A New Jersey lawmaker on Friday introduced a bill that would ban sportsbooks from offering micro-betting, or fast-paced wagers involving events within a game.
Assemblyman Dan Hutchison (D-4) submitted the proposal, which would prevent consumers from betting on markets such as whether the next pitch will be a ball or a strike, or whether the next pass will be complete or incomplete. The bill is one of several aimed at reforming New Jersey’s gambling industry.
Assembly Bill 5971 has not yet been referred to a committee.
Is micro-betting too addictive?
The bill defines micro-bets as “a proposition bet placed live during a sporting event that relates to the outcome of the next play or action.”
Micro-betting is a less-popular form of sports betting available at traditional sportsbooks. Customers do not need to bet on who will win a game or if a player will go over or under their projected prop line – just what will happen in the next event.
Whereas regular sports betting can be measured, Hutchison believes that the constant availability of micro-bets makes it a hotbed for gambling addiction.
“The pace of micro betting is designed to keep people gambling constantly, making one impulsive bet after another with little time to think. This bill is a commonsense step to slow that cycle down and protect individuals from the financial and emotional harms that can come with excessive betting.”
On top of being addictive, micro-betting is susceptible to nefarious interference on a larger scale than full-fledged match-fixing. For example, a player missing their third shot is easier to control – and less suspicious – than them scoring a certain number of points, or their team losing a game.
An example of that can be seen with the Cleveland Guardians in MLB.
Pitcher Luis Ortiz was placed on indefinite leave due to an ongoing investigation in which he was the subject of several suspicious micro-bets. Ortiz threw two pitches that were nowhere near home plate after sportsbooks flagged an increased amount of activity on bets that his next pitch would be a ball or would hit a batter.
Sweeping changes
New Jersey’s sports betting market finished in the top three in revenue totals in 2024 with $1.1 billion. It also generated $138.3 million in tax revenue.
Despite that, the state still has several concerns, including the effects on consumers.
The National Council on Problem Gambling of New Jersey reported a 277% increase in calls to its gambling helpline since the state legalized sports betting in 2018, shortly after it was legalized by a federal court.
Luis Del Orbe, executive director of the Council on Compulsive Gambling of New Jersey, said younger bettors are most at risk.
“The evidence underscores that micro-betting can accelerate the path to problem gambling, especially among vulnerable populations such as youths and individuals with a history of compulsive gambling.”
Although micro-betting is still a small component of the sports betting market compared to traditional wagering and fantasy sports contests, it still involves significant amounts of money.
DraftKings last year paid $80 million to acquire micro-betting company Simplebet, while the platform Betr, co-founded by Jake Paul, was created with a micro-betting focus.
In addition to addressing micro-betting, New Jersey recently raised its iGaming tax rate to 19.75%. It also recently prohibited in-state colleges and universities from partnering with betting companies and is close to banning sweepstakes casinos.