In January 2025, Tennessee’s sports betting market experienced a minor decline in player spending compared to the previous month. Despite this decrease, the total amount wagered remained robust, marking the fourth-highest monthly handle since the state’s legal market launched in November 2020.
The Tennessee Sports Wagering Council reported gross wagers totaling $549.0 million in January. This figure represents a 17.4% increase from January 2024 but is 4.1% lower than the $572.7 million wagered in December 2024. The state’s record for monthly gross wagers stands at $598.6 million, set in November 2024.
Tax Revenue Insights
After accounting for $5.3 million in adjustments, the adjusted gross handle for January was $543.6 million. This adjusted figure surpasses the previous year’s by 16.7% but is 4.6% below December’s numbers. The privilege tax collected for January exceeded $10.0 million, contributing significantly to the state’s revenue. 
It’s noteworthy that the Council does not disclose the specifics of these adjustments in its monthly reports. Additionally, there is no published breakdown of activity by operator or sport, and operator revenue figures are not made public.
Exclusive Online Betting Landscape
Tennessee distinguishes itself as the first state to offer only online sports wagering, with no retail locations. Following its lead, Vermont and Wyoming have also legalized digital betting without brick-and-mortar sportsbooks.
Currently, 11 platforms operate in Tennessee, including national brands such as Caesars, Bally Bet, FanDuel, DraftKings, Fanatics, ESPN Bet, BetMGM, and Hard Rock Bet. Local operators like Betly, ZenSports, and Tennessee Action 24/7 also contribute to the state’s dynamic online betting environment.
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