Tennessee Sports Betting Kicks Off on November 1Published November 3, 2020 by Elana K
Online and mobile spetting launched in Tennessee on November 1. Tennessee is the only state that allows operators to offer internet sports betting without being connected to a land-based casino.
On November 1, Tennessee became the 19th state to offer legal sports betting as 4 operators opened their virtual doors to bettors. Sports betting had been legalized in July 2019 but it took more than a year for regulators to agree on a system. In September, regulators set the projected launch date for the beginning of November, and bettors were not disappointed. Sports betting went live on November 1, with plenty of time left for football season. The 4 licensed operators include FanDuel, DraftKings, BetMGM, and the state’s first local online sportsbook, Action 24/7.
The operators offer online and mobile platforms that are open to those ages 21 and over and who are within Tennessee state borders. The Tennessee Education Lottery Corporation, which oversees sports betting regulations, has approved more than 100 events across 27 sports. Bets can be placed on pro and college games, though with the latter in-game proposition wagers are not allowed.
How Tennessee Sports Betting is Different Than Other States
Tennessee is breaking the traditional mold of sports betting in several ways. First, it’s the first state to regulate only online sportsbooks and not require them to be connected to land-based casinos. Second, state regulators require gambling operators to hold at least 10% of the money accepted in wagers, which means that bettors can only receive maximum payouts of 90%. This is about 5% less than the industry average and was a major point of contention when the regulations were drafted.
Regulators predict that most Tennesseans will be so happy to have the option of sports betting that they won’t mind the 90% payout cap. Additionally, the Tennessee sports betting industry has the potential to generate tens of millions of dollars for the state in tax revenue. The revenue will be earmarked for education, local government, and the treatment of gambling addiction.