The first national study of youth gambling in decades found that 42.7% of teens aged 13 to 17 gambled in the past year, despite being below the legal age for regulated gambling.
Lia Nower, director of the Rutgers University Center for Gambling Studies, and assistant director Jackie Stanmyre released the study on Wednesday. It surveyed 1,677 Americans aged 13 to 27 on their gambling behaviors and found that about 11% of teens who gambled were classified as high-risk problem gamblers.
Overall, 52.5% of participants gambled in the past year. Among those who gambled, 10.3% showed signs of high-risk problem gambling.
“These findings should be a wake-up call for parents, educators, health professionals and policymakers,” Nower said in a statement. “Gambling is no longer confined to casinos and lottery tickets. It is increasingly embedded in video games, sports broadcasts and other products young people can access.
“We have worried this would increase rates of problem gambling among youth. Now we know. It does.”
The study examined 21 activities, both online and in person, including sports betting and land-based casino games. It also covered prediction markets, social casinos, raffles and bingo.
What the study found among teens
Among teens, gambling was driven largely by bingo, raffles and games of skill. All three ranked in the top three for both male and female teens who gambled, though in a different order:
- Male teens: Raffles (51.1%), bingo (50.5%) and games of skill (39.2%)
- Female teens: Bingo (60.6%), raffles (36.7%) and games of skill (28.0%)
That 11% rate of teens at risk for problem gambling is comparable to young adults aged 21 to 27, who are of legal age for most regulated gambling.
“These findings suggest that gambling-related problems can emerge in middle school and that prevention efforts initiated in college or adulthood may be reaching some individuals with entrenched gambling patterns and problems,” the study said.
The study did not determine whether underage respondents used regulated platforms. However, 19.7% of male teens who bet on sports, ranking sixth among their activities. Season-long fantasy sports ranked fourth at 28.8%.
“We are living in a time where anyone can have a casino or sports book in their pocket,” Nower said. “Now teens who should be playing sports are betting on them, often with family members.”
Family exposure was common among teens in the study. More than half (51.5%) reported that a family or household member gambled, the highest rate of any age group.
Among teens classified as high risk, 75.5% had a family member who gambled, 66.3% believed a family member had a gambling problem and 61.2% had gambled with a family member.
Prediction markets stand out in the data
Prediction markets did not account for a large share of participation, only 6.6% of the participants in the study used such platforms. However, those who did reported significant findings.
Prediction markets had the highest proportion of weekly participation among all activities examined at 31.7%. Another 38.9% used prediction market platforms one to three times per month.
That resulted in 39.8% of prediction market-users being classified as high-risk problem gamblers, according to the study.
“Regulatory and policymaking bodies should examine whether existing consumer protections adequately address prediction markets, social casino games, cryptocurrency-related speculation, and other products with gambling-like characteristics,” the study said.
Kalshi and Polymarket have taken it upon themselves to introduce consumer protections as of late. Kalshi joined the National Council on Problem Gambling and introduced trading breaks, self-limits, self-exclusion and mental health resources. It is also capping deposits to $2,500 per month for users 18- to 20-years-old, and providing notifications to diversify trades.
Polymarket also added a set of features similar to what can be found on regulated sports betting apps.
Researchers call for federal oversight
The study closes with eight recommendations, including a federal gambling regulatory agency to set national minimum standards for age verification, advertising and self-exclusion.
“A national self-exclusion framework, in particular, could reduce the burden on individuals who currently must navigate separate systems across multiple platforms, activities, and states,” the study said.
The recommendations echo elements of the SAFE Bet Act, backed by U.S. Rep. Paul Tonko (D-NY), which would establish federal standards for sports betting.
Researchers also called for stronger oversight of prediction markets and social casinos, gambling prevention education starting in middle school and an Office for Problem Gambling within the National Institutes of Health.
“Prevention must start earlier, screening must be broader, and public policy must recognize that the gambling environment has changed dramatically,” Nower said.
