Georgia's long-running effort to legalize sports betting hit another setback following the resignation of State Representative Marcus Wiedower, one of the legislature's most vocal advocates for wagering reform, according to Atlanta News First.
Wiedower's departure threatens to stall any forward momentum just as lawmakers had been debating how best to regulate and tax a potential market.
Key Takeaways
- Representative Marcus Wiedower's resignation is expected to delay Georgia's sports betting legalization efforts.
- Wiedower's bills proposed online-only betting overseen by the Georgia Lottery with a 24% tax rate.
- Lawmakers must now find new leadership and bipartisan backing to overcome constitutional and political obstacles.
Wiedower, who began serving House District 121 in 2019, introduced two major measures this year: House Bill 686 and House Resolution 450, both of which aim to legalize online sports betting.
HB 686 sought to tax operators' revenue by 24% and award up to 16 licenses. HR 450 wanted voters to determine the issue through a ballot referendum in 2026. Rep. Wiedower's plans avoided casinos, kiosks, and horse racing, focusing purely on internet wagering supervised by the Georgia Lottery.
Without Wiedower at the helm, supporters of Georgia sports betting are once again in the dark. Three cosponsors remain, but earlier attempts failed over arguments regarding revenue allocation and whether constitutional revisions are necessary.
Georgia's constitution states gambling is against the law, so lawmakers must either hold a vote or change how the state lottery system works for sports betting.
Litigation funder targets Kalshi using centuries-old gambling law
Georgia is also involved in a legal issue that could reshape gambling litigation nationwide. A Florida-based litigation funder is using an 18th-century law to pursue prediction market platform Kalshi in multiple states, according to Bloomberg Law.
The lawsuits, filed in Georgia, as well as in Ohio, Kentucky, Illinois, South Carolina, and Massachusetts, are backed by Veridis Management LLC and its chief executive, Maximillian Amster.
They are using state variations of the Statute of Anne, which can allow third parties to get back money they lost gambling from victors. Lawyers say the plan is new and lets investors "step into the shoes" of losing gamblers, who can ask for their money back.
The lawsuits say Kalshi, which is worth $2 billion, illegally lets people place bets on sports and political events without any rules through its event contract marketplace. Kalshi maintains it operates legally under Federal Commodity Futures Trading Commission (CFTC) oversight, which classifies it as a designated contract market rather than a gambling operator.
The company is already battling state-level pushback, including cease-and-desist orders and lawsuits from regulators. Veridis' suits also name Robinhood Markets and Webull, which distribute Kalshi's products to users.
The CFTC had previously banned event contracts it thought were "contrary to public interest," and Kalshi's legal status is even more unclear because Congress is still putting pressure on it.
