States Looking to Audit Cappers

West Virginia and Maryland legislators hope to crack down on bad actors in the sports betting content industry.  In West Virginia, Del. Clay Riley introduced HB 3232 at the beginning of the month. The bill’s goa, like one introduced in the Senate is to audit sports betting content creators directly and indirectly involved with sports wagering licensees in the state.  

West Virginia has both retail and mobile sports betting, with major mobile operators like Bet MGM, Caesars Sportsbook, DraftKings and FanDuel live in the state.  The idea behind it was that states feel they probably need to have some sort of consumer protection in place.

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Essentially, officials believe sports betting touts with shady practices shouldn’t be allowed to operate in West Virginia. At the very least, they believe there should be more transparency regarding a handicapper’s record. 

Some handicappers, for example, use bet tracking apps to share their plays. Several prominent staff members at various industry websites use the site’s app to track and explain picks. The tracking service shows their record, as well as how many units they’re up or down. 

The transparency gives bettors an increased understanding of those whose suggestions they might want to follow and trust when making picks of their own. 

Others across the industry may ask users to pay for their picks despite having a subpar record or a record they alter to trick customers into paying. That’s what Riley wants to weed out, in turn steering casual bettors to more trusted information. 

West Virginia believes that the people who are really good actors and doing good things and handicapping really well should be rewarded. While The people who are skewing results and not being completely honest are not good for the industry.

The proposed bill is a bit vague, however, and it remains to be seen exactly what an audit of sports betting content creators might look like. How would the independent evaluators determine who is considered a bad actor? What might a punishment be for a bad actor?

The Maryland bill is SB 621 and was introduced by Sen. Craig Zucker which includes similar language. The bill also lacks clarity about what exactly an audit would look like and how actionable steps might be taken to improve the type of sports betting content being shared throughout Maryland. 

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