Full Breakdown
2025: A Year Without New U.S. Sports Betting Laws and Future Prospects
12/29/2025, 11:25:35 PM
Overview of the Current Landscape
The year 2025 marked a significant milestone in U.S. sports betting, as it was the first year since the repeal of the Professional and Amateur Sports Protection Act (PASPA) in 2018 that no new states legalized sports betting. While Missouri opened its market in December 2025, it had passed legislation the previous year. Currently, ten states remain without legal sports betting, with seven of those states introducing bills that ultimately failed to pass.
States Without Legal Sports Betting
The ten states without legal sports betting include:
- Alabama: Two bills aimed at legalization failed to gain traction.
- Alaska: A proposed bill for statewide online sports betting did not receive a committee hearing.
- California: No significant push for legalization occurred; instead, the state focused on regulating sweepstakes and prediction markets.
- Georgia: Sports betting bills were introduced but stalled early in the legislative process.
- Hawaii: Lawmakers made progress with House Bill 1308 but could not agree on a tax rate.
- Idaho: No bills were introduced, and the issue received no legislative discussion.
- Minnesota: Multiple bills failed to advance past initial committees.
- South Carolina: Proposed bills were filed but not seriously debated.
- Texas: Despite some support, no significant push for legalization was made.
- Utah: The issue remains politically dormant with no legislation introduced.
Future Legislative Efforts
Looking ahead to 2026, several states are expected to continue their efforts to legalize sports betting. Hawaii is seen as a strong candidate for potential legislation, with Rep. Daniel Holt expressing optimism about resolving tax rate disagreements. Nebraska is also considering expanding its sports betting framework, having reported record revenue in November 2025, and plans to revisit online sports betting legislation.
Nebraska's Revenue Growth
Nebraska reported a record-high sports betting revenue of $1.5 million in November 2025, surpassing the previous record of $1.2 million from November 2024. The state's casinos, particularly the WarHorse casinos in Omaha and Lincoln, contributed significantly to this revenue surge. As a result, Nebraska is contemplating a bill to allow residents to vote on online sports betting in 2026.
The Rise of Prediction Markets
In the absence of new legal frameworks, sports prediction markets have gained traction across the U.S. These markets allow users to wager on sports outcomes in states where traditional sports betting is not yet legalized. However, states with legal sports betting, such as Arizona and California, have begun to crack down on these markets, with potential legal actions anticipated in 2026.
Industry Perspectives
DraftKings CEO Jason Robins noted that the growth of prediction markets could incentivize more states to legalize online sports betting. He stated, “As growth in Predictions continues, this may also motivate more states to legalize online sports betting and iGaming with reasonable regulation and taxation.”
Conclusion
The year 2025 has been pivotal for U.S. sports betting, highlighting both the stagnation in legislative progress and the burgeoning interest in prediction markets. As states prepare for the upcoming legislative sessions, the landscape of sports betting in the U.S. remains dynamic, with potential shifts on the horizon.
