Published on: October 25, 2024, 12:37h.
Last updated on: October 24, 2024, 05:41h.
Bovada, an illicit online casino and sports betting site targeting players in the United States, has been fined $50,000 by a state authority in Tennessee.
The Tennessee Sports Wagering Council oversees the regulation of online sports betting and fantasy sports in the Volunteer State. Recently, the state gaming regulatory took action against Bovada for running an unlicensed and therefore illegal sportsbook.
The agency alleges that Bovada did not comply with a cease-and-desist letter previously sent. Despite stating that they had exited Tennessee, state gaming officials claim their investigators were still able to place bets on the Bovada sportsbook platform as of Oct. 16.
Tennessee’s Sports Gaming Act empowers the council to levy fines on unlicensed sportsbooks unlawfully accepting bets from players within the state. The law allows for a $10,000 fine for the initial offense, $15,000 for a second offense, and $25,000 for subsequent offenses.
If Bovada does not promptly shut down its online sportsbook to Tennessee residents, the council is authorized to impose additional penalties of $25,000.
Users Urged to Close Accounts
Despite marketing itself as a “top USA-based gambling and sports betting website,” Bovada deceives American consumers. The rogue offshore gambling network operates from its base in Curacao, a Caribbean island that is favorable to iGaming companies. Bovada claims to operate legally online through an interactive casino and sports betting license issued by the Anjouan Gaming Board, a small volcanic island country between southeastern Africa and Madagascar in the Indian Ocean.
Players in the US who engage with sites like Bovada and other offshore online casinos and sportsbooks do not have the same player protections as those provided by licensed operators. The council not only imposed a $50,000 fine on Bovada for violating Tennessee law, but also advised any resident with an active account on the site to withdraw their funds immediately and close their account.
The Sports Wagering Council recommends that Tennessee users of Bovada withdraw their funds immediately. Our primary role is the protection of the public interest through a safe, regulated environment, and Tennessee sports bettors need to know that just because they can access a sports betting website or app inside Tennessee’s borders does not mean it is licensed to do business here,” said Sports Wagering Council Executive Director Mary Beth Thomas.
“Legal sportsbook operators provide important bettor protections not found in the illegal market. If an individual wagers with unlicensed sportsbooks, their sensitive financial and personal information may not be protected and could even be shared with criminal enterprises. The bettor’s money could be withheld or disappear without a way to recover it,” the council’s statement added.
Tennessee only allows for mobile sports betting, as the state does not have any commercial or tribal casinos for in-person wagering.
Payment Unlikely
Given that Bovada’s offices are 9,000 miles away from Tennessee, the likelihood of the Sports Wagering Council receiving a $50,000 check anytime soon is slim. Bovada primarily operates with cryptocurrency.
Nevertheless, the state gaming agency states that it is “collaborating closely” with a network of federal and state law enforcement agencies “to eliminate illegal sportsbooks like Bovada and others.”
Bovada has received multiple cease-and-desist letters in recent months. On its platform, the offshore gaming operator specifies that it does not accept bets or customers from Colorado, Connecticut, Delaware, Kansas, Louisiana, Maryland, Massachusetts, Michigan, Nevada, New Jersey, New York, Ohio, Pennsylvania, Washington, D.C., or West Virginia.