Sports gambling skyrockets as the FBI’s NBA probe raises questions | NBA News
The recent arrest of over 30 individuals, including NBA guard Terry Rozier, in connection with illegal sports betting has cast a spotlight on the rapidly growing professional sports gambling industry in the U.S. The arrests raise fresh questions about how this multibillion-dollar sector operates and the role of athletes in it. With widespread legalization, placing bets has never been easier. Fans can wager on everything from final scores to single plays, all through their smartphones. Whether at a stadium or watching on television, sports betting ads are now omnipresent, often featuring star athletes. According to the federal indictment, Rozier and several others allegedly exploited private player information to gain an edge on NBA bets. Rozier’s attorney, Jim Trusty, insisted that his client is “not a gambler” and is “eager to clear his name.” In a separate case, Portland Trail Blazers coach Chauncey Billups and others were accused of conspiring to fix high-stakes card games, though his lawyer declined comment.
Portland Trail Blazers head coach Chauncey Billups walks to a vehicle after his federal court appearance on Thursday, Oct. 23, 2025, in Portland, Ore. (AP Photo/Jenny Kane)
The rise of legalized sports betting has presented challenges for regulators and raised concerns about potential losses for gamblers. Experts have also questioned professional leagues for actively promoting gambling.Legalized betting boom While sports betting has existed for decades, the U.S. saw explosive growth after the 2018 Supreme Court decision overturning the Professional Amateur Sports Protection Act. Once largely limited to Nevada, legal sports wagering is now permitted in 38 states and Washington, D.C., with Missouri set to join on December 1. Online platforms like DraftKings and FanDuel have driven much of this surge. Through Q3 2025, legal betting generated $10 billion in revenue, a 19% increase from the previous year. Proponents argue legal wagering benefits states financially and helps curb illegal betting, with platforms employing technology to flag suspicious activity. FanDuel highlighted Thursday’s arrests as an example of how legal and illegal markets differ starkly.
FBI assistant director Christopher Raia speaks at a press conference announcing the arrests of Portland Trail Blazers head coach Chauncey Billups and Miami Heat guard Terry Rozier (AP Photo/Angelina Katsanis)
Who profits? Both bettors and platforms earn from legal sports wagering, and professional leagues have monetized the trend through partnerships and advertising. Live game data sold by leagues, often at premium rates, enables real-time betting. The NBA partners with Sportradar to provide official stats to FanDuel, allowing bets on granular events like points, rebounds, or assists.Regulations and risks Each state sets its own rules, tax rates, and betting restrictions. Some allow mobile betting only within certain areas, while others limit which platforms or events are eligible. Players and league staff are barred from betting on their own leagues, though some outside gambling is allowed. Legal betting helps detect unusual patterns, but experts note that corporate interests may sometimes conflict with security measures, especially with micro bets and numerous players involved.The prop bet controversy Prop bets, wagers on player-specific outcomes like points or assists, are central to the Rozier investigation. A March 23, 2023, Hornets game exemplified the risks: Rozier played less than ten minutes, citing a foot issue, producing stats far below expectations, and prompting suspicions about prop betting. The NBA and other leagues have voiced concerns about the potential for manipulation, with Ohio officials even considering a ban on prop bets after a recent MLB investigation.Social impact and addiction Sports betting has been criticised for fostering addictive behaviour. Aggressive advertising, 24/7 availability, and micro-betting options encourage increased participation. Platforms profit most from heavy losers, and research shows young men in low-income areas are particularly vulnerable to financial harm. Experts warn that while most bettors may remain unaffected, those who lose big can face devastating consequences.f
