Tennessee's online sports gambling market, the largest in the country, has seen over $19 billion placed in bets, generating more than $345 million in tax revenues since 2020.

The revenue has provided hundreds of millions of dollars for educational purposes, including the state's new program using tax money to give private school tuition subsidies to Tennessee families.

However, those funds could be siphoned away by a newer wagering model called prediction markets that falls outside of state purview and is instead regulated by the U.S. Commodity Futures Trading Commission. Prediction markets are classified as "financial trading platforms," not a gambling service.

Rather than offering sports bets, prediction sites like Kalshi and Polymarket sell "futures" in the form of "sports event cont

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