With Texas Sports Betting Stalled, Tribe Wants End To Online Lottery Sales


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Texas sports betting

While political headwinds still appear to make Texas sports betting legalization unlikely in 2025, a tribe is pushing for the end of unregulated online lottery services in the state. 

The Kickapoo Traditional Tribe of Texas sent a letter last month to the Texas Senate asking the legislature to rein in online Texas Lottery offerings, according to Texas Scorecard.

If the online offerings are not stopped, the tribe’s letter might be hinting that it could pursue full-blown casino gambling beyond its licensed bingo and non-banked poker facility. The Kickapoo Tribe equates the online lottery services to random number generators, or essentially slot machines.

The potential for tribal gambling expansion comes as the Lone Star State’s legislature remains gridlocked in efforts to legalize Texas sports betting and casino gambling.

Kickapoo calls out DraftKings

The Kickapoo’s letter addressed the State Affairs Committee as it reviewed “lottery courier services.” The tribe said the services are “an express attempt to work around the State’s prohibition on internet gaming and achieving this result … is the end goal many of these courier services.” 

Providers are offering unregulated games of chance online rather than the delivery of physical tickets, the tribe argues. It also noted that “at least one courier service was purchased by a sports betting company because of the online gaming capabilities.” That is a reference to DraftKings’ acquisition of Jackpocket earlier this year. 

“The tribe maintains respect for the law, its tribal citizens, and its neighbors,” the letter reads. “As such the Tribe is deeply concerned about the unlawful expansion of Gaming in the State of Texas, the operation of lottery courier services in a manner that allows internet gaming, and the slippery slope down which the Texas Lottery Commission is proceeding.”

The Kickapoo did not respond to a request for comment.  

Texas sports betting roadblock

Texas lawmakers cleared a significant hurdle in 2023 when sports betting legislation passed the House.

However, it then ran into the Lt. Gov. Dan Patrick-led Senate and staunch opposition. While Patrick could move up into a position in the Trump administration, a successor would likely maintain the hardline approach to gambling.

Most industry stakeholders agree 2027 will be the next true shot to legalize sports betting or casino gambling. 

Texas gambling proponents

The Lone Star State is one of the last major frontiers for sports betting expansion, and it is not without plenty of proponents.

Dallas Cowboys owner Jerry Jones and former Dallas Mavericks owner Mark Cuban are staunch supporters of gambling expansion.

Texans also appear excited about the potential. In September, GeoComply blocked 1.1 million login attempts from 105,000 legal sportsbook user accounts in Texas. Those were attempting to log into sportsbooks available in other legal jurisdictions, like Louisiana

Photo by Eric Gay / Associated Press