In response to the increasingly prevalent online sports betting and the differences in state regulations, U.S. Representative Paul Tonko and U.S. Senator Richard Blumenthal announced plans to introduce new federal legislation to coordinate the regulatory environment across the United States.
Unveiling a Unified Approach to Sports Betting:
This event is expected to provide valuable insights for the upcoming legislation. Besides live attendance, the event will also be streamed on Representative Tonko's X page, ensuring that stakeholders and the public can follow the proceedings from anywhere.
This is not the first time Representative Tonko has ventured into the realm of sports betting legislation. Previously, he proposed two legislative measures aimed at establishing a federal framework to oversee sports betting—a field traditionally governed by state law. These initiatives were driven by significant changes in the legal landscape following the U.S. Supreme Court's May 2018 decision to overturn the Professional and Amateur Sports Protection Act (PASPA), which previously prohibited sports betting, preventing states from legislating on the matter.
The repeal of PASPA marked a critical change, quickly leading to the establishment of physical sports betting facilities in four states within months. Notably, New Jersey, under the legal challenge led by then-Governor Chris Christie and Phil Murphy, launched its digital betting platforms as early as August 6, 2018.
Key Features of the Proposed Legislation:
The upcoming bill, similar to Tonko's earlier proposed Supporting Affordability and Fairness in Sports (SAFE) Act, is expected to address several key issues in the online sports betting industry. Representatives from the Northeastern University School of Law's Public Health Advocacy Institute attended the press conference, highlighting the bill's focus on public health and consumer protection.
Tonko's "SAFE Act" was initially unveiled in early spring, outlining comprehensive measures to ensure responsible gambling. The bill proposed strict advertising guidelines, restricting certain words in ads, and limiting the times sports betting ads could be aired on television. The bill also sought to implement affordability checks to prevent consumer overspending and prohibited the use of artificial intelligence to track betting activities.
According to iGaming Business, the legislation also introduced specific operational restrictions, such as limiting the number of daily deposits a user can make to no more than five, prohibiting certain types of bets, and creating a national self-exclusion list to help gamblers voluntarily exclude themselves from gambling activities.
An important but less mentioned aspect of the "SAFE Act" is its overall approach to handling sports betting. The bill proposes a comprehensive ban on sports betting, requiring states to obtain explicit permission from the federal government to legalize and regulate this form of gambling within their jurisdiction.