There are a few states that now have legally licensed sports betting within their borders. As of August 2020, there are 19 states that have legal sports betting along with a few others that have passed the needed legislation but are still awaiting the appearance of the first regulated sportsbooks.
For a long time, only Nevada had full-blown sportsbooks because it was grandfathered in under the prohibitory PASPA law, which was passed in 1992 and prevented the states from expanding into new sports betting ventures. New Jersey and Delaware were only permitted to continue offering the limited types of sports wagering that they offered at the time.
Things changed when the U.S. Supreme Court declared PASPA unconstitutional in May 2018. Now, individual states are able to license sportsbooks if they want. New Jersey and Delaware expanded their gambling frameworks to permit full-fledged sports betting.
Mississippi meanwhile had taken the foresighted step of legalizing sports wagering in 2017 even before the Supreme Court weighed in on the matter. Thus, MS leaders were ready to go with only a few months' delay when the landmark decision was rendered. The first legalized Mississippi sportsbooks opened their doors Aug. 1, 2018.
Pennsylvania had made provisions for the possible legalization of sportsbooks when the Keystone State revamped its gambling laws in October 2017. In the wake of the Murphy case decision, its Gambling Control Board promulgated rules surrounding betting on sports and started reviewing sports betting license applications. The first Pennsylvania legalized sportsbook appeared in November 2018.
Mississippi and West Virginia hurriedly passed the needed legislation in the months following the May Supreme Court ruling, and their casinos started accepting sports action shortly thereafter. Rhode Island followed, basing its market on an interpretation of previous ballot measures whereby sports betting counted as a form of Class III gaming and was therefore allowed without needing any enabling bill to be passed. New Mexico still has not formally legalized sportsbook operations, but a NM tribe nevertheless began bookmaking efforts with the argument that its tribal compact allowed it to do so.
Other states continue to debate and vote on sports betting bills. Although there are occasional legislative sports betting pushes that fail, the list of states that have approved of wagering on sports continues to increase.