Is Bovada a legit sportsbook? Legal? Safe?
Author:
Zach Lutz
Reviewed by:
Published:
Nov 21, 2024
,
9:22 p.m.
ET
Bovada has long been one of the most recognizable and popular offshore sportsbooks in the United States. However, questions about its legality, legitimacy and safety have made it a controversial choice for bettors.
While Bovada remains operational in many states, recent legal actions and increased scrutiny have highlighted the risks associated with using unregulated platforms.
Is Bovada a legal, legitimate sportsbook in the United States?
The short answer: No, Bovada does not legally operate in the United States. Licensed in Curacao, Bovada operates offshore, meaning it does not have the proper licensing to offer sports betting in any U.S. state. Legal sportsbooks, like DraftKings, FanDuel and BetMGM, must obtain state-specific licenses to operate, ensuring compliance with regulations and tax code. Bovada sidesteps these rules by operating outside U.S. jurisdiction but making the product available online to many users in the U.S.
Although Bovada accepts bets from most states, it violates federal laws like the Wire Act and the Unlawful Internet Gaming Enforcement Act (UIGEA), which prohibit unregulated betting and payment processing. While enforcement of these laws has been inconsistent, several states have ramped up efforts to shut down offshore operators, often targeting Bovada in particular.
States cracking down on Bovada
In 2024, regulatory efforts targeting Bovada have intensified. A coalition of 15 states, including Michigan, New Jersey and Nevada, issued cease-and-desist orders to Bovada's parent company, Harp Media. These states aim to curtail offshore sportsbooks to protect consumers and recapture tax revenue lost to unregulated betting.
Michigan was one of the first states to act, with the Michigan Gaming Control Board (MGCB) issuing a cease-and-desist letter in May 2024. Connecticut followed suit with similar actions, warning bettors to withdraw their funds. Tennessee fined Bovada for continuing to accept bets from state residents, further emphasizing the growing crackdown.
While Bovada remains accessible in many states, the legal pressure suggests that its days of operating freely in the U.S. may be numbered.
As of November 2024, there are 14 states, plus Washington D.C., that have taken action against Bovada and have been added to its restricted access list:
District of Columbia
Kansas
Louisiana
Maryland
West Virginia
Kansas, Louisiana, Pennsylvania and recently Massachusetts were the latest to be added to the growing list of Bovada’s blocked markets.
Dangers of using Bovada or other offshore sportsbooks
Choosing Bovada over regulated sportsbooks may seem convenient, but it comes with significant risks:
Lack of Financial Protections: Unlike licensed sportsbooks, Bovada lacks regulatory oversight, potentially leaving bettors vulnerable to delayed or denied payouts with no legal recourse.
No Deposit Limits: While Bovada does offer some responsible gambling tools, such as a self-exclusion limit, Bovada does not offer a deposit limit, which is mandatory for U.S.-licensed operators. This can exacerbate gambling-related issues, particularly for at-risk individuals.
Tax Evasion and Legal Issues: Winnings from offshore sportsbooks are untaxed. Bettors risk legal and financial complications if discovered by tax authorities.
Credit Betting: Bovada allows users to wager on credit, making it easier to accrue significant debt without realizing it.
While Bovada’s accessibility and features make it a tempting choice, the risks associated with unregulated sportsbooks far outweigh the benefits. Legal sportsbooks in the U.S. offer better protections, financial security, and responsible gaming tools, ensuring a safer and more transparent betting experience.
How popular is Bovada?
Despite the dangers, Bovada remains the preferred sportsbook of many U.S. bettors. There are various reasons why some choose it over popular regulated sportsbooks like DraftKings and FanDuel. Generally those bettors either aren’t in a legal state, want to avoid taxes on potential winnings, or prefer betting without the restrictions of regulated sportsbooks.
However, these “advantages” can come at a high cost, including increased financial risks and lack of legal protections.
Bovada has a large market share in the U.S., thanks to its established presence before the legalization of sports betting. The platform offers a wide range of betting options, from traditional sports wagers to casino games and poker, attracting casual and serious bettors alike.
However, its popularity doesn’t make it a safe choice. Many bettors remain unaware of the risks associated with offshore platforms or misunderstand their legal status. Regulatory bodies and consumer advocates continue to warn against using Bovada and similar sites, urging bettors to stick with licensed operators.
Problem Gambling support for Bovada sports bettors
Offshore sportsbooks like Bovada often lack resources to help individuals struggling with gambling addiction. Without a deposit limit and federal oversight, these platforms can contribute to financial and emotional distress for vulnerable players.
If you or someone you know is struggling with problem gambling, Birches Health can help. Birches’ recovery programs are tailored to address the unique challenges faced by bettors, including those who have used offshore sportsbooks like Bovada.
Take the first step toward recovery:
For more information, call us at 833-483-3838 or email hello@bircheshealth.com. Birches Health provides compassionate support to help you regain control and find lasting recovery.
Sources:
Win Daily Sports
