In March 2023, the national trade group for commercial gambling, the American Gaming Association, chose to tighten its own rules on how betting is sold, as the industry spreads across more than thirty states. The decision to bar college partnerships, athlete image payments, and the word "free" reads less like a sudden conversion than an acknowledgment that a fast-growing business had reached the point where its own promises needed firmer edges. Coming after regulators and addiction specialists had pressed hard, it reflects a familiar human pattern: an industry learns restraint most readily whe
Gambling Industry Adopts Code Banning College Betting Partnerships and 'Risk-Free' Promotions
Five college partnerships now face a July 1 clock.
Mark
So what actually changes under this code?
Mimi
Sports books can't partner with colleges, can't pay amateur athletes for their name, image or likeness, and can't call promo bets "free" or "risk-free." Ads also have to feature only people 21 or older.
Luke
Worth noting it's a trade association code. The members agreed to it, but it's self-regulation, not law.
Mark
Why now?
Mimi
States are already acting. New York adopted rules in February, Ohio has fined companies, and New Jersey has a pending bill on college partnerships.
Luke
Miller says the update was always planned, though he also admitted the industry has taken some jabs. We only have his word on the motive.
Mark
What about the existing college deals?
Mimi
Five exist, including Michigan State and LSU with Caesars. Campaigns affected by the code can run until July 1.
Luke
The source doesn't say whether those deals will end or just change. Colorado Boulder dropped its $30 referral bonus in January, but the broader PointsBet deal stays.
Mark
And Congress?
Mimi
Rep. Tonko wants a ban on online sports betting ads, and Sen. Blumenthal wrote to 66 schools on Monday asking questions.
Luke
Those are a bill and a letter. Neither is law, and nothing here says they will pass.
El Pulso
- Gambling companies were ordered, in effect, to stop courting college students and young athletes, and the commotion is spreading from campuses to statehouses.
- The new code took effect immediately, but existing campaigns may run until July 1, leaving five college partnerships in a tense holding pattern.
- Regulators in New York, Ohio, Massachusetts, and Pennsylvania are already fining or banning 'free' language, pushing the industry toward tighter standards.
- A New York congressman's bill to ban online sports betting ads and a New Jersey push against college partnerships keep the pressure rising.
- Senator Blumenthal's letter to 66 schools signals that the scrutiny is moving from the industry to the institutions that host it.
In March 2023, the national trade group for commercial gambling, the American Gaming Association, chose to tighten its own rules on how betting is sold, as the industry spreads across more than thirty states. The decision to bar college partnerships, athlete image payments, and the word "free" reads less like a sudden conversion than an acknowledgment that a fast-growing business had reached the point where its own promises needed firmer edges. Coming after regulators and addiction specialists had pressed hard, it reflects a familiar human pattern: an industry learns restraint most readily when the alternative is being told how to behave. Whether the restraint holds will depend on the year-by-year reviews still to come.
The American Gaming Association, the national trade group for the commercial gambling industry, told the Associated Press it is adopting a tougher responsible marketing code. Sports books will no longer partner with colleges to promote wagering, pay college or amateur athletes for their name, image or likeness, or describe promotional bets as "free" or "risk-free." The association says the rules are needed as legal sports betting now operates in 33 states plus Washington, D.C. Advertising must reach audiences at least 73.6 percent aged 21 or older, and anyone in an ad must be at least 21.
All members have agreed, and the code takes effect immediately, though affected campaigns may run until July 1. The code will be reviewed every year. Bill Miller, the association's president and CEO, said the group had always meant to update its rules proactively, even as the industry had "taken some jabs." Keith Whyte of the National Council on Problem Gambling welcomed the changes, noting that many sports fans are underage and that people who bet on sports face higher rates of gambling problems.
The pressure came from many directions. Five college partnerships are active, including deals involving Michigan State, Louisiana State, Colorado Boulder, Maryland, and Denver, and LSU once emailed students, some too young to bet, urging them to place their first bet. Regulators are already acting: New York adopted rules in February, Ohio fined sports books over such wording, and Massachusetts and Pennsylvania ban it. In Washington, Rep. Paul Tonko has proposed banning online sports betting ads, and Sen. Richard Blumenthal wrote to 66 colleges asking how they handle partnerships and student gambling.
The July 1 deadline, and whether the existing college deals survive it, is the next thing to watch.
The American Gaming Association, the national trade group for the commercial gambling industry, told The Associated Press on a Tuesday in March 2023 that it is adopting a tougher responsible marketing code. It bars sports books from partnering with colleges to promote sports wagering. It prohibits payments to college and amateur athletes for use of their name, image or likeness. And it ends the use of the words "free" or "risk-free" to describe promotional bets.
The association said the changes are needed to keep pace with a fast-growing legal sports betting industry, which now operates in 33 states plus Washington, D.C. The rules also require that anyone appearing in sports betting advertising be at least 21. Advertising is limited to media where at least 73.6 percent of the audience is reasonably expected to be 21 or older.
All of the association's members have agreed to the code, and it takes effect immediately. Companies with existing campaigns that the new rules would affect may keep running them until July 1. The association will now review the code every year.
The move follows criticism of the industry from regulators and from people who treat gambling addiction. Bill Miller, the association's president and CEO, said it has always been the group's top interest to get sports betting right and to set a high bar for responsible advertising. He acknowledged that the update reflects areas where the industry has "taken some jabs," but said the association had always intended to update the code proactively.
Keith Whyte, executive director of the National Council on Problem Gambling, praised the changes. He called the code an important standard for the industry and said it matters because many sports fans are underage, and because people who gamble on sports have higher rates of gambling problems.
Five partnerships between gambling companies and colleges currently promote or advertise sports betting. Michigan State University has a deal with Caesars Entertainment. Caesars also has one with Louisiana State University, which led the school to email students, some too young to bet legally, urging them to "place your first bet (and earn your first bonus)." The University of Colorado Boulder signed a 2020 deal with PointsBet that paid a $30 referral bonus whenever someone signed up with the university's promo code and placed a bet. The university ended those bonuses in January, but the larger deal remains. PointsBet also has a deal with Maryland, and Superbook has one with the University of Denver.
States are moving to require what the association is now doing voluntarily. In February, the New York State Gaming Commission adopted rules prohibiting advertisements sent to people under 21 and banning language such as "free" or "risk-free," something most major sports books had already dropped on their own. Ohio recently fined three sports books over such terminology, and Massachusetts and Pennsylvania also ban it. Ohio also fined DraftKings for sending direct mail ads to people younger than 21. New Jersey has a pending bill to prohibit sports book partnerships with public colleges and universities, and another that condemns the over-proliferation of pro-gambling ads in the state.
In Washington, Rep. Paul Tonko, a New York Democrat, has introduced a bill that would ban online and digital sports betting advertising. He said that since the Supreme Court legalized sports betting, the ads have run rampant, with companies spending billions to reach every screen. On Monday, Sen. Richard Blumenthal, a Connecticut Democrat, wrote to 66 colleges and universities asking about their efforts to form sports book partnerships, prevent underage gambling among students, and treat gambling addiction.
The July 1 deadline, and whether the five existing college deals survive it, is the next thing to watch.
Citas Notables
The AGA's code is an important standard for the gambling industry, and we are glad to hear about these updates.— Keith Whyte, National Council on Problem Gambling
Congress must take the necessary steps to reel in an industry with the power to inflict real, widespread harm on the American people.— Rep. Paul Tonko, D-N.Y.
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