Legalizing betting after 2018 (Murphy vs NCAA case)

Until 2018, sports betting in the United States de facto banned the federal law PASPA (1992), leaving full-fledged betting only to Nevada and a few narrow exceptions. On May 14, 2018, the Supreme Court in Murphy v. NCAA struck down key provisions of PASPA as contrary to the doctrine of "anti-commandeering" (states should not be forced on which laws to keep in place). From that moment on, each state received the right to decide for itself whether to allow rates and on what terms.

1) What exactly was canceled in 2018

PASPA prohibited states from "sponsoring, licensing, or permitting" sports betting (with limited exceptions), effectively freezing the market since 1992.

The Supreme Court ruled that if Congress does not directly regulate, it cannot force states to maintain bans - this violates the Tenth Amendment (anti-command). The verdict opened the way to legalization "in a regular way."

2) Map after Murphy: who legalized and where to eat online

As of 2025, 38 states plus Washington, D.C. and Puerto Rico allowed some form of sports betting. Online is allowed in about 30 states (D.C. and PR are also allowed online).

Industry and media expect Missouri could become the 39th state; in the "big two" - California and Texas - there is no legalization yet.

Review maps and state reports are maintained by the American Gambling Association (AGA).

3) New Market Economics

2024: revenue (GGR) of sports books reached ≈$13,7 billion - a new record (growth ~ 25% year-on-year).

Commercial gambling in general (casino + sports + iGaming) in 2024 amounted to $71.9 billion - the fourth consecutive record year.

In 2025, the industry maintains growth; AGA regularly publishes revenue and tax tracker.

4) Online vs. Retail

Online/mobile betting has become the dominant channel: geolocation confirms the player's presence within the licensor state.

Retail books in casinos and arenas complement the experience with match days, viewing areas and a live community.

In some jurisdictions, only retail is allowed (without online) - these are transitional models.

5) Taxes and models: Why New York is so loud

State tax rates vary widely, from 6.75% (Nevada/Iowa) to 51% (New York, Rhode Island, New Hampshire).

New York imposes an online sports book at a rate of 51%, directing funds, among other things, to education and RG programs - this is confirmed by the regulator's website.

High rates give huge revenues to the budget, but narrow the margin of operators - a nuance that states take into account when setting up rules.

6) Honesty, safety and advertising

Since legalization, integration standards have increased: official sports data, anomaly monitoring, betting bans for league players/coaches.

Strict requirements for KYC/AML, reporting and responsible play tools (deposit/time limits, self-exclusion, aid funding) are fixed at the state level and are supported by the industry.

At the federal level, the excise tax on rates is also being discussed: the AGA is lobbying for its abolition as an archaic tax on the "handle."

7) Impact on sport and tourism

Legal betting strengthened the arena culture of viewing and the economy of match days; forecasts for the season are NFL-2025 expected to record the volume of bets.

In tourist clusters (such as Las Vegas), the sportbook has become part of the "experience package" along with shows and gastronomy; peak events like the Super Bowl and March Madness consistently produce spikes.

8) Key stages - "cheat sheet"

1992: Adopted PASPA - de facto national ban on betting (with rare exceptions).

2011-2017: New Jersey runs a series of courts challenging PASPA.

May 14, 2018: Supreme Court in Murphy v. NCAA overturns PASPA as violating anti-commandeering doctrine.

2018-2025: wave of legalizations; by 2025 - 38 states + D.C. and Puerto Rico, online available in about 30.

2024-2025: record market performance; a discussion of tax balance, advertising and Responsible Gambling.

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

1. Check the operator's license in your state and the rules of offers - AGA and state regulators have lists.

2. Compare ratios: In high-tax states, margins can be higher - keep 2-3 licensed apps.

3. Use RG tools: limits, timeouts, self-exclusion and hotlines in applications and on regulatory sites.

The decision in Murphy v. NCAA became a watershed, with states given the sovereign right to regulate sports betting and the market given the impetus for growth and innovation. The US map today is dominated by legal models (online and/or retail), record revenue, but the main disputes are about tax rates, advertising rules and scaling Responsible Gambling. It depends on these settings how stable and comfortable the "post-PASPA" market will remain for the consumer.