Exactly what started gambling on sports activities
To learn what started betting on sports one has to first examine the history of sports gambling in America. The USA has a long history of allowing certain types of legal gambling and also illegal gambling to a certain degree. Political control and scandals concerning gaming interests have led to selected backlashes that have lead to prohibition or regulation of sports gambling. Standards and laws pertaining to sports gambling have kept altering.
Nelson Rose explains these changes in law as 3 waves. The first wave was in the colonial era that lasted till the mid 1800s, the second wave started at the end of the Civil War and lasted till the early 20th Century and the 3rd wave commenced during the Great Depression and it’s still continuing.
During the Colonial Era, different attitudes were enforced towards betting. Puritan attitudes were adopted towards gambling and possession of dice, cards, gaming tables etc were banned. Afterwards it had been allowed as long as it wasn’t a calling or trade except for moderate and innocent recreation. Settlers brought with them views that said gambling was nothing but a harmless activity. The frontier spirit encouraged the appeal of gambling since it involved high risk, high expectations and opportunism.
Ultimately all colonies used lotteries as a solution out of economic problems and to benefit the colonies. It was a civic responsibility and profits were used to create some of the first prestigious universities, build churches and even libraries. Lotteries continued to be popular right to the initial 19th Century. Horse racing was also preferred and the Long Island built the first race track in 1665. Casino gaming started to emerge slowly as roadhouses and taverns began 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 wealthy merchants and farmers. New Orleans soon gained recognition as being the gambling capital. During the 1830s southern settlers turned against professional gamblers who had been blamed for committing crimes, debasing morals of society and endangering streets. During 1800s there was increasing attack of gambling especially lotteries and whenever operators absconded with all the proceeds lottery scandals eventually led to prohibition of gambling.
The Gold Rush in California triggered a tremendous surge in the kinds of gambling and San Francisco became the new gambling capital in the US. During 1849 and 1855 gambling spread widely and also by 1850 California and many cities had licensed gambling centers. But soon the Legislature made most forms of gambling illegal and certain professional gamblers were lynched. This prohibition drove wagering activities underground and could not eliminate it. Gambling was legal during 1869-1910 in Nevada.
It is easy to now understand what started gambling on sports in the US. With the numerous scandals in 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 honest. In 1978 casino gambling was legalized by New Jersey and Atlantic City became a preferred tourist destination. Regardless of its illegality sports gambling became very popular and today is a billion dollar industry.