Online sports betting reduces household savings and investments research finds

Legalized online sports betting can cause households to reduce their savings and investments, according to research reported by CDC Gaming. Justin Balthrop, an assistant professor of finance at the University of Nebraska Lincoln, led the study examining the financial impact of digital gambling access. CDC Gaming reported that the findings were published recently. [1]

The research indicates that online sports betting competes with more than standard discretionary entertainment budgets. CDC Gaming reported that consumers spend money that they previously planned to invest. Balthrop stated that this shift in spending particularly affects households that are already facing financial constraints. [1]

Online gambling encompasses sports betting, virtual poker, and virtual casinos conducted over the internet. The venue for public online gambling first opened in October 1994 with ticketing for the Liechtenstein International Lottery. Estimates place the global online gambling market value at approximately 40 billion dollars annually. [4]

The research was conducted at the University of Nebraska Lincoln, located in the state capital of Lincoln. Nebraska is a Midwestern state with an estimated 2025 population of 2,018,006. CDC Gaming and GamblingSites.com both reported on the study examining how access to digital sports betting affects long term household financial security. [1][2][3]