Gen Z and millennial bettors are fueling the surge in online sports wagering — and they’re not stopping there. According to TransUnion’s latest US Betting Report, these younger demographics are also heavily involved in speculative investing, including cryptocurrency and stocks, as they pursue ways to boost their financial standing.
The report highlights that millennial and Gen Z bettors who spend at least $50 per month on sports betting tend to live in urban areas. Millennials are more likely to be homeowners with children, while Gen Z bettors are typically renters without kids. Both groups, however, display strong risk appetites, with many using cryptocurrency trading apps at higher rates than the general population.
TransUnion’s analysis suggests that younger bettors are more prone to speculative behavior beyond gambling — such as stock trading, impulse buying, and adventurous travel — reflecting a broader willingness to take financial risks.
Operators May Be Overly Reliant on Young Bettors
Since the 2018 repeal of the Professional and Amateur Sports Protection Act (PASPA), the sportsbook industry’s core customers have skewed younger and male. But TransUnion warns that operators may need to diversify their customer base, as younger bettors face increasing financial pressures.
Debt levels among millennials and Gen Z have jumped 10% and 22%, respectively, since early 2023, compared to just 1% among Gen X. Monthly debt payments are also up sharply — 27% for Gen Z and 20% for millennials — which could limit discretionary spending and, in turn, affect betting activity.
“As these consumers reduce discretionary spending to meet growing debt obligations, betting participation rates may decline over time,” TransUnion cautions.
Economic Pressures Could Squeeze Young Bettors
The research also highlights external risks that could impact younger bettors’ ability to wager. The reinstatement of federal student loan payments has already led to delinquencies, with 40% of borrowers showing no payment record for over 90 days as of February 2025. As those delinquencies hit credit scores, access to additional credit could tighten.
Moreover, volatile US trade policies and waning consumer confidence could dampen betting activity further. TransUnion also notes that reduced promotional spending by sportsbooks may have an outsized effect on younger bettors — particularly college students — who often rely on free bets and bonuses due to limited or unstable income.
In short, while Gen Z and millennials have driven the early growth of the online betting industry, their mounting financial challenges and speculative tendencies could pose long-term risks for operators overly dependent on this audience.
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