To understand what started gambling on sports one has to first examine the history of sports gambling in America. The USA had a long history of allowing certain types of legal gambling and even illegal betting to some extent. Political control and scandals regarding gaming interests have led to certain backlashes which have lead to prohibition or regulating sports gambling. Standards and laws pertaining to sports gambling have kept changing.
Nelson Rose describes these changes in law as three waves. The first wave was in the colonial era that lasted up until the mid 1800s, the second wave started at the end of the Civil War and lasted up until the early Twentieth century and the third wave commenced during the Great Depression and it?s still continuing.
During the Colonial Era, diverse attitudes were enforced towards betting. Puritan attitudes were adopted towards gambling and possessing dice, cards, gaming tables etc were outlawed. Afterwards it was allowed as long as it was not a calling or trade but for moderate and innocent recreation. Settlers brought with them views that said gambling was nothing but a harmless past time. The frontier spirit encouraged the appeal of gambling since it involved high risk, high expectations and opportunism.
Eventually all colonies used lotteries as being a solution from financial problems as well as benefit the colonies. It was a civic responsibility and proceeds were used to establish some of the first prestigious universities, build churches and also libraries. Lotteries continued to be popular right to the early Nineteenth century. Horse racing was also preferred and the Long Island built the very first race track in 1665. Casino gaming began to emerge slowly as roadhouses and taverns started to allow card games and dice.
The Lower Mississippi Valley became an organized and legitimate gambling area in 1800s. The grand river featuring its riverboats was a major trade avenue for both wealthy merchants and farmers. New Orleans quickly gained recognition as the gambling capital. Through the 1830s southern settlers turned against professional gamblers who were held responsible for carrying out crimes, debasing morals of society and endangering streets. During 1800s there was increasing attack of gambling especially lotteries and whenever operators absconded with the proceeds lottery scandals finally led to prohibition of gambling.
The Gold Rush in California set off a huge increase in the types of gambling and San Francisco became the new gambling capital in the USA. During 1849 and 1855 gambling spread widely and by 1850 California and lots of cities had licensed gambling centers. But soon the Legislature made most types of gambling illegal and certain professional gamblers were lynched. This prohibition drove gambling activities underground and did not eliminate it. Gambling was legal during 1869-1910 in Nevada.
It is possible to now understand what started gambling on sports in the US. With all the many scandals within the lottery gambling segments, 35 states in the US including California prohibited lotteries. In 1933 pari-mutuel betting was legalized and new automated systems and laws made horse racing betting more straightforward. In 1978 casino gambling was legalized by New Jersey and Atlantic City was a popular tourist destination. Regardless of its illegality sports gambling became quite popular and today is a billion dollar industry.
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Source: http://www.indianewsx.com/what-started-gambling-on-sports-activities/
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