Nevada approved Senate Bill 443 during the first week of June 2015. The new bill allows businesses based in Nevada, with a Nevada bank account to bet on sports. These businesses and their investors can pool money to place bets on sports games. Nevada is the first state in the USA to allow this option. The wager is made on behalf of investors, with no limit on the size of the business making the bet. The bill was supported by CG Technology, a sports book manager, and Senate Greg Brower. Any wager made requires staff members and investors to disclose who they are and where they are wagering from.
Investors do not need to live in Nevada, as long as the company has a bank account and headquarters in the state. The idea was originally pitched in 2013 to the legislature, but Brower was told the process needed to be more transparent. It also had to incorporate the changing sports betting marketplace.
Quinton Singleton of CG Technology wanted a “clear cut, black and white” framework. They operate sports books in The Palazzo, The Venetian, The Cosmopolitan, The Tropicana, The Palms, and the Hard Rock Hotel and Casino.
If businesses are concerned about loss or if investors feel the loss was the fault of the business staff members or the casino, they can go through a normal legal course of action against the business entity only. The sports book and state regulators cannot be sued.
Singleton is likening the concept to a mutual fund. It is also like sports investment betting rather than the standard concept of the sports book. A firm in Australia, Priomha Capital, has a hedge fund that uses the client’s money to make bets on funds that relate to sporting events.
Rules will stop a person from taking bets on behalf of someone else such as messenger betting. The main factor to getting the law passed was to make the sports books responsible for collecting business data.