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Question of the Day - 16 July 2023

Q:

Why is online sports wagering limited to being physically located within a state instead of where the legal resident of the state happens to be? I am a legal resident of Massachusetts, but when I cross the state line into one of our neighboring states, I'm prohibited from making online sports wagers even if that state allows online wagering for the residents of that state (such as Connecticut). Hoping you can provide some clarification as to why the regulations were written in that manner.

A:

The more one probes into this issue, the more byzantine it becomes.

DraftKings, the number-two online sports book in the U.S., informs customers that they may sign up from any state, regardless of whether it permits sports betting or not. However, “You won’t be able to place a real-money bet unless physically located in a state that permits sports wagering, regardless of your residency.” This is why so many punters living in New York state, until it started allowing sports bets in January 2022, had to drive or commute to New Jersey to have a flutter.

As University of Nevada-Las Vegas Distinguished Fellow Anthony Cabot explains: “A sports enthusiast residing in Massachusetts cannot place bets from a different state due to the Federal Wire Act. This legislation restricts sports books from accepting wagers across state borders, regardless of the legality of sports betting in the destination state. Consequently, sports books employ geolocation software, utilizing GPS or other technologies, to identify the user's location and prevent any wagers originating from outside the state. Within the industry, this practice is commonly referred to as ‘ring fencing.’”

New Jersey, for its part, is happy to inform you that you don’t need to be a citizen to wager, but you do have to be within Garden State boundaries. “So if you live in New Jersey, but are out of state, you can’t bet with New Jersey sports books. If you are not a resident of New Jersey, but are in the state, you can bet with their sports books.”

Getting back to what DraftKings said, the normally anti-gambling Philadelphia Inquirer offers a clarification. “Even though residents in illegal states are unable to place bets, you’re allowed to look at odds, sign up for an account, and even deposit and withdraw (at most sports books),” it reported. “If you’re getting ready to travel into a state where sports betting is legal, you may want an idea of what the odds are looking like ahead of time. Or you may just be curious what the line on your favorite team is on a given night.”

Thus, if you’re signing up online, don’t get cute. If you’re in a non-wagering state, put that down in your information. Don’t give the address of your parents or the Red Roof Inn where you’ll be staying in a betting-friendly state.

“Sports books use the last four digits of your Social Security number to verify your identity and if their info doesn’t match what you entered, you’ll need to jump through verification hoops to get your account set up,” reports the Inquirer. Having recently had some experience with “verification hoops,” we can strongly advise you that they’re something you want to avoid.

And if you’re to be properly geolocated, keep your mobile phone’s location service on. It will make all the difference if you’re in a state like North Carolina, where online sports betting is now legal, versus South Carolina, where it’s not. If you’re in the former and your phone is off (and you live in South Carolina instead), the geofencing will default to your place of residence, ixnaying the wager.

Finally, while your login credentials will lock you out of betting in a non-wagering state (California is currently the biggest), they will be your open-sesame if you travel to, say, Nevada.

The bottom line is that if you’re in a state where sports wagering is legal, all bets are on, so to speak. If you’re in a state that forbids it, there’s no workaround that will help you.

 

No part of this answer may be reproduced or utilized in any form or by any means, electronic or mechanical, without the written permission of the publisher.

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Comments

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  • Kevin Lewis Jul-16-2023
    Eeeeeevil GAMBLING
    I can send money or get money across state lines. I can order a five-speed solar-powered vibrator from Amazon across state lines. I can order a pizza from Kentucky and have it delivered in Ohio. I can buy a house in Alaska without ever leaving Hawaii. But I can't be here and GAMBOOL over there. That's because gambling is a particularly heinous and immoral activity that must be tightly regulated to protect our national virtue.
    That might have made sense in an earlier era. Now, when you have five-year-olds betting their allowances on the Super Bowl (and six-year-olds booking the bets), and nuns placing basketball wagers before crowding around the convent TV to watch the Lakers game, getting sanctimonious about gambling seems rather old-fashioned--downright antiquated, in fact. But then, that's our government system in a nutshell. (Can you say "Electoral College," boys and girls? I knew you could!)

  • [email protected] Jul-16-2023
    Prayer Group
    My dad used to religiously attend the “Monthly Men's Prayer Group” at his church.  You had to be physically present to participate.  It was also known as the monthly poker party sponsored by the parish priest.  Women were allowed to participate.  

  • Ray Jul-16-2023
    But horseracing is different
    All these restrictions on sports betting, yet I make racing wagers anywhere, even though my account is in my home state. I wonder why the difference

  • Lotel Jul-16-2023
    What????
    I remember when LVA would answer a question . now just a lot of baloney and trying to be cute. "the more byzantine it becomes."    "so many punters living in New York state, until it started allowing sports bets in January 2022, had to drive or commute to New Jersey to have a flutter."   I stopped reading after that. 

  • CLIFFORD Jul-16-2023
    Isn't losing  fast enough
    in your own state enough...on-line wagering---making the poor poorer...AMERICAN DISGRACE!

  • Kevin Lewis Jul-16-2023
    Lotel buddy
    A heartbreaking video will soon be posted of LVA staff crying and rending their garments in anguish that you disapprove of the way in which this QoD was answered. And I know it can be painful for you when a big word like "byzantine" is used. 

  • [email protected] Jul-16-2023
    Yeah, Clifford ...
    they also should ban gambling in the secondary securities markets, currency exchanges, collectables markets, and all the other legalized ways in which adults may choose to lose money.  Can't have adults responsible for their own actions - have to have the nanny state protecting them from themselves, right?

  • Carey Rohrig Jul-16-2023
    Nevada
    Simple answer who calls the shots, casinos

  • VegasMatt26 Jul-16-2023
    Use a VPN
    I use Windscribe VPN, it makes it look like you are in a totally different location, i can even link through a Greece,Germany etc. I even place bets when I am in Vegas and link the VPN to make it look like i am in my home state where online betting is allowed.

  • Wild Bill Jul-16-2023
    Lotel buddy 2
    I imagine that, in part, it's to get rid of thankless ingrates and Philistines like you that LVA is going to a pay-per-view model sometime soon. No way you're a subscriber, so you're just here for the free ride, and when something annoys you (my god! these showoffs and grandstanders used a word that bugs me!), you can't wait to let everyone know about it. Poor you. When you have to start paying for the privilege, you'll take your hostility somewhere else. Lucky us.  

  • Hoppy Jul-16-2023
    Evolving Vocabulary 
    I have added byzantine to my vocabulary. By the way: so I can't use any of my Sports Betting app in Nevada?

  • JoyceAula49 Jul-16-2023
    Parking for The Sphere
    Now that the Sphere is operational where can you park to attend an event?I will be attending a daytime showing of Postcard of Earth on a Sunday afternoon. I read that Venetian was going to install a walkway to connect to the Sphere which would make parking easier.  

  • rokgpsman Jul-16-2023
    Sphere parking
    @JoyceAula49
    
    I saw a news story in a Vegas newspaper that had this to say about parking for the Sphere-
    
    "The property will include 304 parking spaces, while additional spaces will be available at the parking garages for the nearby Venetian, Palazzo, and Sands Expo."
    .......
    For now the Venetian and Palazzo self-parking is free but that will end soon, I think they've announced they will start charging  for self-parking in August but you can call them to double-check.

  • mhernandez116 Jul-16-2023
    Parking for the sphere
    Say which store in Vegas offers the best price on kumquats?