Sports betting apps reward losing bettors while limiting winners, CBS finds

Online sportsbooks offer VIP perks to frequent losers while sharply limiting how much successful bettors can wager, sometimes to less than 50 cents, according to a CBS News investigation.

Online betting companies lavish frequent losers with VIP perks such as exclusive events, celebrity videos and Super Bowl tickets while restricting the bets of successful gamblers, sometimes to less than $20 and at times to under 50 cents, CBS News reported.

Bettor Mike Manning said BetMGM cut his limit from $1,000-$5,000 per game to $5, and DraftKings limited him to $25 a bet. Another bettor, Michael Trevithick, showed a DraftKings ticket with a maximum NBA Cup wager of 49 cents. DraftKings said it applies customer-specific limits to fewer than 0.15% of accounts; BetMGM declined to comment.

A DraftKings sportsbook at Wrigley Field in Chicago

The Massachusetts Gaming Commission found that 0.64% of betting accounts in the state had been restricted, and a 2025 commission investigation found that winning gamblers' limits fell while losing gamblers' limits rose. Massachusetts became the first state to require companies to notify limited bettors and explain why. "They have to ensure that the house always wins," said Brianne Doura-Schawohl of the Campaign for Fairer Gambling.

Former attorney Chris Swett, who has pleaded guilty to stealing about $2 million from his law firm to fund his gambling, said FanDuel's VIP program kept encouraging him to bet more; after he wrote that he was "tapped out," his VIP host offered him a 4% bonus on new bets. FanDuel said it has changed its VIP program and added problem-gambling tools. A group of lawmakers has also written to major platforms over concerns about VIP perks.