WEBVTT - Should athletes be allowed to bet on themselves?

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<v Speaker 1>Hey everyone, Manny here with a quick shameless plug before

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<v Speaker 1>we start today's episode. If you're in or around New

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<v Speaker 1>York City, Noah, Devin and I are putting on a

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<v Speaker 1>live event book talk on March twenty ninth. Now, you

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<v Speaker 1>may be wondering whose book we're going to be discussing

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<v Speaker 1>at this show. Is it Gavin Newsom's, Is it Josh Shapiro's.

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<v Speaker 1>Is it a third future presidential candidate? Well maybe, because

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<v Speaker 1>we're gonna be talking about my new book. It's called

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<v Speaker 1>Colored People Time, A Case for Casual Rebellion, and it's

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<v Speaker 1>a collection of humorous essays about my personal life, about politics,

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<v Speaker 1>about video games, about revolutions, and partying and gardening. There's

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<v Speaker 1>a lot packed into this book, and it's all connected

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<v Speaker 1>by the theme of the concept of time. Now, one

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<v Speaker 1>great thing about this book is how short it is.

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<v Speaker 1>Take it to the beach, take it to the doctor's office.

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<v Speaker 1>You can tell your friends that you read a whole

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<v Speaker 1>book and they don't have to know that it only

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<v Speaker 1>took you ninety minutes. In the description for this episode,

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<v Speaker 1>you can find my book and you can find the

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<v Speaker 1>tickets to the live event where we will talk about

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<v Speaker 1>said book. Thank you for your attention to this matter,

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<v Speaker 1>and enjoy today's episode. I'm Manny and this is no

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<v Speaker 1>such thing. The show where we settle our dumb arguments

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<v Speaker 1>and yours by actually doing the research. In today's episode,

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<v Speaker 1>we're going to be taking a deep dive into the

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<v Speaker 1>world of sports gambling.

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<v Speaker 2>Antiop what people say, There's.

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<v Speaker 3>No no such thing, no touch thing, touch, thank.

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<v Speaker 1>Touch, thank touch thang.

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<v Speaker 4>All right.

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<v Speaker 1>By now, we've all heard about sports betting. Yes, not

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<v Speaker 1>only have you heard about it, you've seen it everywhere.

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<v Speaker 1>You've seen Kevin Hart promoting DraftKings with Lebron James.

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<v Speaker 3>Are you a little too old to be playing football?

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<v Speaker 4>Wait? What they want?

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<v Speaker 1>Somebody that can run it?

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<v Speaker 4>Forty?

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<v Speaker 2>Now, somebody that is forty.

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<v Speaker 1>You've seen fucking John Hamm promoting bet MGM. So they

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<v Speaker 1>pulled out the BETMGM app and put together a live parlay.

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<v Speaker 4>But what would the fourth leg be?

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<v Speaker 1>The big you are and those are just during commercials.

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<v Speaker 1>You've also seen this stuff, like literally during the games.

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<v Speaker 1>I feel like I'm watching sports most days, probably more

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<v Speaker 1>than the average person. But I'm curious how often have

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<v Speaker 1>you two seen sports gambling promotional material in your lives?

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<v Speaker 4>I don't really watch sports besides baseball, but it's become

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<v Speaker 4>really annoying the amount of just sort of sports gambling,

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<v Speaker 4>odd stuff that like Apple has now started broadcasting baseball

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<v Speaker 4>games and they all have like the likelihood that this

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<v Speaker 4>next ball is going to be a strike. Just stuff

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<v Speaker 4>that's just like so inconsequential. Yeah, like graphics on screen

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<v Speaker 4>the entire game.

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<v Speaker 5>And like I feel like on baseball they have it

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<v Speaker 5>on the actual like not on the bottom.

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<v Speaker 2>I feel like I've seen it.

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<v Speaker 4>Like it's Apple doesn't like Apple does it on screen. Yeah, like,

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<v Speaker 4>which is really crazy. Yeah, it's ins insane. The local stuff,

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<v Speaker 4>the local like my local s and ys, the Mets

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<v Speaker 4>local they don't do. It's not as in your face,

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<v Speaker 4>but it's like you're saying, it's every single commercial they

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<v Speaker 4>come back from break, they're talking about the odds. Yeah,

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<v Speaker 4>it's it's it just feels like in the beginning it

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<v Speaker 4>was really like, oh my god, it's just crazy. Now

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<v Speaker 4>it's just like so normalized. I don't even think about

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<v Speaker 4>it anymore.

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<v Speaker 1>Yeah, and during basketball games you'll get like the live

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<v Speaker 1>odds thing, which just feels wrong, like they're literally trying

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<v Speaker 1>to win the game and it's like all these stats

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<v Speaker 1>and graphs and shit for me anyway ruins the like

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<v Speaker 1>experience of watching the Ax game.

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<v Speaker 4>Yeah, yeah, I agreed.

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<v Speaker 1>In case people don't know, sports betting is a type

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<v Speaker 1>of gambling, except instead of risking your money on poker

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<v Speaker 1>or roulette, you're risking your money on, for example, whether

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<v Speaker 1>the Lakers are going to win a game against the Celtics. Now,

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<v Speaker 1>it used to be the case that if you wanted

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<v Speaker 1>to bet on sports, you'd get your ass in the

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<v Speaker 1>car and drive all the way to like Atlantic City

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<v Speaker 1>or some casino in your area, and you'd place a

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<v Speaker 1>bet there. But in twenty eighteen, the Supreme Court struck

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<v Speaker 1>down a law that banned sports betting in most states.

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<v Speaker 1>So because of that, you're now seeing this proliferation of

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<v Speaker 1>sports betting all over the place, and you can now

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<v Speaker 1>legally place a sports bet on your phone, which was,

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<v Speaker 1>you know, not the case before. I you know, I'll

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<v Speaker 1>be honest, I've I've dabbled. I've probably probably more than dabbled.

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<v Speaker 4>On the record. Yeah, you're very much on the record

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<v Speaker 4>talking about it's got.

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<v Speaker 1>To be transparent about this, and I think like, if

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<v Speaker 1>you're responsible, obviously it can be like a fun way

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<v Speaker 1>to kind of heighten the urgency of the watching experience.

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<v Speaker 1>Have you guys ever placed a bed or I've dabbled.

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<v Speaker 5>Yeah, I'm clean now, but yeah, I mean there have

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<v Speaker 5>been times when, you know, I used to go to

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<v Speaker 5>a lot of NETS games and it would add a

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<v Speaker 5>layer of excitement to what would otherwise be a pretty boring, yeah,

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<v Speaker 5>unclimbactic game regular season when you you know, maybe you

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<v Speaker 5>want the Nets to win, but you need Julius Randall

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<v Speaker 5>from the Knicks at the time to score over a

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<v Speaker 5>certain amount and it's down to the last minute.

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<v Speaker 2>It's exciting stuff.

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<v Speaker 1>Yeah.

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<v Speaker 5>Now, I never bet anything, you know, more than I

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<v Speaker 5>think fifty dollars in yeah, yeah, yeah, but yeah, making

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<v Speaker 5>some crazy parlay, which is, you know, laying a bunch

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<v Speaker 5>of random things to happen essentially and hopefully they all

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<v Speaker 5>happen to make you know, say one thousand dollars on

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<v Speaker 5>that fifty dollars.

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<v Speaker 2>Yeah, it was an exciting high, you know.

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<v Speaker 1>But yeah, I think I remember we went to a

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<v Speaker 1>Nets game together once and we would both have kind

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<v Speaker 1>of a bet riding, and I remember you won a

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<v Speaker 1>decent amount once.

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<v Speaker 4>Yeah, how to quit? Yeah, pretty much.

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<v Speaker 1>Devin have you partaken at all?

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<v Speaker 4>No, nothing in my body wants to bet on sports,

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<v Speaker 4>especially because you know, I'm a fan of the Mets

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<v Speaker 4>and there's just so such an unpredictable team that I'm like,

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<v Speaker 4>I have I watched them every single day and I

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<v Speaker 4>have absolutely no idea what is going to happen day

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<v Speaker 4>to day. Yeah, so I am not putting money on

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<v Speaker 4>the line for this. Although you guys have You haven't

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<v Speaker 4>convinced me yet, but I guess my initial thought with

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<v Speaker 4>sports betting was like, you just got to pick who

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<v Speaker 4>wins and who loses, And I was like, I would

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<v Speaker 4>never do that because I don't know day to day

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<v Speaker 4>whether or not I'm actually gonna win. Yeah, But then

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<v Speaker 4>y'all talked about, oh, you can bet on smaller things, right,

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<v Speaker 4>you can bet on whether or not somebody gets a

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<v Speaker 4>certain amount of hits her. So that's a little bit

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<v Speaker 4>more fun because it's less you know, you're kind of

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<v Speaker 4>leaning into the uncertainty. Yeah, yeah, versus like trying to

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<v Speaker 4>make calculated decisions. It's a little bit more like feels

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<v Speaker 4>a little bit more like the lottery to some degree

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<v Speaker 4>of like, oh, right, you know I'm gonna put some

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<v Speaker 4>amount of money down and like if I lose it, whatever,

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<v Speaker 4>but you're not like thinking so much about it. You

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<v Speaker 4>have you know, obviously you have a little bit of insight,

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<v Speaker 4>but it's a lot of it is up to chance.

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<v Speaker 1>Yeah, I mean there's this kind of idea. I think

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<v Speaker 1>that it's different than regular gambling because you know, people

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<v Speaker 1>feel like they know sports, they know a team in

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<v Speaker 1>and out, and they feel like they can affect some

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<v Speaker 1>money coming their way because you know, they know that

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<v Speaker 1>show hao Tony's gonna get one hit per game. I

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<v Speaker 1>don't know if that's a real stat. I don't watch baseball,

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<v Speaker 1>but if you bet on that every game and he

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<v Speaker 1>does it most games, you know you're not gonna win

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<v Speaker 1>that much money.

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<v Speaker 4>If it's an easy bet, then you're not gonna win them.

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<v Speaker 1>Yeah, exactly. Just really quickly, I'll just go through like

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<v Speaker 1>the popular kinds of vets. One of them is called

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<v Speaker 1>the money line, which is literally just choosing which team

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<v Speaker 1>is gonna win. One of them is called the over under.

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<v Speaker 1>You're just choosing whether the amount of points in a

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<v Speaker 1>game will be over x amount or under that amount,

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<v Speaker 1>and then the other one is the spread. So like

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<v Speaker 1>if the Vegas will determine that the Lakers are gonna

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<v Speaker 1>win by seven points, and then you can bet on

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<v Speaker 1>the Lakers covering that spread if you think they're gonna

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<v Speaker 1>win by more than seven points. Now, sports betting has

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<v Speaker 1>gotten a lot more complicated. There's like a million more

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<v Speaker 1>things you can do now, one of those things being

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<v Speaker 1>in recent history, the parlay, which is, for example, saying

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<v Speaker 1>that the Lakers are gonna win, they're gonna win by

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<v Speaker 1>over seven points and Lebron James is gonna score twenty points.

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<v Speaker 1>And the more things you add to the parlay, you know,

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<v Speaker 1>your bet becomes lottery esque. It just multiplies the amount

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<v Speaker 1>of the payout that you're gonna get, but also makes

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<v Speaker 1>it that much more unlikely. And I think it's that

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<v Speaker 1>kind of bet that I feel like, as you know,

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<v Speaker 1>the all these sports betting apps are promoting the most

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<v Speaker 1>because they know it's they're so unlikely, and that feels

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<v Speaker 1>kind of like dark and insidious to me. They're like

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<v Speaker 1>giving you free money to do these things so that

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<v Speaker 1>you can get hooked on it. And I have seen

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<v Speaker 1>people get hooked on it, like I know people.

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<v Speaker 4>Who are parlay specific parlays.

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<v Speaker 1>But also like once you're in the app. I think

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<v Speaker 1>the app is like designed in a way almost like

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<v Speaker 1>social media, where like you're there's these like little dopamine.

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<v Speaker 5>And there's promos and stuff like that too, so it's like, oh,

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<v Speaker 5>you'll get an extra point, like you'll get some credit

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<v Speaker 5>if you do a five leg parlay instead of a

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<v Speaker 5>three leg one.

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<v Speaker 1>The worst kind of promotion I've seen is like, all right,

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<v Speaker 1>we're gonna give you free money to work with if

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<v Speaker 1>you make a parlay bet that's plus five hundred or longer,

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<v Speaker 1>which means like you're only you're only gonna get free

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<v Speaker 1>money if you make a bet. That's impossible. So it's

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<v Speaker 1>just like this kind of loop the cycle that keeps

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<v Speaker 1>you in there.

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<v Speaker 4>My introduction to the parlay was uncut Gems.

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<v Speaker 2>That's right, se Yeah, famous example.

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<v Speaker 4>This is me, all right, I'm not a fucking think.

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<v Speaker 4>This is my fucking way. This is how I went.

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<v Speaker 2>Look how that turned out did not did not work

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<v Speaker 2>out so good for Sandler.

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<v Speaker 1>Yeah, that I think maybe Uncut Gems was that was

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<v Speaker 1>a little bit before uh it was not like betting

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<v Speaker 1>popped off online. Yeah, and I think it kind of

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<v Speaker 1>popularized it too.

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<v Speaker 4>I think they did a great job explaining what it

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<v Speaker 4>was too. Yeah in the movie, because I had no idea.

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<v Speaker 4>By the end, I understood.

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<v Speaker 5>Everyone pause this and come back in two hours. Yeah,

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<v Speaker 5>pull up you know, HBO Max. Yeah, if our explanation

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<v Speaker 5>didn't make sense, Yeah, So we'll talk to our guests

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<v Speaker 5>Danny in a little bit about kind of the detrimental

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<v Speaker 5>aspects of sports betting, what it's done to us as

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<v Speaker 5>a society.

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<v Speaker 1>But briefly, there's also been controversy with sports betting fiascos

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<v Speaker 1>in the NBA, particularly where players are getting caught up

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<v Speaker 1>in allegedly rigging games. And so we know this has

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<v Speaker 1>happened with Johntay Porter. Michael Porter Junior's brother.

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<v Speaker 6>Toronto Raptors forward Johntay Porter has been banned from the

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<v Speaker 6>NBA for life, the league announced. The NBA said that

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<v Speaker 6>Porter provided confidential information to betters, limited his own participation

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<v Speaker 6>in games for gambling purposes and bet on.

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<v Speaker 1>NBA games, and he's alleged to have like basically played

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<v Speaker 1>worse because someone else that he knew bet on the game,

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<v Speaker 1>bet on his unders. So maybe instead of jumping up

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<v Speaker 1>to get that rebound, he would let someone else do

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<v Speaker 1>it so that his friend's bet could hit. And then

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<v Speaker 1>more recently we've seen Terry Rozier.

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<v Speaker 4>All right, tim breaking news.

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<v Speaker 7>Is catching everybody by surprise, the FBI arresting NBA.

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<v Speaker 4>Player Terry Rozier early this morning.

0:11:46.160 --> 0:11:48.880
<v Speaker 7>In connection with a widespread sports betting investigation.

0:11:49.559 --> 0:11:50.640
<v Speaker 4>And he's not the only.

0:11:50.440 --> 0:11:53.000
<v Speaker 1>One we know that that's bad, right, So, like sports

0:11:53.040 --> 0:11:57.520
<v Speaker 1>gambling is starting to permeate in actual sports. It's like

0:11:57.840 --> 0:12:00.440
<v Speaker 1>jeopardizing the kind of purity of the game when the

0:12:00.440 --> 0:12:03.240
<v Speaker 1>sports is supposed to be very merit based. Now you've

0:12:03.240 --> 0:12:07.120
<v Speaker 1>got the case where like this new phenomenon is causing

0:12:07.120 --> 0:12:08.600
<v Speaker 1>these players to play differently.

0:12:08.679 --> 0:12:10.080
<v Speaker 4>It's come up of baseball too.

0:12:10.400 --> 0:12:12.199
<v Speaker 1>Yeah, we just walk us through some of the baby

0:12:12.240 --> 0:12:13.440
<v Speaker 1>to Cleveland Guardians.

0:12:14.040 --> 0:12:18.199
<v Speaker 7>I heard really, yeah, Guardians pitchers Emmanuel class and Luis

0:12:18.320 --> 0:12:22.559
<v Speaker 7>Ortiz had been charged with fraud, conspiracy, and rigging pitches.

0:12:22.720 --> 0:12:25.959
<v Speaker 7>Prosecutors said in the indictment that class A and Ortiz

0:12:26.040 --> 0:12:30.000
<v Speaker 7>through specific pitches for balls so betters could place prop

0:12:30.040 --> 0:12:30.880
<v Speaker 7>bets in profit.

0:12:31.040 --> 0:12:32.600
<v Speaker 4>So this is like you're like, you're talking about like

0:12:32.640 --> 0:12:36.240
<v Speaker 4>sick people like to be voting on a specifically pitch type.

0:12:36.440 --> 0:12:40.480
<v Speaker 4>It's crazy. But these two pitchers have been indicted for

0:12:40.600 --> 0:12:43.760
<v Speaker 4>throwing specific pitches, and one of these was in the playoffs,

0:12:44.040 --> 0:12:47.080
<v Speaker 4>like purposely throwing a type of pitch you know, not

0:12:47.280 --> 0:12:49.640
<v Speaker 4>for a ball, they purposely like out of the strike

0:12:49.760 --> 0:12:53.920
<v Speaker 4>zone and having someone you know in connection to them

0:12:53.920 --> 0:12:57.040
<v Speaker 4>betting on that specific pitch type a lot of money

0:12:57.080 --> 0:13:00.160
<v Speaker 4>down and you know, getting a lot of money he

0:13:00.280 --> 0:13:03.120
<v Speaker 4>paid out for being correct on those pitches. And you

0:13:03.120 --> 0:13:05.040
<v Speaker 4>can say, oh, this is like, you know, what's the

0:13:05.120 --> 0:13:08.160
<v Speaker 4>big deal? You know, like these pitches didn't change the

0:13:08.200 --> 0:13:11.720
<v Speaker 4>outcome of a game. Sure, maybe not, but it is

0:13:11.760 --> 0:13:13.679
<v Speaker 4>like the sort of thing that like, Okay, this is

0:13:13.720 --> 0:13:16.360
<v Speaker 4>how you start right like you do to really Okay,

0:13:16.440 --> 0:13:18.000
<v Speaker 4>I'm just gonna throw this one pitch out of the

0:13:18.040 --> 0:13:20.120
<v Speaker 4>strike zone and then start out this batter not the

0:13:20.120 --> 0:13:22.560
<v Speaker 4>way I naturally would. But then you start to wonder, Okay,

0:13:22.600 --> 0:13:24.680
<v Speaker 4>if this is the only thing we caught, what else

0:13:24.679 --> 0:13:26.160
<v Speaker 4>are you actually doing behind the scenes.

0:13:26.240 --> 0:13:30.600
<v Speaker 1>Yeah, it's really disturbing because there's clips now circulating of

0:13:30.679 --> 0:13:34.079
<v Speaker 1>like Terry Rozier like, yeah, putting up some horrific shots

0:13:34.320 --> 0:13:37.200
<v Speaker 1>or like losing the ball all the time, and in

0:13:37.280 --> 0:13:39.359
<v Speaker 1>ways that just look a little bit weird.

0:13:39.200 --> 0:13:41.720
<v Speaker 4>And look he made that. May it may be legitimate, right,

0:13:42.000 --> 0:13:44.959
<v Speaker 4>maybe like you were just trash today, Yeah, Like these

0:13:45.000 --> 0:13:46.720
<v Speaker 4>pictures may be like, hey, you just didn't have your

0:13:46.760 --> 0:13:49.920
<v Speaker 4>stuff today. But now when you find out that, like, oh,

0:13:49.960 --> 0:13:52.480
<v Speaker 4>there may be something happening here, you start to question

0:13:52.559 --> 0:13:52.719
<v Speaker 4>on this.

0:13:52.880 --> 0:13:55.000
<v Speaker 1>Yeah, And that's what makes it so dangerous because I

0:13:55.000 --> 0:13:56.600
<v Speaker 1>know people are getting caught now, but I think it

0:13:56.640 --> 0:14:02.000
<v Speaker 1>is relatively easy to hide your assistance on someone else's bet.

0:14:02.160 --> 0:14:04.520
<v Speaker 1>There was a clip of Lebron last year where he

0:14:04.600 --> 0:14:07.640
<v Speaker 1>was like in a postgame interview and he said that

0:14:07.800 --> 0:14:10.640
<v Speaker 1>some fan was screaming at him that he just needed

0:14:10.640 --> 0:14:14.040
<v Speaker 1>one more rebound from Lebron, yeah, so his bet could hit.

0:14:14.080 --> 0:14:15.920
<v Speaker 1>And then Lebron was like, so I just helped him out,

0:14:16.000 --> 0:14:17.040
<v Speaker 1>jumped up to get a rebound.

0:14:17.600 --> 0:14:20.680
<v Speaker 4>He definitely yo at me, got my intentions rebound. I'm

0:14:20.760 --> 0:14:24.880
<v Speaker 4>like what he was like, more so I got one

0:14:24.880 --> 0:14:26.760
<v Speaker 4>more and I pointed at him to acknowledge that I

0:14:26.840 --> 0:14:27.320
<v Speaker 4>was listening.

0:14:27.480 --> 0:14:29.400
<v Speaker 1>And that's kind of like a funny moment, I guess,

0:14:29.400 --> 0:14:33.000
<v Speaker 1>but like underneath the surface, it's like, oh, that's kind

0:14:33.040 --> 0:14:36.680
<v Speaker 1>of dark. Yeah, all right, So we know that sports

0:14:36.760 --> 0:14:41.320
<v Speaker 1>betting has invaded the sports infrastructure in such a way

0:14:42.120 --> 0:14:44.520
<v Speaker 1>that is detrimental to the purity of the game. But

0:14:44.680 --> 0:14:47.400
<v Speaker 1>I am curious. It made me think about, like, what

0:14:47.440 --> 0:14:52.000
<v Speaker 1>if a player is betting on him or herself to

0:14:52.120 --> 0:14:56.880
<v Speaker 1>do well? M what if Lebron can bet on himself

0:14:57.280 --> 0:15:01.600
<v Speaker 1>to score, you know, thirty points? Should should that be allowed?

0:15:01.600 --> 0:15:04.000
<v Speaker 1>Because it it incentivizes him.

0:15:03.880 --> 0:15:05.520
<v Speaker 4>Exactly to do well.

0:15:05.840 --> 0:15:08.200
<v Speaker 1>I'm kind of curious, like what the pros and cons I'm.

0:15:08.120 --> 0:15:10.600
<v Speaker 5>Trying to think of, you know, I'm trying to make

0:15:10.640 --> 0:15:15.080
<v Speaker 5>the argument. Of course, that sounds great. Maroone says, Hey,

0:15:15.160 --> 0:15:17.600
<v Speaker 5>I'm gonna try to score at least twenty points today

0:15:18.160 --> 0:15:18.960
<v Speaker 5>and if I get.

0:15:18.800 --> 0:15:21.880
<v Speaker 2>That, I win whatever, two thousand dollars.

0:15:21.440 --> 0:15:25.920
<v Speaker 5>Like he needs it, whatever, whatever he wants to twenty

0:15:25.920 --> 0:15:27.400
<v Speaker 5>thousand dollars in the wine cellar.

0:15:27.520 --> 0:15:27.760
<v Speaker 4>Whatever.

0:15:27.880 --> 0:15:28.440
<v Speaker 1>Yeah.

0:15:28.640 --> 0:15:30.760
<v Speaker 5>But the issue, though, I think it's like, if you

0:15:30.760 --> 0:15:33.280
<v Speaker 5>can do that openly, then it's like, who's to say

0:15:33.280 --> 0:15:35.840
<v Speaker 5>he's not making a little carve out for his friends

0:15:35.840 --> 0:15:37.680
<v Speaker 5>on the Celtics who he's playing against.

0:15:37.800 --> 0:15:39.480
<v Speaker 1>Yeah, to make sure, you know, to make sure he

0:15:39.520 --> 0:15:40.440
<v Speaker 1>does now points.

0:15:40.440 --> 0:15:41.840
<v Speaker 5>Okay, I'm not gonna block him so hard so I

0:15:41.880 --> 0:15:43.320
<v Speaker 5>can get a piece of this.

0:15:43.560 --> 0:15:44.960
<v Speaker 2>Yeah, I think.

0:15:44.760 --> 0:15:47.720
<v Speaker 5>It's it seems simple, But then it's like so easily

0:15:47.760 --> 0:15:49.000
<v Speaker 5>opens it up to anything else.

0:15:49.120 --> 0:15:50.640
<v Speaker 2>Yeah, so unless you you all.

0:15:50.560 --> 0:15:53.160
<v Speaker 5>Have secret bets and some it's some system that then

0:15:53.640 --> 0:15:54.520
<v Speaker 5>like why are we making it?

0:15:54.520 --> 0:15:56.680
<v Speaker 4>Like why no, can't be secret, gotta be all out

0:15:56.680 --> 0:15:58.680
<v Speaker 4>and open. Yeah. So you know, like you want to

0:15:58.680 --> 0:16:00.560
<v Speaker 4>put all these other odds and stuff on the screen.

0:16:00.560 --> 0:16:04.640
<v Speaker 4>I want to see what Lebron is betting on himself. Yeah,

0:16:04.680 --> 0:16:07.480
<v Speaker 4>and it's like, you know, there's no more underground. There's

0:16:07.480 --> 0:16:10.040
<v Speaker 4>no no more underground, you know, get rid of the

0:16:10.080 --> 0:16:13.320
<v Speaker 4>on it. We're legalizing, you know, like you say legalized drugs,

0:16:13.320 --> 0:16:14.680
<v Speaker 4>We're gonna legalize sports betting.

0:16:14.800 --> 0:16:19.160
<v Speaker 2>So like it's just gonna.

0:16:17.840 --> 0:16:20.240
<v Speaker 4>Just all out in the open. I think, you know,

0:16:20.320 --> 0:16:21.360
<v Speaker 4>I think about it.

0:16:22.280 --> 0:16:24.400
<v Speaker 1>Or what if it was as simple as you know,

0:16:24.480 --> 0:16:26.560
<v Speaker 1>he's only allowed to bet on the Lakers to win,

0:16:27.080 --> 0:16:28.880
<v Speaker 1>not like necessary.

0:16:28.440 --> 0:16:30.400
<v Speaker 4>Yeah, you could pick out what like you know, I

0:16:30.440 --> 0:16:32.400
<v Speaker 4>think there's ways you could work it out. So you're

0:16:32.400 --> 0:16:35.880
<v Speaker 4>not getting so specific that like it's altering, like you're

0:16:35.880 --> 0:16:37.520
<v Speaker 4>saying whether or not somebody's gonna put up a shot

0:16:37.600 --> 0:16:40.680
<v Speaker 4>or something. But I think about this, like I don't

0:16:40.680 --> 0:16:43.400
<v Speaker 4>know how it works with contracts and you know, the

0:16:43.400 --> 0:16:46.560
<v Speaker 4>sports that y'all watch all the other sports besides baseball.

0:16:46.760 --> 0:16:53.080
<v Speaker 2>Yeah, sounds a degree, watch sports if you call those sports.

0:16:53.800 --> 0:16:57.240
<v Speaker 4>But like in baseball, right, especially with say someone has

0:16:57.320 --> 0:16:59.920
<v Speaker 4>kind of like an off year, or they're injured to what,

0:17:00.200 --> 0:17:03.040
<v Speaker 4>or there'll be incentives that like, hey, in this contract,

0:17:03.040 --> 0:17:05.560
<v Speaker 4>if you start a certain amount of games, if you

0:17:05.800 --> 0:17:09.440
<v Speaker 4>win whatever award, if you you know, get a certain

0:17:09.440 --> 0:17:13.000
<v Speaker 4>amount of strikeouts or home runs, whatever, you'll get a

0:17:13.119 --> 0:17:18.040
<v Speaker 4>bonus added to your contract. Exactly. How is that so

0:17:18.400 --> 0:17:21.919
<v Speaker 4>different than betting? Right, Like, if someone because this has

0:17:21.920 --> 0:17:24.720
<v Speaker 4>come up where it's like someone may have let's say,

0:17:24.920 --> 0:17:27.280
<v Speaker 4>you know, a pitcher needs you know, one hundred and

0:17:27.359 --> 0:17:32.520
<v Speaker 4>fifty innings to get that contract clause, and they have

0:17:32.560 --> 0:17:34.680
<v Speaker 4>one hundred and forty nine and it's the last game

0:17:34.720 --> 0:17:37.760
<v Speaker 4>of the season, and the manager is like, do I

0:17:37.800 --> 0:17:39.359
<v Speaker 4>got Do I take this guy out or give him?

0:17:39.359 --> 0:17:40.399
<v Speaker 4>Do I give him another pitch?

0:17:40.760 --> 0:17:40.960
<v Speaker 3>You know?

0:17:41.000 --> 0:17:42.639
<v Speaker 4>And people start the second guess like, oh, they took

0:17:42.680 --> 0:17:44.199
<v Speaker 4>himut because they didn't want to pay that out. You know.

0:17:44.240 --> 0:17:46.320
<v Speaker 4>So like that sort of stuff does happen.

0:17:46.400 --> 0:17:48.520
<v Speaker 1>That's a good point. I mean that happens in football

0:17:48.640 --> 0:17:51.480
<v Speaker 1>all the time, where let's say there's a wide receiver

0:17:51.680 --> 0:17:55.520
<v Speaker 1>who needs one more touchdown to like trigger some clause

0:17:55.520 --> 0:17:56.119
<v Speaker 1>in his contract.

0:17:56.280 --> 0:17:58.680
<v Speaker 4>Do you drop up a play knowing that and then you.

0:17:58.640 --> 0:18:03.120
<v Speaker 1>Know, if it's a substantial amount of money, could you

0:18:03.200 --> 0:18:05.359
<v Speaker 1>then talk to the guy on the other team, like

0:18:05.359 --> 0:18:08.080
<v Speaker 1>who's covering you? Be like, hey, I thirty some of this.

0:18:08.119 --> 0:18:10.640
<v Speaker 1>If you let me get you, let me get this touch.

0:18:10.880 --> 0:18:13.200
<v Speaker 4>Games out of hand, let me catch Yeah, I'm gonna.

0:18:13.720 --> 0:18:17.200
<v Speaker 1>I hadn't thought about performance bonuses, that them being similar

0:18:17.240 --> 0:18:19.000
<v Speaker 1>to you know, betting on yourself.

0:18:19.040 --> 0:18:21.640
<v Speaker 2>Yeah, I guess those are long term goals.

0:18:21.280 --> 0:18:23.760
<v Speaker 1>Though, Yeah, like you can't do it every game.

0:18:24.000 --> 0:18:26.480
<v Speaker 5>I think the per game ones is I think scary

0:18:26.680 --> 0:18:28.600
<v Speaker 5>or like, I think that's a bad, bad hole to

0:18:28.640 --> 0:18:29.160
<v Speaker 5>go down.

0:18:29.040 --> 0:18:32.480
<v Speaker 1>Because then even if we decide it's ethically okay, it's

0:18:32.480 --> 0:18:36.400
<v Speaker 1>still I think affects the like sanctity of the game.

0:18:36.440 --> 0:18:38.960
<v Speaker 1>Where like, let's say Lebron James is allowed to bet

0:18:39.000 --> 0:18:41.840
<v Speaker 1>on the Lakers to win, he might be making different

0:18:41.840 --> 0:18:44.320
<v Speaker 1>decisions at the end of that game than he would have.

0:18:44.840 --> 0:18:46.880
<v Speaker 1>He might feel like, oh my god, the only way

0:18:46.880 --> 0:18:49.720
<v Speaker 1>we're gonna win is if I take this last shot instead.

0:18:49.800 --> 0:18:50.240
<v Speaker 3>Who cares?

0:18:51.640 --> 0:18:52.440
<v Speaker 4>Who cares that the team?

0:18:52.600 --> 0:18:56.280
<v Speaker 1>I guess Yeah, I just mean it's it changes the

0:18:56.359 --> 0:18:57.520
<v Speaker 1>dynamic a little bit.

0:18:57.760 --> 0:19:00.000
<v Speaker 5>Yeah, I guess I think I think it should be

0:19:00.119 --> 0:19:04.440
<v Speaker 5>more for either full games or more team based than

0:19:04.960 --> 0:19:05.920
<v Speaker 5>individual based.

0:19:06.000 --> 0:19:06.800
<v Speaker 4>I think once we're.

0:19:06.680 --> 0:19:10.040
<v Speaker 5>Doing this individual stuff, that's when you're gonna get kind

0:19:10.040 --> 0:19:12.320
<v Speaker 5>of the more selfish play from maybe players who aren't

0:19:12.359 --> 0:19:14.399
<v Speaker 5>Lebron who can Maybe.

0:19:14.240 --> 0:19:16.440
<v Speaker 1>People are egos that are bigger than so.

0:19:16.440 --> 0:19:20.040
<v Speaker 5>I think it's like, yeah, if the Detroit Pistons say, hey,

0:19:20.040 --> 0:19:22.960
<v Speaker 5>we're gonna try to win sixty games this year and

0:19:23.160 --> 0:19:26.440
<v Speaker 5>Kate Cunningham wants to bet on that, that seems fine

0:19:26.440 --> 0:19:28.160
<v Speaker 5>to me because he wants to win.

0:19:28.359 --> 0:19:31.000
<v Speaker 1>Yeah, but I can see your concern that you were

0:19:31.040 --> 0:19:34.240
<v Speaker 1>saying earlier with essentially it opens the door to maybe

0:19:34.400 --> 0:19:37.600
<v Speaker 1>working with some other team to let there's just too

0:19:37.600 --> 0:19:39.679
<v Speaker 1>many to let them perform a certain.

0:19:39.640 --> 0:19:42.919
<v Speaker 2>Unknown unknowns, as Donald Rumsild would say.

0:19:42.840 --> 0:19:45.760
<v Speaker 1>Too many unknown unknowns. This is just like the war

0:19:45.760 --> 0:19:49.720
<v Speaker 1>in Iraq. Well, the good news for us is going

0:19:49.800 --> 0:19:52.520
<v Speaker 1>to learn a lot more about this with our guest today,

0:19:52.680 --> 0:19:57.199
<v Speaker 1>Danny Funt. Danny is the author of Everybody Loses The

0:19:57.280 --> 0:20:00.960
<v Speaker 1>Tumultuous Rise of American Sports Gambling, and we're going to

0:20:01.000 --> 0:20:07.959
<v Speaker 1>talk to him right after this break. All right, we

0:20:08.080 --> 0:20:11.959
<v Speaker 1>are back, and we're joined by Danny Funt, the author

0:20:12.160 --> 0:20:16.760
<v Speaker 1>of Everybody Loses, The tumultuous Rise of American sports gambling,

0:20:17.840 --> 0:20:23.840
<v Speaker 1>which happens to be exactly what we were just talking about. Wow, Danny,

0:20:23.840 --> 0:20:24.920
<v Speaker 1>thanks for joining us.

0:20:25.119 --> 0:20:27.440
<v Speaker 3>What's up man? Thanks for having me on first.

0:20:27.440 --> 0:20:29.520
<v Speaker 1>I just wanted to ask if you could briefly walk

0:20:29.600 --> 0:20:33.080
<v Speaker 1>us through just the history of sports betting in the

0:20:33.200 --> 0:20:35.600
<v Speaker 1>US in general. I know there were some kind of

0:20:35.800 --> 0:20:40.359
<v Speaker 1>big sports betting controversies I think in the twenties, thirties, forties,

0:20:40.400 --> 0:20:42.280
<v Speaker 1>and fifties. If you could just walk us through that,

0:20:42.440 --> 0:20:49.520
<v Speaker 1>how did we get here today?

0:20:50.520 --> 0:20:54.120
<v Speaker 3>There's been betting on sports since there have been organized

0:20:54.160 --> 0:20:57.520
<v Speaker 3>sports in America, even going back to like the very

0:20:57.560 --> 0:21:01.840
<v Speaker 3>first baseball games in New York City eighteen fifties. It

0:21:01.920 --> 0:21:04.520
<v Speaker 3>was such a big part of why people cared about

0:21:04.560 --> 0:21:07.040
<v Speaker 3>baseball in the first place that the New York Times

0:21:07.440 --> 0:21:10.560
<v Speaker 3>wrote an editorial that said, we can't even think of

0:21:10.600 --> 0:21:13.000
<v Speaker 3>this as a national pastime because, as they put it,

0:21:13.000 --> 0:21:17.280
<v Speaker 3>it's a contrivance for gambling. And then the National League

0:21:17.600 --> 0:21:20.919
<v Speaker 3>was created in large part to rid the game of

0:21:21.000 --> 0:21:24.879
<v Speaker 3>gambling because it felt like it was corrupting the sport

0:21:24.960 --> 0:21:28.119
<v Speaker 3>and putting off a lot of prospective fans. And then

0:21:28.160 --> 0:21:30.920
<v Speaker 3>that leads us to the Black Sox scandal in nineteen nineteen.

0:21:31.119 --> 0:21:33.640
<v Speaker 3>You probably know about that, eight players on the Chicago

0:21:33.680 --> 0:21:37.520
<v Speaker 3>White Sox colluding with gamblers to fix the World Series,

0:21:38.280 --> 0:21:43.040
<v Speaker 3>and the Commissioner of Baseball was established after that specifically

0:21:43.160 --> 0:21:46.840
<v Speaker 3>to get gambling out of baseball. There were scandals basically

0:21:46.920 --> 0:21:51.439
<v Speaker 3>every decade, most notoriously in college men's basketball in like

0:21:51.480 --> 0:21:56.159
<v Speaker 3>the fifties and sixties, getting caught up with mob people

0:21:56.160 --> 0:21:58.199
<v Speaker 3>who wanted them to fix games. And all of that

0:21:58.240 --> 0:22:03.359
<v Speaker 3>brings us to two when the leagues lobbied Congress to

0:22:03.600 --> 0:22:07.159
<v Speaker 3>officially ban sports betting outside Nevada, where it had been

0:22:07.240 --> 0:22:10.320
<v Speaker 3>legal since about the fifties, and then that law was

0:22:10.320 --> 0:22:13.879
<v Speaker 3>struck down in twenty eighteen, and things were often running

0:22:13.880 --> 0:22:18.639
<v Speaker 3>from there as far as states legalizing sports betting.

0:22:19.400 --> 0:22:23.040
<v Speaker 1>And what was kind of the sports betting environment so

0:22:23.119 --> 0:22:24.840
<v Speaker 1>to speak in the fifties and sixties. I know there

0:22:24.840 --> 0:22:27.200
<v Speaker 1>were some of those, like specific scandals, but how did

0:22:27.240 --> 0:22:30.480
<v Speaker 1>like your average American get involved with that?

0:22:30.760 --> 0:22:34.159
<v Speaker 3>So in Nevada, as I said, they had a legal

0:22:34.200 --> 0:22:37.320
<v Speaker 3>book making infrastructure, but it was really an afterthought and

0:22:37.359 --> 0:22:40.080
<v Speaker 3>it was mainly just to draw to get people into casinos,

0:22:40.680 --> 0:22:44.320
<v Speaker 3>and it remained that way honestly to today. Like in

0:22:44.359 --> 0:22:49.000
<v Speaker 3>the casino business, sports betting is almost a rounding error,

0:22:49.200 --> 0:22:52.359
<v Speaker 3>like it's really just yet another thing, you know, along

0:22:52.400 --> 0:22:56.120
<v Speaker 3>with restaurants and other gimmicks to get people to come

0:22:56.119 --> 0:22:59.200
<v Speaker 3>in and then go to the blackjack tables and the

0:22:59.240 --> 0:23:02.040
<v Speaker 3>slot machines. Were they really make money. In the rest

0:23:02.080 --> 0:23:05.480
<v Speaker 3>of the country, it was largely mob run, which is

0:23:05.560 --> 0:23:09.960
<v Speaker 3>why you might have heard of the Kofaver Commission, which

0:23:10.160 --> 0:23:15.960
<v Speaker 3>was this massive congressional inquiry in the fifties that looked

0:23:15.960 --> 0:23:19.560
<v Speaker 3>into how gambling was funding the mob. And this senator

0:23:19.600 --> 0:23:24.080
<v Speaker 3>from I think Tennessee made it a huge TV attraction,

0:23:24.440 --> 0:23:28.200
<v Speaker 3>these congressional hearings where they would bring in gang leaders

0:23:28.240 --> 0:23:31.560
<v Speaker 3>to testify about how much they were taking in bets.

0:23:32.320 --> 0:23:35.280
<v Speaker 3>And that was the first time a lot of Americans

0:23:35.280 --> 0:23:38.880
<v Speaker 3>even heard the word mafia, and it led It led

0:23:38.920 --> 0:23:42.800
<v Speaker 3>the Kennedy administration to push for a number of laws

0:23:42.840 --> 0:23:44.920
<v Speaker 3>that made it officially illegal, and.

0:23:44.880 --> 0:23:47.639
<v Speaker 1>Then, of course, the mafia responded by killing John F.

0:23:47.720 --> 0:23:51.560
<v Speaker 3>Kennedy right right. A fun historical fact, the guy who

0:23:51.640 --> 0:23:57.199
<v Speaker 3>invented the point spread was I think JFK's elementary school teacher.

0:23:57.680 --> 0:24:01.600
<v Speaker 4>Oh yeah, go to the top.

0:24:01.760 --> 0:24:04.119
<v Speaker 3>Yeah yeah, yeah.

0:24:04.280 --> 0:24:08.080
<v Speaker 1>But after nineteen ninety two, you basically could not bet

0:24:08.119 --> 0:24:10.680
<v Speaker 1>on sports unless you travel to Nevada? Is that true?

0:24:11.200 --> 0:24:12.560
<v Speaker 3>Or you had a bookie?

0:24:12.880 --> 0:24:16.240
<v Speaker 1>Yeah okay, And just for the audience, like, describe what

0:24:16.280 --> 0:24:18.880
<v Speaker 1>a bookie is? How like how was that allowed or

0:24:19.119 --> 0:24:21.000
<v Speaker 1>is it it wasn't It was like under the table.

0:24:21.040 --> 0:24:26.600
<v Speaker 3>Totally under the table everywhere but Nevada. And basically that's

0:24:26.640 --> 0:24:29.680
<v Speaker 3>someone who you know will take your bet on a game,

0:24:29.840 --> 0:24:33.600
<v Speaker 3>is probably only against the point spread. Maybe they took

0:24:33.880 --> 0:24:36.440
<v Speaker 3>over unders on the point total, and they're kind of

0:24:36.520 --> 0:24:39.600
<v Speaker 3>writing numbers down in a book, hence the name bookmaker,

0:24:40.359 --> 0:24:43.520
<v Speaker 3>and you know, hopefully paying you if you win. Most

0:24:43.560 --> 0:24:46.080
<v Speaker 3>of that's done on credit. You're not like handing the

0:24:46.160 --> 0:24:49.000
<v Speaker 3>money and saying, you know, pay me back if I win.

0:24:49.119 --> 0:24:52.400
<v Speaker 3>It's it's the honor system, which is why knees get

0:24:52.440 --> 0:24:55.640
<v Speaker 3>busted and thumbs get you know, chopped off if you're

0:24:55.640 --> 0:24:59.399
<v Speaker 3>not paying. But yeah, that was a pretty big business.

0:24:59.440 --> 0:25:02.359
<v Speaker 3>I remember there was a book maker in Nevada who

0:25:02.560 --> 0:25:05.600
<v Speaker 3>was I think it was a Sports Illustrated article where

0:25:05.600 --> 0:25:07.960
<v Speaker 3>they were talking about, you know, trying to figure out

0:25:08.000 --> 0:25:10.919
<v Speaker 3>the size of the illegal sports betting industry in like

0:25:10.960 --> 0:25:14.399
<v Speaker 3>the middle twentieth century. And this guy was like, I

0:25:14.440 --> 0:25:17.080
<v Speaker 3>know of a town in Wisconsin that has thirteen thousand

0:25:17.160 --> 0:25:20.919
<v Speaker 3>people and two book makers. So just think about you know,

0:25:20.960 --> 0:25:24.399
<v Speaker 3>if like a middle of nowhere town in Wisconsin has

0:25:24.440 --> 0:25:27.879
<v Speaker 3>two bookies, it probably suggested there were a ton of

0:25:27.920 --> 0:25:28.959
<v Speaker 3>them across the country.

0:25:29.160 --> 0:25:31.600
<v Speaker 1>Mm hmmm. That kind of leads me to my next question.

0:25:31.720 --> 0:25:35.240
<v Speaker 1>Like when I bet on a game today, I'll open

0:25:35.280 --> 0:25:37.879
<v Speaker 1>the app and it'll and I'll bet on whatever the

0:25:37.960 --> 0:25:41.000
<v Speaker 1>Lakers to win, and it'll say plus two hundred. And

0:25:41.080 --> 0:25:43.720
<v Speaker 1>I understand that that means if I bet one hundred dollars,

0:25:43.760 --> 0:25:46.719
<v Speaker 1>I'll win two hundred. But where the hell do they

0:25:46.760 --> 0:25:51.200
<v Speaker 1>get that number from? Who actually is responsible for providing

0:25:51.240 --> 0:25:54.800
<v Speaker 1>the odds on a given sports match.

0:25:55.119 --> 0:25:58.439
<v Speaker 3>That's an important point because we still say colloquially like

0:25:58.760 --> 0:26:02.480
<v Speaker 3>Vegas thinks, you know, Vegas thinks the Seahawks are a

0:26:02.520 --> 0:26:06.159
<v Speaker 3>three point favorite. It really almost has nothing to do

0:26:06.240 --> 0:26:10.840
<v Speaker 3>with what anyone in Vegas thinks. It's an aggregation of

0:26:11.080 --> 0:26:16.120
<v Speaker 3>worldwide betting trends. And usually when they'll open with numbers.

0:26:16.160 --> 0:26:19.199
<v Speaker 3>They're basing it on betting markets in like Asia and

0:26:19.240 --> 0:26:21.600
<v Speaker 3>other parts of the world that might be ahead of us,

0:26:21.680 --> 0:26:24.920
<v Speaker 3>just on the time difference, and then going from there,

0:26:24.920 --> 0:26:29.080
<v Speaker 3>and then the numbers get sharpened, mainly by the bets

0:26:29.119 --> 0:26:32.600
<v Speaker 3>that you see coming in from professional gamblers. A lot

0:26:32.600 --> 0:26:36.240
<v Speaker 3>of bookmaking is just responding to what these sharp betters

0:26:36.280 --> 0:26:39.679
<v Speaker 3>are doing and then massaging the numbers accordingly. It's not

0:26:39.920 --> 0:26:43.280
<v Speaker 3>like a genius odds maker who posts a number and

0:26:43.320 --> 0:26:46.320
<v Speaker 3>then takes on all these different people and you know

0:26:46.359 --> 0:26:50.200
<v Speaker 3>it's trying to outsmart them. It's it's the wisdom of crowds,

0:26:50.240 --> 0:26:51.600
<v Speaker 3>as it's sometimes said.

0:26:51.400 --> 0:26:55.520
<v Speaker 1>And people would say colloquially Vegas because those bookies were

0:26:55.560 --> 0:26:59.080
<v Speaker 1>normally in Vegas before the Supreme Court action.

0:26:59.400 --> 0:27:01.399
<v Speaker 3>Yeah, and a lot of these companies, you know, based

0:27:01.400 --> 0:27:04.199
<v Speaker 3>in Vegas, whether it's Caesars or MGM or what have you.

0:27:04.600 --> 0:27:09.360
<v Speaker 1>So then what is the format of that business? How

0:27:09.400 --> 0:27:11.840
<v Speaker 1>exactly do they make money? Like I know how I

0:27:11.960 --> 0:27:14.479
<v Speaker 1>lose money to them, but like what is what's the

0:27:14.520 --> 0:27:15.600
<v Speaker 1>structure exactly?

0:27:15.840 --> 0:27:19.480
<v Speaker 3>So the simple answer is they bake an edge into

0:27:19.520 --> 0:27:22.479
<v Speaker 3>the odds so that they win no matter what. And

0:27:22.520 --> 0:27:25.919
<v Speaker 3>there's complexity to that. But basically it's the reason why

0:27:26.760 --> 0:27:29.840
<v Speaker 3>if you bet twenty bucks on both sides of a bet,

0:27:29.960 --> 0:27:31.800
<v Speaker 3>it's not going to be a wash, right, You're going

0:27:31.880 --> 0:27:35.080
<v Speaker 3>to lose a certain amount, and that certain amount is

0:27:35.200 --> 0:27:39.240
<v Speaker 3>roughly what the sports book is making. It's complicated because

0:27:39.640 --> 0:27:43.600
<v Speaker 3>there's a common misconception that the art of bookmaking is

0:27:43.720 --> 0:27:46.560
<v Speaker 3>posting odds or spread or whatever that's going to attract

0:27:46.760 --> 0:27:50.640
<v Speaker 3>fifty percent money on both sides, and then you get

0:27:50.640 --> 0:27:53.359
<v Speaker 3>the vig that house edge that I just mentioned, and

0:27:53.400 --> 0:27:56.359
<v Speaker 3>that's how they make money. They're really not going for

0:27:56.440 --> 0:28:01.159
<v Speaker 3>fifty to fifty. They're going for on the side of

0:28:01.200 --> 0:28:04.840
<v Speaker 3>the professional gamblers, but posting a number that's gonna get

0:28:04.880 --> 0:28:07.800
<v Speaker 3>a lot of money on both sides. But the sportsbook

0:28:07.880 --> 0:28:11.760
<v Speaker 3>wants to basically bet on the side of the sharps

0:28:12.200 --> 0:28:14.840
<v Speaker 3>because they're right more often than not. And if that happens,

0:28:14.880 --> 0:28:17.200
<v Speaker 3>then they're gonna the house is gonna win even more

0:28:17.320 --> 0:28:19.840
<v Speaker 3>than that edge that they bake into the odds. So

0:28:20.560 --> 0:28:23.800
<v Speaker 3>gets a little complicated, but that's the business. It's not like,

0:28:24.080 --> 0:28:27.119
<v Speaker 3>let's figure out what's gonna get half and half on

0:28:27.200 --> 0:28:27.920
<v Speaker 3>both sides.

0:28:28.119 --> 0:28:29.680
<v Speaker 1>Well, I was gonna ask if you could clarify a

0:28:29.720 --> 0:28:32.560
<v Speaker 1>little bit about the vig. Okay, the Lakers and Celtics

0:28:32.560 --> 0:28:34.879
<v Speaker 1>are playing, and I bet twenty dollars on each of

0:28:34.920 --> 0:28:38.800
<v Speaker 1>them to win, I'm gonna win twenty dollars, right.

0:28:38.760 --> 0:28:42.760
<v Speaker 3>So you're gonna see minus one ten typically on both sides.

0:28:43.560 --> 0:28:46.000
<v Speaker 3>So if you bet one hundred and ten dollars and

0:28:46.040 --> 0:28:50.120
<v Speaker 3>you win, you make a hundred. If you bet one

0:28:50.160 --> 0:28:52.560
<v Speaker 3>hundred and ten and lose, obviously you get nothing, So

0:28:52.640 --> 0:28:56.680
<v Speaker 3>that ten bucks the difference there is the thig, right.

0:28:57.640 --> 0:29:01.040
<v Speaker 3>So typically it's why in order to beat those sorts

0:29:01.080 --> 0:29:03.200
<v Speaker 3>of bets and make money, you have to win about

0:29:03.200 --> 0:29:05.840
<v Speaker 3>fifty two and a half percent of the time because

0:29:05.840 --> 0:29:08.960
<v Speaker 3>if you just won fifty to fifty, the house has

0:29:09.000 --> 0:29:10.840
<v Speaker 3>that edge and they're going to beat you, and it's

0:29:10.960 --> 0:29:14.440
<v Speaker 3>really really hard. It's really hard to win more than

0:29:14.480 --> 0:29:16.840
<v Speaker 3>half your bets. Conversely, if you think about it, it's

0:29:16.880 --> 0:29:20.800
<v Speaker 3>really hard to lose more than half your bets if

0:29:20.800 --> 0:29:23.040
<v Speaker 3>you're betting those types of straight bets.

0:29:23.120 --> 0:29:27.720
<v Speaker 1>That's what I tell my wife. In your book, you

0:29:28.400 --> 0:29:31.840
<v Speaker 1>interviewed and talked to a lot of people who have influence.

0:29:31.920 --> 0:29:34.560
<v Speaker 1>I think at some of these companies like FanDuel and DraftKings,

0:29:35.000 --> 0:29:37.960
<v Speaker 1>like what did you learn from talking to them about

0:29:37.960 --> 0:29:42.520
<v Speaker 1>how about like the average Americans relationship to sports betting

0:29:42.840 --> 0:29:45.280
<v Speaker 1>and how they try to recruit more people into it.

0:29:45.560 --> 0:29:47.360
<v Speaker 3>There was a bunch because some of it I think

0:29:47.480 --> 0:29:50.320
<v Speaker 3>is pretty sinister, and I definitely wanted to get into

0:29:50.320 --> 0:29:52.440
<v Speaker 3>that of some of the predatory tactics they're doing. But

0:29:52.560 --> 0:29:54.800
<v Speaker 3>some of it also was just interesting to me of

0:29:54.840 --> 0:29:58.280
<v Speaker 3>how this business actually works. There was someone who was

0:29:58.320 --> 0:30:01.880
<v Speaker 3>in like marketing insights at FanDuel, and she told me

0:30:02.080 --> 0:30:04.480
<v Speaker 3>a bunch of things that I found really interesting. One

0:30:04.520 --> 0:30:07.120
<v Speaker 3>was that people are always thinking like there's so many

0:30:07.160 --> 0:30:09.280
<v Speaker 3>ads that must turn off a lot of people because

0:30:09.280 --> 0:30:12.120
<v Speaker 3>they're like, I just can't stand seeing all these fandel ads.

0:30:12.160 --> 0:30:15.840
<v Speaker 3>I'm never gonna give them my business. And she said,

0:30:15.880 --> 0:30:18.280
<v Speaker 3>from their research, that's not true at all. No matter

0:30:18.280 --> 0:30:21.480
<v Speaker 3>how much you hate a company's advertising, it doesn't stop

0:30:21.560 --> 0:30:26.280
<v Speaker 3>you from patronizing them. So that's instructive. But another thing

0:30:26.360 --> 0:30:29.400
<v Speaker 3>she said that was interesting was although these companies like

0:30:29.480 --> 0:30:33.680
<v Speaker 3>to brand sports betting as this social activity and you

0:30:33.720 --> 0:30:35.600
<v Speaker 3>know this idea of like you know, all me, me

0:30:35.640 --> 0:30:38.680
<v Speaker 3>and my buddies like gather and replace our bets, and

0:30:38.760 --> 0:30:42.640
<v Speaker 3>that's like a way that we socialize around sports. Based

0:30:42.640 --> 0:30:44.600
<v Speaker 3>on her research, a lot of people are doing it

0:30:45.080 --> 0:30:47.520
<v Speaker 3>when they're alone and they don't like to talk about

0:30:47.720 --> 0:30:49.600
<v Speaker 3>they don't like to talk about their betting because they're

0:30:49.640 --> 0:30:51.680
<v Speaker 3>kind of embarrassed about it, that it's this thing they

0:30:51.720 --> 0:30:54.600
<v Speaker 3>do to like liven up a boring night alone. And

0:30:55.040 --> 0:30:57.360
<v Speaker 3>I mean I do that, you know sometimes, So I'm

0:30:57.360 --> 0:31:00.360
<v Speaker 3>not here to judge, but I think that's maybe maybe

0:31:00.400 --> 0:31:02.840
<v Speaker 3>a huge percentage of this business is people like that.

0:31:03.120 --> 0:31:06.480
<v Speaker 1>Yeah, I mean it's an interesting dynamic. When sports betting

0:31:06.600 --> 0:31:09.320
<v Speaker 1>it was legalized in New York, like me and some buddies,

0:31:09.800 --> 0:31:12.720
<v Speaker 1>I think I noticed that we were socializing more often

0:31:12.760 --> 0:31:15.440
<v Speaker 1>than we were before, and part of me was like, oh,

0:31:15.480 --> 0:31:17.520
<v Speaker 1>this is kind of nice that, like, you know, in

0:31:17.600 --> 0:31:20.520
<v Speaker 1>what so many people are calling a male loneliness epidemic,

0:31:20.560 --> 0:31:23.040
<v Speaker 1>we're kind of like we've got this like discord channel

0:31:23.040 --> 0:31:25.400
<v Speaker 1>now and we're hanging out. But you know, I think

0:31:25.680 --> 0:31:29.400
<v Speaker 1>it's very easy to see how that turns sour because

0:31:29.440 --> 0:31:32.520
<v Speaker 1>sometimes I see people who are just really deep in it,

0:31:32.640 --> 0:31:35.480
<v Speaker 1>like really addicted to trying to make their money back

0:31:35.640 --> 0:31:36.080
<v Speaker 1>for sure.

0:31:36.200 --> 0:31:39.160
<v Speaker 3>And also think about a lot of states legalized, including

0:31:39.160 --> 0:31:43.560
<v Speaker 3>New York during COVID so people were extra isolated and

0:31:44.040 --> 0:31:47.200
<v Speaker 3>bored and like doing anything, you know, baking, sour now

0:31:47.400 --> 0:31:48.760
<v Speaker 3>and sports.

0:31:48.880 --> 0:31:53.360
<v Speaker 1>Right, Yeah, what are some of the more predatory behaviors

0:31:53.360 --> 0:31:57.120
<v Speaker 1>that these companies are engaging in to keep me on

0:31:57.160 --> 0:31:57.560
<v Speaker 1>the app?

0:31:57.760 --> 0:31:59.560
<v Speaker 3>I'll get into some of the messed up ones, but

0:31:59.600 --> 0:32:02.080
<v Speaker 3>one that I I find interesting that I think you

0:32:02.160 --> 0:32:05.200
<v Speaker 3>and your listeners might too, is maybe not as predatory,

0:32:05.200 --> 0:32:08.360
<v Speaker 3>but it's just a it's a counter argument to this

0:32:08.440 --> 0:32:13.520
<v Speaker 3>idea that sports betting just enhances fandom, which is an

0:32:13.600 --> 0:32:16.040
<v Speaker 3>argument you hear the leagues make. It's like this just

0:32:16.080 --> 0:32:18.480
<v Speaker 3>makes you extra locked in as a fan. It's just

0:32:18.560 --> 0:32:21.000
<v Speaker 3>taking an interest you already have and like putting it

0:32:21.040 --> 0:32:24.400
<v Speaker 3>on steroids. And I remember talking to this guy at

0:32:24.400 --> 0:32:28.400
<v Speaker 3>a company called simple Bet, which creates these so called

0:32:28.720 --> 0:32:33.120
<v Speaker 3>micro bets, which are like bets on a shrunken down

0:32:33.160 --> 0:32:35.160
<v Speaker 3>time frame, like will the next pitch in a baseball

0:32:35.200 --> 0:32:38.200
<v Speaker 3>game be a ball or a strike? In a football game,

0:32:38.240 --> 0:32:40.840
<v Speaker 3>you know, will they score a touchdown, pund get a

0:32:40.880 --> 0:32:44.400
<v Speaker 3>field goal, whatever. And he was telling me that when

0:32:44.400 --> 0:32:47.640
<v Speaker 3>they're setting the odds on those bets, they do what's

0:32:47.680 --> 0:32:50.880
<v Speaker 3>called shading, which is they recognize that fans have a

0:32:50.920 --> 0:32:56.120
<v Speaker 3>bias to overestimate the likelihood of positive outcomes, Like if

0:32:56.120 --> 0:32:59.680
<v Speaker 3>you're watching a football game, you're you're gonna overestimate the

0:32:59.680 --> 0:33:02.400
<v Speaker 3>odds that a team scores in a given possession, right,

0:33:02.520 --> 0:33:05.440
<v Speaker 3>either just because you're rooting for them, or it's nice

0:33:05.480 --> 0:33:07.240
<v Speaker 3>to think that the good thing is going to happen,

0:33:07.840 --> 0:33:11.080
<v Speaker 3>And so the payouts on those bets are less than

0:33:11.160 --> 0:33:14.400
<v Speaker 3>if you're betting for the negative thing to happen. So

0:33:14.480 --> 0:33:18.560
<v Speaker 3>basically they're taking the inherent optimism that comes with being

0:33:18.600 --> 0:33:20.960
<v Speaker 3>a fan and using that against you so that you

0:33:21.040 --> 0:33:24.680
<v Speaker 3>make less money if you bet on optimistic things. And

0:33:24.720 --> 0:33:26.480
<v Speaker 3>I just I heard that and I was like that

0:33:26.480 --> 0:33:30.400
<v Speaker 3>that's really shrewd from a business standpoint, But it totally

0:33:30.480 --> 0:33:34.160
<v Speaker 3>goes against this idea that betting is just like, you know,

0:33:34.320 --> 0:33:37.880
<v Speaker 3>encouraging people to be fans, because they're basically using your

0:33:37.920 --> 0:33:41.520
<v Speaker 3>fandom as a vulnerability to make more money off of.

0:33:41.680 --> 0:33:45.000
<v Speaker 3>But as far as as far as the predatory stuff goes,

0:33:45.040 --> 0:33:49.880
<v Speaker 3>I think one is these enticements that dangle what sounds

0:33:49.920 --> 0:33:52.520
<v Speaker 3>like free money, and then you read the fine print

0:33:52.560 --> 0:33:55.080
<v Speaker 3>you're like, this is not free money at all. Furthest

0:33:55.120 --> 0:33:59.360
<v Speaker 3>thing from it. Whether it was no sweat bets, but

0:33:59.480 --> 0:34:04.200
<v Speaker 3>sometimes advertised really enormous dollar figures like you know, three

0:34:04.320 --> 0:34:08.759
<v Speaker 3>thousand dollars risk free bet or no sweat bet. Risk

0:34:08.800 --> 0:34:10.840
<v Speaker 3>free was like the term of art for a while,

0:34:11.000 --> 0:34:14.480
<v Speaker 3>and then they realized that was just even two outrageous

0:34:14.520 --> 0:34:18.400
<v Speaker 3>for betting companies, so they dialed it back to no sweat,

0:34:18.400 --> 0:34:20.640
<v Speaker 3>which really conveys the same thing, which is, you don't

0:34:20.680 --> 0:34:22.560
<v Speaker 3>have any reason to worry that you're going to lose

0:34:22.600 --> 0:34:25.680
<v Speaker 3>this money, and that couldn't be further from the truth,

0:34:25.800 --> 0:34:28.760
<v Speaker 3>and that's a gigantic bummer to people when they figure

0:34:28.800 --> 0:34:29.160
<v Speaker 3>that out.

0:34:29.360 --> 0:34:32.000
<v Speaker 1>Yeah, because it's like no sweat. If you bet twenty

0:34:32.040 --> 0:34:34.440
<v Speaker 1>five dollars on this and you lose, we'll give you

0:34:34.480 --> 0:34:37.120
<v Speaker 1>twenty five dollars in the app that you can you

0:34:37.120 --> 0:34:39.520
<v Speaker 1>can't withdraw. You can only use it on another bet

0:34:39.880 --> 0:34:41.400
<v Speaker 1>which you are likely to lose.

0:34:41.600 --> 0:34:44.200
<v Speaker 3>And you know, if you bet twenty five bucks, let's

0:34:44.200 --> 0:34:47.280
<v Speaker 3>say you bet twenty five bucks on an overwhelming favorite,

0:34:47.400 --> 0:34:50.520
<v Speaker 3>you might win twenty five plus two dollars, Like you

0:34:50.560 --> 0:34:53.440
<v Speaker 3>get your twenty five back and then the two. In

0:34:53.480 --> 0:34:56.680
<v Speaker 3>the case of those free bets, you don't get the

0:34:56.840 --> 0:34:59.200
<v Speaker 3>steak of the bet bet. You would only get the

0:34:59.239 --> 0:35:02.920
<v Speaker 3>two bucks, you're really down twenty three bucks. And I've

0:35:03.480 --> 0:35:05.960
<v Speaker 3>I made this mistake when I was in New York

0:35:06.000 --> 0:35:09.040
<v Speaker 3>and like an idiot about these promotions, and a lot

0:35:09.040 --> 0:35:11.399
<v Speaker 3>of people did as well, where they're like, Okay, if

0:35:11.400 --> 0:35:14.560
<v Speaker 3>I lose my no sweat or risk free bet, I'm

0:35:14.600 --> 0:35:17.319
<v Speaker 3>just going to bet it on favorites and have a

0:35:17.360 --> 0:35:22.359
<v Speaker 3>really high chance of you know, coming back. Even does

0:35:22.400 --> 0:35:23.239
<v Speaker 3>not work that way.

0:35:23.840 --> 0:35:27.759
<v Speaker 5>When sports betting became legalized, I remember states were talking

0:35:27.760 --> 0:35:30.520
<v Speaker 5>about this, will you know, be an influx of you know,

0:35:30.600 --> 0:35:33.520
<v Speaker 5>money for the state. Has Now that it's been a

0:35:33.520 --> 0:35:35.600
<v Speaker 5>few years, has that kind of come to fruition, Like

0:35:35.640 --> 0:35:39.000
<v Speaker 5>are states actually making money off this too, or is

0:35:39.040 --> 0:35:41.080
<v Speaker 5>it kind of marginal or do you have any insight

0:35:41.120 --> 0:35:41.920
<v Speaker 5>on that it's.

0:35:41.840 --> 0:35:44.080
<v Speaker 3>Mostly a drop in the bucket, Like it does not

0:35:44.239 --> 0:35:48.640
<v Speaker 3>solve their budget problems at all. New York is a

0:35:48.680 --> 0:35:51.680
<v Speaker 3>slight exception just because they get away with taxing online

0:35:51.719 --> 0:35:54.919
<v Speaker 3>sports betting at fifty one percent, which is way way

0:35:55.040 --> 0:35:58.720
<v Speaker 3>higher than the rest of the country. And these companies

0:35:58.760 --> 0:36:01.000
<v Speaker 3>feel like, how could they not operate in New York?

0:36:01.160 --> 0:36:03.160
<v Speaker 3>You know, it's what the bulls is and where they're

0:36:03.160 --> 0:36:06.400
<v Speaker 3>baded to just be insane not to, but they're being

0:36:06.760 --> 0:36:10.520
<v Speaker 3>taxed through the roof. So New York has generated almost

0:36:10.680 --> 0:36:13.640
<v Speaker 3>half of all the tax revenue on sports betting in

0:36:13.680 --> 0:36:14.160
<v Speaker 3>the country.

0:36:14.280 --> 0:36:15.160
<v Speaker 4>We should.

0:36:17.480 --> 0:36:19.080
<v Speaker 1>Yeah, I'm like a third event.

0:36:19.640 --> 0:36:21.560
<v Speaker 3>And for a lot of the country it's it's like,

0:36:22.200 --> 0:36:24.440
<v Speaker 3>you know, it's a trivial amount of money. And then

0:36:24.480 --> 0:36:27.040
<v Speaker 3>the other side of that is like they make it

0:36:27.080 --> 0:36:29.600
<v Speaker 3>sound like it's just found money, like they you know,

0:36:29.760 --> 0:36:33.400
<v Speaker 3>struck oil or something, but people aren't spending that money

0:36:33.440 --> 0:36:36.919
<v Speaker 3>on other things, you know, or they don't or they're

0:36:36.920 --> 0:36:41.120
<v Speaker 3>not investing it, or they have health problems now, or

0:36:41.200 --> 0:36:43.919
<v Speaker 3>like you know, debt that people need to deal with,

0:36:43.960 --> 0:36:46.160
<v Speaker 3>and that's a that's a cost on the other end.

0:36:46.760 --> 0:36:50.279
<v Speaker 3>So I think people when people start studying that holistic

0:36:50.520 --> 0:36:53.120
<v Speaker 3>picture of this, it's going to be pretty bleak for

0:36:53.200 --> 0:36:53.800
<v Speaker 3>that argument.

0:36:54.640 --> 0:36:57.319
<v Speaker 1>Yeah, what are some of the other social costs we've

0:36:57.320 --> 0:37:00.960
<v Speaker 1>seen from this proliferation of sports because I saw I

0:37:01.000 --> 0:37:04.920
<v Speaker 1>read in an article I think that domestic violence, for example,

0:37:05.000 --> 0:37:09.440
<v Speaker 1>has increased since twenty eighteen when this was all allowed

0:37:09.480 --> 0:37:13.040
<v Speaker 1>to happen. Curious about that and like any other negative

0:37:13.080 --> 0:37:14.160
<v Speaker 1>effects that we've seen.

0:37:14.239 --> 0:37:16.520
<v Speaker 3>Yeah, that's study. I wish I remember the College to

0:37:16.560 --> 0:37:19.480
<v Speaker 3>shout them up, but it was so dark it was

0:37:19.880 --> 0:37:22.720
<v Speaker 3>I think they looked at with the home football team

0:37:22.800 --> 0:37:28.000
<v Speaker 3>wins or loses in states with or without legal sports betting,

0:37:28.640 --> 0:37:30.959
<v Speaker 3>and in places where it's legal, and then the home

0:37:31.000 --> 0:37:35.120
<v Speaker 3>team loses, domestic violence incidents were demonstrably higher than in

0:37:35.160 --> 0:37:36.440
<v Speaker 3>places where it's illegal.

0:37:37.400 --> 0:37:40.080
<v Speaker 4>Yeah, and I found that that is University of Oregon.

0:37:40.120 --> 0:37:42.200
<v Speaker 4>They found that when a professional football team has an

0:37:42.239 --> 0:37:46.359
<v Speaker 4>unexpected loss, intimate partner violence and its home market can

0:37:46.400 --> 0:37:47.560
<v Speaker 4>increase by ten percent.

0:37:48.280 --> 0:37:50.640
<v Speaker 3>While one of the things that I find just so

0:37:50.800 --> 0:37:54.360
<v Speaker 3>upsetting and scary is the amount of abuse that athletes

0:37:54.360 --> 0:37:58.160
<v Speaker 3>are getting from enraged gamblers. Now I lead my book

0:37:58.200 --> 0:37:59.920
<v Speaker 3>off of that, just because to me, it's one of

0:38:00.120 --> 0:38:03.960
<v Speaker 3>the strongest examples of how things are totally different now.

0:38:04.000 --> 0:38:06.280
<v Speaker 3>Even if people used to bet, you know, under the table,

0:38:06.840 --> 0:38:09.520
<v Speaker 3>the fact that they're betting so easily and so much

0:38:09.560 --> 0:38:12.080
<v Speaker 3>on so many different things is creating a lot of

0:38:12.120 --> 0:38:16.160
<v Speaker 3>new problems. And the online abuse that they get is

0:38:16.360 --> 0:38:20.640
<v Speaker 3>just grotesque and relentless. I remember Jalen Brunson on the

0:38:20.680 --> 0:38:22.760
<v Speaker 3>Knicks was like, I think this was with the athletic

0:38:22.800 --> 0:38:25.680
<v Speaker 3>He's like, think of the worst stuff you might think

0:38:25.719 --> 0:38:27.920
<v Speaker 3>we're hearing, and it's way worse than that. But then

0:38:27.960 --> 0:38:31.480
<v Speaker 3>it goes way beyond that sort of harassment, where you

0:38:31.480 --> 0:38:34.320
<v Speaker 3>know athletes have been stocked at their team hotel or

0:38:34.360 --> 0:38:35.040
<v Speaker 3>at their home.

0:38:36.160 --> 0:38:36.399
<v Speaker 4>JB.

0:38:36.480 --> 0:38:41.040
<v Speaker 3>Bickerstaff, the Pistons coach, said people were texting his personal

0:38:41.120 --> 0:38:44.760
<v Speaker 3>cell phone that they knew the identities of his kids

0:38:44.760 --> 0:38:48.640
<v Speaker 3>and where he lives. The manager of the Padres just

0:38:48.719 --> 0:38:52.120
<v Speaker 3>resigned last season in part because he was so exhausted

0:38:52.120 --> 0:38:56.000
<v Speaker 3>from all these death threats. And like there's there've also

0:38:56.040 --> 0:38:59.840
<v Speaker 3>been people arrested for like really credible death threats to

0:39:00.040 --> 0:39:03.080
<v Speaker 3>getting athletes when they lost a bet. And I just

0:39:03.120 --> 0:39:06.080
<v Speaker 3>think inevitably someone's going to try to kill someone. And

0:39:06.600 --> 0:39:10.120
<v Speaker 3>I heard that from the former chief security officer of

0:39:10.160 --> 0:39:12.279
<v Speaker 3>the NFL, who, as he put it's only a matter

0:39:12.320 --> 0:39:15.560
<v Speaker 3>of time before there's a gambling related murder. That's just

0:39:16.120 --> 0:39:19.319
<v Speaker 3>super grim to think about. But yeah, when we talk

0:39:19.360 --> 0:39:22.239
<v Speaker 3>about what would actually have to happen for lawmakers to say,

0:39:22.280 --> 0:39:24.880
<v Speaker 3>you know, enough is enough, this is way out of control,

0:39:24.920 --> 0:39:26.480
<v Speaker 3>I think that would be on that list.

0:39:27.600 --> 0:39:27.839
<v Speaker 4>Yeah.

0:39:27.880 --> 0:39:30.760
<v Speaker 1>I mean, when you think about being a fan of sports,

0:39:30.880 --> 0:39:33.480
<v Speaker 1>there's like an emotional stake you have in it. But

0:39:33.520 --> 0:39:37.040
<v Speaker 1>then once that is converted into a financial stake, you

0:39:37.040 --> 0:39:39.960
<v Speaker 1>can easily see people kind of going down the wrong path.

0:39:40.200 --> 0:39:42.480
<v Speaker 1>But okay, so we talked about like how this has

0:39:42.520 --> 0:39:46.440
<v Speaker 1>been affecting athletes and managers. I am curious too about

0:39:47.640 --> 0:39:52.160
<v Speaker 1>the betters themselves, Like are people we of course know

0:39:52.160 --> 0:39:55.080
<v Speaker 1>they answer to this question, but are people being responsible

0:39:55.160 --> 0:39:57.680
<v Speaker 1>or are they spending money they shouldn't be spending? Like,

0:39:57.760 --> 0:40:01.359
<v Speaker 1>is there any data about, you know, how how like

0:40:01.400 --> 0:40:02.960
<v Speaker 1>the better is has been affected?

0:40:05.080 --> 0:40:07.399
<v Speaker 3>Yeah, And like the industry always says, you know, oh,

0:40:07.440 --> 0:40:10.160
<v Speaker 3>the majority of people bet and they have no issue

0:40:10.160 --> 0:40:11.960
<v Speaker 3>and it's just something they do now. It's like, no

0:40:12.040 --> 0:40:14.840
<v Speaker 3>different than spending money to go to a movie. I

0:40:14.880 --> 0:40:17.799
<v Speaker 3>think there's studies. Of course that's true and on a

0:40:17.840 --> 0:40:21.200
<v Speaker 3>simplistic level, but there's studies that indicate a lot more

0:40:21.239 --> 0:40:24.160
<v Speaker 3>people are betting more than they wish they were than

0:40:24.200 --> 0:40:27.560
<v Speaker 3>you might think. So there was one study that found

0:40:27.600 --> 0:40:30.040
<v Speaker 3>that a third of people who bet on sports have

0:40:30.120 --> 0:40:33.440
<v Speaker 3>felt ashamed after the fact that how much money they lost.

0:40:33.920 --> 0:40:38.600
<v Speaker 3>Oh god, Half of people who bet concede that they're

0:40:38.600 --> 0:40:41.479
<v Speaker 3>not honest with family and friends about how much they're

0:40:41.520 --> 0:40:44.920
<v Speaker 3>losing and how often they're betting. Even just like the

0:40:44.960 --> 0:40:47.719
<v Speaker 3>amount being lost. I remember DraftKings in one of their

0:40:47.840 --> 0:40:52.360
<v Speaker 3>quarterly earnings reports, the average customer loses more than one

0:40:52.400 --> 0:40:55.920
<v Speaker 3>hundred bucks a month, which you know, on average, that's

0:40:55.960 --> 0:40:59.759
<v Speaker 3>a lot. If you're losing hundred dollars yeah a year,

0:41:00.080 --> 0:41:02.000
<v Speaker 3>and the amount that you have to bet to lose

0:41:02.000 --> 0:41:05.360
<v Speaker 3>that much is a ton. So I think it's designed

0:41:05.560 --> 0:41:08.719
<v Speaker 3>to get you to bet more than you intended. A

0:41:08.760 --> 0:41:11.520
<v Speaker 3>moment ago, I told you about that executive who crafts

0:41:11.560 --> 0:41:14.680
<v Speaker 3>these micro bets and was talking about shading. Let's say

0:41:14.680 --> 0:41:19.960
<v Speaker 3>someone's okay betting fifty dollars pregame, if they're betting constantly

0:41:20.040 --> 0:41:23.680
<v Speaker 3>during the game, they might bet ten dollars ten times

0:41:23.760 --> 0:41:25.360
<v Speaker 3>and then look up and be like, oh, I just

0:41:25.440 --> 0:41:28.439
<v Speaker 3>bet twice as much as I intended. And this guy

0:41:28.520 --> 0:41:31.080
<v Speaker 3>was like, yes, exactly, that's the goal. That's what we're

0:41:31.120 --> 0:41:35.520
<v Speaker 3>going for. And yeah, I mean it's again like, from

0:41:35.560 --> 0:41:39.160
<v Speaker 3>a business standpoint, it makes total sense, but from a

0:41:39.160 --> 0:41:42.239
<v Speaker 3>customer safety standpoint, it's problematic.

0:41:42.320 --> 0:41:42.680
<v Speaker 4>For sure.

0:41:44.400 --> 0:41:47.160
<v Speaker 1>Do you feel like the legalization of sports betting was

0:41:47.200 --> 0:41:47.800
<v Speaker 1>a mistake.

0:41:48.239 --> 0:41:50.879
<v Speaker 3>I think the way they went about it is undoubtedly

0:41:50.920 --> 0:41:54.799
<v Speaker 3>a mistake, and too often this gets boiled down to

0:41:54.920 --> 0:41:58.920
<v Speaker 3>like prohibition or legalization with no guardrails, and there's so

0:41:59.040 --> 0:42:02.160
<v Speaker 3>much in between. It would be pretty hard to defend

0:42:02.200 --> 0:42:06.319
<v Speaker 3>the manner through which so many states decided to do this.

0:42:06.719 --> 0:42:10.360
<v Speaker 3>For one simple reason, among others, is they were often

0:42:10.440 --> 0:42:13.719
<v Speaker 3>completely oblivious to what could have been learned if you

0:42:13.800 --> 0:42:16.719
<v Speaker 3>looked at the UK and elsewhere in Europe and Australia

0:42:17.239 --> 0:42:19.360
<v Speaker 3>and other places that have had sports betting for a

0:42:19.400 --> 0:42:24.040
<v Speaker 3>while and have had arguments and dealt with the fallout

0:42:24.080 --> 0:42:26.520
<v Speaker 3>from all the things we've been talking about, you know,

0:42:27.000 --> 0:42:31.480
<v Speaker 3>misleading ads, excessive ads in general, types of bets that

0:42:31.600 --> 0:42:35.760
<v Speaker 3>encourage compulsive behavior, on and on. Those are all tired

0:42:35.920 --> 0:42:38.799
<v Speaker 3>arguments in a lot of elsewhere in the world, and

0:42:38.840 --> 0:42:41.560
<v Speaker 3>they've had to learn the hard way that you shouldn't

0:42:41.560 --> 0:42:45.840
<v Speaker 3>allow that stuff, and they had to reregulate after a while.

0:42:46.040 --> 0:42:49.840
<v Speaker 3>And from my reporting, it sounds like Americans just paid

0:42:49.920 --> 0:42:53.040
<v Speaker 3>no attention whatsoever to that when they were writing their laws.

0:42:53.040 --> 0:42:56.480
<v Speaker 3>It was like, this is this grand American experiment. We're

0:42:56.480 --> 0:42:58.040
<v Speaker 3>going to figure things out as we go. And I

0:42:58.040 --> 0:43:02.200
<v Speaker 3>guess that's pretty typical this country to just be completely

0:43:02.800 --> 0:43:05.680
<v Speaker 3>arrogant and oblivious that way. But there was so much

0:43:05.719 --> 0:43:08.080
<v Speaker 3>that was ignored that would have informed these laws in

0:43:08.120 --> 0:43:09.120
<v Speaker 3>a pretty profound way.

0:43:09.719 --> 0:43:12.600
<v Speaker 1>So before we let you go, we earlier were having

0:43:12.600 --> 0:43:15.840
<v Speaker 1>a very brief debate about whether it would be okay

0:43:15.960 --> 0:43:21.400
<v Speaker 1>for athletes to bet on themselves to excel, So like,

0:43:21.840 --> 0:43:24.600
<v Speaker 1>would it be okay for Lebron James, for example, to

0:43:24.640 --> 0:43:27.960
<v Speaker 1>bet on the Lakers to win, because technically that would

0:43:28.000 --> 0:43:31.560
<v Speaker 1>only incentivize him to, you know, play better. Just curious

0:43:31.680 --> 0:43:33.840
<v Speaker 1>your own thoughts that you see any kind of pitfalls

0:43:33.880 --> 0:43:39.640
<v Speaker 1>with after one hour of talking about how terrible this is.

0:43:41.719 --> 0:43:44.320
<v Speaker 3>I mean, the risk would be it's hard to stop

0:43:44.320 --> 0:43:46.520
<v Speaker 3>at betting on yourself, and then they just start betting

0:43:46.560 --> 0:43:48.920
<v Speaker 3>on everything, and that's where they get into trouble. But

0:43:49.520 --> 0:43:52.000
<v Speaker 3>if we're just being like purely intellectual about it, I

0:43:52.120 --> 0:43:54.920
<v Speaker 3>don't think there's anything wrong with betting on yourself to

0:43:55.000 --> 0:43:58.759
<v Speaker 3>win if there's no caveats. I'm pretty sure. I hope

0:43:58.800 --> 0:44:01.120
<v Speaker 3>I don't get this wrong. I'm pretty sure fighters are

0:44:01.160 --> 0:44:05.000
<v Speaker 3>allowed to bet on themselves to win outright, but they

0:44:05.040 --> 0:44:08.600
<v Speaker 3>can't bet on like I'm gonna win after the eighth round.

0:44:08.600 --> 0:44:10.759
<v Speaker 3>And I remember for the I think it was the

0:44:10.760 --> 0:44:14.000
<v Speaker 3>Mayweather Jake Paul fight. Mayweather tried to bet On like

0:44:14.080 --> 0:44:16.080
<v Speaker 3>I'm gonna win in the seventh round, and they were like,

0:44:16.640 --> 0:44:17.400
<v Speaker 3>absolutely not.

0:44:17.760 --> 0:44:20.160
<v Speaker 1>Because he could totally effect he could play with him

0:44:20.160 --> 0:44:21.600
<v Speaker 1>for six rounds and then knock him out.

0:44:21.719 --> 0:44:23.080
<v Speaker 3>Yeah, which I think he did.

0:44:25.680 --> 0:44:28.040
<v Speaker 1>All right, Well, thank you so much for joining us, Danny.

0:44:28.080 --> 0:44:30.280
<v Speaker 1>This was illuminating my pleasure.

0:44:30.360 --> 0:44:31.160
<v Speaker 3>Thank you for having me.

0:44:40.640 --> 0:44:44.160
<v Speaker 1>All right, we're back on Manny Noah, and we just

0:44:44.560 --> 0:44:47.759
<v Speaker 1>had a conversation with Danny Funt about the sports gambling world.

0:44:48.120 --> 0:44:50.640
<v Speaker 1>One takeaway. One thing I found interesting. I would have

0:44:50.680 --> 0:44:53.600
<v Speaker 1>assumed that sports betting what was actually a big chunk

0:44:53.640 --> 0:44:57.080
<v Speaker 1>of the gambling industry, but Danny was saying, it's basically

0:44:57.120 --> 0:45:01.320
<v Speaker 1>a way to get people interested in more classic versions

0:45:01.360 --> 0:45:05.319
<v Speaker 1>of gambling like roulette and blackjack and craps and all that.

0:45:05.480 --> 0:45:06.280
<v Speaker 2>Yeah, it's interesting.

0:45:06.280 --> 0:45:09.440
<v Speaker 5>I mean those are obviously more time consuming in a

0:45:09.480 --> 0:45:11.919
<v Speaker 5>way mm hm. So I can see once you get

0:45:11.920 --> 0:45:14.040
<v Speaker 5>in there, you're going to be really in there. Versus

0:45:14.239 --> 0:45:16.640
<v Speaker 5>the sports spending. It's it is relatively easy to dip

0:45:16.680 --> 0:45:17.200
<v Speaker 5>your toe in.

0:45:17.480 --> 0:45:18.239
<v Speaker 4>Yeah, and if you.

0:45:18.280 --> 0:45:21.640
<v Speaker 5>Only follow maybe one sport and maybe only one team,

0:45:21.800 --> 0:45:23.400
<v Speaker 5>maybe you're only doing it a little bit.

0:45:23.719 --> 0:45:25.120
<v Speaker 2>That's at first at least, but.

0:45:25.160 --> 0:45:28.160
<v Speaker 4>Should think about. I don't know if y'all have gamblers

0:45:28.200 --> 0:45:30.800
<v Speaker 4>in your life, like family members who like are obsessed

0:45:30.840 --> 0:45:34.000
<v Speaker 4>with the casino. But people lose a lot of money

0:45:34.080 --> 0:45:36.480
<v Speaker 4>when they have a casino in a way that would

0:45:36.520 --> 0:45:40.600
<v Speaker 4>be very hard gambling on your phone to lose, Like

0:45:40.719 --> 0:45:43.680
<v Speaker 4>people will go and lose thousands of dollars, you know,

0:45:43.760 --> 0:45:45.560
<v Speaker 4>like spending a day or two in a casino.

0:45:45.840 --> 0:45:47.920
<v Speaker 5>You're not going from there and spending ten dollars. Yeah,

0:45:48.120 --> 0:45:49.919
<v Speaker 5>that's what I did when I went to Atlantic City.

0:45:49.960 --> 0:45:55.600
<v Speaker 5>But that's me, Yeah, most ready to spend spending country money.

0:45:55.600 --> 0:45:57.520
<v Speaker 5>So there's probably maybe there's a scale.

0:45:57.640 --> 0:46:01.239
<v Speaker 4>It's not as easy you know, to get as many

0:46:01.239 --> 0:46:04.600
<v Speaker 4>people in the door as a casino, you know, as

0:46:04.760 --> 0:46:07.239
<v Speaker 4>opposed to your phone, But you're going to people who

0:46:07.239 --> 0:46:08.440
<v Speaker 4>get in the door big spenders.

0:46:08.640 --> 0:46:11.680
<v Speaker 1>They're spending like as if they're ten sports gamblers.

0:46:11.719 --> 0:46:12.360
<v Speaker 4>Yeah, exactly.

0:46:12.440 --> 0:46:15.600
<v Speaker 5>At the right the thing of like solutions if like, okay,

0:46:15.600 --> 0:46:17.239
<v Speaker 5>we're too far gone on this, how do we pull

0:46:17.320 --> 0:46:19.160
<v Speaker 5>back or put in guardrails?

0:46:19.520 --> 0:46:20.160
<v Speaker 2>It's like one thing.

0:46:20.160 --> 0:46:22.000
<v Speaker 5>It's like, yeah, well, like having to go somewhere in

0:46:22.080 --> 0:46:26.760
<v Speaker 5>person to bet on sports or anything is a big difference.

0:46:27.000 --> 0:46:30.320
<v Speaker 5>Then I'm in my basement. You know, my family's upstairs

0:46:30.360 --> 0:46:31.160
<v Speaker 5>and I'm just watching.

0:46:31.400 --> 0:46:33.439
<v Speaker 1>I would literally never be It's like it would change

0:46:33.440 --> 0:46:35.480
<v Speaker 1>it so much trying to go somewhere to do it. Yeah,

0:46:35.520 --> 0:46:38.560
<v Speaker 1>that would immediately curb the activity. And I think, yeah,

0:46:38.640 --> 0:46:41.879
<v Speaker 1>just in terms of like guardrails, you know, ask someone

0:46:41.920 --> 0:46:45.600
<v Speaker 1>who does enjoy like here and there throwing like the

0:46:45.640 --> 0:46:50.279
<v Speaker 1>cost of a couple of you know, lattes on a sports.

0:46:50.120 --> 0:46:54.839
<v Speaker 4>A vague alcoholic drink day.

0:46:55.760 --> 0:46:58.600
<v Speaker 1>That's more accurate in instead of buying like a cocktail,

0:46:58.640 --> 0:47:01.279
<v Speaker 1>I might throw that on a on the game. I

0:47:01.280 --> 0:47:04.040
<v Speaker 1>think one way to kind of reel this back a

0:47:04.080 --> 0:47:07.880
<v Speaker 1>little bit would be to only allow people to bet

0:47:08.000 --> 0:47:09.959
<v Speaker 1>on the outcome of a game, like.

0:47:10.040 --> 0:47:11.759
<v Speaker 2>Who is always simplifying stuff.

0:47:11.760 --> 0:47:13.600
<v Speaker 1>Who's gonna win the game? That's the only thing you're

0:47:13.600 --> 0:47:15.960
<v Speaker 1>allowed to bet on. You can bet as much as

0:47:15.960 --> 0:47:18.080
<v Speaker 1>you want on that. But this whole thing with like

0:47:19.160 --> 0:47:22.520
<v Speaker 1>the really intricate, nuanceding, Yeah, that that kind of stuff

0:47:22.560 --> 0:47:24.640
<v Speaker 1>is what I think get trapped.

0:47:24.960 --> 0:47:28.560
<v Speaker 4>So there is a story recently about Russell Westbrook's wife

0:47:28.680 --> 0:47:32.359
<v Speaker 4>got a email threat saying like I hope you die

0:47:32.480 --> 0:47:35.160
<v Speaker 4>or something over over someone who's betting on her husband.

0:47:35.360 --> 0:47:38.319
<v Speaker 1>That is so terrible. I mean, yeah, you see every

0:47:38.400 --> 0:47:41.399
<v Speaker 1>day Kevin Durantz on Twitter fighting some guy who needed

0:47:41.440 --> 0:47:44.040
<v Speaker 1>him to get an extra rebound. The idea that this

0:47:44.160 --> 0:47:46.319
<v Speaker 1>is so such a big part of your life that

0:47:46.360 --> 0:47:49.800
<v Speaker 1>you need to go confront the person who has inadvertently

0:47:49.920 --> 0:47:52.480
<v Speaker 1>lost you money is really bleak.

0:47:52.880 --> 0:47:59.880
<v Speaker 2>Damn someone betting on him is respectfully.

0:48:01.600 --> 0:48:07.600
<v Speaker 1>He's He's no such thing. As a production of Kaleidoscope Content.

0:48:07.880 --> 0:48:12.800
<v Speaker 1>Our executive producers are Kate Osborne and Mangesh Hatzekador. The

0:48:12.840 --> 0:48:17.320
<v Speaker 1>show was created by Manny Fidel, Noah Friedman, and Devin Joseph.

0:48:17.360 --> 0:48:20.799
<v Speaker 1>The theme and credit songs are by me Manny, and

0:48:20.880 --> 0:48:24.040
<v Speaker 1>the mixing was done by Steve Bone. Thank you to

0:48:24.200 --> 0:48:28.120
<v Speaker 1>our guest Danny Funch, the author of Everybody Loses The

0:48:28.160 --> 0:48:31.640
<v Speaker 1>Tumultuous Rise of American Sports Gambling. You can find that

0:48:31.719 --> 0:48:34.680
<v Speaker 1>book in the link in our bio. Visit No Such

0:48:34.760 --> 0:48:38.279
<v Speaker 1>Thing dot Show to subscribe to our newsletter, and if

0:48:38.280 --> 0:48:41.560
<v Speaker 1>you have feedback for us or a question, our email

0:48:41.680 --> 0:48:45.480
<v Speaker 1>is Manny Noah Devin at gmail dot com. See you

0:48:45.520 --> 0:48:45.919
<v Speaker 1>next week.

0:48:46.600 --> 0:48:50.440
<v Speaker 6>He's He's no such thing.