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Tennessee legalized sports betting when Governor Bill Lee allowed Tennessee House Bill 1to become law without a signature. Although online gambling in Tenessee is relatively limited, legal online sports betting is imminent. Four operators have been granted licenses to offer sportsbooks in The Volunteer State, and online sports betting launched on November 1, 2020.

Almost every state with legal sports betting requires operators to have a land-based partner in order to offer their product in the market. Tennessee is unique among its counterparts in that it allows online-only sportsbooks. The move makes sense, considering there are no land-based casinos anywhere in the state.

With four operators ready to go and more certainly right behind them, Tennessee is staged to be a hotspot for online sports betting in the US.

Legal Online Sportsbooks In Tennessee

Tennessee launched full-fledged online sports betting sites on November 1, 2020. Four operators debuted in the first wave of Tennessee sportsbooks.

Michigan Lottery is the premier online lottery system in the country. They have taken a traditionally paper betting operation and gracefully turned it into a fun and engaging online platform. They also offer the top sign up bonus among their counterparts. New users received a free 50% bonus match up to $100 on their first deposit. Best Betting Sites – Top 50 Best Online Bookies. Discover the best betting sites and the best online bookies at GamblingDeals.com now – home of the best gambling sites online. Find the latest Betting Sign Up Offers and Welcome Offers all in one place, ensuring you join the best betting.

Here are the live online sportsbooks in Tennessee along with the bonuses they offer for new players:

  • FanDuel Sportsbook: Up to $1000 bonus here.
  • BetMGM: Up to $500 bonus here
  • DraftKings Sportsbook: Up to $1000 bonus here.
  • Action 24/7: Up to $100 bonus

See our complete guide to Online Gambling In Tennessee.

Tennessee Online Sportsbooks

Tennessee’s online-only sportsbook landscape makes for a unique environment that will likely welcome a wide variety of sports betting companies. Right now, four sportsbooks have licenses to operate in Tennessee. Here’s a rundown of three of those operators, plus a few others we expect to join the market.

FanDuel TN Bonus: Claim a $1,000 risk-free bet at BetMGM.

New players can get up to a $1,000 rebate on their first bet made at FanDuel Sportsbook. There’s no need for a code when depositing to unlock this $1,000 risk-free bet offer. Use our link above.

No discussion of online sports betting is complete without FanDuel. The company has a license to operate in Tennessee right alongside its rival DraftKings. FanDuel has a variety of betting markets, key partnership deals, and great welcome promotions.

BetMGM

BetMGM TN Bonus: Claim a $500 deposit bonus at BetMGM.

BetMGM offers a decent new player bonus offer. Enter “TOPBONUS100″ to claim up to a $500 deposit match bonus at BetMGM Tennessee.

BetMGM has carved out space in the sports betting industry as well. With a recent hotel development in Nashville and recently announced as the official sports betting partner of Tennessee Titans, MGM has a big presence in Tennessee. Online sports betting is certainly next, as BetMGM rounds out the list of licensed operators in Tennessee.

DraftKings

DraftKings TN Bonus Offer: Get a $1,000 deposit bonus when you sign up at DraftKings Sportsbook TN. The $1,000 bonus offer comes in the form of a combination of a deposit match bonus. Claim your $1,000 bonus at DraftKings Tennessee.

The DraftKings bonus offers in Tennessee include a 20% deposit match bonus up to $1000.

DraftKings is one of the first three operators to secure a sports betting license in The Volunteer State. The company is an undeniable sports betting leader, so it should come as no surprise that was one of the state’s first sportsbooks. DraftKings is known for its great bonuses, promotions, and betting pools.

Action 24/7

Action 24/7 TN Bonus Offer: Up to $100

Action 24/7 is currently Tennessee’s only in-state sportsbook operator. The Action 24/7 sportsbook features Tennessee-specific offers and special deals on in-state teams in addition to a full-fledged sports betting portfolio. There are also various free-to-play games on Action 24/7 that allow players to win cash, branded swag, and wagering credits. All-in-all, it’s a top-notch Tennessee sportsbook.

Sportsbooks That May Come To Tennessee

William Hill

William Hill is another major operator with online sportsbooks in a number of regulated markets. Tennessee presents a great opportunity for William Hill to launch an online-only offering.

PointsBet

PointsBet has been rising through the ranks of the sports betting world to become a true contender. Its presence in newly legalized states like Illinois and Colorado bodes well for a possible Tennessee launch.

Tennessee Online Sports Betting Apps

The possibilities in Tennessee are virtually limitless thanks to the state’s online-only sports betting law. Here is a list of TN sports betting apps likely to launch by early 2021.

  • Action 247
  • Bet365
  • PointsBet
  • Barstool Sports
  • William Hill

Tennessee Online Sports Betting Bonuses

Bonuses are beneficial to sports bettors in every state, but Tennessee may prove a hotbed for lucrative promotions and offers. Sportsbooks will be online only, meaning customers will have no existing preference based on a casino partner or loyalty program. Instead, bettors will have their pick of the litter when it comes to deciding which sportsbook to use. It’s a safe bet that the site with the best offers will pull ahead. Here are common promotions and Tennessee sports betting bonuses to keep an eye out for.

Deposit Match Bonus

Deposit matches are offered at many online sports betting sites. They essentially increase your account fund the first time you make a deposit. For example, DraftKings offers a 20% deposit match up to $500. If you deposit $2,500, you can claim the full bonus amount. Casual bettors may wish to deposit less upfront, and that’s okay–even a more modest $200 deposit would get you a $40 bonus credit.

You usually have to bet a certain amount to claim deposit bonuses. In most states, DraftKings requires you to bet $25 to claim $1 of the deposit match credit.

Check for special deals, too. Some sportsbooks will offer deposit matches on your first two or three deposits if you’re lucky.

Risk-Free Bets

Lossback or risk-free bet bonuses give you some insurance on your first wager. You place a bet, and if it loses, the sportsbook refunds some or all of the initial bet and the bonus expires. If you win your bet, the bonus still expires.

Risk-free bets are especially beneficial to new players. They allow you to place a bet without worrying too much about losing. You’ll be able to familiarize yourself with the betting process and hopefully win some money.

FanDuel, BetMGM, and DraftKings all offer risk-free bets to new players in most states in Tennessee. Check for terms and conditions, though. Sometimes you have to place the risk-free bet within a certain time window after signing up.

Refer A Friend

Referrals aren’t quite as common in sports betting as they are on horse race betting sites or online casinos. However, with Tennessee’s online-only approach, word of mouth and referrals could translate to new business for operators.

Refer a friend bonuses credit your account once a friend uses your link or email invite to sign up for a sportsbook and make a deposit or a wager. The bonus range varies, usually getting you and the referred bettor $50 to $100 either in site credit or as a single free bet.

No Deposit Bonus

This is the simplest bonus type. Just sign up for a sports betting account and the operator will give you a small stipend. It’s basically their way of thanking you for signing up, and the bonus amounts usually range from $5 to $30.

What Sports Can You Bet On In Tennessee?

Tennessee is embracing sports betting in a way few other states have by allowing online-only operators and placing no maximum on the number of operators in the state. This open stance toward sports gambling is reflected in the actual sports on offer. Tennessee doesn’t have many restrictions surrounding which sports operators can take bets on, making the state a progressive player in the industry.

Betting On US Pro Sports In Tennessee

Tennessee is no stranger to professional sports teams. The state is home to the Memphis Grizzlies (NBA), Tennessee Titans (NFL), and Nashville Predators (NHL). The Nashville Soccer Club joined the Major League Soccer scene with its inaugural season this year.

Professional leagues will undoubtedly make up a huge slice of Tennessee’s sports betting revenue, including Super Bowl betting. The state’s only requirement is that sports betting operators purchase and use official league data for their available pro sports bets. That data enables things like in-play betting.

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Tennessee College Sports Betting

College sports betting is allowed in Tennessee as well. Some states prohibit bettors from wagering on in-state college matches (even if the in-state school is playing elsewhere), but Tennessee has no such restriction. It’s a good thing, too, because the state has a widely popular college sports scene.

The only stipulation with regard to college betting is that live or in-play betting isn’t allowed. Otherwise, Tennessee bettors will be able to place bets on March Madness, the College Football Championship, and regular-season games.

Betting On International Sports In Tennessee

Globally popular sports like cricket, rugby, international soccer leagues, darts, and much more are available at Tennessee’s sportsbooks.

There’s no shortage of worldwide sports on most betting sites. Tennessee operators offer similar bets to those in other states.

The Olympics, one of the world’s biggest sporting events, will feature bets as well. Any event governed by a national or international organization is fair game. Tennessee will surely make use of that rule, especially when Olympic events and international competitions like the FIFA World Cup come around.

Tennessee Esports Betting

Esports betting is allowed by Tennessee’s sports betting law.

Other states that allow esports betting have specific restrictions in place to regulate it. For example, some laws require all participants in a given esports contest to be at least 18 years old. Given the young demographic that participates in esports tournaments, this could remove some wagering opportunities. It’s possible that Tennessee could put similar regulations in place.

What Else Can You Bet On At Tennessee Sportsbooks?

Tennessee law allows for a wide selection of sports bets. You name the sports, chances are you’ll be able to wager on it when Tennessee launches sports betting. MMA, UFC, NASCAR, and many other sports are available in the state.

Popular Deposit Methods For Tennessee Sportsbooks

The online and mobile sports betting framework that Tennessee has put in place creates an interesting landscape for payment methods. Because no land-based casinos are in the state, players won’t be able to deposit or withdraw in cash at a property. However, there are still plenty of payment options available in the Volunteer State.

PayPal

PayPal is commonly accepted at sports betting sites and is available at Tennessee’s sportsbooks, too. The service allows you to deposit money into your sportsbook account with just a few clicks.

Credit And Debit Cards

Credit/debit cards are simple and effective. Pretty much every regulated US sportsbook accepts them, and Tennessee keeps up that trend. Use them with caution, though, because banks commonly decline sports betting transactions as a precautionary measure.

Prepaid Cards

Many sportsbook sites offer prepaid cards as an alternative method of payment. You can load the card with funds from your bank and use it at the sportsbook.

Online Banking

You can connect your bank account directly to your sports betting account for quick wire transfer payments or ACH deposits. Sportsbooks use high-level encryption to protect your data, making this method a fast and easy way to deposit funds.

Cash

Cash is actually the only deposit method not be available in Tennessee, given the absence of any land-based properties. Unless the state significantly changes its stance on casinos, you’re unlikely to find the cash deposit option at the state’s sportsbooks.

What Is The Biggest Online Sportsbook In Tennessee By Revenue?

Tennessee doesn’t have a leading sportsbook yet. Three of the current license holders–BetMGM, DraftKings, and FanDuel–could reasonably take the top slot in The Volunteer State.

The first month of legal sports betting will likely yield an early leader in Tennessee. We will update this page as more revenue information becomes available.

What Do I Need To Create A Tennessee Sportsbook Account?

To register at Tennessee sportsbooks, apps will ask you for the following information:

  • Name
  • Date of birth
  • Address
  • Email
  • Phone Number
  • Password (you’ll create one)
  • Last 4 digits of your SSN

From there, you’ll have to verify your location. Typically sportsbooks will use your phone’s built-in GPS to do this, but some require a separate geolocation app. You need to be within the state of Tennessee to place a bet, but you do not need to be a resident of the state.

If you want to place a bet right when you sign up, have your preferred deposit method ready. And don’t forget to check for special promotions and bonuses.

Legal Online Sportsbooks In Tennessee Versus Illegal Online Sportsbooks

There are myriad reasons to steer clear from offshore/grey market sportsbooks. You may encounter them as you search for Tennessee’s legal online sports betting sites, so be careful about which sites you visit.

Offshore sites are only beholden to the laws of the country where they base their operations. As a result, they’re very risky and should be avoided. There are a few key signs to look out for.

Licensing And Government Oversight

The Tennessee Lottery oversees all legal, regulated sportsbooks in Tennessee. If you’re unsure whether a specific sportsbook site is sanctioned by the state, scroll to the bottom. Legitimate and licensed sites include licensing information clearly visible on its site or app, and many will have links to more information. If this info is missing or particularly hard to find, chances are you’re on an offshore site.

Limited Options For Bets And Deposits

As mentioned above, Tennessee requires sportsbooks to use official league data. Offshore and grey market sites don’t have access to this data, so they won’t offer live, in-play, or proposition betting.

The same goes for deposit methods. Grey market sportsbooks often only provide one or two ways to deposit, and they don’t protect your data as well as regulated sites do.

Customer Support

Licensed sportsbooks almost always have 24/7 support available to customers. Offshore sites have limited customer service options, which can obviously be frustrating if you encounter an issue.

Tennessee Online Sportsbook FAQ

What is the legal online betting age in Tennessee?

21. Anyone 21 or older is able to place bets on Tennessee’s online sportsbooks.

Online sports betting sites request that new bettors confirm their identity and age using a government-issued form of identification or a Social Security Number.

Yes. Tennessee allows for online sports betting and DraftKings is one of three operators with a license to launch in the state. The DraftKings Tennessee app launched on November 1, 2020.

DraftKings is expected to be one of the major players on the Tennessee sports betting scene.

Yes. FanDuel is one of the few operators licensed to operate in Tennessee. It debuted to Tennessee sports bettors on November 1.

Unlikely. Most sportsbooks in regulated markets require you to have funds in your account to place a wager. Other than its online-only sportsbook ecosystem, Tennessee isn’t steering far off the path of its regulated counterparts.

You will be able to deposit money using a credit card at the state’s sportsbooks.

Yes. College sports are incredibly popular in Tennessee, and bettors can wager on matches. This includes in-state schools, which many states restrict from sports betting sites.

The only restriction is live betting. Live, in-game betting isn’t allowed on college sports in the state.

Do I have to visit a casino to create my Tennessee online sports betting account?

No. And you’d have trouble if you tried, considering the state has no casinos! You’ll be able to register fully online. Just have your personal information ready. This includes your name, email, address, phone number, SSN, and preferred deposit method.

It has been more than two years since the Supreme Court of the United States struck down PASPA. That move opened the door to legal sports betting in the US as the justices effectively handed the legislative decision over to individual states.

Since that point, we have seen a flurry of activity. Many states are now completely up and running with legal sports betting. Other states are still sorting through legalization, and more are expected to follow.

While some states have retail, mobile and online options, others require bets to be placed only in-person. There are also restrictions in place to ensure that users are within state lines while placing bets via mobile devices.

The landscape has changed dramatically in a short period of time.

Legal US sports betting apps

Not all states that allow legal sports betting will choose to use online or mobile wagering platforms. Some have rules that allow online and mobile wagering anywhere within state lines, while others require bets to be placed inside a casino.

Just because you download a sports betting app that is legal in one state doesn’t mean it will work in another. Smartphone apps will verify your location within a legal betting area before allowing you to wager. You will be rejected from betting if outside the legal borders.

Where can I place a legal online sports bet?

The list of legal online sports betting states continues to grow. Currently, it’s up to 14 states and Washington, DC, but the official launch is still pending in some spots.

* Pending launch

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Colorado sports betting sites

Legal sports betting was approved by voters in Colorado in 2019. The official online and mobile rollout took place on May 1, 2020, with DraftKings, FanDuel, BetRivers and BetMGM all going live on the same day. Several other operators have since gone live in the state.

Illinois sports betting sites

Legislation was also passed in Illinois in 2019 with the official launch taking place in March 2020. Initially, only retail betting was allowed, with in-person registration required for online and mobile players. That provision has been suspended for the time being because of the COVID-19 pandemic. DraftKings, FanDuel, PointsBet and BetRivers are among the available options.

Indiana sports betting sites

Sports betting was legalized in Indiana in 2019. The rollout happened quickly, with retail options opening up in September of that year, followed by online and mobile launch in October. DraftKings and BetRivers were the first sites available, followed by FanDuel a month later. The list of available options continues to grow.

Iowa sports betting sites

Iowa was also among the states that both legalized and went live with sports betting in 2019. Legislation was passed in May, with the retail and mobile launch coming in August. Through the end of 2020, online and mobile users have to register in-person at a casino that offers sports betting. DraftKings, PointsBet and William Hill are among the operators that are live in Iowa.

Michigan sports betting sites

Sports betting was signed into law in December 2019 in Michigan. Retail sportsbooks opened up in March 2020 and mobile sportbook apps became legal for sports betting in Michigan in January 2021.

Nevada sports betting sites

Nevada’s days as the only option for legal US sports betting are over. Not much has changed for the state since the SCOTUS ruling. While more known for in-person wagering at casinos throughout Las Vegas such as Westgate and Caesars, the state also has online and mobile options available from operators like William Hill.

New Hampshire sports betting sites

Sports betting officially debuted in New Hampshire in December 2019 after being approved by the state Legislature earlier in the year. The approval covered both retail and mobile, but the situation is unique in NH. DraftKings is the exclusive provider of online and mobile wagering in the state and also the operator of the lone retail shops.

New Jersey sports betting sites

The Garden State was one of the first to act after the landmark Supreme Court ruling. Retail sports betting rolled out in June 2018. DraftKings was the first online option in August, followed by PlaySugarhouse and FanDuel. There are now more than a dozen options NJ sports betting apps on the market.

Oregon sports betting sites

Oregon legalized sports betting in August 2019. Retail wagering was introduced at one of the state’s tribal casinos the following month. In October, the Scoreboard sports betting app was launched. Run by the state lottery, this is the only mobile option available for sports bettors in Oregon.

Pennsylvania sports betting sites

Pennsylvania was among the states that moved quickly in the wake of the PASPA ruling. Retail sportsbooks opened for business in November 2018. The official online launch took place in May 2019. SugarHouse was the first site to go live, and it was soon joined by sister property BetRivers and others including DraftKings and FanDuel.

Rhode Island sports betting sites

Rhode Island sports betting legislation was approved in 2018, but it was initially for retail only at the state’s two operating casinos. The following year, a new bill was approved that gave the green light to mobile wagering with an in-person registration requirement, which has since been removed. The Rhode Island Lottery oversees things, with William Hill handling operations.

Tennessee sports betting sites

Tennessee approved sports betting in April 2019. It’s a unique situation as there are not expected to be any retail sportsbooks in the state. Sports bettors are now able to place mobile wagers as of November 2020.

Virginia sports betting sites

Sports betting was legalized in Virginia in April 2020 and officially launched its first sportsbook in January 2021. According to state law, there will be a minimum of four and as many as 12 mobile options available.

Washington, DC, sports betting sites

The city council gave its approval to sports betting in 2018, but the bill wasn’t signed into law until the following January. GambetDC, an offering run by the lottery and powered by Intralot, is the sole online and mobile option for bettors since its launch in 2020. A William Hill retail sportsbook has since opened for business at the Capital One Arena.

West Virginia sports betting sites

West Virginia also sprang into action following the Supreme Court ruling. Retail sportsbooks opened up in September 2018. BetLucky was available for a short time as a mobile option, but it shut down the following year due to a technology dispute. DraftKings and FanDuel went live in WV soon thereafter and have since been joined by other operators.

Best sports betting apps in the US

The list of options for users in legal sports betting states continues to grow. Here are some of the top options available in multiple states.

DraftKings app

The daily fantasy sports giant was among the many operators awaiting the Supreme Court ruling in 2018. The company was the first online and mobile option available in NJ. DraftKings has since expanded to a number of other states, with plans for further expansion in the works. It’s known for having a slick platform and live betting feature.

DraftKings Sportsbook is legal in: NJ, PA, IN, IL, WV, NH, IA, CO

FanDuel app

FanDuel was also ready to go soon after the SCOTUS ruling. NJ was the first point of entry for the company in sports betting, but the platform has since been unveiled in several other states. FanDuel is known for being visually appealing and user-friendly, with features like single-game parlay offerings.

FanDuel Sportsbook is legal in: PA, IN, NJ, WV, CO, IL, IA

FOX Bet app

Launched as a tag-team effort from media giant FOX Sports and The Stars Group, the platform receives great visibility throughout FOX Sports programming and has a steady stream of promotions tied in with network personalities. FOX Bet is somewhat geared toward newer bettors and is working toward launching in additional states.

FOX Bet Sportsbook is legal in: NJ, PA, CO

BetMGM app

Originally known as playMGM upon its launch in NJ, the site and app have since been rebranded. BetMGM has been making a lot of headway with its entry into multiple states and various deals with teams and media entities. The company is one of several with designs on becoming one of the top sports betting destinations across the US.

BetMGM Sportsbook is legal in: NJ, WV, CO, IN

PointsBet app

Australia-based PointsBet debuted in NJ in 2019 and has since opened its doors in other states. The site is geared toward sports bettors and features a unique betting option known as PointsBetting. The company captured a good deal of attention with its recent deal with NBC Sports and continues to aggressively pursue market share.

PointsBet Sportsbook is legal in: NJ, IA, IN, IL

William Hill app

The UK bookmaker has had a retail presence in Nevada for some time. It has since expanded into other states both physically and via online and mobile offerings. The platform itself is easy to use and filled with features. William Hill has made some headway in the US in a short period of time and appears poised to continue on that path.

William Hill Sportsbook is legal in: NJ, CO, WV, IL, RI, NV

BetRivers app

BetRivers comes our way from Rush Street Gaming, which is also the parent company of sister site PlaySugarhouse. The company also has a retail casino presence in several states. BetRivers has come to be known for having a solid offering and good loyalty program.

BetRivers Sportsbook is legal in: PA, IN, CO, WV

Other legal sports betting apps

The overall list of legal sports betting sites is a lengthy one. Here’s a look at a few more that have debuted in multiple states to date.

BetAmerica Sportsbook

Horse racing fans are familiar with BetAmerica, an offering from Churchill Downs International. The sportsbook is now up and running in three states, while users in NJ and PA can also access casino games right from the same site.

BetAmerica Sportsbook is legal in: NJ, IN, PA

Caesars Sportsbook

The iconic Caesars name is well-known to both online and brick-and-mortar casino patrons. The sportsbook has launched in a trio of states to date. It’s a basic offering, but all of the bet types and sports you could ask for are available.

Caesars Sportsbook is legal in: NJ, PA, IN

SportsBetting.com

This is a newer offering that has made its debut in the Colorado market. The company also has its sights set on entering the New Jersey, Indiana and Iowa markets as soon as possible. As the name implies, the site is solely focused on sports betting.

SportsBetting.com is legal in: CO

Unibet Sportsbook

Unibet is an international operator that has a big presence on the global scene. It’s now up and running in select states in the US with plans on entering more soon. This is a basic offering without a lot of bells and whistles, but solid for just getting down to business.

Unibet Sportsbook is legal in: NJ, PA, IN

Which states are most likely to launch sports betting sites next?

Michigan is next up on the launch watch list. The current timeline calls for MI to be live in early 2021.

The following states have passed legislation for retail sports betting at tribal casinos, but the official launch hasn’t happened yet.

  • North Carolina
  • Washington

Plans call for retail only in both states, but the fact that sports betting legislation has been passed in at least some form can be seen as a glimmer of hope on the online front.

Three states approved ballot measures in 2020 to make some form of sports betting legal:

  • Louisiana
  • Maryland
  • South Dakota

A handful of states have opened up sports betting on a retail basis without launching online. Efforts to legalize online betting in these states have stalled to date, but it remains a work in progress.

  • Arkansas
  • Delaware*
  • Mississippi
  • Montana
  • New Mexico
  • New York

* Online legal but not launched

There are another 20 states that are at least considering some form of sports betting legislation. The list of states in which there has been absolutely no movement stands at eight.

Retail sports betting

For decades, the only state in which you could legally place a sports bet in person was Nevada. It’s a different story in the aftermath of the PASPA ruling. Here are the states (and Washington, DC) in which you’ll find retail sportsbooks.

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  • Delaware
  • New Jersey
  • Mississippi
  • West Virginia
  • New Mexico
  • Pennsylvania
  • Rhode Island
  • Arkansas
  • New York
  • Iowa
  • Oregon
  • Indiana
  • New Hampshire
  • Illinois
  • Montana
  • Michigan
  • Colorado
  • Washington, DC

Washington and North Carolina are expected to be the next states to open brick-and-mortar sportsbooks at tribal casinos.

Which states are most likely to regulate sports betting next?

Sports betting legislation has at least been introduced in 20 states that have yet to act on the matter. While optimism is high that it’ll eventually be passed in each of these states, there’s nothing concrete that says it’s right around the corner for any of them. Here’s the list.

  • Maine
  • Vermont
  • Massachusetts
  • Connecticut
  • South Carolina
  • Georgia
  • Alabama
  • Ohio
  • Kentucky
  • Minnesota
  • North Dakota
  • Missouri
  • Kansas
  • Texas
  • Arizona
  • California
  • Alaska
  • Hawaii
  • Florida

The next legal sports betting states are likely coming from the above list at some point. Meanwhile, these states are still holding out and have yet to introduce legislation to legalize sports betting.

  • Wisconsin
  • Nebraska
  • Oklahoma
  • Wyoming
  • Idaho
  • Utah

Legal vs. offshore betting

The best options available for US sports bettors come via the sites that have been approved for operations in the respective states. Gaining acceptance and approval is not easy, and those who have joined the list of approved operators have invested heavily to do so.

While there remains an active black market for sports betting via illegal offshore sites, there’s no reason to take the risk. Here are some of the main points to understand.

  • The Unlawful Internet Gambling Enforcement Act was passed in 2006 to crack down on offshore operators. The law is aimed at the companies to prevent them from doing business in the US, but many still operate due to what they claim is a legal gray area.
  • Offshore operators are not operating under the same rules and regulations that legal US betting sites are. There is no guarantee that your funds, data or information will be safely kept.
  • Legal sports betting sites have clear terms and conditions, house rules for players to follow, a wide range of normal funding options and customer service options that can be reached easily. That’s not the case with the offshore sites.

There are a few easy ways to spot which sites are on the up and up versus those that are not. For starters, the majority of legal states maintain a running list of approved operators on their websites under the division of gambling section or its equivalent.

There’s also the eye test. When an operator is legit, it will point users to the right places for information on things such as legality and responsible gambling. That’s not something that’s high on the priority list for less-than-reputable operators.

Things you can’t legally bet on in the US

Each of the individual states is responsible for setting its own rules and regulations for sports betting. As a result, not every piece of legislation that has been passed to date reads in the exact same fashion.

The standard stuff, such as team-based professional sports and major individual competitions, are good to go at all legal and regulated sportsbooks. Each of the operators will also offer various niche sports, but the list of options may vary.

One of the biggest points of difference has been on college sports. While you can bet on college football and basketball in several states, some have expressly prohibited wagering on in-state teams or on amateur events that take place in the state.

In general, the legal sportsbooks stay away from non-sports events. That means no wagering on the weather, reality television outcomes or on elections. However, wagering on the Oscars has been allowed here and there.

Why can’t you bet on the election or weather?

While there is often chatter about the betting odds for major political events such as the US presidential election, it remains illegal to bet on the outcome of that. There may be plenty of history attached to betting on who will be the next president, but that doesn’t mean it’s legal.

Legal and regulated operators offer odds and markets on sporting events. You won’t find options to bet on the weather or reality TV at the big shops, and there’s a simple reason for that: They’re not allowed to.

Sports leagues’ stance on legal sports betting

NBA

NBA Commissioner Adam Silver took a front-facing role in advocating for legal sports betting in the US. His op-ed embracing sports betting spurred discussion on the topic long before the fall of PASPA.

Before and after the Supreme Court decision, NBA officials spent most of 2018 trying to get a cut of sports betting money from various state legislatures. They helped introduce the concept of an integrity fee in state-level legislation, claiming the league would face increased monitoring and enforcement costs in a national sports betting environment.

Silver recently added to that argument by calling NBA games the league’s “intellectual property” for which it deserves compensation.

The NBA does not permit wagering on its games through the Ontario Lottery, where the Toronto Raptors play. The same policy existed when an NBA team played in Vancouver. Provinces that do not host NBA teams offer parlay cards on games for the sport.

NHL

The NHL largely let other leagues take the lead on sports betting issues prior to signing a data and marketing agreement with MGM Resorts in November 2018. NHL Commissioner Gary Bettman also weighed in during the Stanley Cup Final in Las Vegas: the league wants federal legislation (or state-level equivalents) and a slice of sports betting money.

The NHL launched a new franchise in Las Vegas in 2017, which is the first major professional sports team for the country’s gambling hub. The Vegas Golden Knightsdrew heavy betting interest through their inaugural season.

It has no issues with the activity in Canada. Some teams participate with lotteries that sell NHL parlay cards. The NHL also opposed new sports betting legislation in Canada.

MLB

Major League Baseball is sensitive to betting on its games. In the post-PASPA world, though, MLB advocates for sports betting legislation that includes integrity fees paid to the league.

The league also signed a data and marketing deal with MGM Resorts in November 2018. It will provide the company with exclusive rights to advanced data for in-play betting.

With regard to integrity fees, MLB went as far as having top executive Joe Torrelobby Governor Andrew Cuomo directly on New York sports betting legislation. This represents a major shift from the league’s historical attitude toward gambling.

The 1919 Chicago White Sox threw a World Series, a scandal the league wants everybody to forget. Pete Rose betting on his games and the aftermath involved in that scandal is another black eye MLB never wants to see again.

While MLB joined the New Jersey lawsuit, it has no issues with betting on Toronto Blue Jays games in Ontario. The Montreal Expos were also on parlay cards when that team existed.

NFL

America’s most powerful sports league remains largely opposed to legal sports betting. The NFL publicly fought sports betting for decades and now wants federal legislation addressing it after PASPA. Interestingly, the NFL is not advocating for integrity fees.

Despite its stance on US sports betting, the NFL allowed the move of the Raiders to Las Vegas from Oakland beginning in 2020.

The NFL is the only major professional sports league with no direct investment into daily fantasy sports, although 28 of its 32 teams are involved in sponsorships.

NFL games are by far the most popular sports betting events in the US, with the Super Bowl generating close to $150 million in bets in Nevada by itself. The NFL plays games in London, where betting shops are on every corner, and the league seems to have no issues with that.

NCAA

Long the staunchest opponent of legal sports betting, the NCAA finds itself in a tricky position after the repeal of PASPA.

The organization detests sports betting despite the fact that college football and March Madness college betting are two of the largest drivers of handle. The NCAA instituted a de facto ban on national championship contests being held in states with legal sports betting, namely Nevada. But it reversed course after the Supreme Court decision, at least temporarily. That is in part because it already awarded future championships to states that will have sports betting.

The NCAA similarly does not like fantasy sports. It does not permit student-athletes to enter contests. Many conferences do not accept advertising from daily fantasy sites. The NCAA has attempted to convince sites to stop college fantasy sports contests, but DraftKings and FanDuel restarted their college contests post-PASPA.

PGA Tour

Professional golf jumped into the sports betting fray by supporting the integrity fee concept along with MLB and the NBA. The tour also wants sports betting operators to pay for official data from its ShotLink system.

The data question also comes up with other leagues, but the PGA Tour claims to have a different case with proprietary data. In-play betting that relies on data can easily be gleaned from TV broadcasts in many sports. The same can be said for golf with scoring, but anything more in-depth (driving distance, length of putts, etc.) could require official data.

How online sports betting in USA became legal

Challenge in New Jersey

New Jersey voters passed a non-binding referendum in November 2011 that instructed the state legislature to legalize sports betting. The legislature quickly passed a bill that would have regulated sports betting at New Jersey racetracks and Atlantic City casinos. Governor Chris Christie signed the bill into law.

The major sports leagues challenged New Jersey in court, claiming that the state was not exempted by PASPA; therefore it could not legalize sports betting. A lower court ruling sided with the leagues, and the Third Circuit Court of Appeals affirmed it. The US Supreme Court at that time refused to hear the case.

New Jersey tried another angle. The state attempted to deregulate and decriminalize sports betting in the same venues as before. The sports leagues returned to court and challenged the new approach to sports betting. The sports leagues prevailed in the lower court and the Third Circuit Court of Appeals.

New Jersey was able to appeal and receive a rehearing in the Third Circuit, which it also lost. The Supreme Court then agreed to hear it and New Jersey won its case in May 2018.

American Gaming Association’s stance

The American Gaming Association is the gaming industry’s lobbying group. It maintains the black market of illegal gambling is too lucrative and thrives in the unregulated environment. The AGA supported the repeal of PASPA and strongly advocates for states to be able to write their own sports betting laws.

How is daily fantasy sports different from sports betting?

Daily fantasy sports is believed to be legal in at least 40 states, according to the companies that promote the product.

There are big differences between daily fantasy sports and sports betting.

In sports betting, a bettor picks a team or multiple teams to win or cover a point spread. In daily fantasy sports, a user chooses athletes and enters a competition that computes a winner based on the statistics accumulated by the players in a sport.

Current status of daily fantasy sports

Daily fantasy sports is generally considered to be legal in about 40 states, with laws on the books in about half of those.

States that restrict DFS

Daily fantasy sports are illegal in Iowa, Montana, Louisiana, Arizona and Washington. Nevada requires a gaming license to operate a daily fantasy sports site.

Opinions from attorneys general have emphasized the legal gray area for DFS in many states. DraftKings, FanDuel and others pulled out of Idaho, Hawaii and Alabama. FanDuel does not serve Texas, but DraftKings does.

FAQ for betting sites

Is it legal to bet on sports online?

Yes, but it depends on where you are located. Legal sports betting can be done online in many of the states mentioned above. You do not have to be a resident of a state to bet there, but you do need to be physically located within the state to place a legal online sports bet.

What is the Unlawful Internet Gambling Enforcement Act?

The Unlawful Internet Gambling Enforcement Act passed Congress in September 2006. It made payment processing of illegal gambling transactions a federal crime. It exempted gaming specifically legalized at the state level, horse racing and some forms of fantasy sports.

Is sports betting legal in Europe?

Online sports betting is legal throughout most of Europe including the UK. This includes betting shops, mobile apps and over the Internet. Some of the best online betting sites in Europe are now operating in the US.

Is online sports betting legal in Canada?

Canada lotteries offer parlay cards on a variety of sports, including football, basketball, baseball and hockey. There is a push to expand betting to straight wagers. Online betting sites operate in a legal gray area.

Is online sports betting legal in the US?

Yes, in some places. Sports betting has been legalized in a number of states to date, and the list is expected to continue growing in the coming years. In 2018, the Supreme Court placed the matter of legalizing sports betting into the hands of the individual states to decide on. While sports betting has since been legalized in a number of states, legislation hasn’t been passed on a federal level.

What is the safest betting site?

The safest options for sports betting online come via the legal and regulated operators. DraftKings and FanDuel are two examples of operators that have received approval to open for business in a number of states. Legal and regulated sites have to go through a lengthy application process, follow specific rules and regulations, and verify that customer funds are safe. That’s not the case with the unregulated options that may be available.

Why do some sports betting sites accept cryptocurrency?

Cryptocurrencies, such as Bitcoin or Ethereum, are not available as funding options at legal and regulated sportsbooks. If you see these options available, then there’s a good chance that you have stumbled upon a black-market operator that claims it can operate safely under some kind of legal gray area. A fully legal site will provide its users with standard funding options such as credit cards, PayPal and wire transfers, and you won’t have to jump through any unnecessary hoops to deposit or withdraw.

Do I have to pay taxes on my winnings?

Yes, profits obtained from sports betting or any other type of gambling are considered taxable income in the US. If you win above a certain level, operators may even provide you with a 1099-G that states your level of winnings, and the form will be filed with the IRS, as well. A complete tracking of the deposits and withdrawals you have made for gambling purposes is a good habit to get into. For specific questions in regard to your personal situation, we encourage you to consult with a tax advisor.

What legal online and mobile sports betting is available in Nevada?

Sports Connection / Station Casinos, NV Sports Books / South Point, William Hill, CG Technology, Aliante Casino, Treasure Island and Boyd Gaming all operate mobile betting apps in Nevada. Sports Connection/Station Casinos also offers a website.

Can you deposit with PayPal at legal Nevada sports betting apps?

No, at this time you cannot deposit using PayPal for any Nevada sports betting apps. You will need to deposit in person or using a pre-paid card. There are options to top off your account at some convenience stores with certain Nevada apps.

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PayPal is likely to be an option for payment in other states, however.

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Is it legal to play on Bovada?

No. Bovada is an unlicensed sports betting site. It is illegal for the company to operate in the US but players likely face no legal consequences.

Are there risks to betting on sports at unlicensed sites?

Offshore sportsbooks may not pay players. If a bettor gets stiffed by an unlicensed betting site, then he or she has no recourse. That does not happen at licensed sites.

Sports Betting in other countries: Australia, New Zealand