Sometime in the first half of 2022, Colorado bettors should have a new way to stake funds to the outcomes of sporting events like table tennis. Sporttrade Colorado is now on a path into the market. It could be unlike any other option Coloradans currently have for CO sports betting.
The product is essentially an exchange similar to those consumers regularly use to buy shares in publicly traded companies. The unique model combined with some investment capital could make Sporttrade more than a novelty for sports fans.
Sporttrade Colorado on pace for 2022 launch
On Wednesday, Sporttrade announced it purchased Momentum Sports and Entertainment, Inc. That company’s headquarters was in Castle Pines. Through a partnership with GF Gaming, which operates the Easy Street Casino in Central City, Momentum had a CO sports betting license.
That license now belongs to Sporttrade, although the company will still have to apply for regulatory approval given the change in ownership. Provided that approval comes in a timely fashion, the platform could go live in the first half of next year.
“Our team looks forward to expanding our presence across the U.S. while continuing to refine our sports betting exchange to provide Sporttrade’s passionate user base with a secure, transparent, and technologically advanced platform from which to wager,” said Alex Kane, CEO of Sporttrade.
When the app launches in Colorado, it will be Sporttrade’s second active market. The company has plans to launch in New Jersey yet this year. The linchpin to those plans was an investment of $36 million from several individuals and entities. Those funds could also prove quite useful in CO as well.
Investment going toward consumer awareness, education
A good chunk of the investment from Nasdaq Ventures and former MGM Resorts CEO Jim Murren will fund marketing. In addition to simply making bettors aware the brand exists, there could be a learning curve.
Sporttrade’s marketplace for sports betting isn’t like the traditional sportsbooks Coloradans have become familiar with. In fact, a more accurate comparison would be stock trading apps like Acorns and Robinhood.
Instead of directly staking an outcome of a sporting event, wagers themselves are the commodities. Just as when you’re banking on a stock’s value appreciating when you buy in, the idea is to purchase shares in bets that are going to win.
For that reason, the research into the markets is the same. In order to make a profit, you need the respective bet(s) to win. The main difference is that instead of putting up your money against the house, in this model, your “opponent” is really yourself.
Another big advantage that some bettors might prefer is this scheme allows them to easily and quickly sell a position as well. That might still mean taking a loss. However, it could limit that liability. Just like with stocks, timing will be key.
Time will tell whether Sporttrade is a hit among CO sports bettors. Regardless, that time should commence sometime next year.