California might be inching closer to legal sports betting, but it’s not there yet. After the massive flop of the 2022 ballot measures, both tribes and big-name sportsbooks like DraftKings and FanDuel are trying to find some middle ground. This time, the tone is way less aggressive and a lot more collaborative.
Talks kicked off again during the 2025 Indian Gaming Tradeshow, and a fresh pitch on the table could finally bring legal betting to the state.
Even with sportsbook now waiving olive branches, tribal leaders are staying cautious. Two of the biggest groups, CNIGA and the Tribal Alliance of Sovereign Indian Nations, made it clear they’re not making any quick moves.
The idea sounds promising, sure – a shared market where tribes get guaranteed payments and revenue cuts – but they’ve seen rushed deals before. Tribal leaders want to take time to go through all the legal layers (federal, state, and tribal) before deciding anything. Which makes sense. California is a huge market, and one misstep could lock them into a deal they regret for years.
While California drags its feet on sports betting, people aren’t just sitting around waiting. They’re already playing – just not in a regulated, local system. A lot of users are turning to online options, and yes, that includes some of the most recommended offshore casinos accepting US players.
These platforms might not be based in the U.S., but they’re legal to use in most states without local restrictions. They’re quick to offer sports betting, casino games, and promos that California players would jump on. If lawmakers don’t move soon, these offshore sites might keep grabbing a bigger piece of the pie.
So, DraftKings and FanDuel are back in California – but not in the same aggressive way they were in 2022. That time, they lost big (millions, actually) trying to push their own ballot measure. Now? They’re cozying up to the tribes instead of going head-to-head.
During the 2025 Indian Gaming Tradeshow, both companies made it clear they want to work with tribal nations this time around. They’re hoping this friendlier approach might finally open the door for legal sports betting in the state. Frankly, that tone shift is probably the smartest move they’ve made in a while.
This new pitch from the Sports Betting Alliance is basically a revenue-sharing model. Here’s the gist: sportsbooks like FanDuel, DraftKings, BetMGM, and Fanatics would pay California tribes a guaranteed amount each year, plus monthly cuts from their profits.
That setup could help national operators finally enter California – but only if tribes are on board. The fact that this came out of a convention with tribal leaders in the room shows the shift in strategy. The alliance seems to finally understand that in California, if you don’t have the tribes on your side, you’re not going anywhere.
Even though the tone is nicer now, you can’t ignore the baggage. Back in 2022, the fight over legalizing sports betting got ugly. Both sides threw massive amounts of money at the problem (over $450 million), and both ballot measures failed.
It left a bad taste, especially since the tribes ended up looking like the only ones who truly understood how California gaming works. Now, sportsbooks seem to be swallowing their pride. But the tribes haven’t forgotten, and any new proposal is going to be viewed through the lens of those past battles. Trust still needs to be rebuilt.