respectively, by 2033.

“Our more optimistic high case sees a $42 billion addressable market, driven by a significantly higher number of states legalizing,” said the CFRA analysts.

That forecast assumes 70% of Americans will have access to regulated sports in 2030, with 45% being able to participate in iGaming. The research firm’s more conservative $25 billion scenario assumes legal sports betting will reach 55% of the population, with that percentage dipping to 25% for online casinos.

Currently, sports betting is live and legal in 21 states and Washington, DC, with another nine states legal, but not yet up and running.

None of the big three of California, Texas, and Florida are close to going live with sports betting. However, Canada is close to passing single-game betting, and the combination of that country coming on board, coupled with expectations that at least one or two of the aforementioned will eventually join the party, leads to bullish forecasts.

CFRA obliges, with Amobi and Tam estimating CAGR of 23% to 30% over the next decade for the total addressable iGaming and sports betting markets. The analysts view increasing customer spending as a primary catalyst for the North American market going forward, and there’s credibility to that thesis.

For example, FanDuel parent Flutter generated $60 in revenue per US customer last year. But that figure jumps to $65 for the operator’s British and Irish clients, and almost doubles to $113 for its Australian players, according to CFRA.

Editing by Rachel Hu