In-Play Betting Faces Statewide Ban as New York Legislators Target Live Betting

New York could see a sweeping change to its sports betting landscape if a bill introduced this month is passed, as lawmakers move to prohibit all live, or in-play, wagering within the state. Assemblymember Linda Rosenthal, representing parts of Manhattan, filed Bill A9343 on December 10, which would prevent casinos, mobile sportsbooks, and licensed operators from accepting any wagers placed after a sporting event has begun. The legislation has been referred to the Assembly Committee on Racing and Wagering for review and debate.

Unlike microbet restrictions proposed in neighboring New Jersey, which target rapid-fire wagers on individual moments in a game, such as the next pitch or play, Rosenthal’s bill would remove all in-play bets from New York’s legal definition of sports wagering. If enacted, the law would take effect immediately, significantly altering the live-betting landscape in a market where in-play wagering typically represents roughly half of all sports bets.

The Concerns Fueling the Move

The bill’s proponents argue that in-play betting poses a heightened risk for problem gambling due to its fast-moving, high-stakes nature. In her legislative justification, Rosenthal emphasized that the state has an obligation to protect consumers and address public health trends. Regulators and legislators alike have highlighted the potential for rapid losses, particularly in esports and other fast-paced events, where live betting can encourage impulsive decisions.

Recent events illustrate the stakes: a trading bot operating on Polymarket reportedly turned a $900 stake into more than $200,000 by wagering on live esports matches, including League of Legends and Dota 2. While Rosenthal’s bill targets licensed sportsbooks and casinos, prediction markets like Polymarket are not immediately affected, though separate legislation known as the ORACLE Act seeks to regulate speculative contracts on athletic events in New York.

Far-Reaching Implications Expected

The proposed ban could have a significant financial impact. New Yorkers wagered nearly $24 billion on sports in FY2024, and analysts estimate that in-play betting alone likely accounts for over $10 billion in total wagers, generating substantial tax revenue. Restrictions on live betting could therefore reduce a critical funding stream that supports public services.

The legislation arrives amid broader regional efforts to regulate live sports betting. New Jersey, as mentioned earlier, has already introduced two bills targeting microbets. Rosenthal’s proposal represents a more comprehensive approach, encompassing all in-play bets across traditional sports and esports markets.

As the bill moves through the Assembly Racing and Wagering Committee, its fate remains uncertain. Advocates cite consumer protection and public health benefits, while opponents warn of the potential economic impact on one of the nation’s largest sports betting markets.