H2GC Reports US sports betting: the road to 2030 | Page 16

The regulation
The four emerging regulatory considerations
1. Marketing restrictions
Several major sports betting markets have
moved to restrict advertising, especially during
live sports broadcasts, in order to protect minors
and at risk populations.
Australia and Italy have already introduced
bans while the UK, Belgium and Spain are
considering implementing similar restrictions.
2. Wire Act
States may facilitate interactive sportsbetting
within their borders however, interstate sports
betting is prohibited under the Federal Wire Act,
18 U.S.C. § 1084. If the Wire Act was repealed,
the US market would closer resemble that of the
EU and operators would have to restructure their
US businesses accordingly.
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3. Federal oversight
While sports betting is currently regulated state-
by-state, some stakeholders favor a Federal
regulatory regime. H2 believe complete Federal
oversight is unlikely however a framework
covering sporting integrity, illegal market
crackdown and responsible gambling is possible.
4. Native American casinos
As Native American gambling operations are
regulated via state/tribe compacts some may
be permitted to offer sports betting under their
existing agreements. In October, the New Mexico
Gaming Control Board confirmed tribes could
legally operate sportsbooks on reservation lands
under the current tribal compacts. More such
moves could up the market value materially.
US sports betting: the road to 2030 November 2018