Ultimate Fighting Championship (UFC) President and CEO Dana White has used his political influence to try to protect the iGaming industry.
In a letter sent in May to President Donald Trump, the executive made a strong appeal to reverse the new betting tax law.
The measure, valid since January 2026, limited players’ ability to deduct their losses, creating a climate of great instability throughout the North American market.
Why the new betting tax law revolted the gaming market
Until recently, bettors in the United States could deduct losses up to 100% of their profits.
With the new rule, even if the citizen ends the year equalizing the amount gained and lost, he is only allowed to deduct 90%.
Upset by the situation, White was direct in the document: “I believe that Congress should correct this problem, as the policy is already creating problems.”
He further reinforced that “current law makes it irrational to bet in the United States because you can end up owing taxes even when you lose or have a tax bill that exceeds your winnings.”
Taking advantage of his good relationship with Trump, the executive praised the approved general project, but pointed out that “fixing this deduction problem would send a strong signal that the United States supports common-sense regulation.”
He warned that Nevada’s economy is also suffering as the public is holding on to cash.
According to him, “players who win a lot, tip big”, but are now less generous, “if they bet at all”.
The real danger of players fleeing to the underground market
The MMA leader’s biggest commercial concern is encouraging illegality.
“UFC supports a healthy, legal sports betting market to drive fan engagement, broadcast value and sponsorships,” White explained.
Assessing the risks of new taxation, he warned that “when legal betting is discouraged, it harms the ecosystem we have spent years building.”
Furthermore, he stated that the current rule “undermines the transparency and integrity protections that legal betting provides to professional sports.”
The commercial impact of the letter leak was so significant that it changed the forecasts of the financial platform Kalshi, where the probability of revoking the tax limitation before 2027 jumped from 15% to 38%.