Nobody should ever be threatened with prison time because of a jurisdictional dispute between federal and state governments. That's antithetical to the rule of law, regardless of the specifics of the law or the jurisdictional dispute.
If the federal government says it's not gambling, then does a state get to say it is?
States can't just override federal law with their own laws.
Given that their primary business is literally sports betting -- it's going to be a tough battle.
The only reason it has gone this far is that the current admin's family is personally invested in this bullshit.
In addition to being utterly terrifying, this would fall afoul of the "cruel and unusual punishments" thing /s
(What a typo)