Is Online Betting Legal in Texas?

No, online sports betting is not legal in Texas.

With 39 U.S. states now having some form of legalized sports betting (Missouri, the most recent to pass legislation, will go live sometime late in 2025), there are only a handful of states remaining in which sports betting is illegal in the United States. That doesn’t mean that people aren’t betting in those states, including Texas, California, Georgia and Minnesota, it just means that they’re doing so illegally – either through a neighborhood bookie or an offshore illegal website.

Of the 11 remaining states, Texas – the second-largest state in the U.S. by population – is by far the second-biggest potential new market behind California.

You can be forgiven if you don’t cover the Texas legislature too closely – especially if you don’t live in the state – but unlike other states, the legislature only meets every other year. That quirk makes passing legislation related to sports betting a little trickier, as the next session doesn’t even begin until Jan. 14, 2025. And usually even after legislation is passed or a voter referendum passes in a state, it’s nearly a year before sports betting is operational in said state.

In this article, we’ll look at how close Texas is to sports betting legalization, along with the potential economic impact that legalization could have for the Lone Star State.

When will sports betting be legal in texas?

House Bill 1942, a piece of legislation that would have legalized sports betting in the state, was passed by the House in Texas in 2023, before dying in the Senate. One major issue for Texas is that Lt. Gov. Dan Patrick is in charge of the Senate and he has been a long-time staunch opponent of sports betting and gambling expansion. As long as he remains in office, legalization appears to be a long shot in Texas.

Even if a bill was approved, the soonest it would be put to a vote would be Nov. 2025, which means it would be implemented late in 2026 at earliest. If that doesn’t happen, a bill in 2027 and implementation in 2028 would be the soonest possibility for legalization.

What would the economic impact of sports betting legalization be for Texas?

The research firm Eilers & Krejcik Gaming (EKG) published a recent study estimating the potential impact of legalizing sports betting in Texas. If Texas allowed mobile sports wagering – and keep in mind that neighboring states like New Mexico and Oklahoma don’t have mobile betting – the company estimated that the state would bring in a monstrous $32 billion in handle and $3.68 in gross gaming revenue.

They estimated it would create 8,000 jobs and, after promos and federal taxes were deducted, would result in roughly $360 million in direct tax revenue for the state in a mature market. If the state decided to ban betting on college prop bets (25% less handle) or Texas college home teams (7.5%), both would have a detrimental effect on the overall amount of handle and taxes generated. The report used a 15% tax rate.

Politics aside, Texas is a hugely populated market with multiple NBA and NFL franchises, and some hugely popular college fan bases (Texas, Texas Tech, Texas A&M, etc.). It will be a game-changing state for the U.S. market once it’s live.

What Betting Apps are legal in texas?

If you live in Texas and want to place a legal wager on your favorite sport - try one of the DFS sites below! Daily Fantasy provides bettors with a safe alternative to offshore sportsbooks, with the same adrenaline rush you get from having some skin in the game.

If you landed here and aren't located in Texas or have upcoming travel plans, check out the legal sportsbooks in your State below: