Iowa: Proposed bill would expand regulators’ authority to control illegal betting platforms

Tuesday, January 20, 2026 2:34 PM
Photo:  JM Hunter/Shutterstock.com
  • Abi Bray, COMPLETE iGAMING

Iowa lawmakers are drafting legislation that would give state regulators the necessary authority to act against unlicensed sports betting platforms operating in the state.

According to We Are Iowa, a pre-filed bill for the upcoming legislative session proposed granting Iowa’s gambling regulator, the Iowa Racing and Gaming Commission, explicit power to issue cease-and-desist orders and seek injunctive relief against illegal operators.

Sports wagering has increased rapidly in Iowa. In 2025, bettors placed nearly US$3 billion in wagers, generating about US$19 million in state tax revenue from online sportsbooks. State officials said the growth had been accompanied by a rise in consumer complaints tied to unlicensed platforms.