SLO County kids are gambling, betting and day trading their money. What to know
Editor’s note: If you or someone you know has been impacted by youth gambling in San Luis Obispo County and you would like to share your story, please contact reporter Sadie Dittenber at sdittenber@thetribunenews.com.
Online gambling is more accessible than ever through a myriad of popular apps and websites — and it’s proving especially risky for children.
Now, behavioral health specialists in San Luis Obispo County schools are warning about several cases of youth self-reporting gambling habits to school counselors over the last few years, county spokesperson Caroline Schmidt told The Tribune via email on Thursday.
The reports have increased over time with the rise of cryptocurrency, sports betting apps, day trading websites and the accessibility of online gaming, she said.
But gambling is especially dangerous — and illegal — for youth in California.
Youth under the age of 18 can, in some cases, legally invest in stocks — but that typically occurs through some form of custodial account opened or controlled by a parent until the child is 18 or older, according to Farm Bureau Financial Services.
Schmidt said children under 18 are two to four times more likely to develop gambling disorders compared to adults, since their brains are still developing. She identified the prefrontal cortex, which regulates impulse control, as a chief factor in an individual’s ability to manage gambling habits.
“Additionally, individuals who start gambling at a young age are also more likely to develop a gambling addiction later in life,” she said.
The county behavioral health department declined to identify specific campuses where students have expressed concerning gambling habits, but Schmidt said the fact that students were opening up to their counselors was “a really hopeful sign that they realize the harm and want to stop the behavior.”
The Tribune also reached out to the San Luis Coastal Unified School District about gambling habits among students.
Superintendent Eric Prater forwarded a memo he previously sent to families and staff in March about the potential for gambling behavior and what to watch out for.
He said that he listened to a podcast about market prediction apps like Polymarket, which allow users to place bets on real-time world events, including sports, politics, finance and more.
“While they are often presented as interactive or educational, they function in ways that are very similar to gambling,” Prater wrote.
Prater said the use of Polymarket and similar apps and websites could lead to concerning behaviors, including an increase in risky and gambling-adjacent behaviors — specifically highlighting the danger in seeing world events as “wins and losses.”
Prater said youth can see added anxiety and stress related to the outcomes of their use of betting apps, and said students drawn to competition and high-risk environments may be especially attracted to such platforms.
“You may notice this coming up in conversations at home or in how students talk about current events,” Prater wrote. “This can be a helpful opportunity to check in, ask questions, and encourage thoughtful discussions about online activity, decision-making, and responsible choices.”
He continued: “As always, our goal is to work together to support students in navigating an ever-changing digital world with confidence and awareness.”
Signs of youth gambling parents should watch out for
Schmidt listed some warning signs parents can look out for when it comes to youth gambling.
Signs include sudden mood changes like irritability, anxiety or hyper-fixation — especially on game days, she said.
Additionally, youth borrowing money, shielding their bank accounts or requesting advances on their allowances without explanation could be potential red flags, she said.
Similarly, students may begin to hide their phones, delete their apps or stay awake late at night using technology, she said. Parents can also watch out for the use of VPNs to hide their online activity.
Additionally, Schmidt said youth with gambling habits may begin to neglect their schoolwork or extracurricular responsibilities, including chores at home.
Students may be especially at risk of developing risky habits if a parent openly gambles in front of their children at home, she said.
“Resources exist to help parents and youth talk about problem gambling including CDPH’s Youth Gambler Self-Assessment,” she said. “Parents can access the SLO Behavioral Health’s Youth Resource Center online for helpful tools on how to talk to youth and teens about mental health, addiction, and smart social media habits.”
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