NBA Changes Law About “Risk-Free” Language in Gambling Advertising

By John Isaac,
Editor at online-gambling.com

John Isaac Editor at online-gambling.com

John Isaac is an editor with many years of experience in the gambling industry. He writes expert articles on card games like blackjack and poker. In addition, he is also well aware of the US gambling laws and the Indian and Dutch gambling markets. You can rely on verified information and insightful details.

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Last updated: February 22, 2023

The NBA has made changes to its sports betting advertising regulations, banning the use of the phrase “risk-free” in marketing by sportsbooks. The Sports Business Journal was the initial source to report on the amendment to the NBA’s advertising rules.

Due to the constant advertising by the sports betting industry in recent times, it has received criticism. Advocates for responsible gaming have expressed concerns that the use of “risk-free” language in advertisements could attract individuals to place bets who may not have done so otherwise. These advocates have questioned whether these individuals are aware of the actual risks associated with signing up for an online sportsbook.

The NBA has made changes to its advertising regulations for sportsbooks that partner with the professional basketball league and its teams, with the goal of safeguarding fans from the potential hazards of sports betting. The updated guidelines prohibit the use of “risk-free” language in sportsbooks’ marketing campaigns, which have been accused of attracting individuals who might not have otherwise engaged in sports betting.

FanDuel Replaced It With “Sweat-Free” Language

The initial report on this adjustment to the NBA’s advertising rules was first published by the Sports Business Journal. Earlier, authorities in Ohio and Massachusetts also banned the use of “risk-free” language in advertisements, and FanDuel caused frustration to the regulators by replacing it with “sweat-free” language. The NBA is now taking measures to ensure the safety of its fans by implementing these changes.

“We believe it’s a problematic term from a responsible gaming and a problem gaming standpoint. It’s important that we be clear with our fans that sports betting carries inherent risk. The notion that anything in this area is risk-free runs counter to the key messaging and education around sports betting.”- said Scott Kaufman-Ross, Senior Vice President of Gaming at NBA.

The NBA has recently announced that it is updating its advertising rules to tackle the language used by sportsbooks during NBA games. The new regulations require the league’s official “Sports Betting Partners,” such as DraftKings and FanDuel, to stop using “risk-free” language in their advertising material immediately. Additionally, the NBA has asked other sportsbook partners, including BetMGM, Bally Bet, and theScore Bet, to follow the same guidelines and avoid any language that implies a bet is without potential risks.

This Concerns to All NBA Games on NBA TV

This new rule will apply to all NBA games shown on NBA TV and to advertisements on NBA.com, team websites, and social media channels. It’s important to note that the NBA has no control over advertising rules on its cable and broadcast network partners, so “risk-free” advertisements may continue to be shown on networks such as TNT and ESPN. However, the NBA hopes that by phasing out the use of such language before the start of the 2023-24 NBA season, it can better protect its fans from the potential dangers of sports betting.

Advocates who are alarmed about the rapid expansion of legal sports betting in the US contend that it was a reckless move that may have exposed consumers to harmful messaging. The most heavily involved demographic in sports betting happens to be young men, who are already predisposed to taking risks.

UNLV’s International Gaming Institute’s distinguished fellow in responsible gaming, Alan Feldman, clarified that gambling inherently involves putting something valuable on the line.

In the early 2000s, UK bookmakers began using “risk-free” betting language to entice new customers. Nonetheless, such verbiage was banned by gaming regulators in the UK in 2020, with the UK Gambling Commission now prohibiting bookmakers from using advertising slogans that suggest that a “money-back offer creates security.”