Official betting refers to wagers that use official data from a sports league. It is a key component of a dynamic sportsbook product.

Currently, two states (Illinois and Tennessee) have mandated the use of official data for Tier 2 bets. But most of the other US states have not mandated the use of such data.

In Nevada, which operates a regulated sportsbook, betting data is not required and wagers can be graded without it. However, if the outcome is critical enough to require an official result, the bet can be graded with official data.

Betting data for sports is supplied by a number of different sources, some of which are proprietary and others that are commercially-based. Each source will provide an array of data relating to the game, including player statistics and game outcomes.

Some leagues also collect data through partnerships with reputable third-party providers, such as Genius Sports and Sportradar. These relationships have grown along with the appetite for sports betting.

The battles over data and what data is required have emerged as a primary front in the effort to shape US state and federal sports betting policy. The leagues are seeking a role as primary stakeholders and a mechanism that allows them to monetize their data.

Ideally, the leagues would collect a direct cut off the top of US sports betting handle – a so-called integrity fee. But such a method remains insufficient to earn them the revenue they seek. Instead, leagues broadly support a system that enables them to monetize their data while also collecting a royalty fee on the total amount wagered.