Do you enjoy investing in the stock market or trading cryptocurrency? If so, a twist on the standard mobile sports betting platform may be for you. After reaching a market access partnership with Caesars, Sporttrade plans an Indiana launch in 2023.
Sporttrade is designed to marry a traditional sportsbook with traditional market trading in stocks and cryptocurrency. It has yet to launch in any market.
It may not be for everyone. Only time will tell, as is the norm with any venture looking to shake up an industry. CEO Alex Kane told The Advocate that betting exchanges have launched in the United Kingdom, currently accounting for 7-10% of the sports wagering handle.
Sporttrade is slated to launch in New Jersey and then Colorado in 2022. Launches in both Indiana and Louisiana are planned for 2023.
“We are incredibly humbled to be partnering with two of the most recognized Gaming leaders to bring our differentiated sports trading platform to customers in Louisiana and Indiana,” Kane said in a statement.
“Penn National and Caesars Entertainment believe in our vision of elevating the sports betting industry and see the opportunity to make sports betting more akin to capital markets and tap into (the) growth of retail stock and crypto traders, as well as attracting traditional sports bettors.”
Kane told The Advocate that Sporttrade is similar to Robinhood (stock trading) or Coinbase (cryptocurrency). Sporttrade users simply buy and sell their stake in a particular game as if dealing with stocks or cryptocurrency.
Sporttrade Planning New Approach For Indiana
If you’ve utilized mobile sports betting in Indiana, you know the sports you can wager on. You also know the types of bets you can place. Moneyline, point spread, and totals bets are readily available. In addition, you know the markets for Futures and Parlay bets.
Sporttrade, though, won’t initially offer all of the traditional bets. So, if you want to place a Futures wager, or build a multi-leg Parlay, you’ll stick to DraftKings, BetMGM, Caesars, BetRivers, FanDuel, Unibet, or PointsBet.
Sporttrade describes itself as “the first dynamic sports betting and trading exchange where you can trade sports bets like you trade stocks.” If you enjoy those highs and lows, Sporttrade’s approach may be readily appealing.
The operating model mirrors that of the financial markets. Sporttrade vows price transparency, liquidity, and reduced transaction costs.
Transaction costs will be lower as Sportstrade’s odds won’t have a vig attached. The site says its role is matching buyers and sellers of a particular wager at the best available price.
There are no lock-out periods while wagering with Sporttrade. You can trade into and out of the bet at any time during the game.
For example, if you’ve bet on a Major League Baseball game, you can add to your wager in the early innings. But if you don’t trust the team’s closer, you can close the wager, taking its current market value.
If you’ve bet on an NBA team known for late-game comebacks, you can add to your stake when it is behind in the game. If other bettors have similar circumstances for their bets, you may be able to buy low on their bets.
“The key is you have live positions that have a live value,” Kane told The Advocate. “You’re building a portfolio and checking and monitoring it live.”
What Type Of Bets Will Sporttrade Offer?
Sporttrade is set to follow a “less-is-more” approach in terms of available wagers. Kane told The Advocate that the site will offer positions based on the line initially. Wagers will be limited to NFL and college football games, Major League Baseball, NBA and college basketball games, and professional golfing events.
Kane told The Advocate that the narrow focus will help Sporttrade’s liquidity. In time, the site will look to add Futures and Prop bets after building its customer base.
Kane believes users will adapt to the site, sparking growth.
“I think the amount wagered through our exchange will be disproportionately higher than a traditional sportsbook because you can trade in and out during a game,” Kane told The Advocate. “This will allow customers to stretch their money further.”