Tennessee’s sports betting market continued to show signs of growth in January, the state’s third legal month of betting.
According to the latest figures from the Tennessee Education Lottery (TEL), Tennessee bettors wagered $211.3m on sporting events in January.
January’s handle marks a significant increase on the $180.9m wagered on sporting events in December 2020.
Bettors in the state managed to win back $190.4m from the state’s sportsbooks in January. This left operators in the state with $21.8m in sports betting revenue.
January’s revenue also marks a significant increase on the $13.9m generated the month prior.
The report also shows that after adjustments, sportsbooks in the state paid $4.3m in tax revenue to the state. In Tennessee, sportsbook operators are taxed on 20% of their gross revenue.
The TEL did not provide individual data for each sportsbook operator that is currently live in the state.
Quick growth in Tennessee
In just three months since launch, Tennessee has seen its monthly sports betting handle surpass $200m.
This represents one of the fastest rates of growth in the US sports wagering space, outperforming other states such as New Jersey, Colorado and Indiana in the initial three-month period after launch.
The rapid growth of the state’s sports betting industry can be attributed to the fact that the entire market is online. As residents do not need to visit a land-based casino to register with a sportsbook, the process of creating an account and placing a bet can take place in a matter of minutes.
Tennessee is likely to see even more growth in the months to come as more operators launch their sports betting products.
Sports betting in Tennessee
In late May 2019, Tennessee became the fourth state to legalise 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.
The Tennessee sports betting market is so far the only US state to limit sports betting to online and mobile devices.
Tennessee’s sports betting market launched on 1 November with DraftKings, FanDuel, BetMGM and Tennessee Action24/7.