(The Center Square) — New York Gov. Kathy Hochul is touting proposed gaming regulations aimed at preventing underage sports betting and protecting wagerers from market manipulation by artificial intelligence platforms.
The New York State Gaming Commission on Monday released draft regulations that include new safeguards to prevent minors from accessing sports betting apps, restrictions on operators’ use of artificial intelligence, and enhanced intervention measures for individuals showing signs of problem gambling.
Other key provisions of the new rules include stricter identity verification requirements, including biometric authentication, device registration controls, and enhanced geolocation tracking to prevent unauthorized access.
Hochul said the yet-to-be-implemented regulations are part of her administration’s broader effort to address the rapid expansion of sports betting and its impact on public health.
“Mobile sports wagering is everywhere, enticing everyone — including our youth — to place bets without fully considering the consequences,” Hochul said in a statement. “We need strong regulatory safeguards to prevent those under 21 from gambling, keep artificial intelligence from preying on gamblers, and require sports wagering operators take real action if one of their customers is showing signs of gambling harm.”
The draft regulations also include new “triggers” for gamblers — such as large deposits, repeated increases to betting limits, canceled withdrawal requests, and significant time spent gambling — to identify risky gambling behavior and require operator intervention. If a user is deemed at risk, their account could be closed and they would be referred to professional help, under the proposed regulations.
New York has had in-person sports betting at casinos since 2019, and authorized mobile betting a few years later. Currently, there are nine mobile sportsbooks — including DraftKings, FanDuel and BetMGM — licensed by the state to take wagers on professional games through websites and apps on users’ smartphones, tablets and other electronic gadgets.
The state has consistently set new online sports betting records for both handle and gross gaming revenues since wagering on the games got underway. New York online sports bettors wagered nearly $26.3 billion in 2025, about $3.5 billion more than the previous year, according to the Gaming Commission.
New York’s move to legalize wagering on games was in response to a 2018 U.S. Supreme Court ruling that struck down a federal law prohibiting sports gambling in nearly all states except Nevada.
Supporters of sports wagering say it has raised hundreds of millions of dollars in tax revenue for state and local governments and has helped eliminate illegal bookmaking operations.
Critics say the state’s embrace of betting on professional sports has come with the heightened risk of increasing problem gambling, particularly among young bettors.
State regulations require operators to take steps to prevent underage wagering, offer bettors the option to set spending limits and share information on gambling risks as well as signs of problem gambling. But underage individuals have still found ways to place bets, often by using existing accounts, officials say.
“No other form of gambling has pervaded our consciousness like sports wagering, and impressionable kids are constantly exposed to the practice,” Gaming Commission Chair Brian O’Dwyer said in a statement. “We look forward to hearing from the public on these important proposals.”
