As federal prosecutors in Brooklyn intensify their probe into gambling irregularities within two major sports leagues, the NFL is actively collaborating with its sportsbook partners to curb certain prop bets on regulated platforms.
On Thursday, the NFL distributed a memo to all 32 teams, stating its commitment to working alongside legislators and state regulators to limit or, when feasible, completely “prohibit” prop bets on the sport. The ongoing criminal investigation was highlighted as a key motivator for the league’s engagement with state authorities, emphasizing that certain props could compromise the sport’s integrity.
The NFL’s memo underscored concern over props that a single player can manipulate during a specific play. Examples such as bets on a kicker missing a field goal or the next pass being incomplete were mentioned as fitting this problematic criterion. “Our commercial agreements are reviewed and updated regularly to prohibit wagers linked to the conduct identified in recent federal law enforcement activities,” the league stated. They emphasized their ongoing communication with state officials to address these wagers appropriately.
The memo outlined several categories of prop bets for further scrutiny:
1. Inherently Objectionable Props: The NFL identified these props as inherently “derogatory or inflammatory,” touching on sensitive issues like player injuries, fan safety, and misconduct. These are deemed against public policy and the league is pushing for their prohibition.
2. Officiating-Related Bets: Restrictions are sought for bets related to officiating, such as those on assignments, penalties, and replays. The integrity of game officiating is seen as crucial, and the league wants to avoid any perception of influence or bias.
3. Pre-Determined Outcome Props: The NFL has flagged wagering on outcomes predetermined by the nature of on-field competition. For instance, bets on whether the first offensive play will be a run or a pass, or which quarterback will start in a given week, are being discouraged. An explicit example given in the memo was Polymarket’s market where users could trade on whether Shedeur Sanders would start a game this season, which the NFL considers “prohibited gambling activity.”
On a collegiate level, NCAA President Charlie Baker is advocating for a nationwide ban on props involving student-athletes. Baker praised the NFL’s proactive stance in protecting the sport’s integrity following the league’s recent memo.
The NFL has acknowledged meetings with various state regulators concerning prop betting activities, though it did not disclose specific states involved. Sports betting is legalized in over 35 states, and each has the authority to approve or disapprove of specific props, leading to a fragmented regulatory landscape. For example, Colorado’s Division of Gaming rejected bets like whether a Super Bowl scoring drive would be shorter than the national anthem but approved others, such as a prop on whether the first offensive play would result in a safety.
A regulator from another state, speaking on condition of anonymity, expressed support for any initiatives by professional sports leagues that contribute positively to the integrity of betting products.
The memo from the NFL surfaces amid numerous gambling scandals involving U.S. professional leagues. The federal investigation in New York’s Eastern District has implicated over three dozen defendants in a combined poker and illegal sports betting operation, involving prominent NBA players.
Meanwhile, Emmanuel Clase, a pitcher for the Cleveland Guardians, appeared in a Brooklyn federal courthouse, facing charges related to a pitch-rigging scheme. Clase and his teammate Luis Ortiz have pleaded not guilty. The league has also imposed suspensions on several players for sports wagering violations since the 2018 PASPA decision, including Calvin Ridley, Jameson Williams, and Isaiah Rodgers Sr.
“From the earliest days of legal sports betting, we have recognized the particular risks associated with prop bets and the corrosive effect they have on fan perceptions, league reputation, and the safety of players, club staff, and game officials,” the NFL stated emphatically in the memo. The league’s approach aims not only to shield the game from potential scandals but also to maintain the sport’s image and trust among fans.
The NFL’s proactive measures reflect an acute awareness of the pitfalls that prop bets entail, particularly as they relate to the perception of fairness and integrity. While some argue that these types of bets add excitement and engagement for fans, the league’s stance is clear: the potential negative impact on the sport’s credibility outweighs the benefits. On the other hand, some market analysts suggest that a more measured approach, possibly involving stricter oversight and targeted regulations rather than outright bans, could balance both fan engagement and integrity concerns.
As the NFL continues its dialogue with state regulators and its sportsbook partners, the broader sports betting industry will be watching closely. The outcome of these discussions could set significant precedents for how prop bets are managed across various sports and jurisdictions, potentially influencing future regulatory frameworks and industry practices.
In a rapidly evolving landscape, the NFL’s actions highlight the ongoing tension between maintaining the integrity of the sport and adapting to the commercial realities and opportunities presented by legalized sports betting.
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