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Why Is Sports Betting Still Illegal In California In 2025?

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Why Is Sports Betting Still Illegal In California In 2025?

Sports betting continues to be illegal in California, even after the failed attempts to legalize it in 2022. Since then, there has been no major progress toward a new proposal. Any future legalization depends on cooperation between state lawmakers and Native American tribes, who currently control most of the state’s gambling market. So far, these tribes have opposed online sports betting to protect their casino revenues and sovereignty.

Current Legal Status of Sports Betting in California

At present, California law bans all forms of regulated sports betting. Residents cannot legally place bets on sports like the NFL, NBA, MLB, or college games through casinos, racetracks, or mobile apps. The state has not issued any licenses for sportsbooks, and offshore betting websites remain unregulated and not approved by the state.

The only legal form of sports-related wagering is pari-mutuel betting on horse racing. Fans can place bets at licensed racetracks such as Santa Anita Park and Del Mar, or through approved online horse racing platforms. The legal age to participate in horse racing betting is 18.

Why Sports Betting Has Not Been Legalized Yet

The main reason behind California’s delay in legalizing sports betting is the structure of its gambling industry. The state has over 60 federally recognized Native American tribes that operate casinos under agreements with the government.

These tribal casinos generate billions in revenue and have significant political influence. They strongly oppose the entry of commercial sportsbook operators unless tribes are directly involved or benefit from it. Allowing outside operators without tribal participation could reduce casino profits and weaken tribal authority.

In 2022, two major ballot initiatives tried to legalize sports betting but failed:

  • Proposition 26 proposed in-person sports betting at tribal casinos and racetracks.
  • Proposition 27 proposed online sports betting through partnerships between tribes and commercial operators.

Both measures were rejected by voters, despite a record-breaking $400 million spent on campaigns. Since then, no new proposal has reached the ballot or gained political traction.

What Betting Options Are Currently Legal in California

While traditional sports betting remains banned, Californians can still enjoy other legal or grey-area forms of wagering:

  • Horse Racing: Fully legal through racetracks, off-track betting locations, and licensed online platforms.
  • Daily Fantasy Sports (DFS): Operates in a legal grey area but is widely available. Players select virtual line-ups and win based on real-world stats.
  • Social Casinos and Sweepstakes Games: These use virtual coins or sweepstakes tokens instead of cash. Players can often redeem winnings for prizes or money.
  • Pick’em Games: Players predict outcomes or performances for fixed prizes. These are not considered sports betting under current laws.

Daily Fantasy Sports platforms are especially popular in California. Top options include PrizePicks, Underdog Fantasy, SuperDraft, Fliff, OwnersBox Fantasy, ParlayPlay, Dabble Fantasy, Sleeper Fantasy, Boom Fantasy, and DraftKings Pick6. Since DFS is not directly prohibited by state law, these platforms continue to operate without interference.

Will California Ever Legalize Online Sports Betting?

Since the failure of the 2022 ballot measures, there has been little progress. As of October 2025, no new legislation has been introduced, and lawmakers and tribal leaders have not reached an agreement.

Experts believe the earliest possible legalization could happen by 2026, though some predict it might take until 2028 if tribal groups decide to create their own proposal or negotiate a shared model with commercial sportsbooks.

Analysts estimate that a legal online sports betting market in California could generate up to $3 billion annually in revenue. More than 35 U.S. states have already legalized sports betting, which adds national pressure but not enough to change the tribes’ current stance.

Public support for legalization is growing, especially among younger voters who favor online gaming. However, without a mutual agreement between the state and tribal authorities, California’s sports betting market will likely remain illegal for the next few years.

Also Read: ICE Barcelona 2026: The Global Gaming Event Is Back

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