New York Pol Proposes Sports Betting Limits, $5,000 Daily Cap

• Democrat assembly member wants to cap daily betting activity and deposits
• His bill also calls for major restrictions on advertising by the industry

A New York politician is proposing sweeping restrictions on the online sports wagering industry and on bettors in the state, including daily limits on deposits and dollar amount wagered.

On Wednesday, Assemblymember Robert Carroll (D-Brooklyn) introduced NY A07692, which seeks to amend the New York Racing, Pari-Mutuel Wagering, and Breeding Law to employ major restrictions on mobile sports betting in the state.

The legislation establishes comprehensive regulations including limiting wager amounts to $5,000 per 24-hour period, prohibiting the use of credit cards for deposits, and implementing strict advertising guidelines,” according to BillTrack50.com.

Banning the use of credit cards to fund sports betting accounts may be one of the more practical elements of Carroll’s bill because sportsbook operators that allow mobile account deposits via credit cards, which covers most of the industry, treat those transactions as cash advances, not traditional charges. In other words, those transactions subject customers to higher fees and interest rates — details buried in the fine print of their cardholder agreements.

More Restrictions in Carroll’s Sports Betting Bill

In addition to the aforementioned $5,000 daily betting limit — something that’s unlikely to go over well with big and sharp bettors in the Empire State — Carroll’s legislation also proposes limiting daily deposits into mobile sports wagering accounts to five.

For the time being, it’s not clear if there’s momentum for Carroll’s bill. Some industry observers believe there isn’t, but also fret that his proposals could be resuscitated at a later date, potentially pinching an industry that’s driven significant tax revenue to Albany.

Mobile sports betting launched in New York in January 2022 and since then, the state has become far and away the US leader as measured by handle, revenue, and sports betting taxes collected. A 51% tax on gross gaming revenue (GGR) – the highest rate in the country — has spurred hefty sports betting tax collection in the state.

Carroll Bill Would Restrict Advertising, Too

Carroll’s bill also proposes significant limitations on how sportsbook operators advertise in the fourth-largest state.

The bill also restricts sports betting advertisements, banning ads that include terms like “bonus” or “no sweat”, prohibiting advertisements during live sporting events and between 8 AM and 10 PM, and preventing ads that target minors or provide detailed information about placing wagers,” according to BillTrack50.

Sports betting ads in New York are already required to feature information about help for problem bettors, but Carroll’s proposals, which would limit operators’ exposure in the largest US media market, are unlikely to go over well in the industry.