North Carolina has Legalized Sports Betting. What has it Looked Like So Far?
Advertisement for sports betting sites that are now legal in NC. NC is a key state for sports betting companies to have a stake in due to the prominence of college sports. Source: Chelsea Torres via Fox News
On May 14th, 2018, the United States Supreme Court ruled in favor of allowing states to legalize sports betting in the case Murphy vs. National Collegiate Athletic Association. It wasn’t until June 14th, 2023 that North Carolina Governor Roy Cooper signed the bill legalizing sports betting in North Carolina. On March 11th, 2024, North Carolina officially became the 30th state (plus Washington D.C.) to allow sports betting. The legislation legalized betting on professional, collegiate, and Olympic sports, though not on youth sports.
North Carolina is a state that sports betting companies have been anticipating doing business in. Jeremy Elbaum, the Chief Commercial Officer of DraftKings, an American fantasy sports betting company, stated that North Carolina was a state that they were hoping to get involved with for many years since the busy sports calendar combined with the state’s love for college sports made it a key state. The assertion of the importance of college sports in NC can be further supported when looking at the numbers in NC surrounding sports betting in this year’s March Madness tournament. With 3 Atlantic Coast Conference teams from NC in the Sweet Sixteen combined with legalized sports betting, revenue was pouring in for the state. The NC Education Lottery Commission released early projections of revenue generated from sports betting and the numbers included $141 million paid out in winnings and a $42.7 million dollar “gross wagering revenue,” of which the state gets an 18% cut in taxes.
The money that NC gets from this tax cut will be used to fund major events in the state, in turn creating jobs and driving tourism. The money will also fund grants for youth sports, support college athletic departments, and fund gambling addiction treatments.
Sean McKeever, a professor of philosophy at Davidson College in NC who teaches classes on the philosophy of sports, points out some causes for concern surrounding sports betting. He mentions that sports betting could affect the integrity of sports by leading to some games being fixed, citing the 1919 Black Sox Scandal when gamblers paid off Chicago White Sox players to throw the World Series game. He also notes that college athletes being able to profit off of their name, image, and likeness combined with sports betting could also affect the integrity of sports. Specifically, he states that players could be swayed to be paid off to miss a couple free throws so that someone can confidently bet on them making under a certain amount of free throws. All in all, McKeever advocates for being cautious and taking sports betting slowly, as we don’t necessarily know the long-term effects.
Another consequence of sports betting is its effects on athletes. Already under considerable attention and pressure when playing on a stage as big as March Madness, players now have to deal with added pressure that stems from sports betting. UNC basketball star Armando Bacot stated: “I got over 100 messages telling me I suck and stuff like that because I did not get enough rebounds.” To combat these pressures, states such as Virginia and New York don’t allow betting on their in-state teams. Tennessee does not allow bets on individual players' performances but allows bets on their college teams. North Carolina does not have any restrictions of this sort.
As time goes on, sports bettors and observers alike will begin to notice the long-term effects of legal sports betting in North Carolina. Only time will tell if these effects are positive or negative. Despite assertions from many experts who say that legalized sports betting in North Carolina has been “off to a strong start,” increased concerns could create a pushback for regulations on sports betting similar to those seen in Virginia, New York, and Tennessee.