Sports betting has come a long way since the days of betting in bars filled with cigarette smoke and sweaty men, shouting and drinking beer like their life depends on it, however, for Americans, its development has been hindered by the Professional and Amateur Sports Protection Act.
It is time to celebrate as the PASPA was finally overturned and Delaware has become the second state to fully legalize sports betting, giving Nevada a run for its money. In the three years following the overturn of PASPA, about 80% of the states have legalized sports betting or have proposed laws that will soon expand the legal market in the US. More states are days away from fully legalizing sports betting within their jurisdictions too, so here is all you need to know about this type of gambling.
Legalities of Online Sports Betting in the USA
Historical Betting Overview
Until recently, sports betting was illegal in all states of America, with the exception of only four – Nevada, Montana, Oregon and Delaware. As of May 2018, however, every state has the right to make sports betting legal within its jurisdiction. As of yet, it is only fully legal in Nevada and Delaware but more are on the way. Currently, a large number of states have legalized this form of gambling. The federal Professional and Amateur Sports Protection Act from 1992 was the one that used to forbid states from legalizing sports betting and it only took two decades to bring it down. Now, each state has the authority to decide whether they should allow this form of gambling or not.
Overall, gambling has had a rough time in the US. Online gambling is legal only in four states – Delaware, Nevada, New Jersey and Pennsylvania. More than half of the states have already legalized sports betting or have introduced bills that will allow the launch of legal sports betting. In other states, it is mostly strictly forbidden to operate an online casino and as for playing at one, the lines are blurred. As most laws concerning gambling in all shapes and sizes, in the US the restrictions applied to it are aimed at operators rather than gamblers. Unless, of course, tax evasion is concerned.
What the future holds for sports betting in the US is still unclear, though one thing is for certain and it is that at the very least, more states will allow it and anything is better than nothing. Despite the fact that organizations such as the NFL, MLB, NBA and the collegiate organization, the NCAA, have voiced their support of the 1992 ban, the states have continuously fought for their right to decide whether an activity should be banned within their jurisdiction or not.
What You Need To Know About Sports Betting In the US
The legalized sports betting market in the US is constantly changing and growing. After the overturn of the PASPA law in 2018, many states took the chance and launched mobile sports betting. That said, not everyone has jumped on the bandwagon, with many states still working towards the regulation of sports betting.
One thing to keep in mind is that gambling in the US, including sports betting, is regulated on a state-by-state basis. This means that the way sports betting is regulated strictly depends on the laws that were passed in the specific state you are physically located in. Before you join a virtual sportsbook, you are advised to check the laws of the state where you are currently residing. The form of gambling may still not be legal where you are located, meaning you will not be allowed to legally bet on your favorite sports.
As more states are striving to introduce legal sports betting to their residents, it is worth regularly checking the latest amendments to the law. What is more, to be able to operate in a specific state, sportsbook operators will need to apply for a license from the respective jurisdiction. This means that certain bookmakers may be able to legally operate only in a few states that have legalized sports betting.
It is also possible that you may be allowed to participate in mobile betting only if you are physically located in state-based gambling locations. Thanks to the geolocation feature that is often implemented in betting apps, states like Mississippi can track whether bettors are physically present at the gambling facilities that allow mobile wagers.
As you can see, sports betting is a very specific venture for every state in the US and it is important to check the laws in your respective location to be able to know how to legally place bets on sporting events.
Odds Format In the US
The odds in single-bet sports betting can be presented in different formats. There are three main types which are European, or decimal, UK, or fractional, and American, also known as moneyline odds. Basically, this means that the number can either be positive or negative. The way to read them is by understanding that each positive figure quoted is the amount you would win if you had made a $100 bet. The negative ones are the amount you must wager to win $100. Both of these are true only if the odds are not even, which is usually displayed as either +100 or -100.
The way to calculate your potential win for underdogs, or in other words, one with a positive figure quoted, with this type of odds is by dividing the moneyline number by 100 and then multiplying that number by the size of your bet. For favorites, or those with a negative figure quoted, it is by dividing 100 by the moneyline number and then dividing that by the size of your bet.
Moneyline odds are not concerned with the point spread in a game, but only the actual outcome. So it is only logical that the team that is more likely to win will have negative moneyline odds because betting on it is safer than betting for the underdog. Therefore, the moneyline odds for the underdog is usually positive as it is a risky bet. Another thing to consider, though, is that sometimes both teams will have negative moneyline odds. This is due to the house take.
US Betting Laws And Legislation
Ever since the overturn of the PASPA law, quite a few states have already legalized online sports betting. In addition to that, other states have already introduced bills that will allow them to soon join the rest of the states and legally offer sports betting in their respective territories.
Since gambling in the US is governed on both federal and state levels, interstate gambling, relations between the country and Native American territories, and international gambling fall under Congress’ remit.
Since every state must decide the forms of gambling it will allow and the way they will be regulated, the sports betting laws in each state are different. The legal age for gambling is also not unified for all states, with some states even having different age limits for various forms of gambling.
As more states are working towards the legalization of sports betting, it is important to constantly keep a track of the latest news in your respective jurisdiction. This is the only way to stay abreast of the latest bills that have passed, legalizing sports betting in your state. As each state has a different view on how sports betting should be regulated, it may be possible that bettors are allowed to place sports wagers only at brick-and-mortar in-state betting facilities. That said, many states are striving to legalize mobile betting as it is one of the easiest and most accessible ways to bet for many US punters.
US Betting Restrictions
While a large number of states have legalized sports betting, there are still some federal laws that impose certain restrictions. Under the Interstate Wire Act of 1961 and the Unlawful Internet Gambling Enforcement Act (UIGEA) of 2006, Congress has prohibited some forms of gambling in the US. These restrictions, however, apply only to betting operators physically located on the territory of the United States.
The Interstate Wire Act prohibits sports bets or other types of wagers using wire communication. In 2011, the US Department of Justice announced that the ban applies only to sports wagering. However, in 2018, it stated that the restrictions also apply to other forms of gambling. Currently, under that law, punters from a certain state are not allowed to participate in mobile or online sports betting while they are physically located in another state.
Some of the gambling restrictions imposed by Congress under the Commerce Clause include the ban of unauthorized distribution of lottery tickets from one state to another. Under the same clause, Congress has also prohibited sports betting with only states that have legalized the form of gambling being an exception to the ban. Congress is also governing to what extent Native American territories are permitted to offer different forms of gambling.
Online Betting Regulatory Body In the US
In states with legislation, you will not be relying on some shady character to regulate your bracket. The problem with this is that the legislation leaves basically everything in the hands of casinos. This means that casinos would have all the authority over sports betting regulations, which may not sound that bad but this would mean that sports betting will most likely occur strictly on casino grounds. This is definitely in their interest but not in yours. The future, as well as the current state of sports betting, is online and on mobile.
And if anyone is worried about whether sports betting is worth it and if it would even be successful, Delaware just reported that only on the first day of its legalization the accepted bets amounted to over $300,000. This goes a long way to show how popular this type of gambling really is and how its decriminalization will lead to profits in many spheres.
As every state regulates sports betting within its respective territory, the regulatory body in each state is also different. While the majority of the states have already legalized sports betting, every sportsbook operator that wants to legally offer its services to US bettors must obtain licenses from all respective regulatory agencies in every state.
Currently, there are sportsbooks that have obtained operating licenses from a large number of states that have approved sports betting. That said, as some states permit a limited number of licenses, there are also virtual bookies that managed to expand their sports betting offerings only to a few states.
Popular Betting Markets in the United States
As there are quite a few popular sports in the US, it is only natural that US bettors are on the lookout for several sports when they are choosing a sportsbook. As a way to please various sports betting enthusiasts, bookies who operate on the US market tend to cover a large number of sports popular both in the US and globally.
Of course, we cannot start with any other sport but American football – the sports pride of the entire nation. A survey on US bettors’ most preferred sports to bet also shows that 73% of punters in the country enjoy betting on both professional and college football. The National Football League (NFL) is the biggest league that offers some of the biggest football events that many punters enjoy betting on. American Football Conference and XFL are also among the football leagues that some US punters prefer, with the latter being one of the newest additions to American football.
When we take a look at the survey, we will notice that following American football, the next sport that was preferred by a large number of US punters (62%) was basketball. The sport is also largely followed by fans overseas, making it also one of the most popular sections at sportsbooks. The National Basketball Association (NBA) has been the league that has produced some of the biggest sports stars in history, with players like Michael Jordan and Lebron James being some of the biggest basketball celebrities in the world. In addition to NBA games, some US punters also enjoy betting on games from the Basketball Champions League.
Another sport that enjoys great popularity among US punters is baseball. Also known as the national pastime in the US, baseball enjoys a huge fanbase both at home and globally. It is also one of the top betting choices for numerous punters in the US. The games are played on two different levels, namely minor league baseball and major league baseball (MLB).
Hockey, or ice hockey as other countries refer to the sport, also ranks as one of the top choices of US bettors. The sport is most prominent in northern parts of the US as well as in Canada. The National Hockey League (NHL) is the most popular league when it comes to hockey events and it is also preferred by many US punters.
We cannot also miss mentioning soccer which is globally popular and the US makes no exception. When it comes to sports betting, the sport also is one of the favorite betting options for US punters. The Major League Soccer enjoys quite the attention, with many US bettors betting on matches in the league. That said, punters in the states also enjoy international soccer games in leagues such as the English Premier League, La Liga, Serie A, and many more.
Popular Betting Markets in the United States Summary | |
---|---|
Sport | Leagues |
American Football | NFL, XFL |
Basketball | NBA, Basketball Champions League |
Baseball | MLB |
Hockey | NHL |
Soccer | MLS, English premier League, La Liga, Serie A |
US Online Betting Bonuses
Whenever choosing online sportsbooks, most punters are interested in the promotional offers they can redeem to elevate their sports betting experience. US punters are no exception, with the majority of licensed sportsbook operators making sure to provide a wide range of sports betting incentives to their US members.
The majority of sportsbooks offer various types of Welcome Bonus promotions to newly registered members. Meanwhile, returning bettors can often redeem recurring sportsbook offers. Deposit bonuses and free bets are the most common type of promotions that US punters can enjoy.
The majority of sports betting sites require new members to be at least 21 years old to join the virtual sportsbook and redeem its incentives. Most often than not, all supported deposit options can be used by bettors to redeem sportsbook promotions.
One very important thing to keep in mind is that sportsbook offers often come with wagering requirements. This means that US punters will usually be required to bet the amount of their bonus a certain number of times before they are allowed to initiate a withdrawal. Often, there is a limit on odds when you are betting bonus funds, with some markets often excluded from bonus wagering. This is why bettors are advised to carefully read the terms and conditions of every offer before they redeem it.
Mobile Betting In the US
With the launch of online sports betting in many states, the majority of sportsbooks have also launched their dedicated mobile apps. These allow US punters to simply grab their smart devices and place their bets whenever they feel like it, even if they are on the move. Mobile sports betting is preferred by a large number of punters as it allows easy wagering at any time and place.
One thing worth mentioning about mobile betting in the US is that these apps use a geolocation feature. As the name suggests, it detects where punters are physically located. This is used when punters from one state travel to another state where sports betting may still be not legalized. What is more, currently, some states have legalized mobile betting only for punters physically present at specific land-based betting locations.
In Nevada, more than 60% of sports bets are placed through mobile apps. Of course, since it is only partially allowed to continue its sports betting operations, this is only partially evident as to what a sports betting mobile app is truly capable of. As anything nowadays, gambling and betting online are key elements to the success of operators. It is an easy and accessible way to place a wager, not to mention much more attractive than going all the way to a casino to place a bet.
At this point, the development of mobile software is so advanced that mobile sports betting is no challenge at all. In fact, different software providers have been developing products that have completely transformed what we thought of as sports betting. Compatibility is a problem that has been almost fully eradicated and usually, you can place bets on sports on mobile with any operating system and even directly through your browser.
Popular Betting Banking Methods In the US
Even though sports betting is only now starting to get legalized, it is important to know which banking method is most suitable for you beforehand. Here, we will give you some basic information about the different ways to make a monetary transaction when it comes to betting on sports.
Credit And Debit Cards
Naturally, credit and debit cards are a quick and efficient way to make any payment and sports betting is no different. Online sportsbooks usually accept Visa and Mastercard and the process for placing a bet with either is really simple. However, you should keep in mind the fact that you are providing your information to a website nonetheless and so, you should always make sure that everything is legitimate and secure.
E-Wallets
E-wallets, also known as Web Wallets, allow you to make monetary transactions without having to disclose your personal information to any third party. In this way, it is more secure but of course, usually, you must first create an account and transfer some funds to it, before using it. However, this is a small price to pay for a higher level of security as you do not need to provide your financial details to multiple websites.
E-vouchers
E-vouchers or pre-paid cards are another popular option among many. They are a very good option as they are available to people who do not have access to a bank account or any line of credit. All you need is some cash and a store that sells e-vouchers. Usually, the companies that provide them have a list of the stores where you can find their product. Additionally, these cards are even more secure as you do not disclose your financial details to anyone this way, and you can also remain entirely anonymous.
Direct Bank Transfer
This is typically accepted everywhere and is perhaps the easiest way to transfer funds, however, you are providing your financial details directly to the operators of the sports betting website you have chosen. This is far from the most secure way to make an online payment, however, if you are confident in the website’s level of security there will not be a problem. If you are uncertain, consider any of the other options we have presented you with.
PayPal
PayPal is a well-known American company that as of 2018, operates in 202 markets with over 200 million accounts. It allows users to make monetary transactions as well as receive payments. It can also hold funds in 25 currencies. It has a great security system and allows for one-click transactions. With it, you do not have to disclose any of your personal information to the bookie, much like with web wallets.
Popular Banking Methods in the United States | |||||
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Payment Method | Fees | Deposit Limits | Deposit Times | Withdrawal Limits | Withdrawal Times |
PayPal | Free | Min $10/Max $1,500 per transaction | Instant | Min $10/Max $60,000 per transaction | Up to 48 hours |
Skrill | Free | Min $10/Max $1,500 per transaction | Instant | Min $10/Max $60,000 per transaction | Up to 48 hours |
PayNearMe | Free | Min $10/Max $500 per transaction | Up to 30 min | N/A | N/A |
Cash at physical gambling location | Free | Min $10/Max $500 per transaction | Instant | Min $10/Max $10,000 | Instant |
Play+ Prepaid | Free | Min $10/Max $25,000 | Instant | Min $10/Max $25,000 | Instant |
Visa | Free | Min $20/Max $25,00 per transaction | Instant | N/A | N/A |
Mastercard | Free | Min $20/Max $25,00 per transaction | Instant | N/A | N/A |
Discover | Free | Min $20/Max $25,00 per transaction | Instant | N/A | N/A |
Amex | Free | Min $20/Max $25,00 per transaction | Instant | N/A | N/A |
Wire Transfer | Free | Min $50/Max $10,000 per transaction | 5-7 business days | Min $500/No Max | 5-7 business days |
echeck | Free | Min $20/Max $50,000 per transaction | Instant | Min $20/Max $5,000 per transaction | 3-5 days |
Online banking | Free | Min €5/Max ? per transaction | Instant | Min $20/Max $5,000 per transaction | 3-5 days |
Check | Free | N/A | N/A | Min $300/Max $10,000 | 2-3 weeks |
What to Watch When Picking US Betting Site
Before you choose the website where you can bet online, you should definitely consider a few things that are crucial to US punters. Make sure to assess all of the perks offered by different sportsbooks and pick the one that offers a fair betting experience and various wagering options with a great value.
Of course, before you start betting, you must make sure that you are joining a sportsbook that has been licensed to operate in your state. To make things easier, a lot of US bookies will have a list of the states where they have been currently authorized to offer sports betting. What is more, upon registration, you will be asked to pick your states and you will not be able to continue with the sign-up process if the bookie is not licensed by the authorities in your state.
Another thing to consider before you join a sportsbook is whether you will be able to handle your real-money betting balance with ease. Many regulated sportsbooks support PayPal or Skrill payments as well as methods like prepaid cards, debit or credit cards, or cash deposits at land-based retailers. The speed of transactions and the fees that your payments may incur are also important when you are choosing the betting website for your sports wagers.
US punters should also check the sports coverage of the bookie, making sure they can bet on their favorite sports and choose from a wide range of betting markets. It should be noted that some states do not allow betting on college competition which can affect the number of betting options that will be available to certain US bettors. Nevertheless, the majority of sportsbooks licensed to operate in the US tend to offer a variety of sports, with numerous fun betting markets available on many sporting events.