Sports Betting in Texas: Legal Status, Challenges, and Future Prospects

Current Legal Landscape

Sports betting in Texas remains illegal as of 2025, despite growing national momentum and public interest. The Lone Star State has historically maintained a conservative stance on gambling, and this extends to sports wagering. The Texas Constitution strictly limits most forms of gambling, with exceptions only for the state lottery, charitable bingo, and pari-mutuel horse and greyhound racing.

Attempts to legalize sports betting have been introduced in the state legislature, but none have succeeded. Key political figures, including influential members of the Texas House and Senate, have consistently blocked or tabled such efforts, citing moral concerns and a desire to prevent gambling expansion.

Legislative Efforts and Proposals

Recent years have seen a surge of proposed bills aiming to legalize and regulate sports betting in Texas. These proposals typically seek to:

Authorize online and mobile sportsbooks
Establish licensing requirements for operators
Create a regulatory body under the Texas Lottery Commission
Generate revenue through operator fees and taxes

Despite support from major sports franchises like the Dallas Cowboys, Houston Texans, and Texas Rangers, as well as from sportsbook operators such as DraftKings and FanDuel, legislative progress has stalled. In 2023 and 2025, sports betting bills failed to clear both legislative chambers.

Political and Social Opposition

Opposition to sports betting legalization in Texas comes from several quarters:

Religious and conservative groups argue that legalization would lead to addiction, family disruption, and crime.
Some lawmakers view sports betting as contrary to Texan values and have no interest in expanding gambling.
Tribal casino interests fear competition and seek exclusive rights if legalization proceeds.

This opposition has been effective in keeping sports betting proposals from gaining meaningful traction.

Public Opinion and Economic Potential

Despite legislative resistance, public opinion in Texas is gradually shifting. Polls indicate that a majority of Texans support legalized sports betting, especially if it includes consumer protections and provides revenue for public services like education or infrastructure.

Economically, Texas stands to gain significantly from sports betting. Estimates suggest that legal sports wagering could generate:

Over $1 billion in annual bets
$100 million+ in yearly tax revenue
Thousands of jobs in tech, customer service, and compliance

The state’s large population and sports culture make it a lucrative market for domestic and international sportsbooks.

Tribal and Offshore Alternatives

Due to the current legal vacuum, some Texans turn to:

Offshore sportsbooks, which are unregulated and pose significant financial and legal risks
Daily fantasy sports (DFS) platforms, which operate in a legal gray area but are generally tolerated
Trips to neighboring states like Louisiana and Arkansas, where sports betting is legal

These alternatives highlight a demand that Texas has yet to formally recognize and regulate.

Future Outlook

The next major opportunity for change in Texas will likely come during the 2027 legislative session, as the Texas Legislature meets biennially. For sports betting to be legalized, the following steps would likely be required:

Passage of a constitutional amendment by a two-thirds vote in both chambers
Approval by Texas voters in a statewide referendum
Implementation of regulatory frameworks and licensing

Stakeholders are already preparing lobbying efforts for the next legislative push, and the issue is expected to become more prominent in upcoming political campaigns.

Conclusion

Texas remains one of the last major states without legalized sports betting, but the tide is slowly turning. While political opposition remains strong, public support and economic incentives continue to grow. Legalization may not come immediately, but the momentum is building. Texas sports betting is not a question of “if” but increasingly “when.”