Tennessee’s SWC Targets BetOnline with Cease-and-Desist Letter
Tennessee’s Sports Wagering Council issued a cease and desist letter to illegal offshore sportsbook BetOnline, demanding it shut down in the state by June 16.
A Tough Stance on Illegal Betting
Tennessee’s Sports Wagering Council (SWC) threw down the gauntlet, sending a cease and desist letter to BetOnline, an unlicensed offshore sportsbook operating illegally in the state.
The SWC, tasked with guarding Tennessee’s $4.8 billion online-only betting market, gave BetOnline until June 16 to pull the plug or face hefty fines under the Tennessee Sports Gaming Act.
This move is part of a broader push to squash illegal operators, with the SWC already slapping $200,000 in penalties on four other offshore books this spring.
“Shuttering illegal sportsbooks will benefit our licensed operators and the public good,” said SWC Executive Director Mary Beth Thomas.
BetOnline in the Crosshairs
BetOnline’s been cashing in on Tennessee bettors without a license, a direct violation of the Sports Gaming Act. The SWC’s letter demands the sportsbook stop accepting wagers, which include illegal offerings like cryptocurrency bets and casino games such as slots or poker.
Unlike Tennessee’s nine licensed operators, like FanDuel and DraftKings, BetOnline skips player protections, from age verification to secure data handling.
The SWC’s calling it out, warning that businesses aiding illegal sportsbooks could face criminal charges.
The SWC’s been on a roll, cracking down on illegal operators with serious cash penalties. In April and May 2025, the Council fined BUSR, BetUS, MyBookie, and Xbet a total of $200,000 for unlicensed wagering.
Last November, offshore giant Bovada shut down in Tennessee after a $50,000 fine. The SWC also sent cease and desist letters to Sportsbetting.ag and Lowvig in April.
Under the Sports Gaming Act, fines start at $10,000 for a first offense, climb to $15,000 for a second, and hit $25,000 for a third, with each illegal wager counting as a separate violation. “Illegal sportsbooks won’t go away easily,” Thomas admitted, but the SWC’s working with state and federal law enforcement to spark a legal betting takeover.
Recommended