Sports betting is not currently legal in California, making the Golden State the largest U.S. jurisdiction yet to authorize wagering on sports. Despite being the nation’s most populous state with a potential sports betting market worth billions of dollars annually, California voters rejected both Proposition 26 (retail betting) and Proposition 27 (online betting) in November 2022 by wide margins. As of July 2026, tribal leaders have publicly indicated they do not plan to pursue a sports betting measure for the November 2026 ballot, making 2028 the earliest realistic window for legalization. This page covers California’s legal status, legislative history, available alternatives, and what the future may hold for CA sports bettors.
Quick Facts: Sports Betting in California
| Category | Details |
|---|---|
| Legal Status | Not Legal |
| Launch Date | N/A |
| Minimum Age | 21 (proposed in past legislation) |
| Regulatory Body | None (Bureau of Gambling Control proposed as future regulator) |
| Number of Online Operators | 0 |
| Tax Rate on Operators | N/A (10% proposed in Prop 27) |
| Mobile Betting | No |
| In-Person (Retail) Betting | No |
Top Sportsbooks in California
Legal sports betting is not available in California, but these are the top national sportsbooks that would likely enter the California market if and when legislation is passed and signed into law.
Prediction Markets and DFS: Alternatives for California Bettors
Since legal sports betting is not currently available in California, residents looking to wager on sporting outcomes have turned to federally regulated prediction markets. Kalshi and Crypto.com both offer event contracts — including sports outcomes — that operate under federal CFTC oversight rather than state gambling law, and both remain accessible to California residents as of mid-2026. That said, the legal picture isn’t fully settled: a group of California tribes has sued alleging that sports prediction markets violate the Indian Gaming Regulatory Act and the state’s sports betting ban, and after a federal judge denied their request for an injunction, the tribes appealed to the Ninth Circuit. California’s new Digital Financial Assets Law also took effect July 1, 2026, requiring digital asset service providers to hold state licenses — a requirement that could eventually touch prediction market platforms depending on how regulators interpret its scope. Daily fantasy sports remain another option, though the format has narrowed: after California’s Attorney General opined in July 2025 that paid, against-the-house DFS contests amount to illegal sports wagering under state law, major operators including Underdog, PrizePicks, and Sleeper shifted their California offerings to peer-to-peer formats to stay on the right side of that opinion.
History of Sports Betting in California
| Date | Event |
|---|---|
| May 14, 2018 | The U.S. Supreme Court overturns PASPA, giving California and all other states the authority to legalize sports betting independently. |
| 2018–2021 | California tribal gaming interests, cardrooms, horse racing tracks, and online sportsbook companies begin competing legislative and initiative efforts to capture California’s massive sports betting market. Multiple drafts and proposals are floated but no agreement is reached in the legislature. |
| Spring 2022 | Both Proposition 26 (tribal/in-person betting, backed by tribes) and Proposition 27 (online betting, backed by DraftKings, FanDuel, and BetMGM) qualify for the November 2022 ballot after campaign committees collectively raise nearly $600 million — making it the most expensive ballot campaign in U.S. history. |
| November 8, 2022 | California voters reject both Proposition 26 (retail/tribal betting) and Proposition 27 (online betting) by overwhelming margins. Prop 26 fails by more than 2-to-1; Prop 27 fails by approximately 82% to 18%. |
| 2023 | Tribal gaming interests and online operators submit ballot initiative filings (23-0030 and 23-0031) for potential future ballot appearances but do not advance them to signature gathering. |
| 2024 | Proponents of California sports betting officially call off their efforts for the 2024 ballot cycle. Sports betting expert Richard Schuetz tells analysts he believes California sports betting may not be legal until after 2028. |
| April 2025 | DraftKings and FanDuel propose a unified framework with California’s tribes under which each of the state’s 109 federally recognized tribes would receive a guaranteed minimum annual payment in exchange for support of a future online sports betting measure. Tribal leaders respond cautiously, saying no agreement has been reached. |
| July 2025 | California Attorney General Rob Bonta issues a formal legal opinion concluding that paid, against-the-house daily fantasy sports contests constitute illegal sports wagering under state law. Underdog Fantasy sues to block the opinion but is denied an emergency injunction. |
| October 2025 | Governor Gavin Newsom signs AB 831, banning dual-currency sweepstakes casino and sportsbook platforms statewide, effective January 1, 2026. |
| January 2026 | AB 831 takes effect; sweepstakes-style social sportsbooks exit the California market. Separately, tribal leaders confirm they are not pursuing a 2026 sports betting ballot measure, citing unresolved complexity in tying sports betting to a broader iGaming framework. |
| July 2026 | California’s Digital Financial Assets Law (DFAL) takes effect, creating a new licensing framework for digital asset service providers that could eventually affect prediction market platforms operating in the state. |
Sports Betting Laws and Regulations in California
California’s legal framework for gambling is uniquely complex. The state constitution generally prohibits most forms of gambling, with explicit carve-outs for the state lottery, tribal gaming (under federally approved compact), licensed horse racing, and licensed cardrooms. Sports betting in any form is currently illegal under California law. Any change to the existing framework almost certainly requires a constitutional amendment, which in California means a successful statewide ballot initiative — the legislature cannot unilaterally legalize sports betting by statute alone.
Proposition 26, placed on the November 2022 ballot by California Native American tribes, would have legalized in-person sports betting at tribal casinos and the state’s four licensed horse racing tracks (in Los Angeles, Orange, Alameda, and San Diego counties). The measure also would have legalized roulette, craps, and other dice games at tribal casinos. Prop 26 was defeated by more than 2-to-1.
Proposition 27, backed by major online sportsbooks including DraftKings, FanDuel, BetMGM, and others, would have legalized online and mobile sports betting across California through partnerships between tribes and licensed online platforms. The measure was crushed, with approximately 82% of voters saying no — one of the most lopsided defeats of a major gaming ballot measure in U.S. history.
As of mid-2026, no new ballot initiative has formally advanced, and tribal leaders have publicly said they are not rushing a 2026 measure, pointing to the complexity of coordinating sports betting with a broader iGaming framework among California’s 109 federally recognized tribes. The Bureau of Gambling Control within the California Department of Justice has been identified as the likely regulatory body in any future framework. California currently has compacts with 79 federally recognized tribes operating 66 casinos in 28 counties, and tribal sovereignty and compact rights will remain central to any future sports betting agreement.
Daily fantasy sports now operate under tighter restrictions than in past years. In July 2025, California’s Attorney General issued a formal opinion concluding that paid, against-the-house DFS pick’em contests amount to illegal sports wagering under existing state law. Underdog Fantasy sued to block release of the opinion but was denied an emergency injunction, and major DFS operators subsequently moved their California products to peer-to-peer formats — where users compete against each other rather than the house — to operate within the new guidance.
Taxes on Sports Betting Winnings in California
Although sports betting is not legal in California, residents who travel to neighboring states such as Nevada, Arizona, or Oregon to place legal sports wagers are still subject to California state income tax on those winnings. California has one of the highest state income tax rates in the country, with a top marginal rate of 13.3% for high earners, though rates begin at 1% for the lowest income bracket. California taxes all income earned by residents regardless of where it was earned, so winnings from legal sports betting in another state must be reported on your California state return.
At the federal level, all gambling winnings are taxable income. Sportsbooks must issue a W-2G form when net winnings on a single qualifying bet reach $600 or more at odds of at least 300-to-1. Mandatory 24% federal withholding applies to net winnings of $5,000 or more. California residents are responsible for reporting all gambling income on both their federal and California state tax returns, regardless of whether a W-2G is issued. Should California ever legalize sports betting, a proposed 10% operator-level tax (as outlined in Prop 27) would apply to operators, while individual bettor winnings would be subject to California’s graduated income tax rates.
Latest News on Sports Betting in California
| Date | Update |
|---|---|
| July 2026 | California’s Digital Financial Assets Law takes effect, introducing a new licensing framework for digital asset service providers that could eventually create compliance friction for prediction market platforms like Kalshi and Crypto.com. |
| 2026 | A group of California tribes appeals to the Ninth Circuit after a federal judge denies their request to block sports prediction markets, arguing the platforms violate the Indian Gaming Regulatory Act and the state’s sports betting ban. |
| January 2026 | AB 831 takes effect, banning dual-currency sweepstakes sportsbook and casino platforms statewide. Tribal leaders separately confirm no 2026 sports betting ballot push is planned, with 2028 viewed as the more realistic window. |
| October 2025 | Governor Gavin Newsom signs AB 831 into law, targeting sweepstakes casinos and sportsbooks that use dual-currency models resembling real-money gambling. |
| July 2025 | California Attorney General Rob Bonta issues a formal opinion declaring paid, against-the-house daily fantasy sports contests illegal sports wagering under state law. Underdog Fantasy’s bid for an emergency injunction to block the opinion is denied, and DFS operators including Underdog, PrizePicks, and Sleeper shift to peer-to-peer contest formats in California. |
| April 2025 | DraftKings and FanDuel propose a revenue-sharing framework with California’s tribes as a path toward a future online sports betting ballot measure. Tribal leaders say discussions are ongoing but caution that no agreement has been reached. |
| 2024 | Proponents of California sports betting call off all efforts to place a measure on the 2024 ballot. Industry analysts suggest legalization may not arrive until after 2028 given the deep divisions among stakeholders. |
| November 8, 2022 | Both Proposition 26 (retail/in-person) and Proposition 27 (online/mobile) sports betting measures are defeated by California voters. Prop 26 fails by more than 2-to-1; Prop 27 fails with approximately 82% voting no despite nearly $600 million in combined campaign spending. |
FAQs About Sports Betting in California
Is sports betting legal in California?
No. As of 2026, sports betting is not legal in any form in California. Both ballot measures that would have legalized sports betting — Proposition 26 (retail) and Proposition 27 (online) — were overwhelmingly rejected by California voters in November 2022. Tribal leaders have confirmed they are not pursuing a measure for the November 2026 ballot either.
When might sports betting become legal in California?
There is no confirmed timeline, and it will not happen in 2026. Tribal leaders have publicly ruled out a 2026 ballot push, citing the complexity of aligning sports betting with a broader iGaming framework across California’s 109 federally recognized tribes. Industry analysts widely view 2028 as the next realistic window, assuming stakeholders can reach agreement on a framework by then.
What is the minimum age to bet on sports in California?
Sports betting is not currently legal in California. Past ballot measures and proposed legislation have all set the minimum betting age at 21, in line with the national standard for legal sports wagering.
Can I bet on sports from my phone in California?
No. There are no legal mobile sportsbook apps available to California residents. Proposition 27, which would have legalized online and mobile betting, was defeated by approximately 82% of voters in 2022. Any future mobile betting bill would need voter approval through a new ballot initiative, and none is expected before 2028.
Are sports betting winnings taxable in California?
Yes. California residents who legally bet in another state (such as Nevada) are required to report those winnings on their California state income tax return. California taxes all income earned by residents regardless of where it originates, with state income tax rates ranging from 1% to 13.3% depending on total taxable income. Federal taxes also apply to all gambling winnings nationwide.
Can I bet on college sports in California?
Legal sports betting does not exist in California. Proposition 26, the tribal-backed retail measure, explicitly prohibited wagering on college sports during league play. Any future sports betting framework would need to address college sports betting, which remains a politically sensitive issue in California given the state’s many prominent college athletic programs.
Do I need to be a California resident to bet when it becomes legal?
Under previous ballot proposals, California residents and visitors would both be permitted to bet, provided they are at least 21 years old and physically located within California at the time of wagering. The standard industry practice requires physical presence within state borders but does not require residency.
What are my legal options for sports wagering as a California resident?
California residents can legally access peer-to-peer daily fantasy sports platforms — including Underdog, PrizePicks (Arena), and Sleeper — after operators shifted away from against-the-house formats following the state’s July 2025 Attorney General opinion. Federally regulated prediction markets including Kalshi and Crypto.com offer sports event contracts and remain available in the state, though a pending tribal lawsuit and California’s new Digital Financial Assets Law add some uncertainty to that landscape going forward. California residents may also travel to neighboring Nevada, Arizona, or Oregon to legally place sports wagers at licensed sportsbooks in those states. Note that dual-currency sweepstakes sportsbooks are no longer a legal option in California, following the January 2026 effective date of AB 831.
Responsible Gambling in California
Even though legal sports betting is not available in California, problem gambling affects many residents through offshore sites, DFS platforms, tribal casinos, and travel to neighboring legal states. The California Office of Problem Gambling provides free resources, counseling referrals, and a statewide helpline for those struggling with gambling-related issues. The National Problem Gambling Helpline is available 24 hours a day, 7 days a week at 1-800-522-4700, offering free and confidential support by phone, text, and online chat. California’s tribal casinos also offer voluntary self-exclusion programs. If sports betting eventually becomes legal in California, licensed operators would be required by law to implement responsible gambling tools including deposit limits, self-exclusion programs, and problem gambling disclosures. If you or someone you care about is struggling with gambling, help is always available — reach out today.
