Regulatory Lessons from U.S. Online Betting: A Guide for Digital Safety Enforcement

Key Moments:

  • On February 9th, 2025, over 130 million Americans watched Super Bowl LIX and millions engaged in online sports betting where permitted
  • On July 25th, 2024, the UK implemented mandatory age verification for major online services, prompting a surge in VPN usage
  • U.S. gaming regulations have effectively used advanced location verification to enforce access, whereas UK approaches have been easily bypassed

The U.S. Betting Model and Regional Regulation

During Super Bowl LIX on February 9th, 2025, viewers not only witnessed the Philadelphia Eagles defeat the Kansas City Chiefs with a score of 40-22, but millions of fans across participating U.S. states also placed online bets on various outcomes, from the game’s result to novelty prop bets like the color of the celebratory Gatorade. However, since one third of the U.S. population resides in states where online sports betting remains illegal, access to these services was determined by strict local regulations. Depending on the state, users were presented either with a full suite of betting options or were notified that such activity was restricted.

Despite these barriers, U.S. regulatory systems have proved effective at preventing attempts to circumvent location-based restrictions. Sophisticated geolocation technologies operate in the background, handling hundreds of millions of transactions annually to ensure compliance with state-by-state laws.

The UK’s Age Verification and VPN Surge

On July 25th, 2024, a significant change unfolded in the UK as millions of citizens using social media, online forums, and adult content sites were prompted to complete age verification to access their desired content. In response, VPN usage soared: Proton VPN reported an 1,800% surge in downloads, and NordVPN also saw comparable growth. Google Trends data confirmed exceptional UK search interest in VPNs as the law took effect.

Both adults frustrated by mandatory checks and minors seeking unrestricted access adopted VPNs to evade the new regulations. Unlike in the United States, UK users circumvented controls by masking their actual locations, undermining the efficacy of the Online Safety Act.

CountryRegulatory MeasureEffectiveness of ControlsOutcome
United StatesState-level online sports betting legalization with robust geolocation requirementsHighEffective prevention of unauthorized access to wagering platforms
United KingdomMandatory age verification for online contentLowWidespread use of VPNs to bypass restrictions

Geolocation: The Deciding Factor

Key distinctions underpinning this contrast include the regulatory focus on location data. U.S. gaming authorities recognize the limitations of relying solely on IP addresses, given how easily VPNs can manipulate them. Instead, they employ GPS, WiFi, and cellular data, which provide greater accuracy and are employed across a variety of digital applications for compliance.

U.S. state regulators took proactive measures, mandating advanced technology to enforce jurisdictional rules where no universal standard exists. In contrast, the UK’s primary authority, Ofcom, has thus far only discouraged VPN circumvention, failing to implement comprehensive countermeasures.

The Search for Balanced Solutions

Suggestions such as outright VPN bans have been dismissed as impractical, given legitimate uses such as bolstering cybersecurity. Instead, proposals have surfaced for Ofcom to require platforms to gather more detailed location data when VPN usage is detected, as seen in the U.S. betting sector.

Upcoming legislation in other markets highlights global momentum: Australia is set to introduce social media age checks, and a U.S. Supreme Court decision in Free Speech Coalition v. Paxton has affirmed the validity of state-level content age verification laws.

Global Compliance and the Path Forward

Internet access remains global in theory, but policy enforcement increasingly mirrors the values and preferences of distinct democratic societies. This regulatory fragmentation creates hurdles for digital platforms, raising questions about how to effectively maintain compliance in a geographically segmented landscape.

The emergence of novel online safety laws signals greater support for protecting minors and rebuilding public trust. Allowing VPN-blind platforms undermines these efforts and erodes the credibility of regulation. For genuine progress, both policymakers and digital enterprises must deploy robust, location-aware safeguards. As the article states, “if a ‘rule’ can be circumvented by changing an IP address, it is not a regulation; it is merely a suggestion.”

  • Author

Daniel Williams

Daniel Williams has started his writing career as a freelance author at a local paper media. After working there for a couple of years and writing on various topics, he found his interest for the gambling industry.
Daniel Williams
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