Texas remains one of the most restrictive states in the U.S. when it comes to gambling. As of 2026, traditional online sports betting and online casinos are still illegal, and changing that would require a constitutional amendment approved by lawmakers and voters.
Despite that, Texans are far from locked out. Several legal betting and wagering alternatives are available today, and many are already widely used across the state. Below is a complete overview of every realistic option for betting or betting-style activity in Texas right now.
Legal Status of Sports Betting in Texas (2026)
As of 2026, real-money sports betting is still illegal in Texas. State law and the Texas Constitution prohibit regulated sportsbooks, meaning legalization would require a constitutional amendment approved by two-thirds of the Legislature and a statewide public vote. This higher legal threshold is the main reason Texas has moved more slowly than most other states.
Despite that barrier, the political climate has shifted. Governor Greg Abbott has publicly stated he does not oppose online sports betting, and several lawmakers continue to push the issue as part of broader gaming and economic development discussions. Sports betting is now a recurring topic in legislative sessions rather than a fringe proposal.
Texas remains one of a small number of states without legal sportsbooks, even as neighboring states operate successful regulated markets. Polling in recent years shows majority public support for legalization, reinforcing the view that resistance is structural rather than cultural.
No constitutional amendment has passed yet, and Texans still cannot legally place real-money sports bets through traditional sportsbooks. However, ongoing legislative debate and growing participation in legal alternatives like prediction markets suggest the state is moving closer to a decision.
Prediction Markets and Prediction Apps in Texas
Prediction markets have become the most significant development for Texas bettors. With traditional sportsbooks still unavailable, these platforms now offer the closest legal alternative to real sports betting in the state.
Unlike fixed-odds sportsbooks, prediction markets allow users to forecast the outcome of sporting events using event contracts or tradable positions. Prices move based on market demand, creating an experience that closely mirrors betting lines, implied probabilities, and cash-out mechanics. Because these platforms are not classified as traditional gambling under Texas law, they are legally accessible statewide.
Texas is now one of the most active states in the country for prediction market participation. Industry estimates and app analytics consistently place Texas among the top states for usage, driven largely by the absence of legal sportsbooks. While official state-level figures are not published, available data suggests hundreds of thousands of Texans actively use prediction market apps. During peak sports periods such as the NFL season and March Madness, Texas users are estimated to account for roughly 10 to 15 percent of U.S. sports-related prediction market activity.
Engagement on these platforms also looks similar to real betting behavior. Instead of placing a few large wagers, Texans tend to make frequent, smaller positions across multiple games, trading in and out of markets as prices move.
The prediction market apps most comparable to traditional sports betting and currently accessible in Texas include:
- Kalshi, a federally regulated event-contracts exchange where users buy and sell outcome contracts that settle based on final results
- Polymarket, a decentralized prediction market where outcome shares trade at market-driven prices reflecting implied probability
- FanDuel Predicts — A new prediction markets platform launched in partnership with CME Group that lets users trade sports event contracts on football, basketball, baseball, and hockey in states without legal sports betting
- Fanduel Predictions, a standalone prediction app from DraftKings designed to mirror sportsbook-style decision-making without fixed odds
- ProphetX, a sports-focused prediction exchange built around trading sports outcome contracts rather than betting against a bookmaker
Together, these platforms now function as a parallel sports betting ecosystem in Texas, offering legal access to NFL, NBA, college sports, and other major events while the broader debate over regulated sports betting continues.
Sweepstakes and Social Sports Betting Platforms
Sweepstakes-style sports betting is another legal option in Texas.
These platforms operate using virtual currencies rather than direct cash wagers. Users receive free coins or credits to make sports picks, and some platforms allow successful users to redeem rewards for cash equivalents or gift cards once minimum thresholds are met.
Because participation is not tied to purchasing currency, these platforms comply with Texas sweepstakes laws. They are widely used by Texans who want a sportsbook-style experience without violating state gambling rules.
Sweepstakes sports platforms are especially popular for casual betting, social competition, and practicing betting strategies.
Parimutuel Betting in Texas
Parimutuel betting is the only form of traditional wagering that is explicitly legal and regulated in Texas.
This applies to horse and greyhound racing, where bettors purchase tickets into a pooled system rather than betting at fixed odds. Winnings are determined by the size of the pool and the number of winning tickets.
Parimutuel betting is regulated by the Texas Racing Commission and is available at licensed venues such as Lone Star Park, Retama Park, and Sam Houston Race Park. Online parimutuel betting is not currently available statewide.
Daily Fantasy Sports in Texas
Daily Fantasy Sports operate in a legal gray area in Texas. While DFS is not explicitly authorized by state law, it is also not actively prohibited or enforced against.
As a result, DFS platforms have operated in Texas for many years, and Texans can legally create accounts and participate in fantasy contests. These contests are based on roster performance rather than direct wagering on game outcomes.
DFS remains a popular option for Texans who enjoy skill-based competition tied to sports without engaging in traditional betting.
Betting in Neighboring States
Some Texans choose to bet legally by traveling to nearby states where sports betting is regulated.
Louisiana, in particular, offers statewide mobile sports betting with full online access. Crossing state lines to place a bet is legal, as long as the wager is placed while physically located in a state where betting is permitted.
This option is most practical for Texans living near state borders or those who travel frequently.
What’s Not Legal in Texas
- Real-money online sportsbooks
- Online casino games such as slots and table games
- Using VPNs to access sportsbooks in other states
- Offshore betting sites operating outside U.S. regulation
Using offshore platforms or VPNs carries legal and financial risks, including loss of funds and lack of consumer protection.
The Bottom Line for Texas Bettors
Texas does not yet offer regulated sports betting, but bettors are not without options. Prediction markets have emerged as the most widely used legal alternative, supported by strong participation and growing awareness across the state.
Sweepstakes sports platforms, parimutuel wagering, DFS contests, and legal betting in neighboring states round out the current landscape. Together, these options form a practical roadmap for Texans who want to engage with sports betting-style activity in 2026 while staying within the law.
As the legal debate continues, Texas.bet will track every development and update this page with clear guidance on what’s possible — and what’s coming next.
Texas Sports Betting FAQs
Is sports betting legal in Texas?
No. As of 2026, real-money sports betting is not legal in Texas. State law and the Texas Constitution prohibit regulated sportsbooks, and legalization would require a constitutional amendment approved by lawmakers and voters.
Can I use sports betting apps like DraftKings or FanDuel in Texas?
No. DraftKings, FanDuel, BetMGM, and other traditional sportsbooks do not accept real-money bets from users located in Texas. These apps only operate in states where sports betting is legally regulated.
Are prediction markets legal in Texas?
Yes. Prediction markets and prediction-style apps are available in Texas because they operate outside traditional sportsbook regulations. These platforms use event contracts or virtual credits rather than fixed-odds wagering.
What legal betting options are available in Texas right now?
Texans can legally participate in prediction markets, sweepstakes-style sports platforms, parimutuel horse and greyhound racing, Daily Fantasy Sports contests, and legal betting in neighboring states when physically present there.
Is Daily Fantasy Sports legal in Texas?
DFS operates in a legal gray area. It is not explicitly authorized under Texas law, but it is also not actively prohibited, and major DFS platforms have operated in the state for years without enforcement action.