Is FanDuel Allowed in Texas? What Sports Fans Actually Need to Know Right Now

Is FanDuel Allowed in Texas? What Sports Fans Actually Need to Know Right Now

You're sitting on your couch in Austin or Dallas, checking the spread on the Cowboys game, and you wonder: is FanDuel allowed in Texas? It’s a simple question with a frustratingly messy answer. Depending on what you want to do—bet on the game or play fantasy sports—the app might be your best friend or a total brick.

Texas is famous for its "come and take it" attitude, but when it involves gambling, the state government is incredibly restrictive. Currently, sports betting is illegal in Texas. That means the FanDuel Sportsbook app, the one you see advertised during every commercial break of a Sunday Night Football game, will not let you place a bet if your GPS puts you inside state lines.

But wait. There’s a loophole that millions of Texans use every single week.

The DFS Loophole: Why You Can Still Win Money

While you can't put $50 on the Rangers to win the World Series, you can play Daily Fantasy Sports (DFS). This is the "is FanDuel allowed in Texas" nuance that trips people up. FanDuel offers two distinct products: a Sportsbook and a DFS platform.

Texas hasn't officially legalized DFS, but they haven't exactly banned it either. It exists in a legal "gray area." Back in 2016, then-Attorney General Ken Paxton issued an opinion stating that daily fantasy sports look a lot like illegal gambling under Texas law. However, a court never actually ruled on it, and the state legislature hasn't passed a law to shut it down.

Because of this lack of a hard "no," FanDuel continues to operate its DFS contests in the Lone Star State. You can draft a lineup of Mahomes, Lamb, and Kelce, enter a $10 tournament, and win actual cash. It’s a bit of a legal standoff. FanDuel is essentially betting that Texas won't sue them, and so far, they’ve been right.

How it works for you

If you download the FanDuel app in Texas, you’ll notice the interface looks different than it would in, say, Louisiana or Arizona. You'll see "Contests" instead of "Bets." You’re picking players to accumulate points based on their stats. It’s a game of skill—or so the lawyers argue—which is why it’s currently accessible.

Why Sports Betting Is Stuck in the Mud

You might be asking why a state that loves football this much won't just legalize the sportsbook. It's a fair point. Neighbors like Louisiana, Arkansas, and New Mexico have already flipped the switch.

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The resistance comes from the top. The Texas Constitution is notoriously difficult to change. Legalizing sports betting requires a constitutional amendment. That means two-thirds of both the House and Senate have to agree on it, and then it has to go to a public vote by the citizens.

In the 2023 legislative session, a bill actually passed the House. It was a massive moment. Fans were excited. But it died in the Senate because Lieutenant Governor Dan Patrick refused to bring it to a vote. He has been vocal about the lack of Republican support for the measure, and without his green light, nothing moves in Austin.

The 2025 and 2026 Outlook

Texas lawmakers only meet for 140 days every two years. Since the 2025 session is the next major hurdle, sports fans are looking at a long wait. Even if a bill passes in 2025, the actual launch of the FanDuel Sportsbook likely wouldn't happen until late 2026 or early 2027.

The Geofencing Reality

Don't try to outsmart the app.

FanDuel uses highly sophisticated geofencing technology. You might think a VPN will let you place a bet from your Houston apartment, but it won't. These apps check for "GPS spoofing" and will lock your account faster than a blink.

If you really want to use the FanDuel Sportsbook, you have to physically cross the border.

  1. Louisiana: This is the most popular route for East Texans. Drive across the Sabine River, pull over at a gas station, and the app will magically unlock.
  2. Arkansas: Similar situation for those in the northeast corner of the state.
  3. New Mexico: Retail sportsbooks are available at tribal casinos, though mobile betting is still restricted.

It’s a common sight: cars with Texas plates parked just across the state line on Sunday mornings, everyone staring at their phones. It’s silly, but it’s the law.

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Horse Racing and Tribal Exceptions

Texas does allow some forms of betting, which makes the FanDuel ban feel even more inconsistent. You can go to Lone Star Park or Sam Houston Race Park and bet on horses. You can play the lottery. You can even go to the Kickapoo Lucky Eagle Casino in Eagle Pass for certain types of gaming.

But the state’s "pari-mutuel" laws are very specific. They don't cover a point spread on a basketball game.

The Risks of Offshore Sites

Because people are frustrated that FanDuel isn't fully allowed in Texas, they often turn to offshore betting sites. You’ve seen the names: Bovada, BetOnline, MyBookie.

Honestly? Be careful.

These sites are not regulated by the state of Texas or the US government. If you win $5,000 and they decide not to pay you, you have zero legal recourse. You can't call the Texas Gaming Commission. You’re just out of luck. FanDuel is safe because it’s a US-based, regulated company. If they operate in a state, they have to follow strict rules. This is why many Texans stick to FanDuel DFS—it's legal enough to be safe, even if it's not the full sportsbook experience.

What's Next for Texas Sports Fans?

The push for legalization isn't going away. Major sports teams like the Dallas Cowboys, the Houston Texans, and the Texas Rangers are lobbying hard. They want a piece of the revenue. Jerry Jones and Mark Cuban have been vocal supporters of bringing regulated gaming to the state.

Until the law changes, your FanDuel experience in Texas remains limited to the following:

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  • Daily Fantasy Sports (DFS): Fully available, legal to play, and you can withdraw winnings to your bank account.
  • FanDuel Racing: You can actually use the FanDuel Racing app to bet on horses in Texas, as this falls under the state's existing pari-mutuel laws.
  • FanDuel Sportsbook: Only available if you leave the state.

Actionable Steps for Texans

If you want to stay on the right side of the law while still getting some skin in the game, follow this plan.

Stick to DFS for now. Download the FanDuel app and ensure you are in the "Fantasy" section. It’s the only way to play legally without driving for three hours. The skill floor is higher, but the legal risk is virtually zero.

Avoid the VPN "Hack." As mentioned, it's the easiest way to get your funds frozen. FanDuel's security is tighter than most bank apps. If you get caught bypassing geofencing, they can legally seize your balance.

Watch the 2025 Legislative Session. This is the big one. Keep an eye on any "Joint Resolutions" regarding sports betting. If you feel strongly, call your state representative. In Texas, constituent calls actually carry weight because these politicians realize how many voters are sports fans.

Check the Border Towns. If you’re planning a trip to Shreveport or Lake Charles, that’s your window. Make sure your account is fully verified before you leave Texas. Sometimes verification requires uploading an ID, and you don't want to waste your "betting time" waiting for a customer service rep to approve your driver's license while you're sitting in a parking lot in Louisiana.

The reality of whether FanDuel is allowed in Texas is a tale of two apps. You’re good to go for fantasy and horse racing, but for the actual sportsbook, the "No Vacancy" sign is still lit up at the Texas border.