Wyo. Code R. 038-0002-4
Online Sports Wagering
Chapter 4: Patron Wagers
Effective Date: 07/17/2024 to Current
Rule Type: Current Rules & Regulations
Reference Number: 038.0002.4.07172024
Patron Wagers
(a) Before any sports wagering operator or sports wagering vendor may accept online sports wagers on an event category or online sports wagers of a particular wager type, the event category or wager type must be approved by the Commission.
(b) Unless already approved by the Commission, a request for approval must be submitted by a sports wagering operator in the form and manner prescribed by the Commission, subject to the following:
(i) A request for approval of an event category involving athletic events must include, at a minimum, the name of the sports governing body and, to the extent known by the sports wagering operator, a description of its policies and procedures regarding event integrity; and
(ii) A request for approval of an event category involving events other than athletic events must include:
(A) A full description of the event category and the manner in which online sports wagers would be placed and winning online sports wagers would be determined;
(B) A full description of any technology that would be utilized to offer the event category;
(C) Assurance that the event category meets the requirements of subsection (h);
(D) Any rules or voting procedures related to the event category; and
(E) Any other information the Commission considers necessary.
(c) The Commission may require an appropriate test or experimental period, under such terms and conditions the Commission considers appropriate, before granting final approval to an event category or wager type. The Commission may subject any technology that would be used to offer an event category or wager type to such testing, investigation, and approval as it considers appropriate.
(d) The Commission may grant, deny, limit, restrict, or condition a request made pursuant to this rule for any cause the Commission considers reasonable. The Commission may issue an order revoking, suspending, or modifying any approval of an event category or wager type granted under this rule for any cause the Commission considers reasonable.
(e) The Commission shall notify all sports wagering operators and sports wagering vendors of any additions, deletions, or changes regarding authorized event categories and authorized wager types, which may include publication of a list of authorized event categories and wager types on the Commission's website.
(f) The Commission reserves the right to prohibit the acceptance of any online sports wagers and may order the cancellation of online sports wagers and require refunds on any sporting event or other event category, event, or wager type for which wagering would be contrary to the public policies of the state.
(g) A sports wagering operator or sports wagering vendor may not accept online sports wagers on any of the following:
(i) Any pari-mutuel event as defined in W.S. § 11-25-102;
(ii) Any sporting event or other event where the majority of contestants or athletes in the sporting event are under the age of eighteen (18) years;
(iii) A fantasy sports contest;
(iv) The injury of a participant in an event; or
(v) Any wagering category not authorized by law or Commission rules.
(h) A sports wagering operator or sports wagering vendor must only accept online sports wagers on events and wager types for which:
(i) The event can be effectively supervised by a sports governing body or other oversight body;
(ii) There are integrity safeguards in place;
(iii) The outcome can be documented and verified;
(iv) The outcome can be generated by a reliable and independent process;
(v) The outcome is not affected by any wager placed; and
(vi) The event and acceptance of the wager type are conducted in conformity with all applicable laws.
(i) If it is determined that a sports wagering operator or sports wagering vendor has offered an unauthorized or prohibited event category, event, or wager type, the sports wagering operator or sports wagering vendor must immediately cancel and refund all online sports wagers associated with the unauthorized or prohibited event category, event, or wager type. The sports wagering operator or sports wagering vendor must notify the Commission promptly after cancelling and refunding the online sports wagers.
(j) A sports wagering operator or sports wagering vendor must not knowingly accept an online sports wager on an event or wager type whose outcome has already been determined and is publicly known.
(k) The Commission may use any information it considers appropriate, including, but not limited to, information received from a sports governing body, to determine whether to authorize or prohibit wagering on a particular event or a particular wager type.
(l) Prior to offering exchange wagering a sports wagering operator or sports wagering vendor must obtain approval from the Commission. The rake taken on such wagers shall be considered online sports wagering revenue and is subject to all taxes and tax requirements outlined in W.S. § 9-24-104.
(a) A sports governing body may request online sports wagering information or may request the Commission to restrict, limit, or exclude online sports wagering on a particular event or a particular wager type.
(b) The request must be submitted in the form and manner prescribed by the Commission and must include all of the following:
(i) The identity of the sports governing body and contact information for at least one specific individual who will be the primary point of contact for questions related to the request;
(ii) A description of the online sports wagering information, event, or wager type that is the subject of the request;
(iii) Information explaining why granting the request is necessary to protect the integrity of the event, or public confidence in the integrity of the event, that is the subject of the request. This may include information regarding any credible threat to the integrity of the event that is beyond the control of the sports governing body to preemptively remedy or mitigate; and
(iv) Any other information required by the Commission.
(c) To ensure proper consideration, the request should be sent to the Commission at least ten (10) days before the particular event. At any time, however, a sports governing body should report information to the Commission if it involves allegations of match-fixing, the manipulation of an event, misuse of inside information, or other prohibited activity.
(d) On receipt of a complete request from a sports governing body under subsection (b), the Commission shall notify all sports wagering operators in writing. All sports wagering operators must be given an opportunity to respond to the request. The notification must include the date by which written responses must be submitted to the Commission.
(e) The Commission shall promptly review the request, any responses, and any other available information and shall decide on the request before the start of the event, if feasible, or as expeditiously as possible. In making its determination, the Commission may consult with independent integrity monitoring providers and any other jurisdictions it considers appropriate. The Commission may grant the request, in its sole discretion, if it determines that granting the request is necessary to protect the integrity of the event, or public confidence in the integrity of the event, that is the subject of the request. The Commission shall notify, in writing, the sports governing body and all sports wagering operators of its decision.
(f) On request of a sports governing body or sports wagering operator, the Commission may reconsider its decision if there is a material change in the circumstances related to the original request.
(a) A sports wagering operator or sports wagering vendor must adopt comprehensive wagering rules, which must be approved by the Commission.
(b) The wagering rules, together with any other information the Commission considers appropriate, must be conspicuously displayed on the sports wagering operator's or its sports wagering vendor's digital platform or mobile application, included in the terms and conditions of sports wagering accounts, and copies must be made readily available to individuals and patrons.
(c) The wagering rules must address the following items regarding online sports wagers, at a minimum:
(ix) Method of contacting the sports wagering operator or sports wagering vendor for questions and complaints;
(x) Description of prohibited persons, restricted patrons, and events and wager types on which online sports wagers may not be accepted under the statutes and these rules;
(xi) Methods of funding a wager;
(xii) Maximum payouts; however, such limits must only be established through limiting the amount of an online sports wager and cannot be applied to reduce the amount paid to a patron as a result of a winning online sports wager;
(xiii) A policy by which the sports wagering operator or sports wagering vendor can cancel online sports wagers for obvious errors pursuant to the sports wagering operator's or sports wagering vendor's internal controls, which must include a definition and procedures for obvious errors;
(xiv) Parlay wager related rules;
(xv) Rules and procedures for wagering communications;
(xvi) What is to occur when an event or any component of an event on which online sports wagers are accepted is canceled, including the handling of online sports wagers with multiple selections, such as parlays, where one or more of these selections is canceled; and
(xvii) Any other wagering rule and related information the Commission determines necessary.
(d) The sports wagering operator shall not implement any changes or modifications of the practices, procedures, or representations upon which the approval was based without the prior written approval of the Commission. Failure by an applicant to act in accordance with the wagering rules may result in disciplinary action.
(a) Available wagers must be displayed to patrons on the sports wagering system. The display must include the odds and a brief description of the event and wagering proposition.
(b) The sports wagering operator or sports wagering vendor shall debit the amount wagered by a patron. Wagers shall not be accepted in an amount in excess of an account balance.
(c) A sports wagering operator or sports wagering vendor may not accept an online sports wager on an event unless a wagering proposition is posted on the sports wagering system.
(d) A sports wagering operator or sports wagering vendor may not set lines or odds or offer wagering propositions designed for the purposes of ensuring that a patron will win an online sports wager or a series of online sports wagers, unless the lines, odds, or wagering propositions are offered in connection with a bonus or promotional offer conducted in accordance with Section 8 of these rules.
(e) A sports wagering operator or sports wagering vendor may, in its discretion, cancel an accepted online sports wager for an obvious error. An obvious error must be defined in the sports wagering operator's or sports wagering vendor's internal controls.
(f) A sports wagering operator or sports wagering vendor must cancel an online sports wager made by a prohibited person or by a restricted patron in violation of their restrictions and confiscate the funds. A sports wagering operator or online sports wagering vendor must cancel a wager under this subsection when the sports wagering operator or sports wagering vendor becomes aware that the individual who made the online sports wager is a prohibited person or a restricted patron in violation of their restrictions.
(g) Except as otherwise provided in this chapter, a sports wagering operator or sports wagering vendor may not unilaterally cancel an accepted online sports wager without prior written approval of the Commission.
(a) A sports wagering operator and a sports wagering vendor must make reasonable efforts to prevent a prohibited person from placing an online sports wager.
(b) If a sports wagering operator or sports wagering vendor detects, or is notified of, an individual suspected of being a prohibited person who had engaged or is engaging in prohibited online sports wagering, the sports wagering operator or sports wagering vendor, or both, must use reasonable measures to verify whether the individual is prohibited or not.
(c) If the sports wagering operator or sports wagering vendor cannot establish, by reasonable measures that the individual is prohibited, then the individual is presumed to not be a prohibited person for the purposes of this rule.
The sports wagering operator or sports wagering vendor is permitted to place and accept layoff wagers. When placing a layoff wager the sports wagering operator or sports wagering vendor must disclose its identity to the sports wagering operator or sports wagering vendor accepting the layoff wager. A sports wagering operator or sports wagering vendor may decline to accept a layoff wager in its sole discretion. Layoff wagers must be reported to the Commission.
Section 7. Tournaments/Contests/Pools. A sports wagering operator or sports wagering vendor may conduct an online sports wagering tournament, contest, or pool, subject to all of the following:
(a) No online sports wagering tournament, contest, or pool shall be conducted unless the sports wagering operator or sports wagering vendor, before the first time a tournament, contest, or pool type is offered, files written notice with the Commission of its intent to offer that tournament, contest, or pool type and obtains approval from the Commission. The sports wagering operator or sports wagering vendor may file a master list with the Commission to satisfy this requirement;
(b) The request must provide a detailed description of the tournament, contest, or pool type and must include the rules of the tournament, contest, or pool, the requirements for entry, the entry fees, the rake, and potential payouts. The request must also indicate whether or not the proposed type involves a shared liquidity pool available to patrons in Wyoming and other jurisdictions with the prize pool being comprised of entry fees collected from patrons in multiple jurisdictions;
(c) Once a sports wagering operator or sports wagering vendor receives approval to offer a tournament, contest, or pool type the sports wagering operator or sports wagering vendor shall not be required to seek additional approvals from the Commission for each subsequent type that is substantially similar;
(d) Each sports wagering operator or sports wagering vendor must maintain a record of each tournament, contest, or pool it offers, which must address, at a minimum, all of the following:
(D) Amount of winnings paid, including any bonus or promotional credits, and the date paid; (vi) Total amount of entry fees collected, including any bonus or promotional credits; (vii) Total amount of winnings paid to patrons, including any bonus or promotional credits; (viii) Total rake, commission, or fees collected; (ix) Funding source amount or amounts comprising the prize pool (for example, buy-ins, re-buys, or add-ons); (x) Prize structure on payout; (xi) Methodology for determining winner or winners; and (xii) The current status of the tournament, contest, or pool (in progress, complete, interrupted, cancelled, etc.).
(e) The sports wagering operator or sports wagering vendor shall be responsible for the rake. The sports wagering operator's or sports wagering vendor's rake collected from patrons that enter a contest, tournament, or pool while located in the state of Wyoming less any rake adjustment, if applicable, shall be considered online sports wagering revenue and are subject to all taxes and tax requirements outlined in W.S. § 9-24-104, and:
(i) At no time shall the calculation resulting from a rake or rake adjustment be negative; and (ii) For a contest, tournament, or pool which utilize shared liquidity available to patrons in Wyoming and other jurisdictions, the rake rate must be the same for all jurisdictions participating.
Section 8. Bonus or Promotional Wagering. A sports wagering operator or sports wagering vendor may conduct online sports wagering bonus or promotional offers subject to all of the following:
(a) A sports wagering operator or sports wagering vendor must maintain a record of all bonus or promotional offers related to online sports wagering to facilitate the Commission's tracking of bonus or promotional activity, which must address, at a minimum, all of the following: (i) Unique bonus or promotional offer ID for each offer; (ii) The date and time the bonus or promotional offer was or is scheduled to be available;
(iii) Current balance for bonus or promotional awards; (iv) Total amount of bonus or promotional awards issued; (v) Total amount of bonus or promotional awards redeemed; (vi) Total amount of bonus or promotional awards expired; (vii) Total amount of bonus or promotional award adjustments; (viii) The current status of the bonus or promotional offer (active, disabled, decommissioned, etc.); and (ix) The date and time the bonus or promotional offer was or is scheduled to be decommissioned.
(b) All bonus or promotional offers must be stated in clear and unambiguous terms and must be accessible by the patron after the offer is accepted and before completion. Offer terms and the record of all offers must include all of the following at a minimum:
(i) The date and time presented; (ii) The date and time the offer is active and expires; (iii) Patron eligibility, including any limitations on participation; (iv) Any restriction on withdrawals of funds; (v) Wagering requirements and limitations on events or wager types; (vi) How the patron is notified when they have received an award; (vii) The order in which funds are used for wagers; (viii) Eligible events or wager types; and (ix) Rules regarding cancellation.
(c) A sports wagering operator or sports wagering vendor must provide a clear and conspicuous method for a patron to cancel his or her participation in a bonus or promotional offer that utilizes restricted wagering credits that cannot be cashed out until a wagering requirement or other restrictions associated with the credits is met:
(i) Upon request for cancellation, the sports wagering operator or sports wagering vendor shall inform the patron of the amount of unrestricted funds that will be returned upon cancellation and the value of restricted wagering credits that will be removed from the sports wagering account; and
(ii) If a patron elects to proceed with cancellation, unrestricted funds remaining in a patron’s sports wagering account must be returned according to the terms of a bonus or promotional offer.
(d) Once a patron has met the terms of a bonus or promotional offer, a sports wagering operator or sports wagering vendor must not limit winnings earned while participating in the offer.
Section 9. Taxation Requirements. Each sports wagering operator or sports wagering vendor shall, at all times, comply with Internal Revenue Service (IRS) requirements for reporting and withholding proceeds from online sports wagers by patrons and shall send to patrons subject to IRS reporting or withholding a Form W2-G summarizing the information for tax purposes following a winning wager being deposited into an account. Upon written request, the sports wagering operator or sports wagering vendor shall provide patrons with summarized tax information on sports wagering activities.
(a) A sports wagering operator or sports wagering vendor must comply with all provisions of The Bank Secrecy Act of 1970, 31 USC §§ 5311 to 5332, applicable to the sports wagering operator’s or sports wagering vendor’s online sports wagering operation.
(b) A sports wagering operator or sports wagering vendor must, with regard to its online sports wagering operation, maintain records related to its compliance with The Bank Secrecy Act of 1970, 31 USC §§ 5311 to 5332, including all currency transaction reports, suspicious activity reports, and any supporting documentation, for a minimum of five (5) years. The sports wagering operator or sports wagering vendor must provide the records to the Commission and any appropriate law enforcement agencies on request consistent with the authorization prescribed in The Bank Secrecy Act of 1970, 31 USC §§ 5311 to 5332, and applicable regulations.
(c) A sports wagering operator or sports wagering vendor must provide written notice to the Commission as soon as the sports wagering operator or sports wagering vendor becomes aware of a compliance review that is conducted by the Internal Revenue Service under The Bank Secrecy Act of 1970, 31 USC §§ 5311 to 5332, and involves or impacts the sports wagering operator’s or sports wagering vendor’s online sports wagering operation. The sports wagering operator or sports wagering vendor must provide a copy of the compliance review report or the equivalent to the Commission within ten (10) days after the receipt of the report by the sports wagering operator or sports wagering vendor.
(a) A sports wagering operator or sports wagering vendor must have internal controls in place to identify and report unusual wagering activity to the Commission. As part of these internal controls a sports wagering operator may contract with an independent integrity monitoring provider.
(b) A sports wagering operator or sports wagering vendor receiving a report of suspicious wagering activity must be permitted to suspend wagering on events or wager types related to the report but may only cancel online sports wagers related to the report after receiving approval from the Commission.
(c) The Commission may require a sports wagering operator or sports wagering vendor to provide any hardware or software necessary to the Commission, or to an independent gaming laboratory approved by the Commission, for evaluation of its online sports wagering offering or to conduct further monitoring of data provided by its sports wagering system.
(d) A sports wagering operator or sports wagering vendor must maintain records of all event integrity monitoring services and activities, including all reports of unusual or suspicious wagering activity and any supporting documentation, for a minimum of five (5) years and must provide such records to the Commission on request.
(e) An independent integrity monitoring provider must register as a vendor with the Commission before providing event integrity monitoring services to a sports wagering operator or sports wagering vendor under the statutes and these rules.
(f) A sports wagering operator or sports wagering vendor must maintain the confidentiality of information provided by a sports governing body to the sports wagering operator or sports wagering vendor related to unusual wagering activity, suspicious wagering activity, or the integrity of an event, unless disclosure is required by the Commission, any applicable law, or a lawful order of a court of competent jurisdiction.
(g) A sports wagering operator or sports wagering vendor must employ personnel responsible for ensuring the operation and integrity of online sports wagering and reviewing all reports of suspicious behavior. Unless otherwise directed by the Commission, a sports wagering operator or sports wagering vendor must promptly notify the Commission upon detecting or becoming aware of any of the following:
(i) Any person participating in online sports wagering who is engaging in or attempting to engage in, or who is reasonably suspected of, cheating, theft, embezzlement, collusion, use of funds derived from illegal activity, money laundering, or any other illegal activities;
(ii) Any person who is reasonably suspected of misrepresenting their identity or using false identification to establish or attempt to establish a sports wagering account;
(iii) Suspected criminal activity related to any aspect of online sports wagering;
(iv) Any criminal or disciplinary proceedings commenced against the sports wagering operator or sports wagering vendor in connection with its online sports wagering operations; or
(v) Any online sports wagers that violate any applicable state or federal law.
(h) A sports wagering vendor must promptly notify any affected sports wagering operators on behalf of which it accepts online sports wagers of any issues impacting the integrity of online sports wagering.
(a) A sports wagering operator or sports wagering vendor must submit a plan to maintain a reserve in the amount necessary to ensure the security of funds held in sports wagering accounts and the ability to cover the outstanding online sports wagering liability. All plans require Commission approval.
(b) The reserve must be in the form of:
(i) Cash or cash equivalents maintained in a Wyoming bank account segregated from the sports wagering operator's or sports wagering vendor's operational funds;
(ii) An irrevocable letter of credit from a bank located either in the State of Wyoming or at a minimum charted in the State of Wyoming;
(iii) A bond;
(iv) Payment processor reserves and receivables;
(v) Any other form acceptable to the Commission; or
(vi) Any combination of the allowable forms described in paragraphs (i) to (v).
(c) The reserve must be not less than the greater of twenty-five thousand dollars ($25,000.00) or the sum of the following amounts:
(i) The daily ending cashable balance of all patrons' sports wagering accounts;
(ii) Pending withdrawals;
(iii) Amounts accepted by the sports wagering operator or sports wagering vendor on online sports wagers whose outcomes have not been determined; and
(iv) Amounts owed but unpaid on winning online sports wagers through the period established by the sports wagering operator or sports wagering vendor for honoring winning online sports wagers.
(d) Funds held in sports wagering accounts must not be automatically transferred by a sports wagering operator or sports wagering vendor. A sports wagering operator or sports wagering vendor must not require a patron to transfer funds from his or her sports wagering account, in order to circumvent this rule.
(e) Amounts available to patrons for play that are not redeemable for cash may be excluded from the reserve computation.
(f) A sports wagering operator or sports wagering vendor must have access to all sports wagering account and transaction data to ensure the amount of its reserve is sufficient. Unless otherwise directed by the Commission, a sports wagering operator or sports wagering vendor must file a monthly attestation with the Commission, in the form and manner prescribed by the Commission, that funds have been safeguarded under this rule.
(g) The Commission may audit a sports wagering operator's or sports wagering vendor's reserve at any time and may direct a sports wagering operator or sports wagering vendor to take any action necessary to ensure the purposes of this rule are achieved, including but not limited to requiring the sports wagering operator or sports wagering vendor to modify the form of its reserve or increase the amount of its reserve.
(a) A sports wagering operator or sports wagering vendor must include on its sports wagering system a clear mechanism to advise patrons of their right to make a complaint against the sports wagering operator or sports wagering vendor, including information explaining how complaints can be filed, how complaints are resolved, and how the patron may submit a complaint to the Commission.
(b) When a patron makes a complaint, the sports wagering operator or sports wagering vendor shall immediately issue a complaint report, setting out:
(v) The action taken or proposed to be taken, if any, by the sports wagering operator or sports wagering vendor.
(c) The sports wagering operator or sports wagering vendor shall maintain every complaint report for a minimum of five (5) years, which shall be made available to the Commission for inspection upon request.
(d) A sports wagering operator or sports wagering vendor must attempt to resolve all complaints with the patron.
(e) Upon receipt of a written complaint, a sports wagering operator or sports wagering vendor must investigate and provide a written response to the patron within ten (10) business days. If a sports wagering operator or sports wagering vendor needs additional time to investigate or resolve a complaint beyond ten (10) business days, the patron must be notified of the need for additional time and be given an expected time frame in which the complaint may be resolved.
(f) On receipt of a complaint from a patron, the Commission may conduct any investigation the Commission considers necessary and may direct a sports wagering operator or sports wagering vendor to take any corrective action the Commission considers appropriate.