On May 14, 2018, the United States Supreme Court, in the Murphy decision, held that the Professional and Amateur Sports Protection Act of 1992 (PASPA) was unconstitutional. The decision held that PASPA violated the 10th Amendment which opened the door for each individual to allow sports betting. Before 2018, Nevada was the only state with legalized widespread sports betting. Nevada is a highly regulated gaming jurisdiction with some of the best sports books in the world. People flock sports books in Nevada during the Super Bowl, March Madness, the World Series and other major sporting events to place wagers at the dozens and dozens of well-regulated sportsbooks located in casinos throughout the state. However, to place bets on sporting events in Nevada, the individual placing the bet must be located within the state. While sports betting is a booming industry in Nevada, it does little to capture the billions wagered illegally offshore.
Since May 14, 2018, many states have legalized sports betting with their respective borders. Many states have made sports betting user friendly by allowing people to place bets online with the regulated sports books. Some of the most reputable sports book operators are operating in multiple states, opening up sportsbetting opportunities across many geographical regions thus capturing a different demographics across the country.
Legalized sports betting at the state level has also created so many opportunities that have historically operated outside of the United States. Top rated operators from Europe and the Caribbean see many opportunities to participate in a sports betting market that will continue to grow for the foreseeable future. However, prior to entering the highly regulated sports betting market in the U. S. , sports betting operators need to answer critical questions before attempting to enter the U. S market. Issues such as taking bets from the U.S. after the Unlawful Internet Gambling Enforcement Act was enacted, business probity and transparent operations, associations with individuals and companies, sources of original financing are some of the issues that need to be scrutinized prior to the thought of filing any applications to operate a sports betting operation in the U.S. Where to fie initially is a key question because regulatory approvals in certain jurisdictions like Nevada create instant credibility in the gaming regulatory world. This type of approval will transcend to easier access in many other gaming jurisdiction, very simply because very few states have the experience and institutional knowledge that is embedded in Nevada.
There is tremendous opportunity in the U.S. sports betting market but proper planning and strategic thinking is critical in order to navigate the regulatory hurdles that will either positively or negatively impact future opportunities. Our office will steer you in the right direction and guide you on the process of navigating the sports betting market properly.