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eSports betting operator Luckbox announced a restructure of its operations on October 5th 2023 and has since suspended all wagering.
The company, owned by Real Luck Group, said in an update on its website: “Despite the significant growth the company has experienced since the start of 2023 and its well documented and defined requirement for additional funding to support this continued expansion, it has been unable to secure the required capital injection due to persistently challenging conditions in the capital markets.
“This means an immediate suspension of betting and player registrations on its B2C (business to consumer) platform, Luckbox.com, and a shift towards the more cost effective B2B (business to business) activities of the company. B2C has generated all the company’s revenue to date, but achieving profitability will require significantly more capital than launching the B2B platform.
“The restructuring is expected to be completed this year and will result in a new optimised and better focused corporate structure with no debt and minimal cash burn.”
Then there is Unikrn, one of the most well-known names in eSports gambling.
That company announced its is scaling back operations.
Started in 2014, Unikrn was acquired by Entain in 2021 for a £50m investment. Entain also operates the BetMGM online platform as well as Ladbrokes & Coral, Bwin, PartyPoker.
An Entain spokesperson said, as covered on Esports Insider: “We can confirm that we are repositioning our esports offering and scaling back our direct-to-consumer operations with unikrn.
“This is to ensure that our business is structured as effectively as possible, and so that we can best deliver on our strategy and growth plans. unikrn has developed an industry-leading offer around esports betting and we see significant opportunities to leverage these capabilities through our existing global brands.”
Another eSports betting site, Midnite, will also be making cuts in order to focus more on its internet casino business.
- Aaron Goldstein, Gambling911.com
