California is a big state. It’s got Hollywood, Silicon Valley, beautiful beaches – and a deep love for basketball.
The state is home to powerhouse NBA teams like the Los Angeles Lakers, Golden State Warriors, LA Clippers and Sacramento Kings so it’s packed with hoops fans.
But while other states are cashing in on the growing world of legal online sports betting in California, especially NBA betting, California is sitting on the sidelines.
That’s right – sports betting is still illegal here. And that’s costing the state billions of dollars in revenue and shutting fans out of something they want to be a part of.
Legal Sports Betting in the U.S.
Before we get into California’s situation, it’s helpful to understand what’s going on in the rest of the country.
In 2018 the Supreme Court overturned a federal law that had banned sports betting almost everywhere outside of Nevada.
This basically said, “Hey states can decide for themselves if they want legal sports betting.” And many did – fast.
Today over 30 states have legalized sports betting in some form.
Some only allow it in person at casinos or sportsbooks, but others like New York and New Jersey let people bet online through apps like DraftKings, FanDuel or BetMGM.
That’s important because most people want to bet on their phone while watching the game at home.
What Other States Are Doing
Here’s a quick comparison of how California stacks up:
| State | Online Betting | NBA Teams | 2023 Betting Revenue |
| New York | Yes | 2 | $1.55 billion (source: NYSGC) |
| New Jersey | Yes | 1 | $1.06 billion (source: NJ DGE) |
| Pennsylvania | Yes | 1 | $743 million (source: PGCB) |
| Arizona | Yes | 1 | $635 million (source: AZ DOR) |
| California | No | 4 | $0 |
It’s pretty shocking that the state with the most NBA teams and arguably the biggest fan base is making zero dollars from legal sports betting, while other smaller states are raking in hundreds of millions.
Why Isn’t It Legal in California?
You’d think a progressive, sports-obsessed state like California would have been one of the first to legalize sports betting.
But it hasn’t worked out that way. The reasons are complicated and frustrating.
First off, politics plays a huge role.
California has a lot of powerful players when it comes to gambling – Native American tribes that run casinos, card rooms, horse racing tracks, and now online betting companies trying to get a piece of the action.
All of them want control or a cut of sports betting revenue, and none of them agree on how it should be done.
In 2022, two different ballot measures – Prop 26 and Prop 27 – went to the voters. Prop 26 would’ve allowed in-person betting at tribal casinos and race tracks.
Prop 27 was backed by big online betting companies and would’ve allowed mobile sports betting apps statewide.
The tribes and the betting companies poured over $400 million combined into ad campaigns trying to sway voters. But in the end, both failed badly. Why?
A lot of voters said the whole thing was just too confusing. According to a Berkeley IGS Poll, 53% of voters opposed both props, and only 27% supported either one.
What California Is Losing
The cost of doing nothing is adding up fast.
According to Eilers & Krejcik Gaming, a research firm that studies the gambling industry, California could be bringing in over $3 billion in sports betting handle (the amount of money people bet) every year.
That could translate to $500 million or more in tax revenue, depending on the model and rates used.
That’s money that could be used for real things Californians care about – schools, infrastructure, homelessness, healthcare, and wildfire recovery.
Instead, that money is going to illegal offshore sites or to neighboring states like Arizona and Nevada, where Californians travel just to place a legal bet.
The NBA Factor
Basketball is a huge part of the sports betting market. In fact, the NBA is the second-most bet-on sport in the U.S., behind the NFL.
NBA games are fast-paced, high-scoring and have action every night, which makes them perfect for betting.
California has four NBA teams, more than any other state:
- Los Angeles Lakers
- Los Angeles Clippers
- Golden State Warriors
- Sacramento Kings
These teams have millions of loyal fans, in-state and around the world.
When LeBron James plays or Steph Curry hits the court, people are watching – and betting.
But Californians have to use shady websites or drive across state lines just to do it legally.
A 2023 YouGov poll found 45% of NBA fans in California would bet if sports betting was legal. That’s almost half the fan base left out.
What Needs to Happen Next?
For California to get in the game, something has to change. Right now, there’s no sports betting bill for 2024.
The tribes want to control the industry and they have the power to block anything they don’t like.
Online companies might try again in 2026 but they’ll need a better plan – and better messaging.
And there’s the trust issue. Californians need to know where the money goes. If it just goes to corporations it won’t fly.
But if it’s framed around schools, healthcare or homelessness it could change public opinion.
Final Thoughts
California loves basketball. The state is full of passionate NBA fans who want to bet on their teams legally and safely.
But because of political fights and failed propositions they can’t. That’s not just a problem for fans – it’s a huge financial loss for the state.
Other states are making hundreds of millions from NBA betting. California is making zero.
At some point lawmakers and interest groups will have to stop fighting and figure this out.
Until then the biggest state in the country is missing out on one of the fastest growing parts of the sports world.
And if you ask me, that’s just dumb.
