How To Bet On Sports Online Legally. To bet online legally, you first need to find a legal and regulated operator. Fortunately, many states have legalized sports betting and have online sportsbooks live, accepting wagers. Sportsbook technology is so streamlined that using them is about as simple as using any other app you access on a day-to-day. The legalization of mobile sports betting, online casinos and poker remains a complex and thorny issue. Current legal online betting options in California consist of daily fantasy sports and horse racing betting. In-person gambling options include a large number of tribal casinos, horse racing tracks, cardrooms and the state lottery.
If you have ever wondered if that bet on the Super Bowl with your friends was legal, you are not alone. Though billions of dollars are spent on sports betting each and every year, there are still questions concerning just how legal your March Madness office pool or friendly wager on the NBA Finals really is. Betting with friends on sports at your home or at the bar falls into the category of social gambling. Many sports enthusiasts do not realize that this activity falls into its own legal category in many states. There are some states that permit social gaming, others that strictly prohibit it, and a few that draw no distinction within their laws. If a state does have a social gambling carve out, you will typically find it within in the same chapter that pertains to gambling.
The simplest way to bet on sports with friends- or even by yourself - is to use an online sportsbook. The laws for online sports betting are typically more cut and dry, and using offshore sites does not carry the risks that land-based sports wagering can. Still, it is worth understanding the legality behind betting on sports with friends at your home or in a social setting. As you continue reading, you will be able to get an overview of how social sports betting works in the U.S.
The definition of social gambling will differ slightly, but it is generally considered wagering amongst friends in a non-public area. Participants must compete on equal terms and no player can be a professional gambler. A $10 bet that you with your buddy while watching a football game at your home would constitute a social wager. On the other end of the spectrum, running books and creating a large-scale operation crosses into standard gambling territory, which is illegal and punishable by law.
Here is an example of social gambling as written in the Arizona Revised Statutes:
“’Social gambling’ means gambling that is not conducted as a business and that involves players who compete on equal terms with each other in a gamble if all of the following apply:
There are certain states that permit social gambling, however the exact laws can vary drastically from state-to-state. Some states will have clearly defined laws on the terms that players must compete on, while others will limit the amount that can be won and wagered. There are other states that have rather vague laws where the types of social contests permitted to wager on are not clearly defined. The one commonality between all states that allow social gambling is that there cannot be a house cut, meaning that the host or a certain individual does not make a profit from the pool. It is best to research the individual social gaming laws in your particular state to ensure that friendly sports bets are legal in your state. That being said, here are the states that do have social gambling laws that permit betting with friends in some capacity:
Alabama | Connecticut | Louisiana | New Jersey | Ohio |
Arizona | Iowa | Maine | New York | Wyoming |
Colorado | Kentucky | Minnesota | North Dakota |
Betting with friends on sports online is legal as long as you use offshore betting sites. There are certain federal laws that prevent sports betting sites from operating within the United States. The Wire Act of 1961 makes it illegal for those in the business of gambling to accept bets or provide assistance with the placement of sports wagers via wire communication facilities. Being that the law has been interpreted to include the internet, you will not find state-regulated online sports betting sites. The legal sports betting sites that US citizens use every day are those that are regulated overseas. Though headquartered in locations such as Antigua and the United Kingdom, these sites are licensed to accept players from the USA. You can join a legitimate sports betting site and not have to worry about the often times confusing social gambling laws that apply to land-based sports betting.
Betting with friends on sports is best done in a regulated, online environment. Let’s say that you make a bet with your friend and win, but they decide not to hold up to their end of the deal. In some states, you will have no way of recovering your funds. In some jurisdictions, the loser may be able to sue the winner and recover losses. With murky social gambling laws, many sports fans prefer to just use an online sportsbook. You can all place bets online and see who comes out on top.
You and your friends can join an online sportsbook to get started with placing wagers. When you visit a sports betting site, you will be asked for basic contact information such as your name, address, telephone number, and email address. After registering, you will be presented with several deposit options and be prompted to fund your sports betting account. You can choose a fast and reliable method like bitcoin that will have your account credited within minutes. Or, you may opt to use a Visa, MasterCard, or American Express for your sportsbook deposit. One of the major benefits of betting with friends on sports online is that each person can choose their own preferred deposit method.
There is no denying that you have more betting options at a legal online sportsbook that you will anywhere else. You and your friends may be interested in different sports, and online sportsbooks will have a wide selection of sports to choose from. You can bet on NCAA basketball, NFL, MLB, NHL, MLB, NCAA football, and more. Some of the available wager types include moneylines, totals, point spreads, parlays, teasers, and if-bets. Rather than having to come up with a system to track all of your friends’ bets, everyone will have their own bet slip where bets are automatically graded and payouts instantly calculated.
Betting with friends on sports is made even more convenient when you take the wagering to your smartphone. With mobile sports betting apps, you and your friends can bet while on the go. You will have the same selection of sports and wager types at your fingertips. Easily fund your account or request a payout while waiting in line or watching the game. With no download required, no one in your group has to worry about space being taken up on their mobile device. Simply visit the sports betting site from your iOS, Android, or BlackBerry device to be automatically directed to the mobile-friendly sportsbook.
Betting with friends on sports is best done in a regulated, online environment. Let’s say that you make a bet with your friend and win, but they decide not to hold up to their end of the deal. In some states, you will have no way of recovering your funds. In some jurisdictions, the loser may be able to sue the winner and recover losses. With murky social gambling laws, many sports fans prefer to just use an legal online sportsbook. You can all place bets online and see who comes out on top.
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California is an exercise in frustration. Legal sports betting simply cannot get going in the Golden State. Most recently, a proposed ballot initiative failed to gain enough signatures to make it onto the ballot.
Past efforts for sports betting legalization have stalled without ever making it out of the legislative process. Time is also running exceedingly short for the measure to pass through the needed committees and be the subject of a full vote.
Moreover, the state’s powerful tribes — which generate approximately $8 billion annually – would potentially be in opposition to the legalization of sports betting as a form of gaming expansion within the state. Notably, various pieces of online poker legislation have experienced an abundance of opposition from the tribes over the last decade in California for similar reasons.
The possible launch date for legal California sports betting is unknown at the moment. There are two ongoing initiatives presently under consideration, both involving the state’s Indian tribes.
The first would legalize sports wagering at land-based Indian casinos and horse racing tracks exclusively. This plan would not include online/mobile wagering for the foreseeable future. This initiative is being advanced by the tribes themselves.
The second effort stems from the state’s legislature. Under that plan, online/mobile wagering would be made available on platforms affiliated with the tribal casinos and racetracks. This plan is opposed by the tribes because it would also allow the state’s cardrooms to continue offering the house-banked card games the tribes feel infringe on their exclusivity.
It’s possible that either or both measures are put on the ballot as early as in November 2020. However, for that to become reality, each will have to qualify for the ballot by June 25. The tribes’ initiative suffered a setback in their already advanced signature collection efforts for the ballot when the coronavirus pandemic led to widespread stay-at-home orders.
A lawsuit filed by the tribes with the Superior Court of the State of California on June 9 seeks to obtain an extension on the timeline needed to gather and verify the necessary signature to qualify the measure for the ballot this November.
There currently is no legal sports betting framework in California, although there are two initiatives under consideration.
At the moment, there is no legal sports betting framework in California. Depending on which of the two competing initiatives eventually passes via voter referendum, bettors will either be limited to placing sports bets at Indian tribe brick-and-mortar casino locations and racetracks (the tribes’ initiative) or through online/mobile platforms associated with Indian tribe casinos and racetracks (legislative initiative).
There is currently no legal sports betting in California. However, based on other gambling-related activities in the state, it would be reasonable to expect that bettors will have to be at least 21 years of age to place a bet whenever wagering is legalized.
With no legal sports betting currently available in California, there is naturally no set policy and procedures in place for establishing a betting account in California.
However, following the model of other states, it’s expected that bettors will have to provide the following basic information to open an account:
Sports betting is not yet available in the state of California, and it remains to be seen if the initiative that allows online wagering will be the one that eventually is codified into law.
If online/mobile wagering is eventually available in California, it’s reasonable to expect that operators will offer the conventional withdrawal methods they typically make available in other states where legalized betting is already available.
These methods include:
However, if sports betting is limited to brick-and-mortar locations, then withdrawal options may be limited to checks or in-person withdrawals on site at sportsbooks.
Sports betting is not yet available in the state of California. If the measure being advanced by state’s Indian tribes is the proposal that is eventually voted on and passed, there would not be online wagering allowed. All bets under that plan as currently proposed would have to be made in person at the tribes’ brick-and-mortar casinos.
If the measure being advanced by the legislature is the one eventually voted on and passed, online wagering through platforms associated with tribal casinos and racetracks would be available. In this instance, bettors would physically have to be located within California – as verified by geolocation technology – in order to place a wager.
Naturally, it will be in the best interest of sportsbooks to offer competitive odds once sports betting is legalized in California. A principal factor will be what kind of tax rate and licensing fees operators are expected to pay under a legal sports betting framework.
If and when sports betting is legalized in California, it is expected that operators will be able to offer wagering on all major sports, as is the case in all other states already offering legalized wagering. That includes the following sports/leagues:
Should the state pass legal sports betting legislation, betting on the following teams, in addition to the major colleges, will likely be permitted:
If and when sports betting is legalized in California, it is expected that bettors will have access to the following types of wagers:
There is no specific indication at this point that in-game wagering and live betting will be prohibited under either of the active sports betting proposals in California. However, there’s always the possibility that outlook is altered before either measure is put up for a voter referendum.
It remains to be seen what companies/operators would be part of California’s sports betting market. If the initiative advanced by the tribes were to be the one that is codified into law, there would be no online sports betting options in California. As such, there may be a more limited number of companies involved in the market partnering with the tribes to run their brick-and-mortar sportsbooks.
However, if the legislative effort is the one that is eventually passed by voters, online/mobile betting would be made available to California residents. Under that scenario, there would be a substantial number of companies interested in entering the market, including:
Without an official legal sports betting framework in place, there is no set breakdown of how tax revenue from sports betting would be allocated within California.
If the model from other states is generally followed, the bulk of the revenue will naturally go into California’s coffers, with small percentages potentially going toward problem gambling initiatives or administrative costs related to the oversight of the industry within the state.
Eilers and Krejcik project the legislative initiative would produce $503 million per year in revenue for the state when the market is fully mature, including $282 million during the first six months when factoring in expected licensing fees. Meanwhile, the tribes’ plan, which would not include online wagering, is projected to bring in approximately $200 million per year.