YouTuber-turned-boxer Jake Paul has secured $50 million in venture capital to launch a new sports betting platform called Betr.
Paul said on Monday that Betr will focus on two businesses – so-called micro-betting and the production of original sports content. In micro-betting, sports fans bet that something will happen during a game, rather than betting on the final outcome.
“I wasn’t into sports betting until I met micro betting,” Paul said in a statement. “Micro-betting is the TikTok-ification of sports betting and I’m excited to bring it to the masses through Betr.”
Paul also said he was launching a weekly sports show.
The $50 million investment was raised from professional athletes, including NFL players Ezekiel Elliott and DeSean Jackson, as well as traditional venture capital funds such as Aliya Capital Partners and FinSight Ventures. Betr also has financial backing from co-owners of the Boston Celtics and Miami Marlins, the company said.
Paul teams up on Betr with Miami gambling entrepreneur Joey Levy. In a blog post on Medium. Levy said he remembers trying to bet on sports in 2014 using an offshore sportsbook and found the process confusing. The gambling app for Betr will be simple and intuitive, he said.
“Jake has become one of the world’s most searched public figures on Google and is now one of the world’s highest-paid athletes,” Levy said in a release. “And he’s probably the smartest marketing mind I’ve ever met.”
Paul previewed his new sports show via a live webcast on YouTube on Monday, saying the show will feature celebrity guests and famous athletes. The company has not released details on when Paul will release future episodes.
Betr launches at a time when more and more countries are legalizing online sports gambling. States began legalizing online sports betting three years ago after a 2018 Supreme Court ruling struck down a federal law banning gambling on football, basketball, baseball and other sports.
States where sports betting is now legal have reported millions of dollars in tax revenue, according to gaming associations. As of May, 30 states across the US have legalized online sports betting.
The world of online sports gambling is already littered with well-established companies like DraftKings, FanDuel and Caesars Sportsbook, all of which have generated millions of dollars in revenue in recent years.
Christopher J. Brooks is a reporter for CBS MoneyWatch covering business, consumer and financial stories ranging from economic inequality and housing to bankruptcy and sports business.
