U.S. Sportsbooks Still Facing In-Play and Prop Betting Blowback

While the scandalous headlines may not be coming as fast and furious anymore, state lawmakers are still pursuing additional restrictions on in-play and prop wagering.

Geoff Zochodne - Sports Betting Journalist at Covers.com
Geoff Zochodne • Senior News Analyst
Dec 13, 2025 • 11:00 ET • 4 min read
Photo By - Imagn Images.

Public furor over sports betting-related scandals may have died down a bit amid slow-paced court proceedings and leagues' subsequent reassurances, but some state lawmakers and regulators are still intent on pursuing changes to legalized wagering. 

Key Takeaways
  • New York and New Jersey lawmakers are pushing bills to restrict or ban in-play, microbetting, and certain prop wagers in response to recent betting scandals and league-level measures they view as insufficient.

  • League actions such as MLB’s cap on pitch-level bets have not entirely eased concerns among lawmakers and regulators.

  • One Indiana lawmaker is also proposing tighter rules for college athletes’ betting, reflecting an ongoing trend of states seeking stricter, state-driven control over sports wagering.

In New York, the biggest competitive market for legal online sports betting in the U.S., the state gaming commission is already re-examining which player props bookmakers can offer bettors. 

However, on Wednesday, Democratic Assemblymember Linda Rosenthal also introduced legislation that, if passed, would direct the New York State Gaming Commission to immediately ban any casino or online sportsbook from accepting in-play wagers from bettors in the state.

The bill was referred to the New York Assembly's Racing and Wagering committee.

Furthermore, in neighboring New Jersey, a bill that would stop the state's sportsbooks from offering microbetting is scheduled for a committee hearing Dec. 15, suggesting there is interest in at least discussing the proposed prohibition.

The lingering interest in the two states in cracking down on in-play wagering follows the criminal charges laid against two Cleveland Guardians pitchers in connection with an alleged scheme to rig bets on pitches they threw.

It also follows Major League Baseball announcing an agreement with its authorized gaming operators to cap wagers on “pitch-level” betting markets at $200 and exclude those bets from parlays. 

Not good enough

MLB's new deal with sportsbook operators was enough to ease concerns in Ohio, where Gov. Mike DeWine had been pushing for a statewide microbetting ban. In the eyes of some in New York and New Jersey, though, these league-level arrangements do not adequately address the problem.

“At this time I have no intention of abandoning efforts to curtail micro-bets and prop bets in NJ,” Democratic Sen. Paul Moriarty told Covers in a statement in November. “Proposals by sports leagues to cap these wagers, in my opinion, do not address the addictive nature of these types of bets, nor does it adequately address the incentives for cheating.”

New York State Gaming Commission chair Brian O’Dwyer was of the same sort of opinion

“While limiting exposure is a good step, it may not be enough,” O’Dwyer said during a meeting last month. “It is not enough. If we believe any wager is susceptible to manipulation, we will eliminate it, not restrict its offering.”

The comments and legislation suggest that some state lawmakers will not be put off from trying to make their own tweaks to law and rules following recent sports betting-related scandals.

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Still not good enough

As further proof, Indiana Sen. Andy Zay introduced a bill this week that would prohibit the state's sportsbooks from taking prop bets from college athletes involving the sport that the athlete plays.

Zay's proposed legislation would also allow the Indiana Gaming Commission to impose a fine of up to $10,000 on a student-athlete for attempting to do so.

The introduction of the bill follows a retightening of sports betting rules for student-athletes.

In November, the NCAA announced that a majority of D-I member schools had voted against a previously approved rule change that would have let student-athletes and athletic department staffers bet on professional sports only. 

“Because sports betting rules are common legislation, the ban on all forms of betting - for sports in which the NCAA sponsors a championship - will remain in place for all three NCAA divisions,” the sanctioning body said in a statement.

In other words, the Indiana bill would provide an added layer of restriction on Indiana college athletes. And it, like the legislation in New Jersey and New York, suggests state lawmakers are not done with tinkering with sports betting rules.

“The big challenge with (sports betting props) is always going to be the fact that, for the most part, it's regulated at the state level,” NCAA president Charlie Baker told Yahoo Sports earlier this week. “And frankly, I think a lot of the states probably would rather have it as a state issue.”

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Geoff Zochodne, Covers Sports Betting Journalist
Senior News Analyst

Geoff has been writing about the legalization and regulation of sports betting in Canada and the United States for more than four years. His work has included coverage of launches in New York, Ohio, and Ontario, numerous court proceedings, and the decriminalization of single-game wagering by Canadian lawmakers. As an expert on the growing online gambling industry in North America, Geoff has appeared on and been cited by publications and networks such as Axios, TSN Radio, and VSiN. Prior to joining Covers, he spent 10 years as a journalist reporting on business and politics, including a stint at the Ontario legislature. More recently, Geoff’s work has focused on the pending launch of a competitive iGaming market in Alberta, the evolution of major companies within the gambling industry, and efforts by U.S. state regulators to rein in offshore activity and college player prop betting.

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