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What's legal
No sportsbook of any kind is licensed in California. The state constitution and Penal Code ban sports wagering, including bookmaking and pool selling under Penal Code Section 337a. Tribal casinos cannot take sports bets either, because their compacts with the state do not cover them. California's cardrooms and tribal casinos offer poker, slot-style machines and other games, not bets on sporting events.
Crypto and offshore sites
There is no licensed book to take a crypto deposit. Offshore crypto sportsbooks hold no California license, so no California agency stands behind your balance or payout. Betting with an unlicensed operator is unlawful under state gambling law. Prosecutors rarely pursue individual bettors, but it remains a legal risk, so ask a lawyer about your own case.
State law also tightened. AB 831, effective January 1, 2026, extends the legal definition of gambling to online simulated gambling games that award prizes, including simulated sports wagering. SB 451 lets the state Department of Justice investigate suspected illegal gambling outside licensed venues.
What's changing
Voters rejected Prop 26 (in-person tribal betting) and Prop 27 (online betting) in November 2022, with only about 18% backing Prop 27. The Secretary of State's list of measures for the November 3, 2026 ballot has no gambling measure. Tribal leaders have named 2028 as the target for a new initiative covering retail and online betting.
Prediction markets are the main open dispute. On September 16, 2026, the Ninth Circuit held that Blue Lake Rancheria and Chicken Ranch Rancheria were likely to win their claim that Kalshi's sports contracts are unauthorized gaming under the federal Indian Gaming Regulatory Act when traded from tribal land. It sent the injunction request back to the trial court. The ruling concerns tribal land and is not a statewide ban.
Tax
California taxes gambling winnings as ordinary income at rates from 1% to 12.3%, plus a 1% surcharge on income above $1 million, on top of federal tax.
Common questions
Is sports betting legal in California?
No. Voters rejected both 2022 sports betting measures, and no licensed sportsbooks exist anywhere in the state.
When could California legalize sports betting?
Tribal leaders have named 2028 as the target for a new ballot measure. No gambling measure is on the November 2026 ballot.
Is it legal to use a crypto sportsbook in California?
Offshore crypto sportsbooks are unlicensed in California. Using them is unlawful under state gambling law, even though individual bettors are rarely pursued.