Online Sports Betting
Several states have legalized online sports betting in the US, with the list expected to expand in the coming years. In 2018, the US Supreme Court overturned PASPA (the Professional and Amateur Sports Protection Act of 1992) and placed the decision of legalizing sports betting in each state’s hands.
Sports betting is now legal in more than half of the states in the country. However, there are those that are still out of the action. Some of these in the latter group will join in 2022; others will need more time.
The following map and table breaks down where sports betting is legal, pending as well as active legislation, and where there is no movement in the legislation.
Several sportsbooks operate legally in the US states that have legalized sports betting. Many of them offer immersive and functional mobile applications that facilitate mobile sports betting. While due to intense competition in some states, there are as many as 20 applications available, some states have less than three. There are a number of top options available to sports bettors in legal states.
|State||Legal Sports Betting||Online Sports Betting|
|District of Columbia||Yes
Where is Sports Betting Legal?
Arizona legalized sports betting in April 2021 following months of legislative wrangling and public backing from Governor Doug Ducey. In September 2021, both retail and internet sportsbooks opened in Arizona. Among the first sportsbooks to open in Arizona were DraftKings, FanDuel, BetMGM and Caesars.
Colorado voters approved legal sports betting in 2019. The official online and mobile launch took place on May 1, 2020, with DraftKings, FanDuel, BetRivers and BetMGM all coming live on the same day. Several more operators have subsequently gone operational in the state.
Connecticut allows legal online sports betting. DraftKings and FanDuel were immediately accessible to bettors in October 2021. It also permits retail betting and internet sportsbooks in the state. The Department of Consumer Protection’s Gaming Division supervises the new market.
Governor Ron DeSantis signed a 30-year contract with the Seminole Tribe of Florida in April 2021. The state legislature passed it in May and signed it soon after. Hard Rock Sportsbook opened in November 2021, although the sector faces legal challenges. The Seminole were forced to stop their online sports betting services pending the outcome of a federal lawsuit. As of January 2022, online sports betting was still unavailable.
Illinois enacted legislation in 2019 with a March 2020 debut date. Online and mobile bettors had to register in person at first. In response to the COVID-19 epidemic, this provision was temporarily suspended, with the launch commencing later in the year. Among the options available are DraftKings, FanDuel, PointsBet and BetRivers.
Indiana legalized sports betting in 2019. The rollout occurred swiftly, with retail starting in September and online and mobile in October. FanDuel came out a month after DraftKings and BetRivers. The number of options available keeps growing.
In 2019, Iowa was among the states that legalized and launched sports betting. May brought legislation, and August brought retail and mobile launches. Due to the removal of the in-person restriction on December 31, 2020, online and mobile users may now register from anywhere in the state. DraftKings, PointsBet and Caesars are live in Iowa.
Michigan legalized sports betting in December 2019. Retail sportsbooks debuted in March 2020, and mobile sports betting applications became authorized in January 2021. Michigan has close to a dozen mobile sportsbooks, with several major sportsbooks offering their services to Michigan consumers.
Nevada’s monopoly on regulated US sports betting is gone. Since the SCOTUS verdict on PASPA, nothing has changed much for the state. While in-person sports betting at casinos like Westgate and Caesars is more popular, operators like BetMGM provide online and mobile choices.
After being passed by the state legislature earlier in the year, sports betting began in New Hampshire in December. Retail and mobile were approved, although the issue is unique in NH, as DraftKings is the only online and mobile betting provider in the state, as well as the only retail operator.
After the Supreme Court’s monumental decision, New Jersey acted quickly. The retail market launched in June 2018. In August, DraftKings led the way for the online sector, followed by PlaySugarhouse and FanDuel. Nearly two dozen NJ sports betting apps are currently available.
After a lengthy wait, online sports betting finally went live in the Empire State in January 2022. Experts are predicting the NY industry to become a billion-dollar cash cow, with almost all major sportsbooks currently operational in the state catering to a sizable sports betting audience.
Following the PASPA verdict, Pennsylvania responded rapidly. Retail sportsbooks launched in November 2018. Online sportsbooks went up in May 2019. Sugarhouse launched the first mobile sportsbook, followed by BetRivers, DraftKings, and FanDuel.
Tennessee legalized sports wagering in April. It’s an unusual circumstance since the state didn’t include any retail sportsbooks. However, by November 2020, just a few online sportsbooks started accepting mobile bets.
Virginia legalized sports betting in April 2020 and opened its first retail sportsbook in January 2021. State legislation mandates a minimum of four and a maximum of twelve mobile sportsbooks.
The municipal council approved sports betting in 2018, but it wasn’t enacted into law until January 2019. Since its introduction in 2020, GambetDC has been the only online and mobile betting option in the District. A geofenced region surrounding Capital One Arena limits the Caesars Sportsbook and BetMGM to just a three-block radius around the stadium.
Following the Supreme Court decision, West Virginia acted. In September 2018, sportsbooks opened. A technical issue forced the closure of BetLucky’s mobile option the following year. Soon after, more operators joined DraftKings and FanDuel in WV.
Wyoming legalized mobile sports betting in April 2021 and launched its first sportsbook app in September 2021. While current options available may be relatively limited, the sector is expected to attract many well-known sportsbook providers shortly.
Another major state has missed out on the revenue generated by the sports betting industry but will not miss out for much longer. The legislation has been passed in Louisiana, and many major sportsbooks are offering pre-registration promotions and sign-up offers. The launch is imminent in Louisiana, operators hinting at a late January date. The launch will commence in 55 out of 64 parishes in the Pelican State.
Other States Take a Different Approach
Some additional states allow online sports betting, albeit with restricted possibilities for customers. While many legal marketplaces have chosen a competitive multi-operator model, others have chosen a single or two dominant players.
The Rhode Island lottery controls online sports betting on a William Hill/IGT platform.
In Oregon, sports betting is handled by the Oregon Lottery. Only Scoreboard is available via mobile. Scoreboard is expected to get an improvement, as DraftKings takes over the Oregon Lottery in 2022.
The New Hampshire Lottery oversees sports betting and has teamed with DraftKings for mobile betting.
Delaware legalized online sports betting, but never introduced it. Although the Delaware Lottery has not yet authorized online betting, it appears to be open to the possibility of future online betting. There are many reasons why the Delaware Lottery is reluctant to take action in the interim, but the cost is the primary concern.
Mississippi has approved online sports betting, but only from within the perimeter of an existing casino.
Users must be inside the geofenced perimeter of a licensed retail store to legally make online bets in Montana.
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How to Bet on Sports Online in the US
While joining up to play in legal states isn’t difficult, what happens next is. The good news is that sports betting has a low learning curve.
Probabilities in sports betting go hand in hand. The odds are one of the most fundamental concepts for novice players to grasp. The public is behind one side or the other, and you can tell which simply by looking at the odds.
This is a terrific bet for novices and experts. With a moneyline bet, you just choose the winner. Favorites will usually have negative odds, while underdogs will often have positive odds. This isn’t always the case, but it will be found in the majority of the odds listed.
The point spread seeks to balance the playing field between two teams. It’s like a winning margin in wagering. Many sports offer point spread betting, which is also known as run line betting in MLB and puck line betting in NHL.
Also known as the over/under, this bet is on the total cumulative score of a game. Bettor’s gamble on whether the actual score will be above or under the benchmark figure established by the oddsmakers. Both teams’ odds might change based on betting activity.
A parlay is a wager that combines two or more outcomes on one slip. Great returns are possible, but you must be correct on all picks to win, so your odds are longer. Parlay bets are one of the major monthly sources of traffic for sportsbooks.
A prop bet is based on a team’s or player’s performance during a game. A prop bet is a gamble on something that may or may not happen. Player performance prop bets are quite similar to fantasy sports. As a consequence, many new bettors start there. Props can also be on other events taking place during a game or season, such as Rihanna or Jay-Z attending a Lakers game.
Read our complete guide on how to bet on sports.
What Bets Are Illegal in the US?
Each state establishes its laws for sports betting. While not all markets have the same rules, there is one area of agreement. You can’t wager on these at a licensed US online sportsbook:
High School Sports Sports involving minors, or people 18 or younger.
Some states (such as New Jersey) also have restrictions on college sports betting. In New Jersey’s case, wagers are not accepted on any state college team, regardless of where the game is held. It is also prohibited to place a wager on a college game played in the state, even if the game doesn’t include a team from New Jersey.
College games in other states are fair game. Some jurisdictions, like Colorado, allow pregame betting on college football and basketball, but not player props.
Wagering on US elections and Reality TV events is frowned upon. While Oscar betting has been provided in a few places, regulated sports betting is expected to focus on genuine athletic events. For the Super Bowl, off-field props like the outcome of a coin toss are allowed.
Getting Legalized for US Sports Betting
New Jersey’s Problem
In November 2011, New Jersey voters approved a non-binding referendum to authorize sports betting. A measure regulating sports betting at New Jersey racetracks and Atlantic City casinos was rapidly approved. Governor Christie signed the measure.
The major sports leagues sued New Jersey, arguing it was not excluded from PASPA and couldn’t authorize sports betting. The Third Circuit Court of Appeals upheld an earlier court verdict favoring the leagues.
New Jersey tried again. The state tried to decriminalize and deregulate sports betting in the same places. The sports leagues challenged the new approach to sports betting in court. The sports leagues won in district court and on appeal to the Third Circuit.
The state appealed and got a rehearing in the Third Circuit, which it lost. In May 2018, New Jersey won its lawsuit before the Supreme Court.
Daily Fantasy Sports vs. Sports Betting
According to the businesses that sell the game, daily fantasy sports is legal in at least 40 states.
Daily fantasy sports and sports betting are quite different.
Bettors choose a team or many teams to win or cover a point spread in sports betting. In daily fantasy sports, a user selects athletes that will play in a game and participates in a tournament that determines the winner based on player statistics.
FAQ about Betting Sites in the US
Is it legal to place sports bets on the Internet?
Yes; however, it is dependent on your geographical location. A large number of the states listed above allow legal sports betting to be conducted online. To make a legal online sports wager in a state, you do not need to be a resident of that state; nevertheless, you must be physically present in that state to do so legally.
What is the most secure online betting site?
The safest options for sports betting online are those that are provided by licensed and regulated entities. Among the operators who have acquired clearance to do business in several states are DraftKings and FanDuel, to name a couple of examples.
Sites that are legal and regulated must go through a rigorous application procedure, adhere to strict laws and regulations, and ensure that client cash is kept safe and secure. That is not the case with the potentially accessible uncontrolled alternatives.
Is cryptocurrency accepted by US sportsbooks?
When it comes to legitimate online sportsbooks, cryptocurrencies do not appear on the list of accepted payment methods. Wyoming is the lone exception to the norm since the state just approved online sports betting and specifically stated that cryptocurrency payments are acceptable.
In the future, this may become an option in other legal jurisdictions. For the time being, the most common places to find bitcoin as a payment method are on illicit and unregulated websites that are illegal in the US.
Is it necessary for me to pay taxes on my winnings?
Winnings from sports betting or any other sort of gambling are considered taxable income in the United States. If you win more than a certain amount, operators may even issue you a 1099-G form, which details your winnings and will be submitted with the Internal Revenue Service.
A smart habit to get into is keeping a detailed record of all of the deposits and withdrawals you have made for gaming-related activities. You should seek the advice of a tax professional if you have particular queries about your financial position.