Gen Z is increasingly treating sports betting as a financial activity as sportsbooks, betting apps and prediction markets become more accessible. Betterment's August survey found that 66% of Gen Z investors engage in sports betting; 52% had redirected money intended for investing into wagers, and 26% viewed betting as part of a long-term financial plan. Bank of America Institute found Gen Z was twice as likely as other respondents to regard sports betting as an investment. Gen Z accounted for nearly half of online betting activity in July during the 2026 FIFA World Cup, while Gen Z and millennials together represented 88%. Bank of America also found that betting households held median deposit balances equal to about three-fifths of those held by non-betting households, and customer inflows averaged less than three-quarters of outflows during the period analyzed. Financial professionals warn that money diverted from retirement accounts, brokerage accounts or emergency savings can sacrifice decades of compounding, while recreational betting generally does not add to the covered earnings record used to calculate Social Security benefits. Mental health professionals say betting-related harm can appear through slipping grades, missed work and strained relationships, including among some occasional student bettors. Prediction markets have expanded access beyond states with legalized sportsbooks and to users under 21, prompting legal challenges and new responsible-gambling measures.