New Jersey Senate Committee Passes Bill to Ban Micro-Bets

The Garden State may be set to say goodbye to a controversial wager type.

New Jersey’s Senate State Government, Wagering, Tourism,& Historic Preservation Committee passed SB 2160 this week, which would create a ban on micro-bets, by a vote of 4-1. Members heard testimony from both sides, including representatives of major online sportsbooks such as DraftKings. 

If passed, it would make New Jersey’s sports betting market the first to outright ban micro-betting.

The lone “no” vote came from Sen. Vince Polistina, though he didn’t reject the arguments made against the controversial bet type during the recent hearing. Instead, he brought up plans in New York to build three casinos around the New Jersey border. 

This could cut into tourism in Atlantic City and lead to a significant drop in state tax revenue.

“Atlantic City is at a tipping point,” Polistina said during the hearing. “I mean, you see the headlines on Atlantic City with New York gaming coming and the additional competition. And so it troubles me that we would potentially have people in Atlantic City that would not be able to do things 45 miles away.”

SB 2160 will now wait for a full vote on the Senate floor.

Momentum for Bans Has Faded

While New Jersey has a chance to become the first to enact a full ban on micro-betting, responsible gaming advocates hope other markets will follow suit.

Over the summer, federal prosecutors announced charges against two Cleveland Guardians over spot-fixing. The players, who include All-Star closer Emmanuel Clase, are accused of intentionally manipulating pitches over three years. 

Investigators found an unusual spike in betting activity around the pair, leading to the scheme's discovery.

After the charges were announced, the MLB and several prominent lawmakers around the US began pushing to ban micro-bets. We saw a slew of proposals to enact a ban pop up across the country. Some of those states added new wagering restrictions on micro-betting, but none managed to eliminate it.