April Sees Double-Digit Yearly Growth in Tennessee Betting Activity

Tennessee’s sports betting market experienced notable year-on-year growth in April 2025, with the gross handle climbing 21.7% compared to the same month last year. However, the total failed to match the state’s performance in March, reflecting a predictable seasonal dip.

According to figures released by the Tennessee Sports Wagering Council, bettors in the state wagered $463.6 million throughout April. That amount marked a significant rise over the $380.9 million recorded in April 2024, but it represented a 15.5% decline from the $548.6 million posted in March.

Including an additional $3 million in unclassified “adjustments,” the gross total wagers for April came to $466.5 million. This adjusted figure reflects a 21.4% increase year-on-year but maintains the same month-over-month decline when compared with March.

Revenue Details Remain Opaque, But Tax Contributions Revealed

While Tennessee does not release monthly revenue data or break down results by operator, the Council did confirm that April generated $8.6 million in privilege tax payments.

The state stands out in the U.S. sports betting landscape for its unique tax structure. Rather than taxing operator revenue, Tennessee imposes a 1.85% tax on gross handle—a system implemented in July 2023. It remains the only state to apply its tax rate directly to the total amount wagered.

Eleven Operators Fuel State’s Digital-Only Betting Ecosystem

Tennessee is home to a fully online sports betting market, as retail wagering is not legal under current law. Since its first sportsbooks launched in November 2020—following legalization in April 2019—the state has built a robust digital-only ecosystem.

A total of 11 licensed platforms are currently live and accepting bets. Major national brands such as FanDuel, DraftKings, BetMGM, Caesars, ESPN Bet, Fanatics, and Hard Rock Bet all operate within the state.

In addition to these well-known names, other active operators include Bally Bet, Tennessee Action 24/7, ZenSports, and Betly.

Though the Council does not report individual platform performance, the consistent year-on-year increase in handle suggests that Tennessee’s betting operators have maintained engagement and possibly expanded their customer base over the past year.

Seasonal Trends Likely Behind Monthly Decline

April’s dip from March’s handle is not surprising, as it aligns with typical seasonal fluctuations in the sports calendar. March often benefits from high betting volumes due to events like the NCAA basketball tournament, while April tends to taper off slightly as fewer marquee events draw attention.

Still, the sharp year-on-year rise in betting handle indicates continued growth in Tennessee’s maturing market, despite regulatory and structural limits such as its restriction to online-only betting.

As more operators continue to innovate and expand their digital offerings, Tennessee’s market remains a closely watched case study for states considering a handle-based tax model or a mobile-only framework.

Source:

“Tennessee sports betting gross handle rises 21.7% in April”, igamingbusiness.com, May 23, 2025