Is Esports Betting Legal in the US? Everything You Need to Know

Esports betting has very quickly gone from being a niche hobby to something much bigger. It's now a mainstream phenomenon that attracts millions of fans each year. So let's take a look at everything you need to know about esports betting in the U.S in 2025.

Each year, millions of fans worldwide tune in to watch competitive video games like League of Legends, Valorant, CS:GO and Dota 2. The global market is expected to reach US$3.5 billion by 2029. As the industry grows, there are more opportunities for different experiences. But if you're in the United States, you must understand the complex legal landscape that surrounds it. This is the only way to enjoy a positive and enjoyable experience.

What is esports betting?
Esports betting is essential when you place a wager on a competitive video game match or tournament. It's very similar to traditional sports betting in the way you place a wager on the outcome of a game, player performances and even live betting. Some of the more popular betting games include:

• League of Legends (LoL)


• Valorant


• Counter-Strike: Global Offensive (CS:GO)


• Dota 2


• Overwatch

What makes esports betting different from traditional sports betting is the lack of a single governing body overseeing all events. Unlike the NFL or NBA, esports tournaments are organized by various entities, making regulation a little more challenging.

How to bet legally in the US
As esports continues to grow globally, many fans in the United States are looking to get involved. However, the legal landscape can be difficult to navigate. As gambling laws are determined at the state level, understanding how and where you can legally place wagers on esports is really important when it comes to staying compliant and avoiding potential legal issues. So, if you want to jump into the exciting world of esports betting, here are some tips:

• Check your state's laws: If you're unsure of your state's position, you can consult an official gaming commission website or a licensed sportsbook platform.


• Use licensed sportsbooks: You should only ever be placing wagers through licensed operators that are regulated by your state. This will ensure your funds are protected and that you're gambling within the law.


• Look for bonuses and offers: Many sportsbooks offer promotions to new esports bettors. To get started with a bonus, you can check out this page, which features some of the best deals, perfect for boosting your initial bankroll.


• Stay educated and up to date: Keeping up with esports news and regulatory changes will help you to stay informed about where and how you can bet legally.

The legal landscape surrounding esports betting in the US
The 2018 Supreme Court decision that invalidated the Professional and Amateur Sports Protection Act (PASPA) opened the door for states to legalize sports betting. However, PASPA did not specifically address esports betting. This has left states to decide whether esports falls under their sports betting laws or not. As of June 2025, esports betting is legal in a number of U.S states either explicitly or implicitly, while others have banned it or are yet to regulate it.

States where esports betting is legal
New Jersey is one of the top contenders when it comes to legal esports betting. With a robust regulatory framework, licensed sportsbooks in New Jersey offer esports wagering on major tournaments like the League of Legends World Championships and the Valorant Masters. The state's gaming commission ensures events meet strict integrity standards.

Nevada, which, of course, is known for its long history of gambling regulation, also allows esports betting. However, the state requires specific events to receive approval from the Nevada Gaming Control Board. This approach aims to protect bettors from fraudulent activity in the online gaming world.

Colorado includes esports under its legalized sports betting umbrella. The state allows residents to bet on a wide range of esports matches through licensed operators. This is similar to other states like Virginia, Washington, Massachusetts, Nebraska, Louisiana and Maine, where esports betting is available through broader sports betting laws.

States where esports betting is illegal or restricted
There are several states that remain cautious and some that are even outright opposed to allowing wagers on competitive gaming. This reluctance often stems from concerns about the relatively new nature of esports as a betting market. The potential for match-fixing, the young demographics or fans and the challenges in regulating an industry without a centralized governing body.

As a result, these states have either prohibited betting altogether or have yet to establish clear laws that would permit it. This includes:

• Indiana banned esports betting in 2019 due to concerns over match-fixing and underage gambling.


• California, Texas, Florida and Georgia have not yet legalized any form of sports betting, including esports.


• Minnesota, Missouri, South Carolina, Oklahoma, Alaska, Hawaii and Idaho all have unclear or restrictive policies surrounding esports betting.

Why is regulation challenging?
Esports betting faces unique hurdles that traditional sports betting doesn't. This is one of the major reasons why regulation is so challenging and presents challenges like:

• Match-fixing and integrity issues: Because most games are played online, the risk of cheating or match-fixing is much greater. Many regulators are concerned about maintaining fair play to protect bettors and the integrity of the sport.


• Younger audience: Fans tend to be younger, often teenagers. This creates another challenge for regulators when it comes to preventing underage gambling and protecting vulnerable groups.


• Lack of centralized governance: Esports lacks a singular governing body, meaning there's no unified authority to enforce rules or monitor events. This fragmentation makes regulation even more tricky.

As the industry evolves, it's not just regulation that's changing. We are also expecting to see other exciting advancements like virtual and even augmented reality. Technologies like this are expected to attract an even larger audience, pushing even more states to legalize and regulate.

Esports betting in the U.S is an exciting, fast-growing industry with a complex legal framework. While it is fully legal and regulated in several states, others have restrictions or bans in place. If you want to participate safely and legally, you should always check your state laws and use licensed sportsbooks.