Committee advances New Jersey bill to ban micro bets
Bill S-2160 would prohibit sports wagering licensees from offering or accepting any wager on a micro bet.
US.- The New Jersey Senate’s Wagering, Tourism, and Historic Preservation Committee has voted in favour of a bill that would ban sports wagering licensees from taking micro bets. S-2160, sponsored by senators Paul Moriarty and Patrick Diegnan, and co-sponsored by senators Turner and Burzichelli, will now move to the Senate floor for a second reading. It could then be sent to a third reading as is, or it could be modified or directed to a different committee.
The bill defines a micro bet as a proposition bet placed live during a sport or athletic event on the outcome of the next play or action, such as whether the next pitch in a baseball game will be a strike, or whether the next play in a football game will be a pass or a run. Violations would carry penalties ranging from $500 and $1,000.
The bill notes that calls to New Jersey’s problem gambling helpline have risen 277 per cent since sports wagering was legalised in the state in 2018. It cites estimates that as many as eight million people nationwide suffer from problem gambling, and that 57 per cent of professional athletes may wager on sports.
Senator Moriarty said: “Micro betting poses several risks to New Jersey and its residents. For one, micro bets can more easily be rigged than betting on the outcome of an entire game, especially by insiders who may know ahead of time how a micro bet or prop bet could play out, in turn misleading and disenfranchising the average player. They can also be incredibly addictive, as they are made based on short-term outcomes with quick payoffs. This enables bettors to place a higher volume of wagers in a shorter amount of time, leading to a vicious cycle of excessive, impulsive, and financially irresponsible gambling.”
Diegnan added: “Betting and gambling are already addictive, but goading players with the possibility of endless opportunities to bet during games makes micro bets significantly more dangerous. Through micro bets, bettors have the opportunity to spend more money and more time on gambling, an incredibly slippery slope that frequently leads to addiction and major financial losses.”
New Jersey bill on prediction markets
In February, Senate President Pro Tempore Shirley K. Turner introduced S-3692 proposing a ban on unregulated prediction markets in the state. The bill would also require that any markets involving athletic events operate under the state’s existing sports betting laws.
The legislation would also establish consumer protection standards, anti-fraud requirements, and transparency measures and authorise the Attorney General to seek injunctive relief and civil penalties against operators that violate the law.
