- SGIF plans on investing in startup sports betting companies.
- Sports betting is potentially a $17 billion industry.
- Many veterans from the sports betting industry are in charge of SGIF.
LAS VEGAS – The Sports Gaming Investment Fund (SGIF) announced this week that they plan on investing in startup sports betting companies.
In 2018, the repeal of the Professional and Amateur Sports Protection Act (PASPA) happened. Since then, many companies are looking to break into the sports betting industry. The SGIF is looking not only to discover these companies, but to fund and guide them as well.
“Gambling is one of the toughest industries for startups from a compliance perspective. Having the right plan as early as possible in the process can easily be the difference between success and failure for a startup targeting the sports betting industry, said Blaine Graboyes, an advisory partner in SGIF.
With how difficult it is to break into the gambling industry, SGIF wants to give promising startups a fighting chance. After all, legal sports betting is estimated to be a $17 billion industry. Startups are going to need help if they want to be competitive in this market.
Revenue reports confirm that sports betting is a growing industry. Ever since New Jersey sports betting launched in 2018, the total handle has surpassed $3.7 billion in the state. Revenue has topped $250 million as well. With so much revenue coming in the first year of legalization, SGIF believes there is a place for startups.
“There’s no doubt that the keys to fully unlocking the potential of the U.S. sports betting market are in the hands of startups. We’re just now starting to see the ideas that will ultimately define sports betting in the United States,” said Chris Grove, managing partner of SGIF.
Daniel is a writer that enjoys writing to inform readers. When Daniel was writing for The Borgen Project, he liked informing the world about victories in global poverty issues. Daniel is also an avid horse racing fan who has been going to the track with his father for over a decade betting the ponies. When he is not writing about sports betting or at the track, Daniel loves playing video games and watching sports in his spare time.