Kentucky has a long history of producing some of the fastest race horses throughout the world, and, due to its famous thoroughbred Breeding programs, has produced many other attractions to keep people coming back to bet on their favored horses
In addition, the KY Derby is special to the world of American sports in general, as it is the longest continually held sporting event in the U.S. and one of the longest in the world. The Super Bowl, the World Series, the Masters, the Indy 500--none of these have been held for 138 consecutive years as has the Derby (first running was in 1875).
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Because it is the first race in the Triple Crown and if a horse wins it then there is a possibility for a Triple Crown winner.