Investing.com -- DraftKings (NASDAQ: DKNG) shares fell 7% Thursday, while Flutter Entertainment (NYSE: FLUT) dropped 3.5% after lawmakers in Ohio proposed legislation that would impose strict limits on sports betting in the state.

The proposed legislation would eliminate mobile betting entirely and restrict the types of wagers Ohioans could place, according to multiple media sources including NBC4. Under the bill, prop bets, in-game bets, and parlays would be prohibited.

The legislation would also cap individual wagers at $100 and limit bettors to eight wagers within a 24-hour period, according to NBC4.

Ohio legalized sports betting in 2023, becoming one of the largest markets for online gambling operators. The proposed restrictions would represent a significant rollback of the state's current sports betting framework.