The Tennessee Sports Wagering Council has taken decisive action against Bovada.lv, an unlicensed sportsbook operating illegally within the state. On Tuesday, the Council, through its executive director, levied fines totaling $50,000 against the sportsbook. These fines were imposed after Bovada failed to comply with cease and desist orders sent to addresses in Curaçao. Despite these warnings, Council investigators were able to place bets on Bovada’s platform on three separate occasions, with the latest instance occurring on October 16, 2024.
Under the Sports Gaming Act, the Council is authorized to fine entities $10,000 for a first offense of accepting wagers without a license. This fine increases to $15,000 for a second offense and $25,000 for a third. Any subsequent offenses incur a $25,000 fine per occurrence, with each wager accepted in Tennessee considered a separate occurrence.
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In its cease and desist letters, the Council instructed Bovada to enable all Tennessee users to withdraw any funds they currently have with the sportsbook. Thomas, a representative from the Council, emphasized the importance of user safety, stating, “Our primary role is the protection of the public interest through a safe, regulated environment, and Tennessee sports bettors need to know that just because they can access a sports betting website or app inside Tennessee’s borders does not mean it is licensed to do business here.”
Legal sportsbooks offer essential protections for bettors that are not available in the illegal market. Using unlicensed sportsbooks can expose individuals to risks such as the misuse of personal and financial information and the potential loss of funds without recourse. The Sports Wagering Council (SWC) is actively collaborating with state and federal law enforcement agencies to eliminate illegal sportsbooks like Bovada.
Tennessee, recognized as the largest “online-only” sports betting market in the U.S., saw over $4.7 billion wagered through online sportsbooks last fiscal year. These sportsbooks are licensed by the Council to operate legally in the state. A list of legal sportsbooks can be found on the Council’s website here.
Licensed sportsbooks are required to protect consumers by maintaining reserves to pay out wagers and securing personal information. They must also comply with state law restrictions, such as preventing individuals under 21 from placing bets and prohibiting wagering on credit.
A study by the American Gaming Association estimates that Americans gamble nearly $64 billion annually through illegal online sportsbooks and bookies.
The Tennessee Sports Wagering Council is dedicated to safeguarding the public interest by promoting a regulated sports gambling environment. The SWC is responsible for overseeing the licensing and registration of online sports wagering operators, sports wagering vendors, and fantasy sports operators. Additionally, it ensures compliance with the Tennessee Sports Gaming Act and the Tennessee Fantasy Sports Act, including the assessment of the state’s privilege tax on sportsbooks.
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