The Ultimate Sports Betting Map: A State-by-State Guide to Legality and Regulations

8 min read
Aug 30, 2024, 9:27 AM

Sports Betting Legality in the US

The landscape of sports betting in the United States has undergone significant changes in recent years. This comprehensive guide aims to provide an objective overview of the current state of sports betting legality across the country.

We'll explore the legal framework, trends, and implications of sports betting legislation.

Sports betting refers to the act of wagering on the outcome of sporting events. It has a long history in the US, but its legal status has been complex and evolving. 

The legalization of sports betting has been a topic of intense debate, with proponents arguing for increased tax revenue and consumer protection, while opponents express concerns about gambling addiction and the integrity of sports.

In 2018, a landmark Supreme Court decision paved the way for individual states to legalize sports betting. This ruling struck down the federal ban on sports betting, allowing states to determine their own laws regarding this form of gambling.

Since then, many states have moved to legalize and regulate sports betting, while others have maintained prohibitions or are still considering legislation.

States with Legalized Sports Betting

Map of all legal states for sports betting in the U.S.

Map of all legal sports betting states in the U.S.

As of 2024, 38 states have embraced legal sports gambling. New Jersey was among the first states to legalize sports betting following the Supreme Court decision.

The Garden State quickly became a leader in the industry, offering both in-person sports betting at casinos and racetracks, as well as online sports betting options.

The Pennsylvania Approach
Pennsylvania legalized sports betting in 2018. The Keystone State has seen significant growth in its sports betting market, with both retail and online sportsbooks operating within its borders. Pennsylvania's approach to sports betting includes strict regulations and high tax rates on operators.

Nevada, long known as the gambling capital of the US, has had legal sports betting for decades. The Silver State's established infrastructure and experience in regulating gambling have helped it maintain a strong position in the sports betting market, even as other states have entered the field.

New York's Rapid Growth
New York legalized online sports betting in January 2022 and quickly became one of the largest markets in the country. Within its first year, New York generated over $700 million in tax revenue from sports betting, showcasing the potential economic impact of legalization.

Other states with legal sports betting include Delaware, West Virginia, Rhode Island, and New Hampshire. Each of these states has implemented its own unique regulatory framework, with variations in tax rates, licensing procedures, and permitted betting options.

States Considering Legalized Sports Betting

While many states have already legalized sports gambling, others are still in the process of considering legislation. Before you start it is important to know where sports betting is legal in the U.S.

Texas, for example, has seen multiple attempts to legalize sports betting, but legislation has consistently fallen short in recent years. The Lone Star State's conservative political climate has posed challenges for proponents of legalization.

The Sleeping Giant
California, despite being the most populous state in the country, has yet to legalize sports betting. Various proposals have been put forward, including initiatives for both retail and online sports betting, but disagreements among stakeholders have thus far prevented passage of legislation.

Georgia is another state where sports betting legislation has been a topic of ongoing debate. Proponents argue that legalization could provide much-needed tax revenue for education and other state programs, while opponents express concerns about the social impacts of expanded gambling.

Florida's Legal Challenges
Florida briefly launched legal online sports betting in 2021, but the operation was halted due to legal challenges. The state's compact with the Seminole Tribe, which would have allowed for statewide mobile betting, was ruled invalid by a federal judge. This case highlights the complex legal issues that can arise in the process of legalizing sports betting.

Other states considering sports betting legislation include Missouri, Minnesota, and Oklahoma. Each of these states faces unique political and economic considerations as they weigh the potential benefits and drawbacks of legalization.

Sports Betting Regulations and Laws

The regulatory landscape for sports betting varies significantly from state to state. 

While the federal government no longer prohibits sports betting outright, it still plays a role in overseeing interstate gambling activities and enforcing anti-money laundering laws.

At the state level, regulations typically cover a range of issues, including licensing requirements for operators, permitted types of bets, mobile sports betting, horse racing regulations, and measures to prevent problem gambling. 

Many states require sportsbooks to use official league data for settling bets, a provision that has been pushed by professional sports leagues.

Tax rates on sports betting revenue can vary widely between states. For example, Pennsylvania imposes a relatively high 36% tax rate on sports betting revenue, while Nevada's rate is much lower at 6.75%. 

These tax rates can have a significant impact on the profitability of sportsbooks and the overall competitiveness of a state's betting market.

New Jersey's Success Story
New Jersey's approach to sports betting regulation has been widely regarded as successful. The state allows for both retail and online betting, with multiple operators competing in the market. This competitive environment has led to innovation in betting products and favorable odds for consumers.

Age restrictions are another important aspect of sports betting regulations. Most states require bettors to be at least 21 years old, though some set the minimum age at 18. Enforcement of these age restrictions is a key priority for regulators and operators alike.

Many states also mandate responsible gambling measures as part of their sports betting regulations. 

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Common responsible gambling tools may include self-exclusion programs, limits on betting amounts, and required contributions to problem gambling treatment programs.

Trends and Statistics in the Sports Betting Industry

The sports betting industry has experienced rapid growth since the 2018 Supreme Court decision. According to industry reports, Americans wagered nearly $120 billion on sports in 2023, generating billions in revenue for operators and hundreds of millions in tax revenue for states.

Online sports betting has emerged as the dominant form of sports wagering in most states where it's legal. Mobile betting apps offer convenience and a wide range of betting options, attracting a broader audience than traditional retail sportsbooks.

The Rise of In-Play Betting
In-play or live betting, where wagers can be placed during a game, has become increasingly popular. This trend has been driven by advances in technology that allow for real-time odds updates and instant bet placement.

Fantasy sports have also played a significant role in the growth of the sports betting industry. Companies like FanDuel and DraftKings, which started as daily fantasy sports operators, have become major players in the sports betting market.

The integration of sports betting content into mainstream sports media is another notable trend. 

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Major television networks now regularly discuss betting odds and trends during game broadcasts, reflecting the growing acceptance of sports betting in popular culture.

Responsible Sports Betting Practices

As sports betting becomes more widespread, there's an increased focus on promoting responsible gambling practices. 

Sports bettors are encouraged to view betting as a form of entertainment rather than a way to make money.

Setting and sticking to a budget is a key aspect of responsible betting. Many experts recommend that individuals should never bet more than they can afford to lose. Some sportsbooks offer tools to help users set deposit and betting limits.

Understanding the odds and the house edge in sports betting is also important for responsible participation. 

Educating bettors about the realities of sports betting, including the likelihood of long-term losses, is a priority for many regulators and responsible gambling advocates.

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The National Council on Problem Gambling operates a 24/7 helpline (1-800-522-4700) for individuals seeking help with gambling addiction. Many states also have their own resources for problem gamblers.

Recognizing the signs of gambling addiction is crucial. These may include betting more than one can afford, chasing losses, and gambling interfering with work or personal relationships. 

Individuals who experience these symptoms are encouraged to seek help.

FAQ

Federal Law

Is sports betting legal at the federal level?

While the federal ban on sports betting was struck down in 2018, there is no federal law explicitly legalizing sports betting. The legality is determined at the state level.

Online Betting

Can I bet on sports online in any state where it's legal?

Not necessarily. Some states have legalized only in-person sports betting, while others allow both retail and online wagering. 

Additionally, online bets typically must be placed within state borders where it's legal.

Tax Rates

How do tax rates affect sports betting?

Tax rates can impact the competitiveness of a state's sports betting market. Higher tax rates may result in less favorable odds for bettors, as operators need to maintain profitability.

Offshore Sportsbooks

What's the difference between legal and offshore sportsbooks?

Legal sportsbooks are licensed and regulated by state authorities, offering consumer protections and responsible gambling measures. 

Offshore sportsbooks operate outside US jurisdiction and may pose risks to consumers.

Professional Leagues

How does sports betting legalization affect professional leagues?

Legalization has led to partnerships between leagues and betting operators, increased fan engagement, and new revenue streams for leagues through data licensing and sponsorships.

Restrictions

Are there restrictions on what sports I can bet on?

Restrictions vary by state. Some states prohibit betting on in-state college teams or certain types of bets, like prop bets on individual college athletes.

Differentiation From Other Betting

How is sports betting different from other forms of gambling?

Sports betting is seen as a form of gambling that involves an element of skill, as bettors can use knowledge of sports to inform their wagers. However, like all forms of gambling, the house maintains an edge over time.

<p>Nick has been fascinated with sports since he was first taken to a Toronto Maple Leafs game back in 1998, and he's written about them professionally since 2014.</p><p>Nick has covered baseball and hockey for outlets like The Athletic, Sportsnet, and Yahoo Sports, and his sports betting expertise has grown since its legalization in Ontario in 2022.&nbsp;</p><p>Between 2022 and 2023 he worked for a betting startup called NorthStar Bets, and in 2024 he contributed to Oddspedia before joining the RG team.</p>
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Meet our Authors

Paruyr Shahbazyan started his business career as an entrepreneur in 2000. Over 13 years, he learned business and leadership, which laid the foundation for his career.

In 2013, Paruyr entered the sports and betting industry as the founder and president of Bookmaker Rating, an online media platform he led until 2020. The platform focuses on in-depth analysis and insights in sports betting and has gained a reputation for quality content.

In 2022, Paruyr co-founded Azuro, a decentralized betting protocol. This shows his commitment to technology in the sports betting space. Through all these experiences, Paruyr has been shaping and influencing the betting industry, setting new trends and standards.

Innovation in sportsbetting comes from a deep understanding of both technology and the human element of sports.

Strategic Vision

Paruyr's vision is to revolutionize the sports entertainment industry by integrating technology. He sees the future of sports entertainment as a blend of traditional sports knowledge with innovative tech solutions, like decentralized protocols, to enhance user experience and fairness. He aims to create platforms that are not only user-friendly but also uphold the highest standards of ethical reporting, contributing to a more responsible and enjoyable sports culture.

Sol Fayerman-Hansen
Sol Fayerman-Hansen
Editor-in-Chief

With 20+ years of writing experience across sports, gambling, regulation, technology, and startups, Sol brings a broad understanding to his role as Editor-in-Chief at RG. His work provides clear, factual information to help readers make informed decisions about gambling. Sol’s approach is about transparency and research, so the content at RG is straightforward, evidence-based, and accessible.

At RG, Sol keeps the focus on the reader by maintaining a standard of reliability and integrity in the information shared. Under his editorial direction, RG aims to provide practical insights into sports and sports entertainment that support a balanced and informed approach. Sol’s approach has helped RG become a go-to source for readers looking to engage responsibly and thoughtfully in the industry.

Cristina Varela Galan
Cristina Varela Galan
Problem Gambling Expert

Cristina used to work as a Psychology Assistant in the Bizkaia Pathological and Risky Gamblers Association. She was also part of a research team in Deusto University, specializing in pathological gambling area. While working there, she managed to develop her own project 

 “Exploring the association between emotional regulation, alexithymia, stressful life events and gambling in adolescent and young adult women”.

Nick Ashbourne
Nick Ashbourne
Senior Writer

Nick has been fascinated with sports since he was first taken to a Toronto Maple Leafs game back in 1998, and he's written about them professionally since 2014.

Nick has covered baseball and hockey for outlets like The Athletic, Sportsnet, and Yahoo Sports, and his sports betting expertise has grown since its legalization in Ontario in 2022. 

Between 2022 and 2023 he worked for a betting startup called NorthStar Bets, and in 2024 he contributed to Oddspedia before joining the RG team.

Sergey Demidov
Sergey Demidov
Head of News Department

Sergey has been in sports journalism since 2007 as a reporter, editor, and manager. He has covered the Olympic Games, soccer World Cups, the World Cup of Hockey in 2016, the European championships, the Stanley Cup Finals, IOC events, and many others. Sergey interviewed the sport's greatest athletes, coaches, and executives. Since 2016, he has been an Independent Senior Editor of NHL.com/ru.

Anna Kravtcova
Anna Kravtcova
Problem Gambling Expert

Ph.D. in organizational psychology, an internationally certified psychologist (EuroPsy 2022, Cognitive behavioural therapy of mindfulness 2020, International Society for Emotional Intelligence 2017, Russian Psychological society 2014, American Psychological Association(Society for Industrial and Organizational Psychologist) 2011), speaker of many international conferences (USA, Brazil, Portugal, Czech Republic, Russia, etc.). TEDx speaker.

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