Trump's Executive Order Targets College Sports Payments
President Donald Trump signed an executive order aiming to curb big-money payouts in college sports. The order seeks to block third-party payments while preserving fair-market compensation. It also mandates clarification of student-athletes' legal status, impacting the market for U.S. college athletes and scholarship competitions.
In a move to regulate financial practices within college sports, U.S. President Donald Trump has signed an executive order aimed at limiting lucrative third-party payments to college athletes. The White House announced this initiative to curb the influence of substantial financial sums in sports like football and men's basketball.
The order instructs officials to clarify the legal status of student-athletes, thereby maintaining the integrity of scholarships and competitions in less-publicized sports. This decision is expected to impact the multimillion-dollar college sports market across the country, though enforcement specifics remain unclear.
Historically, the NCAA prohibited athletes from earning compensation beyond scholarships to uphold amateurism. However, since June 2021, policies have evolved, allowing athletes to profit from their name, image, and likeness rights. This shift culminated in the NCAA's rule change in March 2025, following a legal settlement challenging federal antitrust law.
(With inputs from agencies.)
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