Major League Baseball is capping wagers on the same type of pitch-level bets two Cleveland Guardians pitchers allegedly manipulated in a betting scheme that defrauded sportsbooks of hundreds of thousands of dollars.
Most sportsbooks agreed to limit micro-bet wagers to $200 and prohibit them from being parlayed, effective immediately, the league announced Monday. The move follows Sunday’s arrests of Guardians pitchers Emmanuel Clase and Luis Ortiz, who prosecutors say conspired with bettors to fix outcomes of pitch-by-pitch betting markets during the 2023 and 2025 seasons.
The agreement includes the biggest names in sports betting with the list including BetMGM, Caesars, DraftKings and FanDuel.
MLB responds to federal betting indictments
Both players face up to 65 years in prison on charges of wire fraud, bribery, and money laundering conspiracies after allegedly throwing pre-arranged balls so co-conspirators could cash in on micro-bets such as first pitch: ball or under 94.95 mph.
The MLB said the limits are intended to “mitigate integrity risks and maintain the transparency and data-access benefits of the regulated sports betting market.”
“Since the Supreme Court decision opened the door to legalized sports betting, Major League Baseball has continuously worked with industry and regulatory stakeholders across the country to uphold our most important priority: protecting the integrity of our games for the fans,” Commissioner Rob Manfred said in a statement.
The rules impact operators representing more than 98% of the legal U.S. sports betting market, according to the MLB.
Regulators and industry align
Micro bet markets involving the outcome or speed of individual pitches have been a focal point for regulators since July, when MLB first launched its internal investigation into the Guardians’ pitchers.
Ohio’s Casino Control Commission has been drafting rules to restrict prop bets “completely controlled by one player,” following Gov. Mike DeWine’s call to curb micro-markets after suspicious wagering activity on Ortiz surfaced over the summer.
“By limiting the ability to place large wagers on micro-prop bets, Major League Baseball is taking affirmative steps to protect the integrity of the game and reduce the incentives to participate in improper betting schemes,” DeWine said in a statement Monday. “I urge other sports leagues to follow MLB’s example.”
The OCCC did not immediately respond to a request for comment.
Integrity over more betting options
Manfred has defended regulated betting as a transparency tool but warned at July’s All-Star Game that bets on single pitches or plays pose unique dangers, as they can be manipulated by one player without affecting a game’s outcome.
The scheme first came to light through integrity monitor IC360, which flagged unusual wagering activity on two first-pitch markets involving Ortiz in June. Sportsbooks uncovered similar betting patterns tied to more Cleveland games and escalated those findings to the MLB’s integrity unit, who contacted federal investigators.
The limits mark the first nationwide guardrail of its kind, signaling to other leagues a growing appetite for integrity protections in lieu of deeper betting menus. They come as betting-related scandals ripple across major sports, prompting calls for tighter oversight.
The same U.S. Attorney’s Office also brought recent charges in an NBA’s betting probe involving Terry Rozier, Chauncey Billups and Damon Jones, which has pushed the league to re-evaluate its prop betting policies.