While sports betting is incredibly popular, there is an overarching law that affects potential bettors in 46 states—including Nebraska. This law is known as the Professional and Amateur Sports Protection Act, or PASPA, and has been around for 25 years. The law has received some flack since the time of its passing in 1992, but it still stands today and affects a potentially booming economic lifeline for states across the nation.
At the time of PASPA’s passing, sports betting was on the rise. States were trying to legalize sports betting and the federal government wasn’t too keen on letting that happen. Only four states are exempted from PASPA—Delaware, Montana, Oregon and Nevada—and this is because these states already had some form of legalized sports betting written into law by the time PASPA came around. Out of these four states, Nevada is the only one to have full-fledged sports betting. The other states have some form of Lottery-based sports betting.
PASPA prevents those other 46 states from having state-sponsored sports betting, however it doesn’t ban people from placing bets through offshore sportsbooks. There are several offshore sportsbooks that have the legal licensing and certifications necessary to properly operate within the industry. If bettors want to place bets safely and legally, these sportsbooks are their only options.
The stance on sports betting seems to be taking a positive shift, especially with the emergence of the Daily Fantasy Sports (DFS) groups like FanDuel and DraftKings. The major professional sports leagues are also softening up to the idea of sports betting. NBA Commissioner Adam Silver wrote an op-ed piece for the New York Times where we pitched the repeal of PASPA on the grounds that it is a dated law that needs to be reexamined. The NFL Commissioner, Roger Goodell, is the only one who still seems on the fence about legalizing sports betting. Proponents of PASPA argue that sports betting compromises the integrity of the sport, while people who want it repealed see it as a way of stimulating interest and generating revenue.
There have been some states who have tried to go against PASPA, most notably New Jersey, but have hit several speed bumps. New Jersey Governor Chris Christie has tried several times to write legislation that would open legal sportsbooks within state lines. The major professional sports leagues were quick to stand up against the state, prompting a federal judge to dismiss the case. New Jersey has been going through the appeals process ever since and is clinging to the hope that the Supreme Court will hear the case.
The situation with PASPA is riddled with contradictions and is frustrating for supporters of sports betting. For example, the leagues express interest in welcoming sports betting, but then they’re the first ones to step in the way of states trying to get around PASPA. With DFS groups being legalized and regulated, it doesn’t exactly create for a fair sports betting market in regards to states having their own form of sports betting. Other states who want to fight against PASPA are waiting to see how the New Jersey case plays out, which isn’t very effective because there would be more strength in numbers in regards to overturning the law.
Society seems to be moving towards an acceptance of sports betting, so perhaps PASPA will be reexamined and possibly repealed in the next few years. The one thing that is certain is that states won’t be able to do anything with sports betting until something changes. For this state, PASPA’s repeal would mean Nebraska sports gambling could certainly expand.. For now, offshore sportsbooks are the safe and legal way to go.