The Tennessee Sports Wagering Council (TSWC) has moved against three international sportsbooks that allegedly accepted wagers from customers in the state without holding the required Tennessee license.
The council issued cease-and-desist demands to Heritage Sports of Costa Rica, Thunderpick of Belize and Voltage Bet of Curacao. Officials said the three operators violated the Tennessee Sports Gaming Act by accepting bets without authorization.
The action comes as Tennessee regulators continue to warn residents that an online sportsbook being accessible in the state does not mean it is legally permitted to operate there.
“Not all sportsbook apps or websites available online are licensed to do business in Tennessee, but they will gladly take a patron’s money and personal information, regardless of their age. When something goes wrong – such as the unlicensed sportsbook refusing to return winnings or misusing or selling personal information – the patron will not have any recourse through the Sports Wagering Council.” TSWC Executive Director Mary Beth Thomas said. “We continue to work closely with our network of law enforcement at the state and federal levels to shut down these risky illegal enterprises and protect Tennesseans.”
Council Highlights Risks For Bettors
State officials said licensed operators must follow consumer safeguards that unlicensed sportsbooks can avoid. Those requirements include preventing people under 21 from wagering and prohibiting credit wagers.
The council also outlined several signs that may indicate an operator is acting outside Tennessee’s legal framework. These include accepting wagers from people younger than 21, extending credit and allowing cryptocurrency betting. Sportsbooks offering casino products such as slots or online poker can also fall outside the permitted sports wagering model, as can operators accepting chance-based bets such as coin tosses.
The warnings reflect the potential consequences for customers who use offshore or otherwise unlicensed betting sites. According to the council, bettors dealing with such operators may lack the protections and avenues for assistance available through Tennessee’s regulated system.
Illegal Operators Face Escalating Penalties
The Tennessee Sports Gaming Act gives the TSWC authority to impose financial penalties when a sportsbook accepts wagers without a license. The first offense can result in a $10,000 fine, while a second offense carries a $15,000 penalty. A third offense can lead to a $25,000 fine.
The latest enforcement action comes alongside continued activity in Tennessee’s regulated sports wagering market. For July 1 through July 31, the council reported $413,056,546 in gross wagers. After $2,859,997 in adjustments, the resulting gross handle stood at $410,196,549.
The council also reported $7,588,636 in privilege tax assessed for the month. The figures illustrate the scale of wagering taking place through the regulated market as officials pursue operators that accept Tennessee bets without authorization.
The TSWC has said it is working with state and federal law enforcement agencies as it seeks to address illegal sportsbooks and protect residents using online betting services.
Source:
“Tennessee Sports Wagering Council issues cease and desist demands to 3 illegal sportsbooks”, wkrn.com, August 11, 2026
Neskez
29 days ago
Moderator
It's encouraging to see regulators taking action against illegal sportsbooks. Strong enforcement helps protect players and supports a safer and more transparent betting market.
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natasa
29 days ago
Moderator
The warning about crypto betting and offshore sportsbooks stood out to me, especially with Tennessee reporting more than $410 million in gross handle for July. It shows how much activity regulators are overseeing while trying to keep unlicensed operators out.
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