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Home > Blog > Sports betting > A boon for sports fandom or a looming mental health crisis? Five essential reads on the effects of legal sports betting
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A boon for sports fandom or a looming mental health crisis? Five essential reads on the effects of legal sports betting

Innovate Change Team
Last updated: July 16, 2024 3:50 pm
Innovate Change Team
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As a lifelong sports fan, I’ve heard many stories about gambling scandals involving famous athletes like “Shoeless” Joe Jackson and Pete Rose, the 1978-79 Boston College basketball team, and NBA referee Tim Donaghy. Historically, sports leagues wanted to avoid any association with gambling to protect the integrity of their games, which led to the passage of the Professional and Amateur Sports Protection Act of 1992, also known as the Bradley Act, banning sports betting in the U.S.

Contents
1. A New Fan Experience2. Is New Jersey a Canary in the Coal Mine?3. Technology Facilitates Impulsive Betting4. A New Problem Gambler Profile Emerges5. The ‘Hidden Addiction’

However, the Supreme Court overturned the Bradley Act in May 2018, leading to a seismic shift. This time, leagues and networks embraced gambling, with companies like DraftKings, BetMGM, and FanDuel advertising widely. Even athletes like Las Vegas Raiders’ Davante Adams signed sponsorship deals with gambling companies, and point spreads became a common feature in sports media.

Curious about this shift, I began placing some bets myself and quickly understood the allure. Betting made even non-favorite games exciting. It became clear that leagues saw this as a way to engage fans more deeply.

As the five-year anniversary of the Supreme Court decision approaches, I wanted to understand what scholars have discovered about the effects of legal sports betting. How widespread is sports betting? Are the concerns about increased problem gambling valid? Who is most at risk?

Gambling research can be challenging due to varying state laws and minimal federal funding. However, a dedicated group of scholars in the U.S. and abroad has been studying the impact of this new era in American sports. With few regulations, gambling companies aggressively attract customers, particularly targeting younger, sports-obsessed, and tech-savvy Americans.

1. A New Fan Experience

John Affleck, chair of Penn State’s sports journalism program, notes the rapid integration of gambling into sports media. In his earlier career as a sports reporter and editor, gambling was rarely mentioned. Now, discussions about point spreads and over/under bets are common among students.

Affleck describes how betting has become part of the sports viewing experience, with numerous YouTube betting tip channels, TV segments on gambling, and betting lines in game previews.

“In the nearly five years since the Supreme Court allowed states to legalize sports betting, a whole industry has sprouted up that, for tens of millions of fans around the country, is now just part of the show,” Affleck writes.

2. Is New Jersey a Canary in the Coal Mine?

New Jersey was quick to legalize sports betting following the Supreme Court’s ruling, incorporating unique provisions in their legislation. The state granted the Center for Gambling Studies at Rutgers University access to data on every bet placed, allowing for comprehensive studies on gambling.

Lia Nower, who directs the center, highlights concerning findings from their forthcoming gambling prevalence study, particularly among young bettors. Sports bettors were more likely to have problems with drugs or alcohol and experience anxiety and depression. Alarmingly, about 14% of sports bettors reported suicidal thoughts, and 10% had attempted suicide. The fastest-growing group of sports bettors were young adults aged 20-25, with over 70% placing in-game bets.

“Since about 70% of the sports bets we analyzed were losing bets,” Nower writes, “most of these young players could find themselves losing more money than they can afford.”

Nower also discusses how other countries with longer histories of legal sports betting have implemented regulations to protect gamblers, a topic further explored by Alex Russell in his study of sports gambling in Australia.

3. Technology Facilitates Impulsive Betting

Meredith K. Ginley, a clinical psychologist and gambling researcher, explores how smartphones have revolutionized betting. In many states, betting is as easy as downloading an app. In 2022, there were about 19 million online sports bettors.

Ginley notes that these apps facilitate impulsive in-game betting, leading to mounting losses. “Proximity to gambling venues is a known risk factor for problematic levels of gambling,” she writes. “Sports wagering apps essentially load a casino onto the phone in your pocket.”

While many apps offer tools for responsible gambling, they are also heavily “gamified” with features like push notifications, free play, and leaderboards.

4. A New Problem Gambler Profile Emerges

Tori Horn, a clinical psychologist at the University of Memphis, has observed a shift in the profile of her patients. Previously, they were older individuals who gambled in casinos. Now, younger men in their 20s are seeking treatment for problems related to sports betting.

Horn explains how promotions like FanDuel’s “No Sweat First Bet” entice new users. In addiction therapy, avoiding triggers is key, but for problem sports gamblers, it’s challenging to avoid smartphones or watching sports.

5. The ‘Hidden Addiction’

James P. Whalen, director of the Institute for Gambling Education and Research at the University of Memphis, warns against prematurely labeling legal sports betting as a societal scourge. He notes a pattern: increased gambling availability leads to a short-term spike in gambling issues, but populations tend to adapt, and problem gambling rates eventually decline.

However, millions of Americans still struggle with gambling addiction, often referred to as the “hidden addiction” due to its stigma. Treating this disorder is complicated by low treatment-seeking rates and high dropout rates. Whalen explains that about 39% of those seeking help for gambling harms discontinue treatment, nearly double the dropout rate for other mental health disorders.

As the landscape of sports betting continues to evolve, ongoing research and adaptive public health strategies are crucial to mitigate the potential mental health crisis.

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By Innovate Change Team
Innovate Change News provides latest news and insights in the iGaming industry. Our mission is to provide comprehensive coverage of the dynamic world of online gaming, offering a blend of breaking news, in-depth analysis, and expert commentary to keep our readers informed and engaged.
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