Bettors in the state of Tennessee wagered $24.7m in the first seven days of legal sports wagering.
According to data from the Tennessee Education Lottery (TEL), the state’s licensing board, bettors in the state wagered $27.4m on sports in the first week of legal betting operations.
This comes after the state’s online-only sports betting market went live on 1 November with the launch of DraftKings, FanDuel, BetMGM and Tennessee Action24/7.
The TEL’s figures
According to the figures, on the first day of legal betting $5.1m was wagered on sporting events across the operators. After considering payouts, adjustments and the state’s 10% fixed payout rate, sports betting revenue amounted to $800,000.
With the state’s 20% tax rate, operators paid $160,000 in tax to the state on 1 November.
For the week ending 8 November, bettors in the state wagered $27.4m on sporting events, leaving the state’s betting operators with $2.5m in revenue for the week. In the first full week of betting, operators paid $509,000 in tax.
The TEL did not break down each operator’s individual performance over the launch period.
Of the tax revenue generated, 80% goes to the state treasurer to deposit in the Lottery for Education Account. This is the main beneficiary of the TEL generated revenue.
Another 15% of tax revenue is distributed to local governments in the state. The remaining 5% goes towards the Department of Mental Health and Substance Abuse Services to fund problem gambling services.
Tennessee Education Lottery president and chief executive Rebecca Paul Hargrove said: “In our role as the regulator of this industry we are focused on establishing and supporting a responsible and competitive sports wagering program in Tennessee.
“These numbers are encouraging as we work to protect the consumer, promote fairness in sports and regulate this new Tennessee industry that provides critical funds for education, as well as local governments and problem gambling services.”
Sports betting in Tennessee
In late May 2019, Tennessee became the fourth state to legalize sports betting. Governor Bill Lee allowed the state’s sports betting bill to pass into law without his signature, despite being opposed to the expansion of gambling.
Three sports betting operators which include, WynnBet, William Hill and BetAmerica, are currently waiting for their Tennessee betting licenses to be approved.