A Busy Year
There’s rarely a dull moment in the gambling industry. Whether it’s match-fixing allegations against star athletes, lawmakers trying to squeeze more tax money from operators, or the takeover by prediction market sites, 2025 has seen it all.
1. Star Athletes Caught Up in Match-Fixing Scandals
One of the stories that dominated headlines in 2025 concerned sports stars allegedly involved in match-fixing. People questioned how individuals who earn millions of dollars have to resort to such measures.
selling the info to a group of bettors for $100,000
The NBA was rocked in October after Miami Heat guard Terry Rozier and Portland Trail Blazers head coach Chauncey Billups were arrested by the FBI. Rozier supposedly exited a game early in March 2023 while playing for the Charlotte Hornets after selling the info to a group of bettors for $100,000.
Billups was caught up in a bizarre, rigged Mafia-run poker ring where cheaters used X-ray goggles and modified shuffling machines… like something straight out of a James Bond movie. Rozier and Billups both maintain their innocence.
It was then the MLB’s turn, after investigators claimed that two Cleveland Guardians pitchers had manipulated their throws so gamblers in Puerto Rico could win their bets. Emmanuel Clase and Luis Ortiz were both arrested.
The FBI obtained texts that allegedly show Clase communicating with the bettors. The player claims that he was talking to them about cockfighting bets and not baseball. Ortiz was reportedly paid $5,000 for rigging pitches in one game, while Clase received $5,000 for arranging it.
Finally, the UFC dismissed one of its biggest rising stars after he appeared to tank his fight in November against Yadier del Valle.
Sportsbooks noticed a lot of suspicious betting activity predicting that Issac Dulgarian would lose the bout. The FBI contacted UFC owner Dana White, who asked Dulgarian directly if he was planning to throw the fight. It went ahead and the fighter was meekly submitted in the first round.
2. Prediction Markets Threaten the Existence of Sportsbooks
One of the biggest shake-ups in the gambling industry in 2025 was the rise of prediction markets, which overtook traditional sportsbooks. While interest in these products grew during the 2024 US presidential election, nobody forecasted how things would go in 2025.
Platforms like Kalshi, PrizePicks, and Robinhood are now offering prediction markets across the country. That’s made possible thanks to their approval from the Commodities and Futures Trading Commission (CFTC).
State gambling regulators have thus far failed to rein in prediction markets. Despite lawsuits in states such as Massachusetts, Nevada, and New Jersey, prediction sites continue to offer sports markets to residents in these regions.
Trading volume has exploded. Kalshi’s October handle was $4.4bn. That’s why Kalshi’s valuation rose from $2bn in June to $5bn in October and $11bn in December.
Sportsbook operators know that they’re at risk, so they’re trying to get in on the game themselves. DraftKings and FanDuel both exited the American Gaming Association in November as they’re pursuing prediction market opportunities. Fanatics launched its own prediction markets in 24 states in early December.
Prediction markets are hitting mainstream consciousness. South Park referred to them in an episode and many major news outlets like CNBC and CNN announced they’ll be integrating prediction data into their content.
3. Roshtein vs Trainwreck Streamer Wars Explode Over $45.5m Win
Gambling streamers wager some eye-catching sums to entertain their viewers, and Trainwreckstv and Roshtein are two of the biggest creators in the space. While they both have deals with the same online gambling company (Stake) they’re often at loggerheads. Trainwreck has consistently claimed over the years that Roshtein uses fake money to gamble and that his games are rigged, allowing him to hit big wins more often.
led to Trainwreck once again alleging Roshtein’s gameplay was rigged
That battle kicked off again this year. Trainwreck won a record $37.5m playing Hex Appeals in July. He beat the previous all-time high slot win of $28.5m set in June 2024. Only a week later, Roshtein beat this record with a $45.5m payout on Drac’s Stacks. This led to Trainwreck once again alleging Roshtein’s gameplay was rigged. Train also asserted he was considering his future with Stake.
4. Playtech Unveiled as the Mystery Evolution Attacker
A long-running legal battle to unveil the anonymous party that lodged legal action against game developer Evolution in 2021 finally concluded this year. Playtech was revealed in October as being behind the legal action. Its share price dropped 27% on the day of the revelation.
secret video recordings showing Evolution executives
The company had employed a private intelligence firm to try to prove that Evolution was offering games in unsanctioned countries. Evidence presented to the court in New Jersey included secret video recordings showing Evolution executives discussing how they could get games into sanctioned nations.
Evolution is now trying to pursue Playtech for damages, as it has lost over $15bn in market value since the first allegations were made in 2021. Playtech still maintains that Evolution has violated rules in many regions and that it was within its rights to investigate.
5. Operators and Gamblers Left Reeling by Tax Changes
One of the biggest gambling stories in the US this year was the shocking announcement that gamblers could no longer deduct 100% of their losses up to the amount of their winnings. President Trump’s Big Beautiful Bill dropped this threshold down to 90% starting in 2026.
Several lawmakers have introduced bills to try to reverse this measure. Nevada Representative Dina Titus’ FAIR BET Act has thus far failed to gain significant traction.
Many professional gamblers said that this move could put them out of business. Notable poker player Erik Seidel said that people might start lying on their tax forms.
Some states in the US have also increased tax rates to try to generate more revenue from operators. Illinois increased the flat 15% tax to a tiered structure up to 40%, and Maryland increased the mobile sports betting tax to 20% from 15%.
Chicago officials are still considering their own 10.25% tax on all sports betting revenue generated within city limits. This would be in addition to the statewide $0.25 levy on the first 20 million bets annually, rising to $0.50 per wager from then on.
In the UK, Chancellor Rachel Reeves announced in her November budget speech that gambling operators would face significantly higher taxes. They doubled in some cases, including remote gaming duty going from 21% to 40%. Many operators warned that doing so would jeopardize their activities in the region. William Hill’s owner said it might have to close up to 200 retail sportsbooks and is now considering a total sale of its business.
