Texas Sports Betting
Texas betting options are limited amid a general aversion to most things gambling across the state. Daily fantasy sports apps and social sportsbooks are currently the closest alternatives to online sports betting in Texas.
Sports betting remains prohibited in Texas, but lawmakers have introduced several bills in recent years to change the law in that regard. If approved, the latest Texas sports betting bills would mark a significant departure from the state’s longstanding hesitancy to expand residents’ legal gambling options.
Until state law changes, daily fantasy sports sites and player props prediction apps will remain the closest alternative to online sportsbooks in Texas. Horse racing wagering is also legal, but fans may only place wagers in person at licensed race tracks. Online horse racing betting remains prohibited.
Legal Texas Betting Sites
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Texas Sports Betting Efforts
Sports betting is illegal in Texas, but proponents are increasingly optimistic they can pass legislation to bring online sportsbooks to the Lone Star State. In the meantime, Fliff Social Sportsbook offers a very close alternative to sports betting based on sweepstakes law. It looks and feels like a real online sportsbook but conforms to all state and federal laws.
Lawmakers introduce legislation every year to regulate Texas online sports betting, and their efforts are gaining momentum. They also have the support of influential allies, including former Governor Rick Perry, Dallas Cowboys owner Jerry Jones, multiple professional sports franchises, and online sportsbook operators.
The latest Texas sports betting efforts include several bills introduced for the 2023 legislative session. First was SJR 17, prefiled in late 2022 by Senator Carola Alvarado. The bill is light on details, but it would authorize up to four commercial casinos and legalize sports wagering if approved by voters in a statewide referendum.
Texas lawmakers also introduced a pair of companion bills (HB 1942 and SB 715) in early 2023 that call for a statewide referendum to authorize online sports betting.
If approved by a majority of voters, the proposal would place the Lottery Commission in charge of regulating Texas sports betting sites and establish some basic ground rules:
- Authorize online sports wagering only
- Professional sports franchises, race tracks, and PGA-level golf courses may apply for sports betting licenses
- Bettors must be 21 or older
- Allow wagers on professional and college sports, esports
- $500,000 licensing fee and 10% tax on revenue
Early Texas Sports Betting Efforts
One of the first efforts to legalize Texas sportsbooks occurred in 2019 with the introduction of HB 1275 by Sen. Eddie Lucio.
HB 1275 and an accompanying joint resolution called for a statewide referendum that would amend the Texas Constitution to give the Texas State legislature authority to legalize sports betting. Had it passed and received the approval of voters, HB 1275 would have authorized retail sportsbooks and online sports betting apps with a tax rate of 6.25% on handle.
In December 2021, Representative Dan Huberty gave the keynote speech at the National Council of Legislators from Gaming States convention in Austin, Texas. As gaming attorney Daniel Wallach reported, Rep. Huberty said he’s optimistic Texas could legalize sports betting in 2023:
“I really believe there’s an opportunity here to pass sports betting in 2023. If you present it to the voters in the right way, it’s gonna pass. It will pass.”
Pro-gaming lawmakers introduced multiple bills (SB 736, SJR 39, and HB 2070) in 2021 to legalize retail sportsbooks and online sports betting sites, but none made it past the committee phase.
The 2021 legislative session ended without progress on legal sports betting, leaving 2023 as the next opportunity for lawmakers to try again. In the final months of 2022, State Senator Carol Alvarado prefiled Joint Resolution 17 for the 2023 session. If approved by lawmakers and a public vote, Joint Resolution 17 would legalize commercial casinos and sports betting in Texas.
Where Texas Stands on Sports Betting
Texas must overcome two major hurdles to legalize sports betting. First, it must gather the political willpower to pass new legislation. Social conservatives hold considerable sway in the Texas legislature, and they aren’t enthusiastic about expanding gambling.
The lack of political will remains the most significant challenge Texas sports betting proponents must overcome. Lawmakers who support legalizing Texas sports betting face significant opposition from the Texas GOP itself, which opposes all gambling expansions. Item 153 from the Texas GOP platform states plainly:
153. Gambling: We oppose the expansion of legalized gambling.
Additionally, legalizing Texas sports betting will require a constitutional amendment and receiving the approval of a majority of voters.
Despite the challenges, Texas remains a prime target for the sports betting industry with numerous pro sports teams, a massive fan base and a population of approximately 30 million. In addition, previous legislation had the support of a group including the Dallas Cowboys, Dallas Mavericks, Houston Rockets, DraftKings, FanDuel, and Penn National. Proponents have gained additional allies since, with former Governor Rick Perry becoming a spokesman of the Texas Sports Betting Alliance and Dallas Cowboys owner Jerry Jones coming out in support of legal online betting in Texas.
The American Sports Betting Coalition has estimated that a legal and competitive Texas sports betting market could add $1.7 billion to the annual economy and create more than 9,300 jobs. Opponents believe the social and financial costs associated with expanded gambling would outweigh any economic benefits.
Texas Daily Fantasy Sports
Play $5, Get $50PrizePicks Promo Code: BUSA
$50 provided as promo funds, only for use on PrizePicks. Promo funds provided under this promotion must be played within 90 days of receipt or shall become null and void at PrizePicks’ discretion. Promo ends 12/31/25. Void where prohibited. If you or someone you know has a gaming problem, get help. Crisis services and responsible gaming counseling can be accessed by calling 1-800-426-2537 or online at www.ncpgambling.org. 18+ in most eligible jurisdictions, but other age and eligibility restrictions may apply. Valid only in jurisdictions where PrizePicks operates. See prizepicks.com/terms for full PrizePicks terms of service.
Texas daily fantasy sports sites serve as a close alternative to online sports betting. Although Texas has never formally legalized fantasy sports, neither has it outlawed them. As a result, DFS and player props apps like PrizePicks, OwnersBox, and ParlayPlay are open for business in Texas.
Sports fans can read more about the legal situation and see BettingUSA’s highest-rated Texas fantasy sports sites below:
Texas Online Horse Racing Betting
Online horse racing betting is prohibited in Texas. Locals can bet on live horse races in person at any of the state’s authorized race tracks and for a few days every year at the Gillespie County Fair. Each track also offers simulcasting for betting on races held elsewhere.
Read more about horse racing betting in Texas here:
Texas Online Gambling
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Online gambling is prohibited in Texas under state law. Under TX Penal Code § 47.01-47.11, it is a Class C misdemeanor for anyone who:
(1) makes a bet on the partial or final result of a game or contest or on the performance of a participant in a game or contest;
(2) makes a bet on the result of any political nomination, appointment, or election or on the degree of success of any nominee, appointee, or candidate; or
(3) plays and bets for money or other thing of value at any game played with cards, dice, balls, or any other gambling device.
Class C misdemeanors in Texas are punishable by a fine of not more than $500.
The odds that Texas will legalize online gambling anytime soon appear low. However, sweepstakes gambling sites have emerged as an alternative in recent years due to their resemblance to online gambling, massive payout potential, and free methods of participation.
Players can read more about sweepstakes casinos and online gambling in Texas here:
Texas Online Lottery
The Texas State Lottery offers a variety of draw games that includes smaller, daily draw games, larger state-level drawings, and tickets to Mega Millions and Powerball. In addition, lottery players can buy instant-win scratch cards in denominations from $1 to $100.
See BettingUSA’s Texas Lottery guide below for more information:
Texas Sports Betting FAQ
Wes Burns has more than a decade’s worth of experience as a writer, researcher and analyst in the legal gambling industry and is co-founder of BettingUSA.com. As a former professional online poker player, Wes approaches his work from the viewpoint of players.
Steve Ruddock is the content director for BettingUSA and the Editor-in-Chief of Gaming Law Review.
Steve has covered the legal and legislative developments in the US gambling sector for more than a decade for online and print publications.