Federal legislation aiming to regulate sports prop betting in the United States may be introduced in 2026, as indicated by Senator Brian Schatz of Hawaii. According to journalist Pablo Torre, who reported this on social media platform X, the senator is engaging in discussions with major sports leagues, player associations, and sportsbooks to shape this proposed legislation.
Senator Schatz’s initiative comes in response to the rapid growth of the sports betting industry in the U.S., particularly following the 2018 Supreme Court ruling that allowed states to legalize sports betting on their own terms. While many states have embraced this opportunity, the regulatory landscape remains inconsistent. Prop betting, which involves wagering on specific events within a game rather than the overall outcome, has sparked considerable controversy.
Concerns Over Prop Betting
The proliferation of prop bets has raised alarms among various stakeholders. For instance, the NFL recently issued a memo to team officials emphasizing their commitment to limiting these types of bets. The league’s communication stated, “Accordingly, we have actively engaged with both state lawmakers and regulators, as well as with our sports betting partners, to limit – and where possible prohibit altogether – prop bets in the NFL.”
In Ohio, Governor Mike DeWine has expressed similar concerns. In August, he urged the Casino Control Commission to remove prop bets from the list of legal betting options available to operators in the state. The growing unease surrounding prop betting reflects a broader push for stricter regulations in the rapidly evolving sports gambling landscape.
Senator Schatz articulated the need for regulation in a statement to Torre, underscoring how sports betting has transformed into a billion-dollar industry. He stated, “We’re working on legislation to stop the kind of prop betting that gives a single bad actor the ability to manipulate a specific, singular outcome for a big payout. This is about protecting fans and restoring public trust in sports.”
Future of Sports Gambling Legislation
As the conversation around sports betting regulation intensifies, Schatz’s proposed legislation could play a pivotal role in shaping the future of gambling in the United States. His focus on addressing illegal offshore sportsbooks signifies a comprehensive approach to regulation aimed at safeguarding consumers and ensuring fair play.
As discussions advance, stakeholders in the sports and gambling industries will be keenly observing the developments leading up to the proposed legislation. The outcome could have significant implications for how prop betting is conducted and regulated across the nation.
ReadWrite has reached out to Senator Schatz’s office for further comment on this developing story.
