The Tennessee Sports Wagering Council has fined Bovada.lv $50,000 for operating an unlicensed and illegal sportsbook in Tennessee. Bovada ignored cease-and-desist letters sent to Curaçao addresses, leading Council investigators to place wagers through the platform on three separate occasions, with the most recent being on October 16, 2024.
The Sports Gaming Act allows the Council to impose escalating fines for accepting wagers without a license, starting at $10,000 for the first offense, $15,000 for the second, and $25,000 for the third. Subsequent offenses can result in a $25,000 fine per occurrence. The Council has ordered Bovada to allow all Tennessee users to withdraw any funds currently held by the sportsbook.
“The Sports Wagering Council recommends that Tennessee users of Bovada withdraw their funds immediately,” stated Executive Director Thomas. “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 sportsbook operators provide bettor protections not found in the illegal market, such as securing sensitive information and ensuring withdrawal access. The SWC is working with state and federal law enforcement to eradicate illegal sportsbooks like Bovada.
Tennessee, the largest “online-only” sports betting market in the U.S., saw over $4.7 billion wagered last fiscal year through Council-licensed sportsbooks. Licensed sportsbooks must adhere to state laws, including holding reserves to pay wagers, keeping personal information secure, preventing underage wagering, and prohibiting credit wagers.
A study by the American Gaming Association estimates that Americans wager nearly $64 billion annually with illegal online sportsbooks and bookies.
