Wisconsin Online Sports Betting Loses Luster

As bans on credit card gambling in the United States increase, the urgency to explore the legalization of Wisconsin online sports betting may begin to slip.

To be sure, this does not mean it will dissipate entirely. Right now, online sports betting in the United States accounts for the overwhelming majority of wagers processed. This is why so many states have it, and why those that do not continue to explore it. The accessibility, the reach, is unparalleled. Retail sports betting cannot compete with that convenience.

Take sports betting in Wisconsin, as one example. Residents currently must visit one from a handful of casinos with on-site sportsbooks. While these providers can technically offer Wisconsin online sports betting apps, these sites can only be accessed on tribal property. So if you do not live local to a sportsbook, you are not as easily able to place wagers. Doing so becomes more of a project. If you are not driving various distances to the closest sportsbook, you may be crossing state lines in Iowa or Illinois, which both offer online sports betting. Failing that, people will still use offshore betting sites for the sheer convenience.

Limited access is why Wisconsin online sports betting has received more attention over the past year or so. It was not considered a top priority back in 2021, when sports wagering was first legalized in The Badger State. In fact, the idea was to not offer Wisconsin online sports betting. This allowed tribal operators to control the market rather than having them compete with industry heavyweights. During the years since retail wagering launched, though, even tribal officials have acknowledged that the legalization of online sports betting in Wisconsin will become essential to keep up with the times. More importantly, it would also be necessary to optimize revenue streams.

That brings us back to credit card sports betting bans. As they become increasingly common, it raises the question of how much Wisconsin can hope to gain by expanding their own gaming parameters.

Sports Betting Credit Card Bans are on the Rise

More and more online sports betting sites are nixing credit cards as an acceptable deposit method. Most recently, DraftKings joined a growing number of companies to remove this form of payment.

These decisions come amid pressure from state regulators. Markets with mobile wagering are taking a harder look at consumer protection practices. To the surprise of no one, the regulators for sports betting in Massachusetts are among those leading the charge. Here is Sam McQuillan of Legal Sports Report with more on the matter:

“The move underscores a broader shift in U.S. sports betting toward limiting credit-funded play, a trend that could accelerate as more lawmakers and regulators weigh consumer protections. In July, the Massachusetts Gaming Commission fined DraftKings $450,000 for accepting more than $83,000 in credit card deposits despite the state’s explicit ban. The operator self-reported the violations and refunded money to 218 customers, citing internal miscommunication as the cause of the issue. Last year, The National Council of Legislators from Gaming States drafted model legislation that would ban the practice outright. Since then states like Illinois have adopted their own credit card bans, bringing the total number of states with bans to seven. DraftKings joins a small but growing list of sports betting operators banning credit cards, like Betr and Fanatics.”

The logic behind this accelerating push is straightforward. Credit cards have high interest rates. That makes it easier for people who use them as deposit methods to go into debt. With the rise in problem gambling reports across the United States believed to be directly related to legal sports betting, policymakers are in search of solutions that can limit the downsides. This is a clear one.

Still, from a business perspective, if you remove a primary deposit method from the market, it could impact your bottom line.

Does This Make Wisconsin Online Sports Betting Less Appealing

So, given all of this, the new question becomes: Would a potential credit card ban limit the financial upside for Wisconsin online sports betting legalization?

Theoretically, this is tough to answer. We don’t have Wisconsin online sports betting data to work with, since it’s not legal. We can’t know with absolute certainty how many bets would be placed with credit cards.

With that said, upon announcing their own credit card ban, DraftKings also noted that “that only a small percentage of deposits come through credit cards, meaning the shift is more about standardizing payments than disrupting how most players fund their accounts,” per McQuillan.

Quick research confirms as much. According to multiple outlets, the two most common forms of payment for online sports betting are debit cards and e-wallets. In recent years, crypto deposits have started mushrooming in popularity.

Assuming debit cards are not covered under the ban, then, there will be very little disruption to sports betting volume in the United States. And if these restrictions become standard, it means that little, if any, financial upside is stripped from the prospect of Wisconsin online sports betting legalization.

Of course, before gambling enthusiasts in The Badger State go pumping their fists, we have to note the obvious. There is no timeline for Wisconsin online sports betting approval at the moment. Stakeholders and legislators have discussed it, but the momentum has yet to reach a fever pitch. Loose projections suggest there could be a change by the end of the decade. But those estimates can be off in either direction.

More information may bubble to the surface during the next round of legislative sessions. Until then, all we know for sure is that the addition of online sports betting in Wisconsin will remain a talking point despite credit card bans.

Take a look at this list of the top online sportsbooks so you can find one that works for all of your sports betting needs: