Peer-to-peer sports betting platform Prophet Exchange has secured more than $10 million in a private fundraising round as it bids to increase its footprint.
The company launched in the UK back in 2018, but it soon shifted its focus to the United States, and it launched in New Jersey in August 2022.
Unlike traditional online sportsbooks, it offers exchange betting, whereby users place bets with their peers.
Prophet Exchange takes a cut as its hosting fee, but you are still likely to find better odds at Prophet as opposed to a regular sportsbook.
Liquidity is the main challenge for betting exchanges, as the model can only thrive if they attract a large customer base – as is the case for Betfair in the UK.
To that end, Prophet Exchange is working hard to build up its player base in the US, and the latest fundraising round will help it scale up.
Currently, it only offers moneylines, spreads and totals for NFL, NBA, NHL, MLB, and NCAA football and basketball games, but soccer, tennis, golf and UFC will be added soon.
“As excited as we are to enter the emerging market of sports betting, we are a tech company at heart,” said chief executive Dean Sisun, who founded the company with Jake Benzaquen.
“We are a scrappy, lean and agile firm in a sea of behemoths, which allows us to respond to changes and capitalize on opportunities at a moment’s notice. This round of funding will let us continue as disruptors in the betting space and push our fast-moving product forward in this blossoming market.”