AI preying on gambling
Image: Shutterstock - Pavlo Golub

New York State Governor Kathy Hochul has unveiled a slew of proposals designed to safeguard against underage online gambling.

Hochul dedicated a section of her 2026 State of the State address to directing the New York State Gaming Commission to take appropriate action, as she warned that mobile sports wagering is ‘enticing everyone – including our youth – to place bets without fully considering the consequences’.

“We need strong regulatory safeguards to prevent those under 21 from gambling, keep artificial intelligence from preying on gamblers, and require sports wagering operators to take real action if one of their customers is showing signs of gambling harm,” she added.

Following the directive, the state’s gaming regulator has published proposals that will require operators to use geolocation services and implement age-assurance and device registration controls to prevent the downloading of gambling apps by young people aged under 21.

Operators will also require players to provide biometric data when creating an account to ensure the app is being used by the same person who created the account.

According to the National Council on Problem Gambling, almost two-thirds of US adults reported gambling before the age of 21. 23% of those who said yes placed a sports bet, and 21% played online-casino-style games.

Gaming Commission Chair Brian O’Dwyer said: “No other form of gambling has pervaded our consciousness like sports wagering, and impressionable kids are constantly exposed to the practice. We have identified additional ways to protect our youth, help those who need it at the point of crisis, and keep legalised, regulated gaming safe for all New Yorkers.”

In addition, the commission wants to tackle the use of AI, and has proposed restricting all licensees from using AI to offer personalised promotions or suggested wagers.

The proposals, alongside a separate set of measures to implement a three-phase protocol for operators addressing at-risk players, have been published by the commission for consultation by relevant stakeholders before 15 May.

Is iGaming in New York’s future?

The New York online sports betting market is one of the largest in the US and is continuing to grow. In December 2025, players wagered over $2.38bn, and market leaders FanDuel and DraftKings posted revenues of $120.1m and $84.1m, respectively.

Despite this success, online casino remains prohibited. However, there has been a push from some sections of the New York Senate to bring regulated iGaming to The Empire State.

After Governor Hochul signed into law a prohibition on the operation and promotion of sweepstakes games, State Senator Joseph Addabbo expressed his belief that the legislation should serve as a precursor for iGaming to be regulated.

“Signing my bill into law is not the end of the conversation, but rather a necessary step toward responsible modernisation of New York’s online gaming landscape,” said Addabbo. 

“By shutting down unsafe, unregulated sweepstakes casinos, New York is reaffirming that if online gaming is going to exist in this state, it must be legal, well-regulated, and built with strong consumer protections.”


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