This has been a weird, ongoing issue that will have ramifications for video games and eSports. Because technically you can bet on sports in some form or another - see Las Vegas. But there are limitations to the federal law, such as a dollar max, when betting can take place, office pools, etc, that prevented the city from reaping the full benefits of betting. And then there was the rise of fantasy sports leagues such as 'Draft Kings.' Congress attempted to ban betting on "skill based games," which is a common line that fantasy leagues will defer to when they claim they are not gambling. And have been able to argue from that position long enough to not see huge legal ramifications from it. While Nevada and other states have tried to reign in fantasy sports, the companies are still going strong.
What does this mean for video games? Overturning the federal law now allows states to dictate if sports gambling will be allowed, and what the rules will be. This won't be an overnight sweep. So unless your state has already ratified new laws within the past 2 days, sports gambling is still very much illegal. For now. It'll be up to the states to decide if they want to allow it at all. And if you have a state where the growth of eSports is boosting the economy, like California, Nevada, or Texas, you have to factor them in. The sports gambling ban vaguely applied to the digital age in-so-much-as if real world money is being used to place bets, then it was illegal under the federal law.
We know people are going to be betting more and more on eSports in the future. It's a growing industry and will eventually overtake traditional sports in viewership. It's predicted that over 400 million people will be watching eSports in 2019. By 2022/23, that number could easily reach 1 billion. To assume that people will not gamble on this is silly. States in the U.S. now have the ability to regulate how the system will work. Hopefully they are mindful of the needs of the digital era instead of issuing blanket support or bans, much like the original federal law.
What does this mean for video games? Overturning the federal law now allows states to dictate if sports gambling will be allowed, and what the rules will be. This won't be an overnight sweep. So unless your state has already ratified new laws within the past 2 days, sports gambling is still very much illegal. For now. It'll be up to the states to decide if they want to allow it at all. And if you have a state where the growth of eSports is boosting the economy, like California, Nevada, or Texas, you have to factor them in. The sports gambling ban vaguely applied to the digital age in-so-much-as if real world money is being used to place bets, then it was illegal under the federal law.
We know people are going to be betting more and more on eSports in the future. It's a growing industry and will eventually overtake traditional sports in viewership. It's predicted that over 400 million people will be watching eSports in 2019. By 2022/23, that number could easily reach 1 billion. To assume that people will not gamble on this is silly. States in the U.S. now have the ability to regulate how the system will work. Hopefully they are mindful of the needs of the digital era instead of issuing blanket support or bans, much like the original federal law.
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