Pennsylvania State Rep. Ed Neilson reintroduced legislation to allow eSports betting in the state.
House Bill 1636 would modernize existing sports wagering law by expressly including eSports in the definition of legal "sports events."
Key takeaways
- Pennsylvania’s HB 1636 seeks to legalize esports betting by expanding current sports wagering definitions.
- The Esports World Cup 2025 in Riyadh is expected to offer over $60 million prizes.
- Pennsylvania’s gambling revenue hit a record $601.8 million in May, driven by iGaming growth.
This is Neilson's second try at legalizing eSports betting. His initial attempt in 2023 couldn't proceed beyond the legislative process' initial stages. The new bill defines eSports as structured video game competitions where outcomes depend primarily on gamers' skill.
In contrast to existing bans against gambling entailing minors, HB 1636 doesn't prohibit betting on contests involving players under 18. This could cause concern, as eSports competitions often feature players as young as 13.
Another possible concern is the spike in suspicious betting linked to eSports. A 2024 study the International Betting Integrity Association released found 48 of 90 suspicious alerts were related to eSports.
Esports World Cup 2025 to break records
The push for eSports legalization in Pennsylvania coincides with the upcoming Esports World Cup (EWC) 2025, which Boulevard City, Riyadh, Saudi Arabia, will host.
The EWC 2025 will feature 25 eSports games, each with its own tournament format and prize money. The total prize money isn't known, but event planners indicated it's expected to exceed $60 million. If so, the 2025 event would be the wealthiest eSports contest to date.
The competition is not only a showcase of competitive ability but also a leading force behind the growing popularity of eSports globally. The increasing following reflects a change in the paradigm where competitive gaming is viewed, contributing to the reasons why legal eSports betting is being endorsed in states such as Pennsylvania.
Pennsylvania continues gambling revenue growth
Despite the lack of legalized eSports wagering, Pennsylvania's gaming industry continued its record-breaking streak.
According to figures the Pennsylvania Gaming Control Board published, the commonwealth collected $601.8 million in total commercial gambling revenue in May 2025 alone, a new record for a given month and a 4.8% increase over the previous $574.5 million in March.
The majority of growth came from iGaming and sports betting. iGaming, including slots, internet table games, and online poker, was $232.9 million, up 33.8% year-over-year. Mobile slots totaled $177.2 million, with $52.9 million from internet table games and $2.8 million from online poker.
Sports betting income grew to $59.4 million, a 34.4% increase. Internet bets generated $56.4 million, with retail sportsbooks producing $3 million. Total sports betting handle for the month was $655.4 million, with online wagering totaling $625 million.
