Sports betting legalization in the US is on the upswing in 2020. Here’s a look at what to expect.
The US Supreme Court’s 6-3 vote to strike down the Professional and Amateur Sports Protection Act happened in May, 2018. Since then, many US states have announced legalization of sports betting. But that’s nothing compared to the trend for 2020.
Even in the midst of world upheaval, the sports betting train continues to fly down the wagering track. Check out the legalization trends this year that are sure to increase sports betting in the US.
Things are great for everyone, but the future looks bright for pay per head agents and individual bookies!
Current US states with legalized sports betting
Check out a list of the US States that have legalized some form of sports betting. We broke the list into categories: Sports Betting Legal, Pending Sports Betting Legislation, Sports Betting Talk Brewing, and No Sports Betting Talk…Yet.
Sports Betting Legal
Nevada, Delaware, New Jersey, Mississippi, West Virginia, New Mexico, Pennsylvania, Rhode Island, Arkansas, New York, Iowa, Oregon, Indiana, New Hampshire, Illinois, Michigan, and Montana
Pending Sports Betting Legislation
Washington D.C., Tennessee, North Carolina, Colorado, Washington, Maryland, California
Sports Betting Talk Brewing
Maine, Connecticut, Kentucky, Massachusetts, Minnesota, Missouri, Kansas, Louisiana, Oklahoma, South Carolina, Ohio, Virginia, North Dakota, Arizona, Hawaii, South Dakota, Texas, Georgia, Vermont, Alabama, Florida, Alaska, Wyoming, and Nebraska
No Sports Betting Talk…Yet
Idaho, Wisconsin, Utah
Two major sports-related changes in the State of California
Governor Gavin Newsom signs the fair pay to play act
Last October, California Governor Gavin Newsom signed the Fair Pay to Play Act (FTPT). The law allows for payment to college sports athletes. The NCAA takes in $14 billion each year from college sports while strict requirements are placed on student-athletes who are the engine for that revenue.
Newsom, and many others in California, felt that athletes should be compensated for what they bring to the table. The act doesn’t kick in until 2023. But, it’s a major stepping-stone to allow sports wagering in the U.S.’s most populous state.
College athletes have thrown games before. That’s always been a knock to legalize sports betting. A different thought process has won out, though. California’s thinking is that if they take away the incentive to throw games, by paying college players and legalizing sports betting, shady elements won’t approach amateur athletes to point-shave in basketball and throw football games.
Sports betting legalization referendum in Fall
California also has a referendum on the ballot in November that could legalize sports betting in the state. Back in 2017, state assembly member Adam Gray introduced a state constitutional amendment that allowed the state to “permit sports wagering only if a change in federal law occurs”. That law occurred in 2018.
Gray reintroduced his bill. It’s on the California ballot in the fall. No doubt, the citizens of California should legalize sports betting. In what form that legalization happens depends on several factors, including the impact on various Native American casinos in the state.
The possible domino effect of California’s legalization of sports betting
Once California legalizes sports betting, dominos should fall. California is one of the most influential states in the Union. Many feel California is the most influential state. Once California fully legalizes sports betting, most states that are considering legalization will go ahead with their plans.
Washington D.C., Tennessee, Washington, Colorado, and North Carolina will move ahead with legalization. Idaho and Wisconsin will start sports wagering legalization talk. Utah will remain an outlier. It’s doubtful Utah will ever legalize sports betting.
The Supreme Court decision says that US states can legalize sports betting if they wish. It doesn’t say that states must legalize sports betting. Due to Utah’s religious demographic, a sports betting discussion is a non-starter. But for every other state, once California pulls the trigger, sports betting becomes a real possibility.
Maryland allows voters to decide sports betting fate
Like California, Maryland will allow state voters to decide the legality of sports betting. Per an article in the Baltimore Sun, if voters decide to legalize sports betting in November’s election, Maryland will decide which companies can get licenses.
Although this sounds as if pay per head agents will be left in the cold, they shouldn’t worry. License or not, most players want to work with individual bookmakers. That’s good news for anyone who runs a sportsbook in Maryland, or any state for that matter.
5G adoption could mean sports betting explosion
Although things have moved at a lightning pace on the legalization front this year, nothing compares to what’s happening on the technology front. The advent of 5G could change how we live.
The U.S. must switch from 4G to 5G. More and more devices on 4G have led to slow downtimes. Devices require bandwidth to function. No matter the situation, the United States, heck, the entire world, must move to 5G.
5G is 20 times faster than 4G. Most believe that U.S. sports betting will accelerate to the explosion point via mobile wagering. This makes sense because most everyone lives off their smartphones. Even when they’re at home, like during the U.S. lockdown this year due to the coronavirus pandemic, Americans utilized their phones way more than their desktops or laptops.
One of the reasons for this? The pandemic has accelerated work from home policies. Most work on their laptops or desktops. Perhaps folks don’t want their employers to see what they’re doing on their mobile phones, but also using a keyboard is just a whole lot easier than thumb typing.
Once 5G happens, players will wager on sporting events through their mobile phones even if their laptops are open during the day or night while they work. This will increase wagering.
US States will want a piece of mobile action
Increased wagering is likely to drive legislation that legalizes sports betting. States want a piece of the sports betting action. Like lotteries, tax money should leap once sports betting on the 5G network becomes the norm.
New Jersey, one of the first states to legalize sports betting after the Supreme Court decision, predicted $13 million in tax revenue from July 1, 2018 to the end of fiscal year 2019. With the advent of 5G, states believe they can increase that revenue via mobile betting through the “winners”, the corporations that states like New Jersey provide sportsbook licenses.
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