SOFTSWISS, the first iGaming software company to work with cryptocurrencies, posted a new report about the performance of crypto coins across key products. Through this report, the company seeks to familiarize other players in the sector with the potential of crypto.

SOFTSWISS Published Its Report

2022 has been a very favorable period for the company so far with total bets on its platform increasing by 33.1% year-on-year throughout 2022. This shows that the global market is increasingly aware of and interested in its products. In turn, this reinforced the company’s performance, which paired with its successful business model, saw GGR increase by 36.6%.

Not everything is entirely rosy in the crypto field though, as the overall number of crypto bets declined. The silver lining is that while there were fewer individual bets, the value of all bets in fiat currencies actually increased by 8.4% quarter-on-quarter and by 24.2% on a year-to-date level. However, the total value of crypto bets still declined by 23.5% on a year-over-year basis.

The fluctuations, SOFTSWISS noted, are due to the cyclical nature of cryptocurrency. The company believes that this is not a “crypto winter” but warned that it still shows a temporary downturn in crypto betting. The company forecasts an uptick in bets during the holidays.  

Vitali Matsukevich, SOFTSWISS’ chief operating officer, said that the temporary slowdown doesn’t change the fact that the overall interest in crypto keeps on increasing. He emphasized the volatile nature of the vertical, saying that it depends on various economic and social factors.

There Is Still Interest in Crypto iGaming

Meanwhile, fiat currency continues to grow its market share. In Q3 2022, more than 70% of the bets placed on SOFTSWISS’ platform were in fiat currencies, while the crypto share declined to 29% from 44% in Q3 2021.

Taking a look at which cryptocurrency coins are the most popular, we see that Bitcoin continues to dominate the sector. In Q3, over 72.8% of crypto bets on SOFTSWISS’ platform used BTC. Ethereum and Litecoin came next with a share of 14.5% and 5.2% respectively.

The company, however, remains optimistic that USDT betting will soon rise. SOFTSWISS also noted that despite the decline of crypto, there is an increased interest in alternative currencies. The iGaming company noted that it believes more operators will soon recognize the importance of accepting alternative currencies as a valid payment method.

Matsukevich elaborated:

Even though world events and crises of 2022 have quarterly impact indicators, prevailing market dynamics continue to favor cryptocurrencies and their use in online gambling.

Vitali Matsukevich, COO, SOFTSWISS

He concluded that the crypto-friendly iGaming market is still more or less stable.

The gambling regulator in the Netherlands, the Kansspelautoriteit (KSA), warned two gambling operators on Thursday. The latest warning comes after the regulator uncovered deficiencies in monitoring and controlling the behavior of online gamblers.

Kansspelautoriteit Warns Two Gambling Operators

The KSA probed into the operations of two gambling licensees and identified breaches of the Money Laundering and Terrorist Financing Prevention Act called Wwft. The gambling regulator did not reveal the names of the two operators but provided information regarding the incidents flagged by the investigation.

According to KSA’s investigation, one 21-year-old customer lost €17,000 for a few months between October and December 2021. A separate incident involved a 23-year-old that lost €87,000 between October 2021 and March 2022. Another incident described by the KSA involved a 26-year-old that lost €114,000 in November 2021 alone, while a different incident pointed to a 29-year-old that lost €27,000 in only two weeks.

“The Gaming Authority (KSA) has issued instructions to 2 online gaming providers for violating the Money Laundering and Terrorist Financing Prevention Act, the Wwft. Research by the Ksa showed that the providers in question do not sufficiently control the gaming behavior of the players. According to the Wwft, this is necessary,“

reads a statement released by the KSA

The Operators Should Monitor Their Users’ Activities

The activities identified by the KSA were suspicious, to say the least, considering that they involved young adults losing thousands of euros for short periods. What’s more, the regulator pointed out that despite the losses of those customers, the two online gambling operators did not investigate or intervene.

“Gaming providers must monitor the behavior of their customers and act on it if there is unusual behavior,“

explained the KSA

According to the KSA, whenever players deposit large sums should raise suspicion for online operators as this may point to match-fixing. It added that also there are individuals that commit crimes to help fund their gambling addiction, which is another incredibly concerning topic.

“Within 3 months of the designation, the games of chance providers must have tightened up the monitoring of gaming behavior. At the beginning of next year, the Ksa will check whether they have done this,“

added Kansspelautoriteit

Following the warning, the KSA said it grants the two operators a period of three months for them to increase their efforts in the monitoring of players. Considering that it is a warning and not a fine, the gambling regulator vowed to check what progress the two operators have achieved next year.

ZeroFlucs, an Australian B2B sports betting startup, has reinforced its team with a new strategic advisor. The one joining the fresh wagering company is none other than Benjie Cherniak, principal at Avenue H Capital.

Cherniak Will Help the Startup

Cherniak is an experienced individual who has formerly served as the managing director of Don Best, another sports betting company that offers wagering, stats, odds and all data punters might need.

As announced by the sports betting company, the new advisor has over 15 years of experience in both the US and international sports betting scene. As someone with such extensive expertise in the sector, Cherniak will play a pivotal role in helping ZeroFlucs achieve its growth targets.

ZeroFlucs is a sports betting provider that powers operators in the sector with software. Its solutions help companies greatly improve their pricings while utilizing their proprietary data sources and relationships. Some of ZeroFlucs’ market deliverables include solutions such as Same-Game and Same-Race parlays and blended betting, among other improvements.

The startup quickly penetrated the Australian market and is now looking to go international and establish a presence in North America as well.

ZeroFlucs “Can’t Imagine a Better Partner”

Cherniak spoke about joining ZeroFlucs. He said that the company is a “game changer” that offers unique racing products for sportsbook operators. He noted that the startup allows companies to significantly augment market offerings and do so while leveraging a gambling company’s existing pricing feeds. This ensures greater pricing accuracy and enhances the betting experience.

Cherniak concluded that he is thrilled to join the fresh company as an advisor.

I’m thrilled to be aligning with Steve and his capable team as they introduce their technology stateside and beyond.

Benjie Cherniak, strategic advisor, ZeroFlucs

Meanwhile, the founder of ZeroFlucs, Steve Gray, said that working with Cherniak is going to assist his team in further refining its strategy and boosting its growth. His advice will help the company with refining its product positioning and messaging. He will also provide the company with key contacts and market insights.

Gray called Cherniak “a proven commodity” in sports betting.

Nearly every operator has worked with him in some capacity over the years and everyone in the industry respects his understanding of the market. It’s hard to imagine a better partner for us on this journey.

Steve Gray, founder, ZeroFlucs

In other news, a few days ago, ZeroFlucs unveiled a new partnership agreement with TopSport.

Sharp App, an innovative sports betting app, took the top prize on David Meltzer’s “pitch-only” show, 2 Minute Drill. The application was applauded for providing players with thrilling experiences by leveraging AI-powered tools, analytics and educational programming.

Sharp App Won $50,000 in Cash and Prizes

The prize was won thanks to the efforts of Jason Mezrahi, the company’s chief operating officer who pitched the company to 2 Minute Drill. Thanks to his efforts, the company won $50,000 in cash and prizes.

The full episode featuring Sharp App is now available on the panel’s website. The episode in question is the second episode of 2 Minute Drill’s fourth season. For those unfamiliar with David Meltzer’s show, 2 Minute Drill features entrepreneurs from various sectors and each week rewards the one who has pitched the most convincing idea with $50,000 in cash and prizes.

The show is hosted by David Meltzer, who is known as a successful entrepreneur and investor, and is also the author of a few best-selling books. During the episode featuring Sharp App, Meltzer served as a judge, alongside several other notable businesspeople. These included Devin Johnson, chief executive of Kennected, Joe Camberato, founder and chief executive of National Business Capital and Shawne Merriman, chief executive of Lights Out and a former National Football League player.

Sharp App Was Honored to Be the Victor

Last month, Sharp App was announced as a part of HPL Digital Sport and Cardinal Sports Capital Accelerator Program. Furthermore, Sharp has been recording a stellar 80% month-over-month premium subscriber retention rate since 2021. Its Game Center is now a centralized hub for the freshest betting news and trends. In addition, Sharp Academy, a multimedia masterclass led by the knowledgeable John Alessia, is there to teach people everything they should know about sports betting.

Merzahi, who pitched Sharp App to 2 Minute Drill, spoke about the award the company received. He said that being recognized by an esteemed group of successful entrepreneurs feels very good.

While our tech-driven tools and services are second-to-none in the sports betting market, what really separated Sharp App from the other contestants was our commitment to sustainable profitability through our lean operation and meticulous approach to user acquisition and retention.

Jason Merzahi, COO, Sharp App

Merzahi concluded that the company is going to use the prize money to further fuel the evolution of Sharp App.

MGA Casinos that rely on iGaming Group’s White Label Solutions are now welcoming players to try Woodlanders, Betsoft’s freshest video slot release with 50 paylines and high volatility. The new game can bring up to 3,794x in max wins and it comes packed with free spins, mystery multiplying wilds, and other interesting game mechanics. iGaming Group’s commercial manager John Foster described the game as “beautifully designed” and “filled to the brim with fantastic features and mechanics” players are bound to enjoy discovering.

Woodlanders Metrics Overview

• Reels: 5
• Rows: 3-4-4-4-3 
• Paylines: 50 
• RTP: 96.06%
• Hit Freq: 28.47%
• Max Win: 10,000x
• Volatility: High
• Min/Max Bet: 0.25-93.75

3-4-4-4-3 Reel Configuration 

The game’s eye-catching format comes as a result of the attractive fantasy theme and art style chosen by the studio known for creating engaging slot content with bonus rounds, frequent wins, innovative game mechanics, and top RTPs. Players eager to join the mischievous fairies in the magic forest can get ready for the new slot’s 3-4-4-4-3 configuration. The reels are packed with stacked mystery symbols that are replaced by random symbols once the reels are done spinning. All mystery symbols on a reel will be identical, allowing players to easily rack up their wins. Besides the mystery symbols that show in the base game, players can also see wild symbols landing with a mystery multiplier worth up to 5x.

All Wild symbols can also feature a Mystery Multiplier up to 5x. All multipliers are multiplicative.

Seeing a minimum of three scatters landing on reels two to four will instantly enable a free spin bonus. During the free spin bonus round, sticky multiplier wilds pop up on the reels, staying in their positions for the remainder of the round, gradually changing their value from 1x to 5x with each new spin. During the same round, players are awarded 10 Free Spins with Sticky Multiplier Wilds and instant payouts. 

Betsoft’s team lead for account management Jonathan Crook described the new game as one that provides players with an “adventurous and nostalgic” gaming experience packed with mystery and “sprinkled with fairy dust.” Crook added that the company which is fully committed to providing the best premium omnichannel gaming solutions to licensed operators was “absolutely delighted” to watch the “charming slot” go live with iGaming Group’s white-label solutions. The new game will join joining iGaming Group’s portfolio of products and go live across all MGA casinos as a result of an exclusive agreement valid for one 1 month.

The official release date for Woodlanders was set for December 8, 2022. At the beginning of the month, Iron Dog Studios also chose MGA-licensed iGaming Group’s sites for the launch of its fresh Rum & Raiders Hold and Win game. 

Legal sportsbooks in Tennessee reported strong results last month, hitting $405.3 million in sports betting handle, a new record for the state.

Tennessee Sportsbooks Collect Record Wagers in October

Details released by the gambling regulator in the state, the Tennessee Sports Wagering Advisory Council (SWAC), reveal that the total sports betting wagers in October hit $405,337,575. When compared to the $375.3 million reported in gross sports betting wagers from October last year, an increase of nearly 8% is observed.

But most importantly, the $405.3 million result from last month marked a new record sports betting handle for the state. Besides an increase on a year-over-year basis, the result from last month showed an increase when compared to September. Sports betting handle in September this year halted at $336.9 million, which means that in October, it increased by 20.3%.

Sports Betting Continues to Boost the State’s Coffers

SWAC’s latest data reveals that the payouts considering the $405.3 million handle were $368 million, while adjustments for the month amounted to $2.5 million. The $405.3 million in gross wagers translates to $34.8 million in adjusted gross income for the regulated sports wagering operators.

Given the 20% tax rate on sports betting revenue, the state collected $6,989,818 in taxes from the activity last month. This result completely surpassed the $3.4 million in taxes reported for the same period in October last year. However, the result from October this year marked the second-highest tax revenue from the activity, falling behind only by the record $8.7 million in taxes reported a month earlier, in September.

Legalized back in May 2019, Tennessee launched its legal sports betting market more than a year later, in November 2020. Currently, the state offers online sports betting with nearly a dozen operators offering their services. It’s no surprise that leading operators such as FanDuel, DraftKings, Caesars, BetMGM and WynnBet, to name a few, have secured access and offer their services in Tennessee.

Since the launch of the sports betting market in the state, so far, licensed operators have reported more than $6 billion in sports betting handle. To date, the activity brought to the state nearly $95 million in taxes. Currently, tax revenue in Tennessee helps the local government, education, as well as different gambling harm treatment programs.

Asociación de Loterías, Quinielas y Casinos Estatales de Argentina (ALEA) and Gaming Laboratories International (GLI) have teamed up to launch a scholarship program for Argentine regulators, the organizations have confirmed in a press release.

More Educational Opportunities for Gambling Professionals

The scholarship will be funded by both participants, and it will seek to help out students who want to obtain degrees and qualifications in the Technician in Management and Administration of Games Chance subjects at the University of Salta in the country.

The Technician in Management and Administration of Games of Chance is backed by both the university and ALEA is the first such degree in Latin America that ties directly into the gaming sector and is developed with the idea of producing more capable individuals who can work in the gambling industry, understand the regulation, and the private sector better, and generally elevate standards across the board.

ALEA already provides training to lottery personnel in Argentina. ALEA executive director Mario Trucco welcomed the opportunity to be sponsoring this new initiative that will help train individuals who wish to obtain the degree and help contribute to the betterment of the gaming industry in the region:

We invite all those interested to join the Race, as registration for 2023 is about to begin.

ALEA executive director Mario Trucco

GLI VP of Latin America and the Caribbean Karen Sierra-Hughes was similarly pleased with the opportunity to collaborate with ALEA and launch this new scholarship opportunity.

GLI Committed to Regional Gambling Industry Growth and Sustainability

GLI, Sierra-Hughes said, was happy with the opportunity to see the regional gaming industry continue to grow. The Caribbean, Argentina and the Latin American market, in general, have been important markets for the company, she noted:

Now, this scholarship is aimed to support one of ALEA’s objectives, which is to create further opportunities for the professionalization of regulators, with a unique technical gaming degree unprecedented in the Latin America region, which in turn, strengthens the industry.

GLI VP of Latin America and the Caribbean Karen Sierra-Hughes

The scholarship is an opportunity to help local talent grow and become the next generation of leaders and experts that gambling will need as key jurisdictions across Latin America regulate.

Social gaming operator SciPlay reported its financial results for the third quarter of 2022, posting double-digit revenue growth but increased operating expenses weighed on its bottom line.

Alictus’ Acquisition Playing Its Part

SciPlay published its earnings report for the quarter that ended September 30, 2022, posting revenue of $170.8 million, up 16.5% from $146.6 million registered in the third quarter of 2021. The new quarterly record was due to the strong social casino performance and the full quarter contribution from Alictus, the game developer acquired by SciPlay in March.

Commenting on the results, Josh Wilson, chief executive officer of SciPlay, highlighted the “record revenue and strong profitability in the third quarter” as the business managed to outperform the overall social casino market for the second quarter in a row due to its “long-term strategy, strategic investments and strong execution.”

During the quarter, SciPlay incurred higher operating costs primarily driven by marketing spend which increased by $14.9 million, $8.6 million higher personnel costs, including stock-based compensation, and an increase in depreciation and amortization by $4.5 million, and registered a net income of $33.7 million, down 8.9% from $37 million in the third quarter of 2021.

Adjusted EBITDA for the quarter came at $42.8 million, down 4.3% from $44.7 million in the previous comparable period in the year prior, also reflecting increased investment in innovation, SciPlay Engine and to build a direct-to-consumer platform that will support future growth for the business.

“Our strategic investments, including in the SciPlay Engine and our upcoming direct-to-consumer platform, will enhance our ability to drive growth and long-term margin expansion as we continue to scale ARPDAU and take a competitive leap in the current business environment,” Wilson added, reiterating SciPlay full-year 2022 revenue growth and adjusted EBITDA margin targets, focused on the “unparalleled combination of opportunities to grow and scale” as a vehicle for driving shareholder value.

Cash and Cash Equivalents Decreased

At the end of the quarter, cash and cash equivalents decreased by $65.2 million, or 17.9%, to $299.2 million mainly due to the $107.9 million cash consideration related to the Alictus acquisition.

Payments and related distributions to Light & Wonder incurred an additional $26.8 million, while $24.5 million in legal settlement and $18.2 million in share repurchases were the other significant cash outflows. Cash outflows were partially offset by $95.2 million cash flow from operations during the first three quarters.

SciPlay interim chief financial officer Daniel O’Quinn also commented on the results, pointing to the strong execution and engaging content as key drivers for revenue growth.

“We also made significant progress advancing our capital allocation priorities, including investing in our core capabilities to fuel long-term growth while also buying stock under our share repurchase program,” he added, outlining that to date SciPlay has repurchased “nearly half of the total program authorization in the first five months.”

“We have a strong balance sheet, with ample liquidity, and anticipate continuing to repurchase our shares given the compelling value,” O’Quinn concluded.

Bragg Gaming Group, an international business-to-business supplier of gaming technology and content, has reported its quarterly results for the third quarter of 2022. The three months ended September 30 were a great time for the company, attributing to record quarterly revenue.

Bragg Saw Revenues Skyrocket

Bragg Gaming reported revenue of $20.9 million, a 62.3% increase from last year’s $12.8 million. Betting revenue from customers sat at $4.6 billion, up from $3.2 billion in Q3 2022. The company noted that its change in product mix towards turn-key customers improved its gross profit and AEBITDA.

Speaking of gross profit, the metric increased by 58% to $10.4 million. The company also posted an adjusted EBITDA of $2.2 million, which represents a great 51.6% increase from last year’s $1.6 million. This represents an AEBITDA margin of 10.7%.

Bragg Gaming posted a net loss of $2 million. While the company failed to record net profits, this result is still a noticeable improvement from last year’s net loss of $2.5 million. The company added that it could have performed better in this aspect, had it not been for the increased costs, expenses and higher depreciation and amortization.

Lastly, the company reported cash and cash equivalents of $17.2 million. Thanks to the generally favorable results, the company improved its FY guidance to $76-80 million and its EBITDA guidance to $10-11 million.

The Company Grew Its Business

Bragg also highlighted some of its major achievements during the quarter. In the summer of 2022, for example, the supplier launched its Oryx-powered remote game server in Connecticut, Ontario and Michigan. At the end of September, it also finalized the integration of Wild, Oryx and Spin games.

In September, the company received $8.4 million in funding from Lind Global Fund. That same month, Bragg inked and a content agreement with Bally’s Interactive/Gamesys, which saw the supplier power the operator’s iGaming brands with content.

In the next month, Bragg teamed up with Sega Sammy Creation, receiving the exclusive rights to distribute some of the studio’s iGaming titles to operators in select regulated global markets.

CEO Sherman Praised the Results

Yaniv Sherman, Braag’s chief executive officer, commented on the results. He noted that the current results demonstrate a significant YOY revenue, gross profit and AEBITDA growth. This, Sherman said, demonstrates the company’s progress in providing content and services of quality to its quickly-growing customer network.

Sherman said that the company is currently looking to speed up the speed at which it develops new games and to onboard more third-party content to its platform. He is happy that the company’s library has grown and is looking to further strengthen the company’s position as a leading supplier.

The CEO concluded that he is proud of the company’s adjusted EBITDA performance and expects further growth in 2023, as well as increased shareholder value.

On Wednesday, Scientific Games announced that its vice president of global responsible gambling, Carla Schaefer, has been appointed to the board of directors of the National Council on Problem Gambling (NCPG). The lottery industry professional, who has 36 years of experience in the said industry, is also heading Scientific Games’ Healthy Play program, which provides resources to lotteries to help them raise awareness among their players about gambling problems and addiction.

Schaefer as an NCPG’s Open Organization Member

Schaefer is the only lottery industry executive serving the NCPG’s board of directors. She was named to the position of open organization member on the 15-member board of directors of NCPG and will help guide policies and work on strategies to achieve the council’s goals.

Schaefer’s Experience in the Lottery Industry

Schaefer started to work in the lottery industry firstly in a state lottery. Later, in 1994, she moved to the lottery private sector by joining Scientific Games. Prior to her current position, she served as a regional vice president, international business development, vice president of new business development, and managing director, among others.

Keith Whyte, who serves as an executive director of NCPG, commented that the council is “thrilled” about Schaefer joining its board of directors. Whyte added that as Schaefer has a vast experience in the lottery sector, she would bring “corporate and social responsibility” to NCPG, which would benefit all shareholders.

Dena Rosenzweig, chief legal officer at Scientific Games, stated that they congratulated Schaefer for being appointed to the NCPG board of directors. She also said that Scientific Games, its employees, lottery customers, and NCPG as well are very lucky to have her on board.

Carla is a respected lottery professional with a passion to make a difference in responsible gaming.

Dena Rosenzweig, chief legal officer, Scientific Games

Scientific Games Extends Contract with Idaho State Lottery

Earlier this week, Scientific Games announced that it has extended its contract agreement with the Idaho Lottery, which will continue to offer the company’s instant scratch games to players in the US state. The lottery will also continue to work together with the gaming provider on game planning and design. Scientific Games has approximately 4,000 instant scratch game designs per year and over 100 licensed brands, such as Monopoly, Slingo, and The Wizard of Oz. Its products, especially two of the most grossing Idaho Lottery Scratch Games, Sapphire 7s and Million Dollar Blowout, had a significant impact on the Lottery’s revenues in the fiscal year 2022 and are among the favorites of the Idaho players.