Texas sports betting, casinos 'dead on arrival,' and more

Welcome to iGB’s State of the Union, a comprehensive overview of the most significant sports betting developments in North America this week, along with insights on noteworthy stories from the industry.

Texas GOP Group Declares Wagering “Dead on Arrival”

The outcome of the November elections presents a challenging landscape for gambling expansion in Texas. According to the Texas Tribune, numerous new Republican lawmakers opposed to gambling have been elected, replacing several who previously endorsed such initiatives. Notably, three GOP senators who advocated for gambling expansion in 2023 have now changed their positions against it. It is important to note that the Texas legislature convenes only in odd-numbered years, limiting opportunities for legislative change.

Moreover, opposition to a proposed casino complex in Irving, a Dallas suburb, is surfacing. KERA News reports that “thousands” have signed a petition to thwart the transformation of a 1,000+ acre parcel—formerly home to Texas Stadium—into a mixed-use entertainment facility. This initiative spearheaded by Las Vegas Sands could falter significantly without the inclusion of a casino.

On March 11, House State Affairs Committee Chairman Ken King received a letter from anti-gambling GOP lawmakers affirming their opposition to “any attempt to expand gambling.” This correspondence came just a day after Democratic Senator Juan Hinojosa’s constitutional amendment proposal, which would allow Texans to vote on the legalization of sports betting, was assigned to the State Affairs Committee.

Senate Joint Resolution 65 (SJR 65) proposes to license the state’s professional sports teams for sports betting, in addition to golf courses hosting PGA Tour events. The resolution does not clarify whether it would authorize in-person, digital betting, or both.

The proposed referendum would ask Texans to vote on whether to authorize the legislature to legalize wagering on specific sporting events.

Legal Wagering in Texas: A Contentious Journey

This latest constitutional amendment mirrors an earlier proposal filed in the House this session, neither of which have seen a hearing as of yet.

Given Lieutenant Governor Dan Patrick’s historical stance against gambling expansion, it seems likely that SJR 65—or any related legislation—will struggle to gain traction. Patrick, who also serves as the Senate President, has repeatedly stated his commitment to calling votes only on proposals that enjoy robust Republican support.

In their letter to Chairman King, a dozen GOP senators expressed certainty that the current legislation lacks sufficient votes for passage in the Texas House, stating, “Given the certainty of its failure, I urge you not to waste valuable committee time on an issue that is dead on arrival.”

The subject of gambling in Texas has faced numerous hurdles over several legislative sessions, despite aggressive lobbying efforts led by Las Vegas Sands, which has allocated $13 million towards lobbying efforts ahead of the 2025 session. Notably, Miriam Adelson, owner of Las Vegas Sands, acquired a majority stake in the Dallas Mavericks and is intent on developing an entertainment complex surrounding a new home arena.

A recent University of Houston poll indicates a strong public interest in gambling, with 60% of Texans showing support for legalized sports betting and 73% advocating for the introduction of destination resort casinos.

Nonetheless, Patrick’s firm opposition combined with the altered legislative composition suggests that 2025 is unlikely to mark a significant expansion in Texas gambling.

Alberta’s Gaming Market Poised for Expansion in Early 2026

As it stands, Ontario is the sole legal market for digital sports betting and igaming in Canada. Industry stakeholders have long anticipated that Alberta would follow suit. Paul Burns, Executive Director of the Canadian Gaming Association, recently confirmed at the Next.io conference that Alberta is positioned for a regulated iGaming market launch as early as Q1 2026.

Approved by the government just a fortnight ago, this new framework is expected to mirror that of Ontario, effectively paving the way for Alberta to establish its digital gaming landscape within the next year.

Missouri to Open Sports Betting Applications on April 15

The Missouri Gaming Commission (MGC) has announced that applications for sports betting will be available starting April 15. While the timeline for approval remains unclear, there is currently no application submission deadline. Importantly, the rules won’t be enforced until August 30, following Secretary of State Denny Hoskins’ rejection of a request for emergency regulations by the MGC.

Despite other states typically issuing licenses only after rules are enforced, the availability of these applications allows operators to prepare them in advance. Furthermore, the MGC has communicated that live digital sports betting is anticipated to commence by December 1.

Major wagering platforms, including BetMGM, DraftKings, ESPN Bet, Fanatics Sportsbook, and FanDuel, have secured market access in Missouri. According to a November interpretation from the attorney general, every land-based casino is entitled to one platform skin, while five professional sports teams are eligible for licensing, alongside two standalone mobile licenses.

Southern California Sports Bettor Indicted for Tax Evasion

On March 10, a man from Southern California was indicted on four counts of tax evasion, accused of utilizing corporate funds to cover sports betting losses. The U.S. Attorney’s Office for the Central District of California reported that Edwin Michael Greer directed some of these funds towards settling debts with illegal bookmakers Wayne Nix and Ken Arsenian.

Greer owned an insurance salvage company from 2017 to 2020 and allegedly misappropriated company funds to pay off his gambling debts while disguising these personal transactions in the company’s financial records as legitimate business expenses.

If convicted, Greer may face a maximum of five years in prison for each count. In 2022, Nix pled guilty to federal tax fraud and operating an illegal sportsbook, while Arsenian has also pleaded guilty to running an illegal operation, resulting in financial penalties and back taxes totaling over $1 million.

DraftKings Venturing into Prediction Markets?

Recent reports indicate that DraftKings has applied for the trademark ‘DraftKings Predict’ with the National Futures Association, suggesting potential expansion into the prediction market sphere. This development aligns with comments made by CEO Jason Robins during the company’s Q3 conference call, where he acknowledged an interest in prediction markets that extends beyond election-related betting.

Robins stated, “I do think there could be a place for it outside of elections,” and confirmed plans to explore this avenue further ahead of the next election cycle. During the same call, Flutter Entertainment’s CEO Peter Jackson noted the intriguing opportunities presented by prediction markets, though he expressed skepticism about their excitement compared to traditional sportsbooks.

Americans Expected to Wager $3.1 Billion on March Madness

On March 13, the American Gaming Association (AGA) forecasted that Americans will wager approximately $3.1 billion on the NCAA men’s basketball tournament this year—a notable increase from last year’s $2.7 billion. March Madness kicks off on March 16 with Selection Sunday and matches commencing on March 18.

The AGA urged bettors to engage in responsible gambling practices, promoting its “Have a Game Plan. Bet Responsibly” campaign. The organization has recently introduced a new pillar, ‘Keep Your Cool’, designed to encourage players to keep betting enjoyable and to respect the game.

Rhode Island’s Market Potential for Expansion

A proposed bill in Rhode Island aims to terminate the state’s contract with IGT, the current sole provider of sports betting, thereby opening the market to at least five new wagering platforms. Senate Bill 748 has been forwarded to the Senate Labor and Gaming Committee, although no hearing date has yet been set. The Rhode Island legislative session is scheduled to conclude on June 30, with no crossover deadline impacting this bill.

As IGT’s contract is due for renewal on July 1, 2026, the new regulations would mandate the regulator to initiate an application process for additional operators prior to this deadline.

Rhode Island was among the first states to introduce digital sports betting following the repeal of the Professional and Amateur Sports Protection Act in 2018.

In Other News…

Penn Entertainment has launched its standalone Hollywood Casino igaming app in New Jersey as of March 11. Bettors can either access the app directly or login using their ESPN Bet credentials. New Jersey marks the third market where this app is available, following Pennsylvania and Michigan.