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The legal journey of sports betting in the USA

Although its legal standing has changed dramatically over the years, sports betting has always been a common activity in the United States. Historical occurrences and critical legislative changes have been instrumental in changing the regulatory landscape of sports betting — from being banned to gaining widespread acceptance. This article provides a detailed chronology of the journey towards legalizing sports betting in the USA and the bills that have shaped the current legal process.

Early attempts and prohibitions

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When legal sports betting was initially introduced in the United States, it was not well regulated and functioned in a sort of legal gray area. The federal government passed the Wire Act in 1961, which prohibited the transmission of betting information through wire communication across states. This legislation was intended to combat organized crime and outlawed gambling. During this period, sports betting was negatively perceived as it was often linked with organized crime and money laundering.

The PASPA era

1992 was another important year as the Professional and Amateur Sports Protection Act (PASPA) was passed to prohibit sports betting. PASPA outlawed sports betting across the country. States were banned from approving or regulating sports betting, with some exceptions. Nevada, Oregon, Delaware, and Montana had state legislation that permitted limited forms of sports betting, so they were grandfathered in as they were already legal before 1992. These exemptions would later be used strategically to challenge the constitutionality of PASPA.

The road to repeal

As time passed, PASPA faced criticism and several states launched a constitutional challenge. New Jersey became an important player in this legal battle. It took many years of litigation, trials and adjournments before the challenge arrived at the US Supreme Court. In May 2018, in a historic ruling, the Supreme Court ruled in favor of New Jersey to abolish the PASPA law as unconstitutional based on the 10th amendment. This decision allowed individual states to legalize the activity and regulate the sports betting industry in their respective regions.

Post-PASPA developments

Following the June 2018 Supreme Court ruling that struck down PASPA, several states moved to pass legislation enabling sports betting. New Jersey was one of the first states to open legal sports betting. As the post-PASPA era unfolded, a domino effect ensued as one state after another began to enact bills to legalize and regulate betting on sports. Those seeking to find all information about when sports betting became legal in the US can turn to resources like Trustnbet for some insight.

Embracing a new era of legal sports betting

In summary, the legalization of sports betting in the United States has been characterized by major developments and changes. Starting with the Wire Act restrictions to the historic elimination of PASPA, the industry has come a long way. The ruling by the Supreme Court in 2018 has revolutionized the market by allowing states to legalize and regulate sports betting. In the future, sports betting in the USA appears promising, with the potential for further legalization and innovation. Based on the existing legal frameworks, it is clear that sports betting has now become an integral part of the American entertainment and sporting culture.

The published material expresses the position of the author, which may not coincide with the opinion of the editor.

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