Will Prophet Have What It Takes To Profit In NJ Sports Betting Market?

Companies continue to desire a piece of the NJ sports betting pie, even more than three years following its 2018 launch. The current app count stands at 19. Don’t be surprised if five or more brands launch in time for the 2021 NFL betting season.

Prophet, a New Jersey-based sports betting exchange founded in 2018, is likely one that nobody included on the growing list.

The company announced a market access deal with Caesars Entertainment via press release. The announcement includes a targeted “2021 football season” as the launch date, pending regulatory approval.

Indiana could follow in 2022.

However, we are now approaching the fourth season of legalized NFL betting. Plus the market leaders FanDuel Sportsbook, William Hill, and DraftKings Sportsbook have been around since year one. It means an unknown company like Prophet, even though it will be different from the traditional sports betting app, will need to have a strong business plan out of the launch gates.

What Prophet is saying about the deal

Judging by the very limited information on the company website, Prophet still has a lot of work ahead leading up to NFL season. At the same time, nobody knows what is taking place behind the scenes.

However, co-founders Dean Sisun, CEO, and Jake Benzaquen, COO, are definitely excited about the multi-year market access agreement with Caesars Entertainment. The plan is for Prophet to offer its services via web browser, iOS, Android, and via their public API.

“Prophet is going to be the sports betting exchange of choice because of its simplicity and focus on sports betting principles. We are for the customers who want the best experience and prices on the market,” said Sisun.

He continued: “Our customers will have the luxury of placing bets on spread and total markets at even (+100) odds, not being limited on any action, and also have the ability to create their own odds on markets offered.”

Sisun uses a point spread example to help explain how Prophet will work. He said if the line on a game is -6, but the gambler is seeking -5.5, that offer can be made using the Prophet app.

And the same method would apply for both moneyline and totals markets.

Prophet is latest to offer sports betting with a twist

So the big question is will this trading concept that Prophet plans on offering customers be enough to cut it?

Remember we are talking about an NJ sports betting market that has taken more than $15 billion in wagers since June 2018.

Plus this company will not be the first to roll about with a stock-exchange-like approach to sports wagering.

Philadelphia-based Sporttrade, which has a land-based partnership with Bally’s Atlantic City, is targeting a 2021 launch, too. Plus, Sporttrade recently made national headlines after lining up $36 million in funding from some big-time investors.

So it would seem if Sporttrade, which announced its NJ sports betting plans last year, is ahead of the game. But until either company starts taking bets, it’s way too early to judge how this will play out.

The only thing we know is both brands are getting ready to offer bettors a unique twist on traditional NJ sports wagering.

Read the Article on PlayNJ - by Bill Gelman