Is It Already Time For Kentucky Sports Betting Reform?

Despite the financial success of Kentucky sports betting legalization, recent scandals across the United States have many wondering whether The Bluegrass State already needs to explore gambling reform.

The impetus for this discussion, it turns out, is Buckeye State Governor Mike DeWine expressing regret for the legalization of Ohio sports betting. He supported the initial bill back in 2021. It was subsequently signed into law, and Ohio sports betting launched in 2023. Less than three years later, he’s already expressing concern.

Much of it is borne from the most recent headlines. Specifically, there was a Major League Baseball betting scandal in Ohio involving members of the Cleveland Guardians organization. Issues with current and former NBA players and coaches are also in the spotlight following a federal investigation.

What does all of this have to do with sports betting in Kentucky? Well, everything, if you ask the folks over at Kentucky Today.

“Ohio may be the state in the headlines, but the warning applies just as urgently to Kentucky and every other state racing to embrace gambling under the banner of modern entertainment and economic opportunity,” they write in a staff op-ed. “The story is the same everywhere: big promises, bigger advertising budgets and increasingly sobering consequences.”

What are the consequences of which they speak? Especially as they pertain to Kentucky sports betting? Let’s find out.

Predatory Marketing Practices are at the Heart of Kentucky Sports Betting Concerns

Many will be expecting to now read about an uptick in problem gambling throughout Kentucky. Make no mistake, this is one offshoot of legalized sports betting. However, the Kentucky Today staff zeroes in on a consequence that is either unintended, something the state didn’t see coming, understood the risk of but ignored, or some combination of all three.

“Kentucky legalized sports betting in 2023 and celebrated a ‘successful start,’ but the cracks are already showing,” they write. “More betting apps, more aggressive marketing and more pressure on college athletics — especially at schools like Kentucky and Louisville with massive fan bases — mean we aren’t far behind Ohio. With the same betting companies operating in both states, the same risks will follow.”

Marketing practices of online sportsbooks in the United States have drawn ire from plenty of officials. A large chunk of people focus on the viewing experience. They complain of all the sports betting advertisements flooding them during live TV broadcasts and online streams.

The inadvertent or deliberate courting of younger demographics should arguably be a larger concern. Gambling has increased among high schools at a meteoric rate, according to a study from the New York City Council on Problem Gambling (via the New York Post). The collegiate market is an even larger gray area. Though the NCAA prohibits student-athletes from betting on college sports, they can place wagers, if they’re of-age, on pro sports.

More than that, athletic programs at universities are getting money from sportsbooks partnerships. Whether directly or indirectly, people are being exposed to the sports betting industry at a younger age. The more commonplace that becomes, the more its downsides will be ingrained into the fabric of society.

Is It Already Time for Kentucky Sports Betting Reform?

If we are being honest, this question could apply to every state. All of them are dealing with the same drawbacks, both seen and unforeseen. Some are being more proactive about trying to tackle them, including Illinois, Massachusetts and Ohio. Others may be blinded by the revenue. But more will invariably join the quest for added regulation.

Whether Kentucky will be among them remains to be seen. It has a richer gambling history than most states due to horse racing. If anything, though, this should give them more insight into the problems they’re facing.

“But Kentucky and other states still have a choice. They can slow down,” write the Kentucky Today staff. “They can regulate aggressively. They can ban micro-betting, limit advertising, or place guardrails around college sports. They can protect youth and reduce the pressure on athletes. Most importantly, they can learn from their neighbors before the next scandal breaks closer to home.”

This is an incredibly reasonable stance. So many assume issues levied at Kentucky sports betting legalization want it repealed. And sure, some people feel that way. For the most part, though, concerned officials and citizens want stricter regulation. That is not unreasonable.

It was one thing to operate more freely before fully understanding the gravity of Kentucky sports betting. Less than three years into it, we still don’t know what a fully matured market looks like. But waiting to deal with consequences doesn’t have to be the default. Proaction is proven effective in other areas; this should be no different.

What Would Reform Actually Look Like?

Where The Bluegrass State should start is debatable. Investing more in sports betting education, at young ages, has to be up on the list of priorities. Calling for more guardrails on micro or prop bets shouldn’t be taboo, either. Especially on college sports.

Yes, this would impact the bottom line—both for states and sportsbooks. At some point, though, infinite financial growth cannot be the end-all. Sustainability is more important. It’s all well and good to emphasize short-term windfalls. But what happens if and when the industry reaches a breaking point?

Conceding to more safety measures now isn’t just about consumer protection. Though, to be sure, this should be the primary goal. However, it is also about giving the Kentucky sports betting industry a longer-term leg to stand on.

Basically, safer betting is more sustainable betting. Let’s now see when or if, and how many, states choose to recognize as much.

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