What You Need to Know About Teens, Gambling, and Their Future

Not too long ago, gambling meant taking a trip to a casino in Las Vegas, Atlantic City, or a handful of other spots. But today, gambling has exploded in American society. Casinos are everywhere. You can also gamble from the comfort of your couch, 24-7. 

With the rise of prediction markets – platforms where people can bet on the outcome of future events – people can bet on sports, current events, government actions, the weather, just about anything online. Ads for gambling blanket our inboxes and airwaves, and the saturation of media marketing has made it widely accepted. Young adults and teens are getting in on the gambling action with little to no supervision, as gambling is found in popular apps and embedded in games. 

I spoke with Serena King, PhD, an internationally certified gambling and gaming disorder counselor and Professor of Psychology at Hamline University. Dr. King has conducted large-scale research and studies on gambling and substance abuse with a particular lens towards young people. (Our conversation has been edited for brevity and clarity.) 

Eden Pontz: Gambling is one of those things that’s traditionally been an adult activity. Maybe your parents went to Vegas or Atlantic City for a weekend of gambling. You needed money to be able to participate. How have teens now become a part of the gambling culture?

Serena King: We’ve seen a shift in the gambling field, particularly because gambling lives primarily online now. It doesn’t take a lot of money to start gambling online. It shows up in sports apps, social media, live betting, video games, and other places that use gambling-like mechanics. Certain types of gambling are now less regulated, such as prediction markets. They appeal to a younger audience because of their interest in different types of pop culture. There’s lots and lots of advertising about it pulling teens and young adults in. 

EP: Please explain what a prediction market is?

SK: Prediction markets are newer and largely unregulated. The most popular form of prediction market betting is sports betting. People provide a yes, no, or short answer format. For example, “Who will win the Super Bowl?” They use pop culture. The main difference between a prediction market and a traditional gambling product is that you’re buying into something and you’re betting against the crowd or with the crowd, versus against “the house.” They’re much riskier products generally because there are few regulations. The rules and regulations that apply to prediction markets are largely unknown, and there are few good protections in place right now. Some states have banned them as they’re very high risk. And we know that the primary users are about 18 to 25 years old.

EP: How did the culture surrounding gambling change so quickly?

SK: A major court ruling allowed for legalized sports betting. As a result, there’s been a large expansion of sports betting products. And as we see the unfolding of these sports betting products across the country and the growth of AI, we’re seeing a lot more young kids get involved in gambling because sports are very attractive. Sports betting has been a large influencer in the growth of online gambling. Then we have other products that are built into video games. We have social casino games and social media gambling platforms. There’s a wide variety of online gambling options both legal and illegal. Online gambling caused an explosion of gambling. 

EP: It used to be considered a vice – a bad habit. Now it seems so acceptable. What happened?

SK: All of these new products have been mass marketed and end up normalizing gambling. People start to invite others to join in on social media, and the more people that get pulled in, the more it becomes a social activity and becomes normalized. The spread of online gambling on the internet has been a lot of what has driven the normalization of gambling in the last 10 to 15 years.

EP: What happens in the brain that makes someone want to keep on gambling, even if they’ve lost?

SK: Dopamine is a neurotransmitter that acts as a chemical messenger – it gives us pleasure and makes us feel good. It’s very reinforcing. When you have a win online, you’re getting a surge of dopamine, and that reinforces your wanting to go back to that feeling. Teens are especially sensitive to dopamine. Being aware of how brains seek repeated pleasure helps us understand that not exposing ourselves to something that is both risky and pleasurable is the safest way of avoiding being drawn in.

EP: Some people say that gaming or in-app purchases in video games are things that lead to young people gambling. Can you tell us why that might be the case?

SK: A lot of products are built within video or games that are gambling or gambling-like. For example, in a video game, you might be looking for a valuable commodity – you might have to earn points to get a particular shield, or sword, or weapon to use to level up. And because it’s a really special item, you might be interested in getting it, and you’ll risk money or virtual currency, or other things to get it in hopes it will pay off. Almost every video game out there has a gambling-like product built into it. People might be surprised about that, but that’s how video game developers operate.

Examples of these include Fortnite, branded sports games, and a variety of products popular with children. These games built-in gambling elements. For example, you might see “loot boxes” like a mystery box that you open, and you have a chance of getting a really exciting reward, but your chance is actually really, really low. These are things that up the chances of gambling later on and also are gambling-like or actual gambling. 

EP: How is gambling different from playing carnival games, for example? You know, those games where you have a chance to throw a ball through a hoop, hit the hammer, knock down a bottle, and possibly win a prize.

SK: We estimate chance in our brain differently in a carnival game than we would when gambling. We know that the chances of us winning in a carnival game are pretty low because it involves a skill and we know they can’t give all of the prizes away. When we’re gambling we’re placing money on the outcome and the chances of us winning are very, very low. But we don’t calculate that in our brain, kids especially don’t. If they see other kids winning, or hear about wins on social media, they’re much more likely to think that they’ll have a chance as well. 

EP: What are some of the warning signs that parents should look for that might indicate their child is gambling?

SK: One of the first warning signs is a great deal of secrecy, which is hard because you wouldn’t necessarily see it because it’s secret! But if kids start to get secretive around their online behavior, or they’re interested in getting debit cards or using your online credit card in ways that you weren’t expecting, or they’re finding ways to transfer money around, that’s a big sign that they might be getting involved in gambling or gaming problems. Another sign is agitation from or withdrawal from the actual gambling product or game. If there’s a constant checking of the phone, they’re angry or depressed when they’re not around it, it could be gaming or gambling. I think social media addiction looks a lot like gambling addiction. 

Any involvement with cryptocurrency could be concerning because a lot of gambling products within video games involve cryptocurrency (a digital or virtual currency that uses cryptography for security and operates outside of banks or governments). Kids typically aren’t involved in crypto unless they’re doing something like gaming and gambling, although it’s possible they could still be using crypto in some other way. Also, an obsessive focus on sports, for example, and how the sports teams are doing, or an obsessive focus on gaming environments, could be other concerning signs.

EP: When should you start talking to your kids about the dangers of gambling?

SK: I think parents should talk to their kids as early and as often as they can about gaming and gambling addiction, partly because they’re exposed to games before they’re exposed to other types of addictive products. We should be treating gambling and gaming addiction just like we treat vaping and other types of substance use conversations. Speaking about it as early and often as possible, speaking about financial risks and the use of currency, and also what kinds of ads might be out there, which may hook young people into a gambling or gaming behavior. 

EP: What might be some good starting points for talking with your teen about gambling?

SK:  One is to talk about the allure of peer involvement or peer influence on people’s gambling and gaming. Ask about what kids are playing in their particular group. Sometimes, when you find out that a game is really popular or people are really interested in a sports platform, that can be a clue to start a conversation with your child. 

Talk about how you manage money. Sometimes your child needs to know what it means to earn money and what it means to lose money to understand the importance of how to manage money. Educate your kids about what cryptocurrency is and what are different types of financial currencies online that are risky. Talk to your kids about products like prediction markets and how they tend to be less regulated, or how there may be sports betting happening in places that are not legalized. Teaching your kids about the risks of all these online platforms can be daunting, but it’s worth doing some research on what they are so that you can have a smart conversation with your teen.

EP: Can you offer up some strategies to help them stay safe from the dangers of gambling?

SK: Teens and parents should understand what protections are – or are not – in place when kids get onto a platform. So, for example, if there’s no age law, login verification, if the platform doesn’t appear to be have any sort of regulations where there’s any sort of log in restrictions or if you have to go to a different VPN (a Virtual Private Network – creating a secure, encrypted connection between your device and the internet) to even get on the platform, then you’re potentially in a bad situation because there’s not going to be anything to protect you there. Even when protections are in place, they are often not enough for a teen. A young person may not know that legalized platforms are supposed to have restrictions. Let them see that there are platform regulations when you log in, as that can be really important. Also know that advertising and push notifications (short messages sent directly to a user’s phone or computer, prompting re-engagement with the game) are really common within gambling, and that those are going to make you want to gamble and to engage with the platform more. As young people become of age to gamble, they should know these types of incentives are going to make them want to do more because of the technology behind it. They will have to set limits for themselves. There are also great products out there, things like BetBlocker and Gamban, that can block online gambling from your phone. Parents and teens should know about these self-exclusion types of online products that can help people just not be able to access those websites.

EP: How can a teen (or their parent) determine if they have a gambling problem?

SK: If a teen is finding themselves spending a lot more time thinking about gambling, spending time chasing their losses, having irritability, or withdrawal from the gambling product when they’re not gambling. If it’s starting to interfere with their academic or social life or cause problems in their family, if they’re starting to lie, cheat, steal, those are some of the signs that gambling is becoming an issue. Being aware of these gambling-related harms enables a teen to call a helpline, reach out to a parent, a school counselor, or a therapist as the first step to identify if it’s an issue.

EP: How might a young person having a gambling problem now impact their adulthood?

SK: We have a lot of long-term data that suggests that if a young person has a gambling problem, that later on in life they may not achieve as many positive outcomes. For example, job placement, education, even marital stability, these types of outcomes are less positive in those who end up with a gambling problem at a younger age. So, to prevent the negative effects of a gambling problem long-term it is important to identify it early. 

Having those conversations is difficult, especially if you’re concerned about a young person who might have a gambling problem. I think listening compassionately can make a difference. Hearing why a person is interested in gambling or what fascinates them about it, what are their perceptions about wins, listening non-judgmentally can make a big difference in helping a young person self-reflect.

EP: What can a young person do if they are facing peer pressure to gamble because it’s part of the social culture? For example, if their friends are all gambling, and they feel like they might be left out if they don’t join in.

SK: They may want to set up some boundaries about what they’re willing to do and say to their friends. For example, if they’re of legal age, “I’m not interested in that, but I’d like to watch,” if they really don’t want to gamble. If they want to gamble, but not use much money, then they might say, “I’d be willing to put a few dollars on that to see how it goes.”

Once a person starts to gamble, assuming they are old enough to gamble, there may be more pressure to put money down and make more wagers. It’s similar to using alcohol if you’re of age, because the more you use it, the more people want to give you more of it and involve you in higher-risk products. Like the more you use beer or wine, there might be pressure to move on to harder liquor. Young people need to know their limits and ask themselves how far they are willing to go? Setting your limits and knowing what your opinion is, and whether or not you’re willing to gamble, will be important for each teen.

EP: Where can families go to find resources for help if they think they have a problem?

SK: The National Council on Problem Gambling is one place. Every state has a council for problem gambling, so they can reach out to their state council. Those are good places to start to have a conversation. There are help lines these councils offer that can help get you connected with professional help. Another place is your pediatrician or a medical professional. Sometimes, pediatricians and general practitioners may not know exactly what to say and will refer people on to other mental health services, but that’s a great place to start.