BREAKING: Senator Brian Schatz from Hawaii is spearheading an effort to introduce federal legislation aimed at regulating sports prop betting in the United States, with a proposal expected by 2026. This urgent move comes as the sports betting industry experiences explosive growth following the 2018 Supreme Court decision that legalized sports betting on a state-by-state basis.
Sources close to the senator revealed to journalist Pablo Torre that discussions are underway with major leagues, player associations, and sportsbooks to create comprehensive regulations for prop bets. Schatz’s initiative is particularly focused on targeting illegal offshore sportsbooks, aiming to bring them under federal oversight.
In his statement, Schatz emphasized the need to protect fans: “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.”
The surge in sports prop betting—a practice where wagers are placed on specific events within a game rather than the final outcome—has raised significant concerns. Recent controversies highlight the risks involved, prompting organizations like the NFL to take action. In November, the NFL issued a memo urging team officials to collaborate with state lawmakers and regulators to limit or outright prohibit prop bets.
Ohio’s Governor Mike DeWine also voiced concerns, calling for the Casino Control Commission to remove prop bets from the legal betting list in the state. This reflects a growing anxiety among officials regarding the integrity of the game and the potential for manipulation.
The proposed legislation by Senator Schatz is a response to these mounting pressures and aims to establish a framework that ensures fair play and accountability in the booming sports betting landscape. As states grapple with the implications of the 2018 ruling, which did not create a unified legal framework but allowed states to regulate betting independently, the push for federal oversight appears increasingly urgent.
With sports betting predicted to reach a billion-dollar industry, the focus on regulation is not just about compliance; it’s about restoring trust among fans and ensuring the integrity of sports. As discussions advance, all eyes will be on the developments leading up to the proposed legislation in 2026.
Stay tuned for updates as this story develops and impacts the future of sports betting in the United States.
