New Colorado Sports Betting Law That Bans Credit Card Funding Now In Effect

A new sports betting law that was signed into law on June 2 has now taken effect in Colorado. 

The law restricts the use of credit cards to fund gambling accounts and caps daily deposits for bettors. The bill, SB 131, was signed into law by Governor Jared Polis in June. 

The bill, sponsored by Sen. Matt Ball and co-sponsored by Sen. Byron Pelton, also bans push notifications that solicit bets and adds more protection for minors related to marketing. 

“Pernicious algorithms and advertisements are increasingly preying on vulnerable online sports bettors,” said Ball. “Since Colorado’s legalization of online sports betting in 2019, technology has rapidly transformed the industry, catching more and more people in the cycle of devastating gambling addiction. As online sports betting continues its rise in popularity, we must ensure there are reasonable protections in place to help prevent addiction, protect underage Coloradans, and uphold the integrity of the game and its athletes.”

Colorado Adds New Sports Betting Restrictions

The bill passed at the end of May 2026 after one provision was removed: a proposal to ban prop bets. This was kept in to help revenue. 

So, in all, as of August 12, the following things are in place: 

• Credit card funding banned
• Six deposits allowed per 24 hours
• Ban on push notifications soliciting bets or deposits 
• No advertising in areas where the majority of people are under 21 years old
• Sportsbooks must report certain wagering information to the state and the appropriate governing bodies
• Operators must report transaction data for the previous year on Feb. 1, with the first coming in 2028
• Every three years beginning Jan. 1, 2029, a public report will be published

Prop Bet Ban Removed Before Passage

Legal sports betting was enacted in 2019 after Colorado voters approved Prop DD, which directed the majority of the tax revenue to the Colorado Water Trust. More than $6.3 billion was wagered online in Colorado in 2025. Prop bets account for about 25% of wagers, so eliminating them would have cost the state about 2.5% of projected tax revenue, hence the removal.