The World Health Organization (WHO) has predicted that online gambling losses in the United States will exceed $1 trillion by 2028.
The United Press International highlights that around 16% of adults and 26% of adolescents who play online casino games are estimated to have a gambling problem, compared to 9% of adults and 16% of adolescents who engage in online sports betting.
While research published by the American Gaming Association (AGA) in September revealed record industry-wide responsible gaming investments of $472 million in 2023, growing at a faster rate than gaming revenue, Derek Webb, the founder and chief funder of the Campaign for Fairer Gambling, warned that the government "cannot continue to rely on the theory of responsible gambling, which shifts the burden of harm prevention onto individuals.”
The WHO takes action
This latest update follows recommendations from the WHO last week, which included putting an end to gambling advertisements. The WHO said that “aggressive promotion of gambling in popular and social media also increases gambling activity.”
For instance, DraftKings is currently at the center of a lawsuit accusing the company of contributing to a man’s gambling addiction that resulted in almost $1 million in losses over a four-year period. The complaint read: “This suit alleges violation of New Jersey statutory and common law because Defendants actively participated in the addiction of Mdallo1990 by targeting him with incentives, bonuses, and other gifts to create, nurture, expedite, and/or exacerbate his addiction.”
A report published in the Lancet Public Health journal also warned of the dangers of online gambling. The Oklahoma Voice also recently discussed the links between growing legal sports betting and higher debt and lower savings, referring to a number of professional studies.
Online gambling in the U.S.
As of 2024, seven states permit real money online casinos, including Connecticut, Delaware, Michigan, New Jersey, Pennsylvania, Rhode Island, and West Virginia. Meanwhile, online sports betting is legal in more than 30 states, including the latest addition of Missouri. Some states, such as Nebraska, operate retail-only sports betting markets.
"Promoting legalization as a way to reduce gambling addiction or eliminate illegal gambling is misleading and unsustainable," Webb wrote earlier this week.
However, legalizing online gambling does help to deter gamblers from unregulated betting sites, which often lack responsible gambling tools. These sites also do not contribute any tax revenue to the state, which also often help support problem gambling programs.
The unregulated, offshore sportsbook Bovada has caught the attention of many state regulators this year for operating without a license. As of December 2024, 17 states appear on the platform’s restricted list, including the latest addition of Arizona. Bovada also recently shut down its Tennessee operations after receiving a cease-and-desist and more than $50,000 worth of fines from the state’s Sports Wagering Council.
