Iowa Bill Aims to Criminalize Proxy Betting and Account Sharing
Iowa lawmakers are advancing legislation to criminalize proxy betting and sportsbook account sharing. Senate Study Bill 1097 (SSB 1097) and House Study Bill 21 would formalize these bans under state law, allowing law enforcement to prosecute violators.
Strengthening Iowa’s Sports Betting Laws
The Iowa Department of Public Safety argues the bill modernizes state laws and ensures compliance. Proxy betting involves placing bets for another person to conceal their identity, while account sharing allows multiple users to access one betting account fraudulently. Both practices are already banned under administrative regulations, but this legislation adds criminal penalties.
Violators could face serious misdemeanor charges, with fines starting at $430 and up to a year in jail. Larger offenses may lead to felony charges, carrying sentences of up to 10 years and fines exceeding $13,000.
Debate Among Lawmakers
The Senate Judiciary Committee has approved the bill for further consideration. Supporters, like Sen. Dan Dawson, argue it reinforces the integrity of Iowa’s sports betting market. However, Sen. Janet Petersen believes sportsbooks should be responsible for security rather than punishing individual bettors. She also questions law enforcement’s ability to enforce the law effectively.
Impact on Iowa’s Betting Industry
Since legalizing sports betting in 2019, Iowa’s market has grown significantly, with $2.8 billion wagered in 2024. Concerns over proxy betting surged after a 2023 college sports betting scandal involving student-athletes. The bill also aims to curb underground betting networks by criminalizing unauthorized wager transfers.
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The betting market keeps evolving, and laws must adapt to keep it fair and transparent.
How will law enforcement prove these violations without major privacy concerns?
Fines and jail time seem excessive for casual bettors who share accounts.
While enforcement is needed, sportsbooks should do more to prevent account sharing.
This law is overdue—proxy betting undermines the integrity of sports betting.