When it comes to the sports betting situation in the US, a couple of states have already legalised different types of gambling, while some of them are on their way to do the same. For example, last month we reported on the decision for Michigan to legalise sports betting in three casinos.
Additionally, there are some US states whose sports betting launch strategies will be revised. One of them is Washington where sports betting launch was delayed in March. There, online sports betting was planned to be legalised, but the state will continue working on its preparation until it goes live. Last week we also reported on sports betting updates in Colorado and Virginia whose sports betting bills are almost ready to be legalised.
Now, we are bringing you news about Tennessee, where sports betting regulations have been set with 90% hold cap. In addition, we have information about Colorado that will become home to one of the most successful sportsbooks from Nevada.
Tennessee finalised sports betting regulations
About nine months after the state legalised sports betting, the Tennessee Education Lottery Corporation approved sports betting regulations on Wednesday. During a conference call, the board finalised the license application forms and set an extremely high hold cap at 90%. Opposite of the recommendations from its own Sports Betting Advisory Council, the Tennessee Board established a fixed payout cap of 90% which, according to many experts, will lead to a huge competitive disadvantage for legal sportsbooks in the state.
The board unanimously approved the state regulations and the newly approved regulations should be available online from Friday. It is also planned that the licence application forms will be available online from next week. It’s not clear how long it will take the board to review the applications, but they have 90 days to review each application by law.
The initial draft regulations were posted last year where the payout cap on sports bets was 85%. Then, controversy happened so the Tennessee Board increased the cap to 90%. However, the percentage is still high for US sports betting, according to a comprehensive study by Eilers & Krejcik. The hold is the percentage that the operators keep after wagers are settled with bettors. In Tennessee, that means a hold of 10%, while the national average hold is about 7.5%. For example, New Jersey’s hold is 6.9%, while Nevada’s is 6.3%.
The Tennessee board hopes to have sportsbooks live by the time the biggest US professional sports return.
Colorado welcomes the SuperBook sportsbook
As we already reported, Colorado has been busy getting its sportsbook processes in space, and casinos that received licences are looking for some assistance to manage the operations. One of the most successful sportsbooks in Nevada, SuperBook, is coming to Colorado. It is expected that SuperBook will start operating at the Lodge Casino in Black Hawk when Colorado’s sportsbook goes live in May.
SuperBook is currently operating a retail sportsbook at the Westgate Las Vegas Resort & Casino, and a mobile betting app across Nevada. However, its partnership with Jacobs Entertainment allows SuperBook to expand to other states, starting with Colorado. Colorado is going to allow users to register digitally, so they don’t have to travel to a physical location to identify themselves before placing bets. Such a procedure is currently working well in other states, including Pennsylvania and New Jersey.