Bovada, one of the most prominent offshore sportsbooks in the US, is no longer in the Ohio sports betting market at the direction of state regulators.
Bovada added Ohio to its growing list of restricted states ahead of an Aug. 16 deadline from the Ohio Casino Control Commission. In a cease-and-desist letter, the OCC accuses the Curaçao-based operator of running unlicensed sports betting, online casino games, and poker games, as well as catering to underage patrons.
“Operating an unlicensed casino or sportsbook within Ohio also violates Ohio’s Criminal Code,” OCCC Executive Director Matthew Schuler said in the letter. “Because Bovada is offering unlicensed and illegal online gaming products within Ohio, the Commission demands that Bovada cease and desist from offering, participating in the offering, or facilitating those who offer these products in the State of Ohio.”
Underage gambling a concern
Shuler notes that despite Bovada’s website stating that it complies with each state’s legal gambling age, the platform’s sign-up process permits individuals as young as 18 to create accounts, in contrast with Ohio’s legal gambling age of 21.
He called it “another troubling aspect of Bovada’s online gaming product,” adding “this violation not only breaches state gambling regulations but also undermines the integrity of legal gambling operations within Ohio.”
Banned Bovada state list grows
Ohio is the fourth sports betting state since June to take action against Bovada, which loses access to more US bettors by the day.
The Michigan Gaming Control Board was the first this year to issue a cease and desist, followed by similar actions from regulators in Colorado and Connecticut, resulting in Bovada’s exit from each state. Massachusetts and Louisiana are also exploring potential action against Bovada.
According to its website, Bovada is restricted in 11 states and markets, all of which legalized sports betting since 2018:
- Colorado
- Connecticut
- Delaware
- Maryland
- Michigan
- Nevada
- New Jersey
- New York
- Ohio
- Washington, D.C.
- West Virginia
Ohio sports betting regulator focused on ‘army’ of illegal websites
The OCCC has been particularly active in cracking down on unlicensed sports betting
It issued five cease and desists to fantasy sports and sweepstakes operators last year, leading to a wave of similar actions from other states. At the time Schuler said Ohio was investigating an “army” of illegal websites within the state.
Bovada faces national pressure
Bovada has been a staple in the US offshore betting market since before the repeal of PASPA in 2018. It has long taken advantage of legal gray areas and enforcement gaps across the country, taking bets free of taxation and regulation.
State regulators lack the broad enforcement powers the US Department of Justice holds in addressing the offshore marke; however, momentum continues to build with each state move.
According to the American Gaming Association, Americans wager more than $500 billion annually on offshore gambling websites.