Development of sports betting in the United States

Until 2018, legal sports betting in the United States was effectively blocked by the federal PASPA law (except Nevada). Everything changed the verdict of the Supreme Court in the case of Murphy v. NCAA: the court overturned the ban as contrary to the principle of anti-command, returning to the states the right to decide the fate of betting. From that moment on, the "American" era of sports betting began.

1) Legal fracture: what exactly was canceled

On May 14, 2018, the Supreme Court ruled that the key provisions of PASPA were unconstitutional, and clearly stated: if Congress does not directly regulate, the states are free to act themselves. This paved the way for a wave of legalizations and the launch of markets "by state."

2) Legalization map in 2025

Operational status: By mid-2025, 38 states plus Washington, D.C. and Puerto Rico have legal forms of sports betting; at the same time, online is allowed in about 30-32 jurisdictions (the figure varies depending on the accounting of territories and market starts).

Expansion: In fall 2025, media converge that Missouri is close to becoming the 39th state; the largest map "blank spots" are still California and Texas.

3) Market Economics: Records 2024 and Dynamics 2025

Commercial gambling (including sports): in 2024, US commercial operators earned $71.92 billion - the fourth consecutive record year.

Sports betting as a vertical: in 2024, the income (GGR) of sports books reached ≈$13,7 billion (+≈25% YoY), and the turnover of bets - ≈$150 billion.

2025 YTD: Sportbooks continue to grow at double-digit rates in the first months of 2025, according to AGA; hold-rate of the market rose to ~ 10%.

4) Online vs offline: Where to bet

Online/mobile - the main driver: applications allow you to accept bets 24/7 with geolocation verification within the state.

Retail (sports books in casinos/arenas) complement the experience with match days and viewing areas.

In a number of states, there is no online yet - bets are allowed only at the reception point (often in a tribal casino).

5) Tax models and examples

New York is the most famous example of high rates: 51% tax on the income of online operators (part of the funds is assigned to education and Responsible Gambling programs).

Analysts estimate that several states (including NH/RI/OR) also hold extremely high rates, whereas Nevada/Iowa hold closer to the lower range.

The choice of tax rate is the balance between budget revenues and the operator's economy (a high tax narrows the margin and competitiveness of offers).

6) Key players and competitive landscape

National leaders - FanDuel, DraftKings, BetMGM, Caesars, bet365, Fanatics, ESPN BET - compete for voice share and product depth: live betting, micro markets, SGP/combi betting, media partnering and league integration. Forecasts for the NFL-2025 season emphasize the scale: record volumes per sport and the continuation of the expansion of geography.

7) Sport and Compliance Integration

Since legalization, the role of official league data, anomaly monitoring, and player/coach rules has grown.

State regulators are implementing requirements for KYC/AML, reporting, ad restriction, and Responsible Gambling (deposit/time limits, self-exclusion, treatment financing). Practice and rigidity depend on the state, but in general the trend is to tighten.

8) Social and tourism component

Legal betting has strengthened the bar and arena culture of viewing: viewing-parties, in-play markets, integration with arenas and teams.

In resort areas (Las Vegas), the sportbook has become part of the tourist product along with shows and gastronomy; Super Bowl and March Madness give spikes in traffic and bets offline and online.

9) What's next: horizons 12-24 months

1. New states and tax adjustment. Political windows can open another 1-2 markets; in mature - discussing a rate correction (but in NY, for example, a cut looks unlikely).

2. More live and micro markets. Technologies accelerate quoting; the share of in-play and personal SGP is growing.

3. Convergence of media and sports. Streaming brands and sports networks are deepening integrations with legal operators.

4. Responsible default game. Expanding funding for RG programs and behavioral risk analytics is part of the regulatory norm.

10) Practical advice to the player (only about the legal market)

Check the state license and the list of allowed operators. Map and information - AGA/full-time regulators.

Learn the rules of promo and the probability of winning; live bets - emotional, set limits.

In high-tax states, margins can be higher - compare ratios across multiple licensed operators.

For signs of a problem game, use self-restraint/self-exclusion tools and hotlines (standard Responsible Gambling portals).

Since 2018, the United States has gone from an almost complete ban to a mature but still growing sports betting market. 38 states + D.C. and Puerto Rico have already allowed bets (most online), and 2024 brought a record $13.7 billion in sports book revenue and $71.9 billion in commercial gambling revenue in general. Next is the moderate expansion of the map, the technological upgrade of live markets and the strengthening of Responsible Gambling. It's a market where states compete with taxes and regulations, and players win through transparency, rights protections and convenient digital experiences.