sports betting wagering innovator launches new start-up
17 November 2021
Share
close panel
Share page
Copy link
About sharing
By Douglas Fraser
Business and economy editor, Scotland
One of Scotland's most effective innovation groups is beginning once again with a new company - and has actually protected the greatest initial financial investment of any British start-up .
bet9ja.com
BetDEX is being led by Nigel Eccles, who co-founded fantasy sports betting wagering website FanDuel in 2009 in Edinburgh.
The new company has seed financing of $21m.
It aims to launch a brand-new open source software application platform, on which others can innovate in sports betting wagering, in the very first half of next year.
The company is hiring personnel from a base in Scotland.
FanDuel was offered to Flutter - formerly named Paddy Power Betfair - in 2018 and is now worth more than $30bn.
However, Mr Eccles and other co-founders are in legal dispute with FanDuel's later phase financiers over the way in which they structured a takeover, which left the Edinburgh team without a share of the increasing assessment.
Mr Eccles said that one thing he learned from the FanDuel experience was to select investors thoroughly.
He told BBC Scotland: "We took a great deal of lessons from that, one of which was the importance of who we select as investors in this brand-new business, to guarantee their worths are lined up with ours, that they take their fiduciary tasks responsibly, and that they're the ideal partners for us."
The $21m seed financing for BetDEX consists of stakes taken by 7 backers of US innovation firms, including 2 big funds - Paradigm and FTX - which specialise in buying business operating with crypto-currencies.
Varun Sudhakar, president of BetDEX, said: "The sports betting wagering industry charges high rates for bad items and limitations trades by its most successful users.
"BetDEX is diametrically opposed to this technique. We will successfully complete versus incumbents with a markedly exceptional product and low costs, which is now possible with the arrival of the blockchain innovation."
As chairman of the brand-new company, Mr Eccles stated it might look familiar to retail punters utilized to existing online firms.
'Pool of skill'
However, he says that those who utilize its platform to run their own wagering companies will have the ability to innovate and create a broader variety of wagering products.
He said the normal share taken by online bookmakers is 7% to 10% of a stake, however BetDEX needs to permit that to fall below 1%.
The company will establish its own sports betting apps to run on the platform.
Mr Eccles stated these would take an "intelligent, thoughtful" method to the way they are marketed to safeguard those who have problem with issue sports betting.
He stated the team of around 500 software engineers who helped construct FanDuel from Scotland showed that it remains the location to build a company. BetDEX has the exact same head of innovation, Stuart Tonner.
bet9ja.com
"A lot of that [FanDuel] success was constructed on an extremely skilled, really gifted engineering team, that developed this product that could process millions of bets and millions of users.
bet9ja.com
"There's a real skill pool of experienced engineers who assisted us construct our item and that's what we wish to leverage for BetDEX as well."
Related topics
Edinburgh
Sports betting
More on this story
Paddy Power purchases fantasy sports betting site
23 May 2018
bet9ja.com
FanDuel founder leaves business
Published
20 November 2017
1
Sports Betting Innovator Launches new Start-up
byronhenninger edited this page 2025-01-02 01:34:59 +00:00