Betfair launches ring-fenced exchange in Italy
Operator becomes the first regulated exchange provider in Italy shortly after deciding to halt marketing activities in Russia
Betfair has become the first operator to launch an online betting exchange product in Italy as it increases its focus on regulated markets with the firm also revealing it would stop accepting new customers in Russia.
Following an “extensive” testing process with Italian regulator AAMS, Betfair’s exchange has joined its existing portfolio of products launched in the country which include its fixed-odds sportsbook, poker and casino sites.
The launch comes just a day after Betfair informed affiliates that it is to stop acquiring customers in Russia as of this Friday and stop marketing in the region, citing “recent developments within the Russian market”.
Last week the country blocked domains belonging to online gambling operators, with firms including Ladbrokes, PokerStars and Unibet all added to a blacklist managed by the Russian prosecutor’s office.
With ring-fenced national liquidity, the product opened for business yesterday for two Serie A football matches including Genoa versus AC Milan, and are thought to have attracted matched 1X2 bets of around 12,000.
“We are pleased to be the first fully regulated exchange operator in Italy and look forward to bring the advantages of our innovative betting platform to Italian customers,” Breon Corcoran, CEO at Betfair, said.
“We believe this launch marks an important step in our drive to grow sustainable revenues.”
Italy first introduced a ministerial decree seeking to regulate exchange betting in January 2012 and Betfair immediately supported the proposal.
Martin Cruddace, then legal and regulatory affair director at Betfair, claimed the move demonstrated “that the Italian authorities have full confidence that the introduction of betting exchanges will be a good move”.
The decree was then approved by Italy’s finance minister in March 2013 and regulations then came into force in May last year, setting the tax rate at 20% of commission received by exchange operators.