DraftKings to embrace micro-betting markets after striking multi-year Simplebet deal
DraftKings customers will soon be able to wager on pitch-by-pitch MLB action with similar products available across NFL and NBA
DraftKings has clinched a multi-year deal to integrate Simplebet’s real-money micro-betting markets into its sportsbook as part of a wider focus on in-play entertainment.
Under the terms of the agreement, DraftKings will integrate Simplebet’s micro-betting products for the NFL, MLB, and NBA.
Simplebet will also provide DraftKings with a new suite of college football products, which have been described as the first of their kind in the emerging college sports betting market.
“Integration with Simplebet’s micro-betting technology will allow DraftKings customers to engage even further with the sports they love by wagering on, among other things, play-by-play, throw-by-throw and pitch-by-pitch throughout a sporting event,” DraftKings said in a statement.
The Boston-based operator recently launched same-game parlays for its sportsbook amid its transition away from the Kambi platform and onto its proprietary betting software (SBTech).
Commenting on the deal, DraftKings global product and technology president Paul Liberman said: “Through our shared commitment to delivering innovative technology, our customers are now able to take part in this unique betting and engagement experience on the DraftKings sportsbook.”
Example of the types of bets DraftKings will begin offering through its new partnership with Simplebet: pic.twitter.com/vldetRUrLl
— David Payne Purdum (@DavidPurdum) August 24, 2021
Simplebet completed a $15m funding round in March, bringing its available cash to $50m.
The firm has committed to using these funds to enhance its product base engineering resources to enable more efficient customer integrations while exploring other strategic opportunities.
Targeted funding will be used on enhancing its existing NFL, MLB, and NBA products, while adding so-called derivative micro-markets, introducing new subcategories of micro-markets called Scripts, and eventually expanding into other sports.
The partnership comes just 24 hours after Simplebet confirmed the addition of former MGM Resorts International CEO Jim Murren to its board of directors.
Simplebet co-founder and CEO Chris Bevilacqua said he was thrilled to be working with DraftKings on the new integration of its micro-betting products onto the DraftKings sportsbook.
“These types of offerings represent the next evolution of sports betting and deliver enhanced opportunities for operators and fans alike,” Bevilacqua explained.
“We look forward to the successful rollout and to showcasing the excitement that comes with micro-betting,” he added.
Following the announcement, Cathie Wood’s Ark Invest fund snapped up 1.07 million shares —estimated to be worth $60.6m — in DraftKings on 24 August.
Shares of the Boston-based sports betting company closed 5.91% higher at $56.47 on Tuesday.
Ark owns stakes in DraftKings via the Ark Innovation ETF, the Ark Next Generation Internet ETF and the Ark Fintech Innovation ETF and deployed all three of its active ETFs to buy shares in the business.
On a consolidated basis, Ark already held 13.87 million shares, worth $740m, in DraftKings, before Tuesday’s trade.