The Supreme Court Overturns PAPSA – What Does This Mean for Offshore Sportsbooks?
If you’re weren’t on the internet yesterday and happen to bet sports, you missed some big news. New Jersey’s fight for legalized sports betting went all the way to the U.S. Supreme Court, and the decision was handed down yesterday that they had won their case and the sports betting ban has been struck down nationwide.
The first question many bettors have been asking is when will sports betting be available in my state? The second one is usually regarding offshore sportsbooks and their money at sportsbooks like Bovada, BetOnline.ag, SportsBetting.ag and others.
New Jersey State Is Legalizing Sports Betting Soon
It looks as if New Jersey will have sports betting available at Monmouth Park on May 28th. Several other states enacted laws where sports betting may be available by the end of 2018 and before the start of football season. Pennsylvania and West Virginia are the ones most likely to have sports betting by NFL Sunday, with Massachusetts, Connecticut, and Mississippi not too far behind. However, many of these states could easily not have legal sports betting in 2018 or beyond.
Online sports wagering at offshore betting sites won’t go away, but more on that later. If you’re going to get legal sports betting in your state – you have an opportunity, if you’re a skilled sports bettor that properly line shops. Let’s remember, all these sportsbooks that are opening state-wide, don’t take nearly the action that Bovada or Sportsbetting.ag or BetOnline.ag. Unless they’re using a line service that mirrors Pinnacle Sports – there is a good chance they’re going to be softer than most.
If you’re a sports bettor in these states, be sure to line shop against Pinnacle and look for +EV betting markets. There will be opportunities for bettors in the states that legalize sports betting by the fall. There won’t be the abundance of betting markets that you have at online sportsbooks, but there will still be plenty of markets that will likely be +EV, which is a good thing if you know what you are looking for.
What Will Happen To Offshore Sports Betting?
It’s not going anywhere. Yes, you heard me. Offshore sportsbooks already don’t have the best relationship with federal and state governments. This change in the federal law on sports betting doesn’t change business at the online sportsbooks you have been using for decades.
With the advent of cryptocurrencies, such as Bitcoin, offshore gambling isn’t going anywhere. In fact, offshore sportsbooks may be more competitive now more than ever. Either way, they will have a bigger advantage over brick n’ mortar or state options because they offer deposit bonuses. These have never been a staple of local bookies or state-run sportsbooks, and they never will be.
Also, when it comes to the variety of markets and betting, offshore sportsbooks can’t be touched. If you want to bet on NFL football and Korean baseball, then keep your money at online sportsbooks. As far as props and variety, it will take years for regulated sportsbooks even to come close to matching up.
Federal Regulation May Not Be A Positive
Senator Orrin Hatch has moved to established federal regulation and safeguards to sports betting on the federal level. Hatch was one of the members of Congress who pushed PAPSA (Professional Sports Amateur Protection Act) into law which outlawed the spread of sports betting beyond full-scale sports betting in Nevada and sports lotteries in Delaware and Montana.
Federal regulation may lead to a federal tax on betting handle that states take in which may drastically impact the amount sports betting operators and states can make from legalized sports betting. If the federal government over “regulates” sports betting we may see -115 or -120 on sides and totals for sports bettors and that is simply is not beatable long term. In the end, the change in federal law may make offshore sports betting more profitable and a better deal for sports bettors. There is a lot more to come on this landmark decision and how it will affect sports bettors in the future. Stay tuned.