Several former FanDuel executives have banded together to launch BetDEX – a new betting product that aims to be the first-ever decentralized sports betting protocol. The company has raised $21 million to jumpstart its operations.
BetDEX to Revolutionize Sports Betting
BetDEX is being developed by notable people, each with years of experience in the gambling field. Varun Sudhakar, a former FanDuel senior manager will head the BetDEX as a chief executive officer. Stuart Tonner, the former head of engineering at FanDuel Glasgow will become the new company’s chief technology officer. Lastly, Nigel Eccles – a co-founder and former FanDuel chief executive will be stepping in as BetDEX’s non-executive chairman.
BetDEX’s vision is to implement blockchain solutions to sports betting and revolutionize the sector. The people behind the project believe that while the global betting market has been steadily growing, there has been a lack of true innovation, combined with high charging fees. Sudhakar, BetDEX’s first chief executive, is firm that BetDEX is “diametrically opposed to this approach.”
That’s BetDEX will take a turn. Its protocol, powered by the Solana blockchain, will make it possible for clients to trade quickly, safely and cheaply. Furthermore, the decentralized nature of the protocol will make it possible for everyone to build third-party applications that improve the overall value of the product.
“We will successfully compete against incumbents with a markedly superior product and low fees, which is now possible with the advent of blockchain technology. Winners will always be welcome on our protocol,” Sudhakar said.
The BetDEX founders plan to use BetDEX as the foundation of their own betting platform in the future.
BetDEX’s Seed Funding Round Yielded $21M
BetDEX’s initial base of operations will be Scotland, with the founders already hiring employees. Once launched, the protocol will accept Solana, Tether and Samoyedcoin as viable currencies for bets.
To jumpstart its operations BetDEX launched a seed funding round that managed to garnish a total of $21 million, making the company one of the best-funded startup companies across the whole of Britain.
The top investors were the cryptocurrency investment firm Paradigm and the crypto exchange FTX.
Paradigm investment partner Arjun Balaji, spoke about his party’s decision to support BetDEX. According to him, it’s more than obvious that cryptocurrencies will revolutionize sports betting.
“DeFi has shown how financial markets can be automated and distributed to the benefit of consumers. Crypto can do the same for all other kinds of financial activities, including betting,” Balaji pointed out.
He added that BetDEX’s team seems poised to “create something that shows the way forward for everyone working in the space.”
FTX’s chief executive and founder, Sam Bankman-Fired is also thrilled to be working with BetDEX. Bankman-Fried acknowledges that the team behind the project is experienced and can achieve its goals.
“It is mind-boggling that more sports wagering does not occur on exchanges – we firmly believe in giving consumers the ability and control to set their own price and are excited to partner with BetDEX to bring this vision to fruition,” Bankman-Fried said. Eccles, BetDEX’s co-founder and chairman, welcomed the investors.
“We are energized to have the backing and wealth of expertise that comes with having Paradigm and FTX as cornerstone investors,” Eccles noted.
Other notable investors include Everblue Management, Hack VC, Lightspeed Venture Partners, Multicoin Capital, Sino Global Capital and Solana Ventures.