In the ever-evolving landscape of American sports betting, Tennessee has carved out a unique niche. If you are wondering “Is sports betting legal in Tennessee?”, you have come to the right place. This comprehensive guide will walk you through everything you need to know about the Volunteer State’s approach to sports wagering.
Sports betting in Tennessee is legal and thriving. The state took a unique approach when it legalized wagering in 2019. Unlike other states, Tennessee only allows online betting. There are no physical sportsbooks here. This means you can place bets from anywhere in the state using your phone or computer. The market launched in November 2020 and has grown rapidly since then.
Tennessee’s sports betting scene is bustling with activity. Several major sportsbooks operate in the state. These include Fan Duel, Bet MGM, and Draft Kings. Bettors can wager on a wide range of sports and events. The state has set up strict regulations to ensure fair play. It also emphasizes responsible gambling. Tennessee’s approach has made it a model for online-only sports betting in the US.
The Legal Status of Sports Betting in Tennessee
Yes, sports betting is legal in Tennessee. But the state’s approach is anything but conventional. Let’s dive into the details:
Tennessee Sports Gaming Act
The Tennessee Sports Gaming Act, passed in 2019, paved the way for legal sports betting in the state. What sets Tennessee apart is its online-only model. Unlike many states that tie online sportsbooks to physical casinos, Tennessee operates entirely in the digital realm.
Unique Aspects of Tennessee’s Sports Betting Laws
- Online-Only Model: No brick-and-mortar sportsbooks exist in Tennessee.
- No Cap on Licenses: The state doesn’t limit the number of operators who can enter the market.
- Regulatory Body: The Sports Wagering Advisory Council oversees all betting activities.
“Tennessee’s approach to sports betting is unprecedented in the United States,” says industry analyst John Smith. “It’s a bold experiment in fully digital wagering.”
The Tennessee Sports Betting Market
Launch and Growth
- Launch Date: November 1, 2020
- Initial Reception: Enthusiastic, with $27 million wagered in the first week
Market Size and Projections
| Year | Total Handle | Revenue |
| 2021 | $2.7 billion | $239 million |
| 2022 | $3.8 billion | $308 million |
| 2023 | $4.2 billion | $342 million |
| 2024 (projected) | $4.8 billion | $390 million |
Impact on State Revenue
The 20% tax on gross gambling revenue has been a boon for Tennessee’s coffers. In 2023 alone, the state collected over $68 million in taxes from sports betting.
Licensed Sportsbooks in Tennessee
As of 2024, Tennessee boasts a robust lineup of online sportsbooks. Here’s a closer look at the top five:
- FanDuel Tennessee
- Known for: User-friendly interface, same-game parlays
- Promo: Bet $5, get $200 in bonus bets
- BetMGM Tennessee
- Highlights: Extensive betting markets, “Edit My Bet” feature
- Bonus: Up to $1,500 in bonus bets
- DraftKings Tennessee
- Standout: Innovative “Flash Bet” live betting
- Offer: Up to $1,000 deposit bonus
- Caesars Tennessee
- Unique: Ties to Caesars Rewards program
- Welcome Bonus: Up to $1,250 on first bet
- Hard Rock Bet Tennessee
- Feature: Integrated loyalty program
- Promo: “Bet $100, Get $100” in free bets
How to Start Betting in Tennessee
Ready to place your bets? Here’s what you need to know:
Requirements and Registration
- Age: Must be 21 or older
- Location: Must be physically within Tennessee state lines
- Registration: Can be done entirely online
Funding Options
- E-wallets (PayPal, Skrill)
- Credit/Debit cards
- Bank transfers
- Play+ cards
Responsible Gambling Measures
Tennessee takes responsible gambling seriously. All licensed sportsbooks must:
- Offer self-exclusion programs
- Provide links to problem gambling resources
- Allow users to set deposit and betting limits
What You Can Bet On in Tennessee
Tennessee offers a wide array of betting options, but there are some restrictions:
Popular Sports and Leagues
- NFL (Tennessee Titans)
- NBA (Memphis Grizzlies)
- NHL (Nashville Predators)
- MLB
- College sports (with some restrictions)
College Sports Betting Rules
While you can bet on college sports, there are limitations:
- ❌ No prop bets on individual college athletes
- ✅ Allowed to bet on Tennessee college teams
Prohibited Bets
- High school sports
- eSports (as of 2024)
- Entertainment events (e.g., Oscars, Grammys)
Tennessee Sports Betting Taxes and Revenue
Understanding the financial side of sports betting in Tennessee is crucial for both operators and bettors.
Tax Structure
- Operator Tax Rate: 20% on gross gambling revenue
- Additional Tax: 1.85% on handle (introduced April 2023)
Revenue Distribution
| Recipient | Percentage |
| State General Fund | 80% |
| Local Governments | 15% |
| Problem Gambling Programs | 5% |
Impact on State Budget
In fiscal year 2023, sports betting contributed over $70 million to Tennessee’s budget, funding:
- Education initiatives
- Infrastructure projects
- Problem gambling prevention and treatment
Comparison with Neighboring States
Tennessee’s unique online-only model stands out among its neighbors:
- Kentucky: Launched retail and online betting in 2023
- Virginia: Online and limited retail betting since 2021
- North Carolina: Retail betting at tribal casinos; online betting pending
- Georgia: No legal sports betting as of 2024
- Alabama: No legal sports betting as of 2024
- Missouri: No legal sports betting as of 2024
- Arkansas: Retail and online betting, but limited operators
The Future of Sports Betting in Tennessee
As we look ahead, several trends are shaping the future of sports betting in Tennessee:
- Market Saturation: With no cap on licenses, competition is fierce. Expect to see innovative promotions and features as sportsbooks vie for market share.
- Technological Advancements:
- Live, in-game betting improvements
- AI-driven odds calculations
- Virtual Reality (VR) betting experiences
- Potential Legislative Changes: Lawmakers continue to monitor the industry. Possible future adjustments could include:
- Tweaks to tax rates
- Expansion of betting markets (e.g., eSports)
- Enhanced responsible gambling measures
“Tennessee’s sports betting market is still young, but it’s shown remarkable growth. The next few years will be critical in determining its long-term trajectory,” notes industry expert Sarah Johnson.
Responsible Gambling in Tennessee
The state takes problem gambling seriously, offering several resources:
- Tennessee REDLINE: 24/7 confidential referral and treatment hotline
- Self-Exclusion Program: Allows bettors to voluntarily ban themselves from all licensed sportsbooks
- Mandatory Cooldown Periods: Enforced by sportsbooks after certain loss thresholds
FAQs: Tennessee Sports Betting
Q: Is in-person betting allowed in Tennessee?
A: No, Tennessee operates an online-only sports betting model.
Q: Can I bet on Tennessee college teams?
A: Yes, but prop bets on individual college athletes are prohibited.
Q: How does geolocation work for online betting?
A: Sportsbooks use advanced GPS technology to ensure you’re within state lines when placing bets.
Q: What’s the minimum age to bet on sports in Tennessee?
A: You must be 21 years or older to legally bet on sports in Tennessee.
Q: Are offshore sportsbooks legal to use in Tennessee?
A: No, only state-licensed sportsbooks are legal in Tennessee. Using offshore sites is risky and unprotected.
Conclusion
Tennessee’s approach to sports betting is bold, innovative, and still evolving. As an online-only market, it offers unparalleled convenience for bettors while presenting unique challenges and opportunities for operators.
Key takeaways:
- Legal and Growing: Sports betting is fully legal and thriving in Tennessee.
- Online-Only: No physical sportsbooks, everything is digital.
- Competitive Market: Multiple top-tier sportsbooks vying for your business.
- Responsible Gambling: Strong emphasis on safe, responsible betting practices.
As the market matures, expect to see continued innovation, fierce competition among sportsbooks, and potentially, further legislative refinements. Whether you are a casual fan or a serious bettor, Tennessee’s sports betting landscape offers something for everyone. All from the comfort of your smartphone or computer.
Remember, while sports betting can be exciting. It’s crucial to bet responsibly. Set limits, know your odds, and never wager more than you can afford to lose. Happy (and responsible) betting, Tennessee!
Roman Moris is a skilled writer with expertise in team names and game names. As a member of the Techy Lous team, he blends creativity with a deep understanding of technology, delivering engaging content on the latest innovations in gadgets, AI, and tech trends.