Online Sports Gambling Booming in Tennessee

Online Sports Gambling Booming in Tennessee

For years American states didn’t allow sportsbooks to be opened. American gamblers had to open accounts with offshore gambling sites but that’s all changed now. The legalisation of sports gambling in many states has proved very popular indeed, especially in Tennessee.

In the six months since sportsbooks were launched in the state, nearly $1.1 billion in gross wagers is their highly impressive total. They’ve gone through the $1 billion mark quicker than any other state that has legalized gambling. They topped New Jersey who had to wait until the seventh month before reaching $1 billion.

It’s all great news for the state in terms of the amount of tax revenue that is being collected. Those in charge of the state didn’t suddenly wake up one morning in love with betting on sport. They saw how much other states were receiving in gambling tax revenue and it was time to get some of their own.

The first six months has already seen over $18.3 million received in tax revenue. All greatly appreciated at any time but even more so during a pandemic. The fact they have a 20% tax rate is helping them, that’s more than in other states. Their target is to receive $50 million a year in tax revenue.

More Sportsbooks Operating in Tennessee

There are now seven sportsbooks operating in Tennessee including BetMGM, FanDuel and DraftKings. April alone saw $172.4 million in gross wagers. That was a drop from $205.9 million in the previous month but still a highly impressive figure.

It was in November 2020 that the state legalized betting on sport but only online. There are now 19 states that allow some form of sports gambling. Often there are some restrictions on just what sports can be gambled on but it’s a big step forward for the US gambling industry and those who love gambling on sport. In Tennessee, you can bet on college sports but not in-play.

Launching online gambling in November was a great time to begin sports gambling. The NFL season was in full flow and fans couldn’t wait to start placing bets on that. There was also the delayed US Masters golf tournament too. The law that made online sports betting legal in the state had been passed in July 2019. After such a long wait it was no surprise that so many bets were laid in the first month.

$131.4 million worth of gross wagers was recorded in their first month. That was way above any opening month, the previous record being $35.2 million in Indiana in September 2019.

Reaching $1 billion in just six months wasn’t quite anticipated though, especially in a state that hadn’t previously had any legal betting. The figures are likely to be even higher in the future. There are another four applications pending to run sportsbooks. The state hasn’t imposed a limit on how many there can be. As long as state criteria is met, then a license can be granted.