The head of the Massachusetts Gaming Commission is warning against potential “significant impacts” that could stem from issuing an uncapped number of temporary mobile sports wagering licenses, saying that the majority of those operators will be forced to shut down within a year.

Under the new state law, the number of mobile/online operator licenses untethered to a casino or simulcast is capped at seven, but no limits have been placed on temporary licenses.

“It is possible that no less than 30 entities will be competing for up to seven ultimate untethered category 3 licenses,” Gaming Commission Executive Director Karen Wells said.

Allowing temporary sports betting operations before a final determination is made on their full licenses poses financial complications for regulators, operators and customers, and also presents consumer protection concerns for the public, she said.

“For those companies that do enter the temporary licensee pool as a mobile/digital operator, but do not advance in the competitive selection process, as many as 76% will be required to shut down their operations in Massachusetts once the commission makes its final determinations,” she said.

If the commission opts to issue temporary licenses, she said it will have to establish a regulatory process for shutting down operators who aren’t selected, but this is still expected to create a number of problems.

For example, temporary operators not selected for a full license will have no way of recouping their $1 million fee.

Customers who place bets for future events, such as the Super Bowl or March Madness, could be left vulnerable if sports wagering operators shut down before those events take place, Wells said.

Commissioner Nakisha Skinner said the conversation around temporary licenses was premature, since sports betting regulations and house rules, which have to be in place before their issuance, have not been finalized.

No vote was taken. Commission members opted to seek legal guidance on whether the number of temporary licenses could be capped, and if there could be a more competitive selection process to prevent sweeping shutdowns when final determinations are made.

“The idea of having to issue notices to honorably operating businesses that didn’t happen to make our final cut is just untenable to me,” said Commission Chair Cathy Judd-Stein.