US releases 2025 Sports Betting Index

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The Center for Consumer Choice, an international consumer advocacy group, has released the 2025 Sports Betting Index. The survey updates the 2022 study, ranking states with positive and negative policies governing sports betting in the U.S.

Nevada, Iowa, Wyoming, Kansas, and West Virginia lead the nation in formulating innovative policies around sports betting. States like Colorado and New Hampshire have fallen in the rankings since 2022, due to increased tax rates or limits on bets involving college players.

Emil Panzaru, Director of Research at Consumer Choice Center, commented on the implications of the Index. “The 14 highest-ranking states (rated A+ or A) have the same policies in common.”

“They do not discriminate between online and retail betting, do not apply restrictions on how much or how often consumers can bet, and feature competitive markets rather than state-mandated monopolies for a single firm.”

“Lowest-ranked states have not legalized sports betting or enacted extraordinary taxes and limits on wagering.”

“Nevada, Iowa, Wyoming, Kansas and West Virginia provide a model for effective, consumer-friendly sports betting environments. Their balanced tax structures, high market accessibility and minimal restrictions promote healthy industry growth and serve as a bulwark against illegal gambling through foreign sites with little to no consumer protections.”

Sports Betting Index Highlights

  • The number of outright bans has decreased from 15 states in the 2022 Index to 11 states in this 2025 edition, with Kentucky, Massachusetts, Missouri and Vermont legalizing the practice. Hawaii, Texas and Minnesota are considering bills to give consumers more sports betting options.
  • In contrast, states with a high degree of government intervention still impose high barriers to market access and discriminatory taxation. As a result, they end up in a very low position in the ranking. States like Montana have very low rates. Maximum bets are limited to $250 for in-person bets and $1,000 via Sports Betting Montana.
  • Effective tax rates are quite high in the case of lower-ranking states. Consequently, the 50% tax rates reported in New York, Rhode Island, and New Hampshire translate into a de facto tax rate of 81% on sports betting profits.

Americans were expected to bet a record $1.39 billion on the Super Bowl in 2025. While states like California have resisted legalizing sports betting, unprecedented levels of participation have occurred, both through legal means and through loopholes and illicit online bets made with foreign operators.

Panzaru added: “The rankings prove once again that prohibitions and excessive restrictions do not work. Banning legal applications to provide competition, imposing extremely high taxes and arbitrary limits on the number and size of bets per day are a boon only for illegal bookmakers, who do not have to worry about the costs of these regulations.”