Wisconsin Gov. Tony Evers said it well on Thursday: A bill to decriminalize online sports betting “is the beginning of a conversation, not the end of one.”
And that conversation could take some time before it finishes and a fresh batch of online sportsbooks can finally launch in Wisconsin.
Those mobile wagering apps would allow Native American tribes in the state to tap into a new source of gambling revenue and compete with preexisting rivals, such as federally regulated prediction markets.
“The real work begins today,” Evers wrote in his signing statement for Assembly Bill 601 on Thursday. “Each of the 11 Tribes must now work diligently-and together- to shape the future of sports betting in Wisconsin. What I will not accept is a plan that fractures this opportunity into unequal pieces, allowing some Tribes to reap great benefits while leaving only crumbs for others.”
- Wisconsin’s governor signed a bill to decriminalize online sports betting, but a statewide launch of tribe-run books depends on renegotiated gaming compacts and federal approval.
- The process will focus heavily on creating a fair revenue-sharing model among all 11 tribes, possibly through a joint-venture structure.
- Legal challenges and limited incentives for major sportsbook operators could delay or complicate implementation.
Indeed, Evers’ signing of AB 601 - allowing statewide mobile sports betting as long as wagers are routed through servers on Native American lands and operated by tribes with state agreements - sets a new regulatory process in motion.
It will be a “multistage” process, the pro-sports betting State Sen. Howard Marklein noted in November. And it's only after that process is completed that tribe-run mobile sports wagering can begin in Wisconsin.
“After the bill’s passage and signing, Wisconsin tribes interested in offering mobile sports betting would need to renegotiate their compacts with the state,” Marklein wrote in written testimony to a legislative committee. “Final approval would occur once those renegotiated compacts are approved by the Bureau of Indian Affairs (BIA) within the U.S. Department of the Interior.”
Wisconsin has been down a similar road before.
In 2021, for example, the state and the Oneida Nation agreed to amend their gaming compact to provide for sports betting. That amended agreement was submitted to the Department of the Interior in July of that year, and it was federally approved the following month.
The Oneida eventually launched sports betting near the end of November 2021. Wagering is now available at the Oneida Casino Hotel in Green Bay, or via a mobile app that can take bets while the user is on Oneida land.
Wisconsin Gov. Tony Evers has signed Assembly Bill 601 into law, the legislation that will help pave the way for Native American tribes to offer statewide online sports betting.
— Geoff Zochodne (@GeoffZochodne) April 9, 2026
However, it's clear the gov. has concerns and wants to see the wealth shared among the tribes. pic.twitter.com/1zFN8Lje9z
So, the negotiations for statewide online sports betting in Wisconsin can now really ramp up. And, as Evers said Thursday, there are certain things he wants to see.
The governor’s biggest concern appears to be ensuring fairness among the tribes.
“Statewide mobile events or sports wagering could present an opportunity to help level the playing field to ensure every Tribal Nation in Wisconsin can benefit from the increased revenues,” the governor wrote. “This is important.”
Evers added that the state’s tribes have begun talking about how to ensure the fairness he wants to see.
“I am pleased to see more equitable models for sharing the risks and rewards of mobile gaming emerging,” he said, adding, “A joint venture-with each Tribe contributing, and each Tribe benefiting in equal shares-is gaining traction in these discussions, and I strongly support pursuing this or a similar model.”
So, if a fair plan is in place, it looks like Evers will give his blessing. The amended compacts could then be sent to the federal government for review and potential approval.
The buddy (revenue-sharing) system
After that would come the process of tribes standing up their version of online sports betting. A tribe like the Oneida would probably have an easier go of it than others, as they could conceivably expand the bet-taking territory of its existing app.
It is also conceivable that some of Wisconsin’s 11 federally recognized tribes could partner with a commercial sportsbook operator. It seems unlikely that those partners will include major brands such as DraftKings or FanDuel, at least initially.
Since Wisconsin is going the compact route for online sports betting, federal law requires that at least 60% of the revenue stays with the tribes. That means any online sports betting partner could only get a minority share of the money generated.
And that may not be enough to entice the likes of DraftKings or FanDuel, as lobbyists have warned the economics may not make sense.
“Online sports betting is a low margin, capital intensive business,” a Sports Betting Alliance lobbyist warned in written testimony to Wisconsin lawmakers. “It is simply not economically feasible for a commercial operator to hand over 60% or more of its revenue to an in-state gaming entity, just for the right to operate in the state. That’s why Wisconsin adults would not be able to use national brands they see advertised on national TV under this bill.”
It’s worth noting that DraftKings and FanDuel eventually made their peace with a similar (albeit less costly) revenue-sharing situation in Arkansas, and finally launched in that state. However, that took years. It may not happen in Wisconsin.
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See you in court (maybe)
Another possibility is litigation. People could sue in Wisconsin over the state’s proposed mobile wagering model.
The Wisconsin Institute for Law and Liberty warned in a November memo that AB 601 (and similar legislation in the Senate) "attempt an end-run around federal law and the state constitution, expanding and exposing an already broken, illegal statewide gambling system."
The institute (“one of the largest state-based litigation centers in the country, with a lengthy string of victories in state and federal court”) said the bills would violate the Wisconsin constitution, "which forecloses any legislative approval of gambling schemes like this.”
SPORTS BETTING JUST GOT HUGE!
— Oneida Casino Hotel (@OneidaCasino) March 13, 2024
Effective today, sports bets using the Oneida Casino Sportsbook App can now be placed anywhere on Oneida Nation land, excluding PreK-12 schools. pic.twitter.com/slbfnZKFMc
It would also, the group alleges, violate the federal Indian Gaming Regulatory Act “by unleashing tribal betting monopolies off reservation.”
“These legal issues are significant,” the institute claimed. “In our view, if passed, these bills would likely be struck down. Furthermore, litigation over these bills would result in intense judicial scrutiny of Wisconsin’s entire gambling apparatus, not just the subject matter presented by these bills.”
Sunshine State similarities
While it remains to be seen how Wisconsin’s model would hold up in court, or if there will actually be any legal challenges, Florida has already instituted a similar sports wagering system via the state’s Seminole Tribe. That so-called “hub-and-spoke” model was challenged in court but ultimately withstood the legal onslaught.
"Under this model, the wagers placed on mobile devices (the 'spokes') are legally considered to occur where the server (the 'hub') is located on tribal lands, thereby complying with federal law," Marklein explained in written testimony to his fellow lawmakers.
So there’s work to be done. But, unless it starts with a square deal for all 11 tribes in Wisconsin, it may not get far.
“I will do everything in my power to support models that address disparities rather than exacerbate them and reject models that leave some Nations with little more than they have now while others prosper and thrive,” Evers wrote Thursday. “Wisconsin cannot afford to continue to leave any Tribal Nation behind.”
