Tennessee Governor Bill Lee has signed two significant gambling-related bills, effectively banning online sweepstakes casinos and criminalizing prediction market manipulation. The legislation, signed on May 22, makes Tennessee the seventh U.S. state to outlaw sweepstakes casino operations and one of the first to establish a Class E felony for manipulating prediction market contracts. Senate Bill 2136 prohibits online sweepstakes games that use virtual currency systems, covering a wide range of casino-style products. This move follows earlier enforcement actions by the Tennessee Attorney General, which had already pressured major operators out of the state. Meanwhile, Senate Bill 1992 targets individuals who intentionally influence prediction market outcomes, adding a criminal liability layer to previous civil enforcement efforts. This legislative action reflects a growing regulatory consensus against unlicensed gambling operations and aims to address manipulation in prediction markets.