TN AG Consumer Protection Division Warns Tennesseans of Illegal Sportsbooks Ahead of Super Bowl LIX

NASHVILLE—The Office of the Tennessee Attorney General urges consumers to be aware before the Super Bowl that wagering with an unlicensed sportsbook can lead to scammers stealing both a consumer’s money and identity.

“Illegal gambling sites can look slick and legitimate, but looks can be deceiving,” said Attorney General Skrmetti. “Illegal sportsbooks don’t care if you win; they care about getting your money and your personal information.  Once they get it, there is nothing the State can do to help you.”

Illegal sportsbooks often look legitimate with professional websites and apps with star athletes promoting them but are often located offshore. Wagering on illegal sportsbooks, especially those located offshore, can lead to outright fraud and identity theft. Tennessee regulators are unable to intervene in disputes between illegal sportsbooks and players, and many consumers have been taken advantage of through these scams.

"Illegal offshore sportsbooks are not going to go away easily. It will take government entities working together to make the biggest impact, and we want to thank the Attorney General and his office for their efforts as we all work to eradicate illegal sportsbooks and bookies from Tennessee," SWC Chairman Billy Orgel said. "Illegal sportsbooks often look legitimate to the consumer, so if you choose to wager, make sure you wager with a sportsbook licensed to do business in Tennessee." 

It is recommended that consumers closely inspect their sportsbook of choice before placing any wager on a sporting event. Tennessee bettors should be aware that simply being able to visit a website or download an app inside Tennessee’s borders does not mean that the sportsbook is a legitimate business licensed to do business in Tennessee. The licensure process is critically important in Tennessee, as the State is the largest “online-only” sports betting market in the U.S., with over $4.5 billion a year wagered in Tennessee on sporting events through licensed online sportsbooks.

Tennessee’s sportsbook licensure process provides critical consumer protections. Licensed sportsbooks are required to hold reserves to pay out winning wagers, are required to protect consumers’ personal information, and are prohibited from allowing individuals under 21 years of age to wager. Unlicensed sportsbooks do not provide these protections and are unlikely to make things right with a consumer if or when something goes wrong.

Consumers can be on the watch for illegal sportsbooks by looking for any of these factors, all of which are illegal in Tennessee: (1) the sportsbook extends credit to users to place wagers; (2) the sportsbook allows wagers to be placed with cryptocurrency; and (3) the sportsbook offers casino games, such as slots or online poker, or chance-based wagers (i.e., the coin toss or the color of the Gatorade). To be safe, Tennessee bettors can check the Sports Wagering Council’s website for sportsbooks with active licenses in Tennessee.

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