Is FanDuel Legal in Texas? Updated for May 2025

Is FanDuel legal in Texas?

❌ No, FanDuel Sportsbook is not legal in Texas currently. You cannot place sports bets through FanDuel’s sportsbook app or website within the state.

✅ However, FanDuel Daily Fantasy Sports is still available. Texans can enter DFS contests like pick'em games, salary-cap formats, and multi-sport tournaments.

The legal status could change if Texas passes new sports betting legislation. Until then, DFS remains the only legal way to use FanDuel in the state.

Check out the FanDuel legal states here.

FanDuel legal facts for Texas 2025

Why FanDuel Sportsbook is not yet legal in Texas

FanDuel Sportsbook is not legal in Texas because state lawmakers have not passed legislation to authorize sports betting.

In 2023, a bill (HB 1942) aimed at legalizing online sportsbooks passed the House but was blocked in the Senate.

Texas requires a constitutional amendment to expand gambling, which means voter approval is necessary.

That can only happen if lawmakers first agree to put it on the ballot.

Lt. Governor Dan Patrick, who controls the Senate agenda, has repeatedly said there’s not enough support among Republican legislators to move sports betting forward.

Until Texas lawmakers act and voters approve a constitutional change, FanDuel and other sportsbooks will remain banned in the state.

How to legally play FanDuel in Texas

While FanDuel Sportsbook is not legal in Texas, FanDuel Fantasy Sports is available and widely used.

Daily Fantasy Sports is treated separately from traditional gambling under both state and federal law.

Texas has not passed laws banning DFS, which allows platforms like FanDuel to operate legally across the state.

That means Texans can legally enter paid fantasy contests through FanDuel’s app or website.

You don’t need to be a betting expert; just pick your players, join contests, and compete for real cash prizes.

What DFS games are available?

FanDuel offers a variety of fantasy contest types, including:

• Classic salary cap contests: Draft a team within a budget and aim for the top of the leaderboard

• Pick’em contests: Choose if players will go over or under key stats like points, yards, or rebounds

• Tournaments and 50/50s: Compete against large pools or smaller groups with different payout styles

• Fantasy formats across sports: NFL, NBA, MLB, NHL, PGA, college football, and more

You can play single-day contests or season-long formats, and winnings are paid out in real money.

Is it safe and legal?

Yes. FanDuel Fantasy is considered legal in Texas and operates as a skill-based contest platform, not a gambling site. It uses:

• Location checks to confirm you're in an eligible state

• Age verification (must be at least 18 years old)

• Secure deposit and withdrawal systems

• Responsible gaming tools like deposit limits and self-exclusion options

Do I pay taxes on DFS winnings?

Yes. DFS winnings over $600 per year may be reported to the IRS and could be taxable under both federal and Texas law.

FanDuel may request a W-9 form for large withdrawals and will issue a 1099-MISC form if your yearly winnings pass the reporting threshold.

If you’re unsure about your tax responsibilities, it’s best to consult a professional.

Pros and cons of using FanDuel in Texas

Sports betting in Texas: What the law says

Sports betting is not legal in Texas as of May 2025. Despite growing public interest and legislative efforts, all recent attempts to legalize it have failed.

Why it’s still banned

To legalize sports betting, Texas needs a constitutional amendment, which requires approval by two-thirds of both legislative chambers and a majority of voters in a public referendum.

In 2023, the Texas House passed HB 1942 (to legalize online sports betting) and HB 2843 (to allow destination casino resorts).

But both stalled in the Senate, largely due to opposition from Lt. Governor Dan Patrick, who said the bills lacked strong GOP support.

Key legal moments

Legal FanDuel alternatives

Even though FanDuel Sportsbook isn’t legal in Texas, residents still have access to several legal platforms for daily fantasy and sweepstakes gaming.

Can I use a VPN?

How to sign up to FanDuel

How to verify

FanDuel bonuses in Texas

• Welcome Bonus: Free entry into beginner-only contests for new players

• Referral Bonus: Get bonus credit when friends sign up and play through your invite link

• Seasonal Promos: Limited-time contests tied to NFL, NBA, MLB, and more

• Free Contests: Some no-entry-fee games offer real prize pools

• Daily Challenges: Earn extra rewards for completing in-app pick’em or lineup tasks

To see what’s live, check the “Promotions” tab in your FanDuel Fantasy account.

How to redeem winnings in Texas

Winnings from FanDuel Fantasy can be cashed out through secure methods:

• You must win real-money contests, not just free-entry games.

• Go to your account wallet and select a withdrawal option (PayPal or online banking).

• FanDuel may request ID verification for larger withdrawals.

• Most payouts are processed within 1-2 business days.

• If you win more than $600 in a year, FanDuel will issue a 1099-MISC and may require a W-9 form.

Always use accurate information in your account to avoid delays when redeeming prizes.

What to expect using FanDuel Fantasy in Texas

Frequently asked questions