The American Gaming Association is estimating that Americans will wager .4 billion on the NCAA basketball tournament, also known as March Madness. The number marks a 13 percent increase over last year.
Of the $10.4 billion that will be wagered on the tournament in 2017, only about $295 million—or 3 percent—will be wagered legally through Nevada sports books, said the AGA, which has been lobbying the U.S. Congress to repeal the Professional and Amateur Sports Protection Act (PASPA), the 1992 law that bans sports betting in all but four states, and bans full-blown sports betting in all states except Nevada.
The remaining $10.1 billion of the money wagered on March Madness will be spent on illegal offshore websites or through bookies, the AGA said in a press release. “Americans annually bet at least $150 billion a year on sports illegally due to the antiquated 1992 federal prohibition on sports betting largely outside of Nevada,” the organization said.
“The federal ban on sports betting is an utter failure—depriving states of vital tax revenues and preventing millions of fans from wagering legally on games,” said Geoff Freeman, AGA president and CEO. “It’s time for Washington to get out of the way and enable states to reap the rewards of a regulated sports betting marketplace.”
The growing illegal sports betting market, which is fueled by the federal ban on sports betting, has rapidly pushed sports fans into an underground market with no consumer protections.
“A regulated marketplace, which stands in stark contrast to what’s currently available, would generate tax revenue and jobs for local communities and provide needed consumer protections for fans,” the AGA said.
