Sports Betting in Tennessee – The Road Ahead
Sports Betting in Tennessee
Although Tennessee has not yet legalized sports betting, it’s still on the way. Despite its booming sports industry, the state has no brick-and-mortar casinos or sportsbooks. The closest thing to legal sports betting in the Volunteer State is horse racing, which is already a popular pastime in the state. In 2004, the state began offering lottery games, which eventually led to the legalization of sports betting in the state.
As of late 2018, Tennessee politicians began formulating legislation to regulate sportsbooks in the state. SB16, or the Sports Gaming Act, was introduced in the Tennessee Senate on December 18, and passed First Consideration the following January. It then began its journey through the legislative process. The legislation was stalled and bounced back and forth between subcommittees, but it finally took its place as the House Bill counterpart on April 30.
While there are several legal obstacles to entering a sports betting market in Tennessee, the overall cost is much lower than the average. With no casinos or casino partners in the state, sportsbooks can enter the market without any difficulty. However, the costs of starting a business in this state are considerable. A license for a sportsbook costs $750,000 and must be renewed annually. The state also taxes sports betting revenue at 20 percent. In addition, Tennessee requires all participating sportsbooks to take a 10% cut of the wagers placed. The hold is the only reason why there aren’t more online sportsbooks in the state.
Sports Betting in Tennessee – The Road Ahead
Until recently, sports betting in Tennessee was illegal. But thanks to a recent Supreme Court decision, sports betting in Tennessee is now legal. After decades of prohibition and legalization of casino gambling in neighboring states, Tennessee legislators realized that the sport could be a major source of tax revenue for their state. The new law has been amended to allow sports gambling in Tennessee. The sportsbook regulation hasn’t yet been finalized, but it’s not too late for the social sports betting industry to get on the road to legalization.
As of late 2018, Tennessee’s politicians began formulating a legislative effort to regulate sportsbooks in the state. The result was SB16, which was introduced to the Senate in December. It received First Consideration on January 8 and passed on the Senate floor in March. Since then, the bill has gone through a series of amendments, and it now resides in the Senate. The passage of the sports betting legislation in Tennessee means it is legally regulated.
Tennessee’s state lawmakers took action to legalize sports betting in the state. The law was signed in July by the governor and became effective on May 24, 2020. Currently, the only legal sportsbooks in the state are mobile and are available only for mobile betting. Additionally, the sportbook industry in Tennessee is forbidden from offering college prop bets. Those interested in legalized sports betting in Tennessee should be aware of these five rules.