State Sports Betting Regulators Aren’t Done Pursuing Offshore Gambling Operators

The potential is there for onshore sports betting regulators to send more cease-and-desist letters offshore. It’s also possible some of those letters are addressed to brands other than Bovada.The recent round of warnings from state sports betting regulators to Bovada could be only an opening salvo fired by onshore watchdogs toward offshore gambling sites. Seven states are now officially restricted by Bovada: Nevada, New Jersey, New York, Maryland, Delaware, Michigan, and Colorado.

Bovada could face similar requests to shut down in additional jurisdictions. Moreover, Bovada’s fellow offshore sportsbook operators may find themselves grappling with cease-and-desist letters of their own, as state regulators are making it clear they won’t let an ocean or thousands of miles of space keep them from trying to stop illegal gaming activity in their backyards.

“The state of Connecticut has three licensed online gaming operators – FanDuel, DraftKings and Fanatics,” said Kaitlyn Krasselt, director of communications for the Department of Consumer Protection, in an email. “There is not an opportunity for more operators to become licensed in our state unless one of those three departs. Any business conducting unlicensed gaming activity in Connecticut could result in a cease-and-desist letter sent to the company operating illegally.

“Whether land-based or online, illegal gaming activities are a pain point for many regulators,” said Jessica Franks, the Ohio Casino Control Commission’s director of communications, in an email. “The Commission will use the civil and criminal tools at our disposal whenever it discovers gaming products being offered illegally in the state.

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