How States Legalized Sports Betting After Murphy v. NCAA

Adam Neal

Adam Neal is a poker industry professional and Head of Sponsorship at ACR Poker, known for his work with poker partnerships, sponsored players, creator programs, and the wider ACR community.

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KEY TAKEAWAYS

• As of October 2026, the National Conference of State Legislatures reports sports betting is legal in 39 states and Washington, D.C.; other trackers count 38 states plus D.C.
• On May 14, 2018, the U.S. Supreme Court struck down the federal Professional and Amateur Sports Protection Act, leaving the decision to each state.
• States have legalized through three main routes: legislation, voter-approved ballot measures and tribal-state gaming compacts.
• Each route produces different rules on who may operate, where bets may be placed, taxes and restrictions on college betting.
• Several proposals remain pending or failed in 2026, including Nebraska ballot measures set for November 3, 2026.

Sports betting became a matter of state law on May 14, 2018, when the U.S. Supreme Court decided Murphy v. National Collegiate Athletic Association and struck down the federal Professional and Amateur Sports Protection Act (PASPA). As of October 2026, sports betting is legal in some form in 39 states and Washington, D.C., according to the National Conference of State Legislatures, although Legal Sports Report counted 38 states plus D.C. and Puerto Rico in September 2026.

The ruling did not legalize anything by itself. It removed a federal barrier, and each state then chose its own path: a statute passed by the legislature, a ballot measure approved by voters, or an agreement with tribal nations. This article explains what the decision changed, how each route works with real examples, what remains pending as of October 2026, and which common assumptions about the ruling are wrong.

What PASPA Did and Why the Supreme Court Struck It Down

PASPA made it unlawful for a state or its subdivisions “to sponsor, operate, advertise, promote, license, or authorize by law or compact” a betting scheme based on competitive sporting events. According to the Court’s syllabus, the statute did not make sports gambling itself a federal crime. Instead, it let the U.S. Attorney General and professional and amateur sports organizations bring civil actions to stop violations, and it grandfathered existing sports gambling in four states.

New Jersey tested the law twice. After voters approved a state constitutional amendment, its legislature passed a 2012 law allowing sports wagering at Atlantic City casinos and horse racetracks, and the NCAA and three major professional leagues sued. In 2014, New Jersey instead repealed state-law prohibitions for people 21 or older at those locations, excluding wagers involving New Jersey college teams. The Third Circuit held that even the partial repeal violated PASPA, and the Supreme Court took the case.

The Court, in an opinion by Justice Alito, reversed. It held that a state that repeals its own bans authorizes gambling under PASPA, and that the anti-authorization provision then violates the anticommandeering rule, which stops Congress from issuing direct orders to state legislatures. The Court also found that no PASPA provision could be severed, so the whole statute fell. The opinion closes by saying that “Congress can regulate sports gambling directly, but if it elects not to do so, each State is free to act on its own.”

Three Routes States Have Used to Legalize

Legislation

New Jersey moved first. Governor Phil Murphy signed P.L. 2018, c. 33 on June 11, 2018, allowing casinos and racetracks to operate sports pools, with online wagering provisions taking effect 30 days later. According to the New Jersey Office of the Attorney General, the Governor placed the first bet three days after signing, at Monmouth Park. The statute licenses casinos and racetracks, which may run online sports pools themselves or through licensed internet operators.

Ballot measures

Some states let voters decide. Missouri’s Amendment 2, a constitutional amendment, was approved in November 2024, with about 50.1 percent of nearly 3 million votes cast, according to KCUR. The Missouri Gaming Commission oversees the market, which launched on December 1, 2025, and the amendment imposes a 10 percent tax on adjusted gross revenue, per the text published by Ballotpedia.

Tribal-state compacts

Under the Indian Gaming Regulatory Act, tribes and states negotiate compacts for casino-style gaming, so some sports betting rests on compacts. Florida’s Legislature ratified a compact with the Seminole Tribe in 2021, codified at section 285.710 of the Florida Statutes. The Interior Department took no action within its 45-day review period, so the compact was considered approved to the extent it is consistent with federal law, and it took effect on August 11, 2021 per the Federal Register. It uses a “hub and spoke” model in which wagers placed by people physically in Florida are deemed to occur at servers on tribal land. Florida’s statute sets the minimum age at 21.

How the Rules Work in Practice

Legalization is only the first step, because each state builds its own licensing, tax and restriction framework. New Jersey licenses casinos and racetracks through its Division of Gaming Enforcement and Racing Commission. Missouri licenses retail and mobile operators through its Gaming Commission. Florida’s statute designates the Florida Gaming Control Commission as the state compliance agency for the compact.

Taxes differ widely. The National Conference of State Legislatures reports that most states tax sports betting revenue at 10 to 20 percent, with outliers: Iowa and Nevada at 6.75 percent, and New Hampshire, New York and Rhode Island at 51 percent (as of its February 2026 update). Some states also limit what can be bet on. The Associated Press reported that Missouri’s amendment bars individual player prop bets involving Missouri colleges and universities.

Not every approved market is simple to launch. Federal court plaintiffs challenged the Florida compact, arguing it violated the Indian Gaming Regulatory Act, the Unlawful Internet Gambling Enforcement Act, the Wire Act and the Equal Protection Clause. According to CBS Sports, Florida’s market launched in November 2021, shut down about three weeks later, and relaunched on November 7, 2023 after the legal fights concluded. For background on one federal statute in that dispute, see how the Wire Act applies to interstate wagering.

What Is Pending, Failed or Disputed in 2026

Wisconsin is the newest legislative example. Governor Tony Evers signed 2025 Wisconsin Act 247 on April 9, 2026, which excludes from the definition of a “bet” certain mobile sports wagers when the server is on tribal land and the wager is conducted under a compact entered before April 1, 1993. Action Network reports that, as of September 2026, statewide mobile apps are not live, compact amendments and federal review remain, and a constitutional challenge was filed in August 2026.

Nebraska voters will see two measures on the November 3, 2026 ballot, according to the Secretary of State: #440, a constitutional amendment, and #441, a statute, both addressing online sports wagering through licensed racetrack casinos. Neither is law unless voters approve it. Action Network also reports that a Georgia constitutional amendment failed in the House on March 6, 2026 and that the Oklahoma Senate rejected a tribal sports betting bill on April 22, 2026. Texas has not authorized sports betting either; see how Texas’s constitutional restrictions on gambling work.

The table summarizes the status of these items as of October 2026.

Item Status as of October 2026
Wisconsin Act 247 (tribal mobile wagering) Enacted April 9, 2026; statewide apps not live per Action Network
Nebraska ballot measures #440 and #441 Proposed; on the November 3, 2026 ballot
Georgia constitutional amendment (HR 450) Failed in the House on March 6, 2026, per Action Network
Oklahoma tribal sports betting bill (HB 1047) Rejected by the Senate on April 22, 2026, per Action Network

Common Misconceptions About the Murphy Decision

Misconception one: Murphy legalized sports betting nationwide. The ruling only removed PASPA’s prohibition on state authorization, so betting is legal only where a state or tribal compact allows it.

Misconception two: Congress can no longer regulate sports betting. The opinion states that Congress can regulate sports gambling directly. What it cannot do is order state legislatures not to act.

Misconception three: legal means the same thing in every legal state. Some states permit mobile wagering statewide, while others limit betting to casinos, racetracks or tribal land, and the National Conference of State Legislatures notes sports betting is offered in tribal casinos in several states.

Misconception four: every state counts the same way. Published totals differ by source: the National Conference of State Legislatures reports 39 states and D.C., while Legal Sports Report reported 38 states, D.C. and Puerto Rico in September 2026.

Where to Find the Official Rules

The authoritative source for any state is its own statute or constitutional provision, published by the state legislature or secretary of state, along with the rules issued by its gaming regulator. A state gaming commission’s website is the place to confirm which operators are licensed, and tribal compacts are published by the Interior Department in the Federal Register.

Because rules, age limits and restrictions differ by state and change often, anyone with a question about a specific situation should consult a licensed attorney in the relevant state. This article describes the law in general terms and does not assess any individual circumstance.

Related Laws to Read Next

The Murphy ruling sits on top of older federal statutes that still matter. The Wire Act and the Unlawful Internet Gambling Enforcement Act continue to shape interstate wagering and payments, and the Indian Gaming Regulatory Act governs tribal compacts. USGamingLaw explains the Wire Act in a separate article, linked above, and compares how individual states regulate gambling in its state law explainers, such as the Texas article also linked above.

Frequently Asked Questions

What did Murphy v. NCAA decide?

On May 14, 2018, the U.S. Supreme Court held that the federal Professional and Amateur Sports Protection Act’s ban on state authorization of sports gambling violated the anticommandeering rule. The Court also found no part of the statute severable, leaving legalization decisions to each state.

How many states have legalized sports betting?

As of October 2026, the National Conference of State Legislatures reports 39 states and Washington, D.C. Legal Sports Report counted 38 states plus D.C. and Puerto Rico in September 2026, so the number varies by source.

How do states legalize sports betting?

States have used legislation, such as New Jersey’s 2018 law; voter-approved ballot measures, such as Missouri’s 2024 amendment; and tribal-state compacts, such as Florida’s 2021 compact with the Seminole Tribe. Each route sets its own licensing and tax rules.

Did Murphy v. NCAA make sports betting legal everywhere?

No. The decision removed a federal barrier but did not authorize betting. As of October 2026, it is legal only in states, and on tribal lands, where a statute, constitutional provision or compact allows it, and Action Network’s September 2026 count lists 11 states with none.

Is online sports betting legal in every state that allows sports betting?

No. As of October 2026, some states permit statewide mobile wagering, while others limit betting to retail locations, tribal casinos or on-premise apps. Wisconsin signed a mobile law in April 2026, but statewide apps were not live as of September 2026.

Is the Nebraska sports betting measure law?

Not as of October 2026. Ballot measures #440, a constitutional amendment, and #441, a statute, are on Nebraska’s November 3, 2026 ballot. Neither takes effect unless voters approve it, according to the Nebraska Secretary of State.

Legal disclaimer: This article is for general informational purposes only and is not legal advice. Gambling laws vary by jurisdiction and change frequently; the information above reflects our research as of October 2026. For advice about your own situation, consult a licensed attorney in your state and check the official sources of your state’s gaming regulator.


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