The Case for Legalizing Online Sports Betting in 2025: Data from Seven Key States
The NFL playoffs are back, igniting excitement among fans nationwide, and with them comes an unprecedented surge in demand for legal sports betting. As the regular season fades into the playoffs, the timing aligns with state lawmakers reconvening for their legislative sessions, where the push to legalize sports betting is set to take center stage. Numerous states are poised to tackle this high-demand issue in the months ahead.
GeoComply’s analysis of data from seven unregulated states — Texas, Nebraska, Alabama, Georgia, Minnesota, South Carolina, and Mississippi — reveals a compelling story of untapped potential. With each of these states preparing to consider sports betting legislation in their 2025 legislative sessions, the time is ripe to examine the demand and the opportunities that legalization can bring.
Insights from Unregulated States: NFL 2024 Regular Season
GeoComply’s proprietary geolocation technology enables us to identify devices attempting to access legal sportsbooks. When potential bettors in unregulated states attempt to access these sportsbooks, they are prevented from placing wagers — a clear indication of demand that legislation could fulfill. Here’s a snapshot of the data:
This data underscores the substantial unmet demand for legal sports betting in these states. The remarkable year-over-year increase in active accounts from South Carolina is directly linked to North Carolina’s launch of statewide mobile sports betting in 2024. This data point alone provides clear evidence of how legalized sports betting in one state can influence consumer behavior in neighboring states. South Carolina residents are signaling a strong desire for the same legal options their northern neighbors enjoy.
The demand seen during this past NFL season shows no signs of slowing as we head into the playoffs and the Super Bowl in February. Early trends from legal markets reveal significant increases in activity compared to last year’s playoffs, with more detailed insights to be shared later this month.
Spotlight on Nebraska: The “Busiest Cornfield in Iowa”
Our research uncovered a particularly striking trend in Nebraska. Thousands of bettors from Omaha cross the border into Iowa to place wagers this NFL season, driven by Iowa’s legal sports betting framework. This phenomenon has earned the nickname “The Busiest Cornfield in Iowa” due to the sheer volume of geolocation checks observed in this rural area just over the state line.
During the NFL regular season this cornfield in Iowa was home to more than 326,000 geolocation checks and over 2,800 active sportsbook accounts. These are Nebraska residents traveling to Iowa to place bets.
This Iowa cornfield is far from an isolated case. Cross-border activity to place a bet is a recurring pattern across the U.S., highlighting the growing demand for legal options. The “have app, will travel” trend served as a significant motivator in states like New York and Kentucky, where lawmakers acted to address lost revenue opportunities and strengthen consumer protections by legalizing sports betting within their borders.
Consumer Protection and Economic Opportunity
Potential bettors in unregulated states are not just crossing borders—they are also highly vulnerable to exploitation by illegal operators. A quick Google search for online sports betting options in these states often leads consumers directly to unregulated, predatory sportsbooks disguised as legitimate platforms.
This should raise serious concerns for lawmakers committed to protecting their constituents. Without legalization and regulatory oversight, adults in these states are left with no choice but to rely on these unscrupulous operators. Meanwhile, they miss out on the security, transparency, and responsible gaming tools offered by regulated sportsbooks designed to prioritize consumer protection and fraud prevention.
These states—and their lawmakers—are also forfeiting significant tax revenue. Legalizing sports betting has consistently proven to be a powerful economic driver, with regulated states collectively generating billions of dollars that directly support education, infrastructure, and other essential public services.
Since 2018 Legal Sports Betting has Delivered More than $7.1 Billion in Tax Revenue to States
Call to Action
As lawmakers prepare for the 2025 legislative sessions, the data is clear: demand for legal sports betting is undeniable, and the benefits are far-reaching. It’s time to bring the protections and opportunities of a regulated market to states still on the sidelines.
GeoComply has a unique view of the US online sports betting market as the trusted geolocation supplier for many of the regulated online sports betting operators in the US. GeoComply’s data does not purport to be definitive or represent the entire US market but is intended to provide general insights into relevant market dynamics.
The data in the report was collected from September 5, 2024 through January 5, 2025 and is based on GeoComply’s aggregated geolocation transactions for its US sportsbook customers in regulated states. Geolocation checks are recorded at various stages of a user engaging with a legal sportsbook, including registering an account, logging in and placing a bet.
