Major leagues struggle with rising prop bet scandals

The recent illegal gambling cases rocking the NBA point to how pro sports betting scandals are increasingly common. Much of the trouble comes from prop bets, which leagues are now cracking down on.

What are prop bets?
Prop bets are small wagers placed on specific things a player might do, like how many yards they would cover, or points they score, or even the result of a single pitch.

Why do they matter?
Such bets lure more users to betting platforms since it is more interesting to focus on a specific player statistic than just a game’s outcome. However, it has also given rise to several players allegedly helping bettors for financial gain.

NBA players Terry Rozier and Jontay Porter have been accused of tipping off bettors and leaving games early. Two MLB pitchers are alleged to have helped bettors with a “spot bet,” which is a wager on a single pitch.

The NBA, NFL, and MLB have begun limiting certain easily manipulated props or capping how much bettors can wager.

But prop bets make huge money. In New Jersey, regular bets earn sportsbooks about a 9% profit, but parlays (which use multiple prop bets) jump to 18.7%. In Illinois, over 55% of all online betting money comes from parlays.

While major leagues want tighter prop bet limits, sportsbooks warn that restricting them could prompt bettors to turn to illegal betting sites instead.