Good Sports: How Betting Is Getting Bigger Than the Game

When fans place their bets on Super Bowl LIX, many will focus on prop bets—like the length of Patrick Mahomes’ first touchdown pass—without considering the broader implications of sports gambling. While legal betting has surged, illegal operations continue to siphon tax dollars, and gambling addiction is a growing crisis.

Sports Betting Boom: A $142 Billion Industry

Since the Supreme Court struck down the Professional and Amateur Sports Protection Act (PAPSA) in 2018, legal sports betting has grown exponentially. In 2024 alone, bettors wagered a record $142.5 billion, with operators holding $13.2 billion in revenue. State and local governments collected $2.9 billion in taxes.

By contrast, Nevada—the sole legal sports betting hub before PAPSA’s repeal—handled just $248.8 million in 2017. Today, the Silver State plays a much smaller role in the national market.

Nevada’s Declining Influence in Sports Betting

Once the undisputed leader in sports wagering, Nevada now holds just a fraction of the national action. With the rise of mobile and online betting, other states have rapidly gained ground, leaving Las Vegas struggling to maintain its brand dominance.

Former IRS agent Jim Dowling sees this shift as inevitable. “Proliferation is definitely diluting the Vegas brand,” he says.

According to Legal Sports Report, more than half of states with legal betting had double-digit percentage holds by the end of 2024. Nevada’s 6.4% take remains the lowest, largely due to its sharper bettor base and a limited selection of prop bets and parlays.

The Future of U.S. Sports Gambling

The trend shows no signs of slowing. ESPN estimates Americans will legally bet $1.39 billion on this year’s Super Bowl alone. While Nevada’s total sports betting handle declined 4.5% year-over-year to $7.9 billion, mobile sports betting revenue grew nearly 19%, reaching $285.8 million.

Despite concerns over addiction and regulation, the gambling industry’s rapid expansion suggests that, for better or worse, betting is now an integral part of professional sports.