1 00:00:00,960 --> 00:00:01,560 Speaker 1: What's up, guys. 2 00:00:01,560 --> 00:00:03,640 Speaker 2: How are you Welcome into a new episode of The 3 00:00:03,760 --> 00:00:06,800 Speaker 2: Sharps Report with Betting Pros. I'm your host, Matt Parol teaching. 4 00:00:06,800 --> 00:00:09,240 Speaker 2: Every month we take a look at the betting industry. 5 00:00:09,320 --> 00:00:12,040 Speaker 2: We talk to insiders and experts as to what's happening 6 00:00:12,080 --> 00:00:15,360 Speaker 2: in the space, and well, nothing is more controversial and 7 00:00:15,520 --> 00:00:17,360 Speaker 2: hotter right now in the sports. 8 00:00:17,000 --> 00:00:19,240 Speaker 1: Betting space than prediction markets. 9 00:00:19,480 --> 00:00:22,160 Speaker 2: Bruce Moratti is a guy who I've been following on 10 00:00:22,200 --> 00:00:23,239 Speaker 2: LinkedIn quite a bit. 11 00:00:23,360 --> 00:00:24,520 Speaker 1: He is from BETX. 12 00:00:24,560 --> 00:00:27,480 Speaker 2: We'll get into what BETX is later in the conversation, 13 00:00:27,560 --> 00:00:29,639 Speaker 2: but he has had some awesome opinions on where we 14 00:00:29,680 --> 00:00:31,800 Speaker 2: are and where we're going with prediction markets. 15 00:00:31,840 --> 00:00:33,520 Speaker 1: Bruce, Matt Parrel, thank you for being here. 16 00:00:34,360 --> 00:00:37,600 Speaker 3: Welcome, thank you, thank you, Thanks very much for inviting me. 17 00:00:38,080 --> 00:00:41,360 Speaker 2: Okay, so, what is your take if we kind of 18 00:00:41,360 --> 00:00:44,120 Speaker 2: take a thirty thousand foot view of where America is 19 00:00:44,240 --> 00:00:47,040 Speaker 2: right now in the prediction marketplace conversation? 20 00:00:47,400 --> 00:00:48,760 Speaker 1: I think most people. 21 00:00:48,800 --> 00:00:52,680 Speaker 2: Aren't really sure what exactly we're talking about when it 22 00:00:52,720 --> 00:00:56,480 Speaker 2: comes to prediction marketplaces. What's the easiest way of explaining 23 00:00:56,520 --> 00:00:59,400 Speaker 2: to a layman what a prediction marketplace is? 24 00:01:00,520 --> 00:01:05,720 Speaker 3: Okay, so, so prediction market is kind of when it 25 00:01:05,720 --> 00:01:10,280 Speaker 3: comes to sports wedding, I think it's a scam okay, 26 00:01:11,560 --> 00:01:16,679 Speaker 3: uh and and everybody knows it right, but it's becoming 27 00:01:16,840 --> 00:01:22,720 Speaker 3: a political push okay by some people. And guess what 28 00:01:24,200 --> 00:01:28,200 Speaker 3: they think they did to taxes, you know with Uber, 29 00:01:28,319 --> 00:01:32,880 Speaker 3: they did it to Airbnb, and they can push the 30 00:01:33,000 --> 00:01:36,560 Speaker 3: narrative to industry. But guess what. I don't think they 31 00:01:36,600 --> 00:01:40,240 Speaker 3: win this one. Uh. The States are not going to 32 00:01:40,319 --> 00:01:46,560 Speaker 3: give in. So it's kind of a total invasion from 33 00:01:47,160 --> 00:01:52,040 Speaker 3: the financial industry, which they don't understand gaming backed by 34 00:01:52,120 --> 00:01:57,960 Speaker 3: some influential people and a prediction market on you know, 35 00:01:58,080 --> 00:02:05,200 Speaker 3: regarding sports is gambling. Now, I agree that sports spredding 36 00:02:05,320 --> 00:02:10,320 Speaker 3: is a futures contract. I've been saying that for as 37 00:02:10,360 --> 00:02:12,520 Speaker 3: long as I've been in the industry, which is like 38 00:02:12,600 --> 00:02:20,640 Speaker 3: twenty some years, and I've developed system software for Nevada casinos, 39 00:02:21,280 --> 00:02:24,400 Speaker 3: so i know the space really well, I think better 40 00:02:24,440 --> 00:02:28,840 Speaker 3: than most people. And it is a futures contract. But 41 00:02:29,080 --> 00:02:32,400 Speaker 3: it is gambling. So is horse racing. While on Earth 42 00:02:33,200 --> 00:02:36,600 Speaker 3: nobody is talking about race horse racing. You walk into 43 00:02:36,720 --> 00:02:41,840 Speaker 3: any casino in the in Nevada for the last fifty years, 44 00:02:42,280 --> 00:02:49,120 Speaker 3: it says race and sports, race and sports. They're all gambling, 45 00:02:49,760 --> 00:02:52,760 Speaker 3: including horse racing, and nobody right now talks about horse 46 00:02:52,840 --> 00:02:56,440 Speaker 3: racing because you know, it's not making much money or 47 00:02:56,440 --> 00:02:59,920 Speaker 3: it is a dying business. But that's how everything is started, 48 00:03:00,080 --> 00:03:04,840 Speaker 3: betting on horses, betting on dogs, especially in the UK. 49 00:03:05,520 --> 00:03:11,119 Speaker 3: So sports bedding is huge business, we all know that. 50 00:03:12,160 --> 00:03:18,320 Speaker 3: Is it done properly by casinos? No? No, it was 51 00:03:18,680 --> 00:03:23,079 Speaker 3: started as a way, you know, in in in Nevada 52 00:03:23,120 --> 00:03:26,160 Speaker 3: and Las Vegas. It was started as a way to 53 00:03:26,200 --> 00:03:29,359 Speaker 3: get customers from Southea, California to come to the casinos 54 00:03:29,440 --> 00:03:33,480 Speaker 3: so that they watch the game, you know on a Sunday, 55 00:03:35,120 --> 00:03:39,520 Speaker 3: bet a few bucks here or there, and then go 56 00:03:39,560 --> 00:03:42,240 Speaker 3: and play on the table, you know at black jack 57 00:03:42,320 --> 00:03:46,520 Speaker 3: table or it was an amenity, right, They just wanted 58 00:03:46,560 --> 00:03:51,600 Speaker 3: to cover their expenses a little bit of profit as well. 59 00:03:51,640 --> 00:03:56,720 Speaker 3: But it was never meant to be a really big thing, right, 60 00:03:57,320 --> 00:04:01,240 Speaker 3: So sports bedding was offered in a way that was 61 00:04:01,400 --> 00:04:06,280 Speaker 3: confusing to everyone. You know, you bet, you know, let's 62 00:04:06,280 --> 00:04:09,320 Speaker 3: say typically one hundred ten dollars to win one hundreds 63 00:04:10,560 --> 00:04:13,800 Speaker 3: ninety nine percent of people can't figure out the math, 64 00:04:14,600 --> 00:04:17,080 Speaker 3: what the odds are, and it's not on purpose, right, 65 00:04:17,200 --> 00:04:21,520 Speaker 3: typically Las Vegas, you know, hide the Jews in the 66 00:04:21,680 --> 00:04:25,320 Speaker 3: arts so that you know when they changed the odds, 67 00:04:26,080 --> 00:04:29,080 Speaker 3: you couldn't figure out what what the hell happened. You 68 00:04:29,120 --> 00:04:33,839 Speaker 3: couldn't distinguish between the odds offered by one casino with 69 00:04:34,040 --> 00:04:38,839 Speaker 3: another casino. It was hard they get even people who 70 00:04:38,880 --> 00:04:42,800 Speaker 3: bet on regular basis, they can't figure out the odds. 71 00:04:42,839 --> 00:04:45,400 Speaker 3: But people still do it because they want to put 72 00:04:45,600 --> 00:04:49,000 Speaker 3: two place bets on their you know, on their teams. 73 00:04:49,920 --> 00:04:55,080 Speaker 3: So we all know. This thing went all the way 74 00:04:55,120 --> 00:05:01,039 Speaker 3: to the Supreme Court twenty eighteen, and many times it 75 00:05:01,160 --> 00:05:05,080 Speaker 3: went to different courts, you know, when New Jersey was 76 00:05:05,120 --> 00:05:11,479 Speaker 3: trying to get it legalized in New Jersey, and finally 77 00:05:12,040 --> 00:05:16,560 Speaker 3: I think it was twenty seventeen when the Supreme Court. 78 00:05:16,560 --> 00:05:18,680 Speaker 3: And I've been watching this thing because I was planning 79 00:05:18,680 --> 00:05:24,680 Speaker 3: on calling patents around this concept of multi jurisdictional A 80 00:05:24,800 --> 00:05:28,560 Speaker 3: very different country than anywhere else, and Canada is close, 81 00:05:29,960 --> 00:05:34,839 Speaker 3: but it's different than let's say, in England, right, everything 82 00:05:34,960 --> 00:05:39,640 Speaker 3: is one country, and Wales and Ireland they are really 83 00:05:39,680 --> 00:05:45,000 Speaker 3: different countries. But you know it's a lot of it's 84 00:05:45,760 --> 00:05:50,720 Speaker 3: made up of fifty different states, different rules and regulations, 85 00:05:50,800 --> 00:05:54,279 Speaker 3: especially when it comes to gambling. So that's when I 86 00:05:54,480 --> 00:05:59,240 Speaker 3: started filing patents around multi jurisdictional bedding because I knew 87 00:05:59,440 --> 00:06:02,760 Speaker 3: at some point point of time you have to bring 88 00:06:03,160 --> 00:06:07,719 Speaker 3: different different jurisdictions, you know, whoever wants to join in 89 00:06:07,720 --> 00:06:12,280 Speaker 3: into this ecosystem where you create a pool, right, the 90 00:06:13,080 --> 00:06:16,760 Speaker 3: pool for you can sell your bet, you can place 91 00:06:16,800 --> 00:06:21,039 Speaker 3: a bet, sell your bet. The problem we have right now, 92 00:06:21,080 --> 00:06:26,360 Speaker 3: after seven eight years of basically legalization in thirty nine states, 93 00:06:26,920 --> 00:06:32,359 Speaker 3: is that no two sports book systems are talking to 94 00:06:32,400 --> 00:06:36,159 Speaker 3: each other, right right, I mean, it's just stupid that 95 00:06:36,240 --> 00:06:41,040 Speaker 3: they don't. Even companies who have different systems in different states, 96 00:06:41,120 --> 00:06:44,720 Speaker 3: they can't get them to talk to each other. It's 97 00:06:44,800 --> 00:06:48,080 Speaker 3: just the way it started in the bad is something 98 00:06:48,120 --> 00:06:51,240 Speaker 3: that nobody cared to develop a dissolution for because it 99 00:06:51,279 --> 00:06:55,479 Speaker 3: was a small state, right, it wasn't worth the We 100 00:06:55,480 --> 00:06:57,880 Speaker 3: were a small company, this is word Game was a 101 00:06:57,920 --> 00:07:01,680 Speaker 3: small public company. And when we developed a system that 102 00:07:01,839 --> 00:07:05,800 Speaker 3: was competing with CBS, the computerized bidding system of American wagering, 103 00:07:05,839 --> 00:07:10,400 Speaker 3: which dominated everyone everyone's system. You know, this is now 104 00:07:10,880 --> 00:07:14,720 Speaker 3: twenty years ago, twenty years ago, and CBS was there 105 00:07:14,760 --> 00:07:19,000 Speaker 3: for another twenty years before that, so nobody wanted to 106 00:07:19,040 --> 00:07:22,040 Speaker 3: spend the time and effort to develop something which hardly 107 00:07:22,040 --> 00:07:25,679 Speaker 3: made any money for anyone and then be casino. Really, 108 00:07:26,560 --> 00:07:31,000 Speaker 3: they were not willing to pay much for much for 109 00:07:31,080 --> 00:07:33,720 Speaker 3: the software. We were getting like eight hundred dollars a 110 00:07:33,840 --> 00:07:39,440 Speaker 3: month maintenance. D wow, you know, and you know it 111 00:07:39,720 --> 00:07:47,280 Speaker 3: didn't even cover yer developers. But at the time, you know, 112 00:07:47,360 --> 00:07:49,800 Speaker 3: this is not going back to the first days of 113 00:07:49,840 --> 00:07:53,760 Speaker 3: online gaming. We wanted to do it because it was cool. 114 00:07:54,560 --> 00:07:57,520 Speaker 3: It was the first time that you can place a 115 00:07:57,560 --> 00:08:06,119 Speaker 3: wager botely into a casino. October two thousand, that's five 116 00:08:06,280 --> 00:08:11,120 Speaker 3: years ago. You guys searched it online okay, okay, Bruce 117 00:08:11,200 --> 00:08:16,720 Speaker 3: Murrarii or word game online sports wagering. It was reported 118 00:08:16,800 --> 00:08:20,320 Speaker 3: on Wall Street Journal that online gaming goes live in 119 00:08:20,360 --> 00:08:23,920 Speaker 3: the US that day that day are a stock triple 120 00:08:24,320 --> 00:08:29,720 Speaker 3: little I can imagine triple. And then everybody called Nevada 121 00:08:29,760 --> 00:08:32,160 Speaker 3: Gaming Control Board. They said, what the hell is going on? 122 00:08:32,320 --> 00:08:35,040 Speaker 3: Is it really? You know, because it's reported by Wall 123 00:08:35,040 --> 00:08:40,839 Speaker 3: Street Journal. So at that time, Nevada didn't require full 124 00:08:40,880 --> 00:08:49,679 Speaker 3: manufactured distributor for developing sportsbook systems. We had associate equipment 125 00:08:49,760 --> 00:08:52,480 Speaker 3: like a second here right. There was a little bit 126 00:08:52,520 --> 00:08:59,160 Speaker 3: of checks and balances, but not full blown licensing process. 127 00:08:59,600 --> 00:09:02,840 Speaker 3: At that time. Nevada said, hey, you guys, you should 128 00:09:02,840 --> 00:09:08,559 Speaker 3: come forward for full licensing investigation of everyone, right, all 129 00:09:08,600 --> 00:09:12,439 Speaker 3: the officers and so forth. So anyway, everybody left, I 130 00:09:12,520 --> 00:09:16,480 Speaker 3: mean I the CEO who was from Lost because our 131 00:09:16,600 --> 00:09:19,360 Speaker 3: CFO and CEO of the company said we're not going 132 00:09:19,400 --> 00:09:24,760 Speaker 3: to be licensed. He left, and then I stayed on, 133 00:09:25,280 --> 00:09:28,400 Speaker 3: you know, naively, not knowing what's going on. I said, okay, 134 00:09:27,920 --> 00:09:31,520 Speaker 3: I've got nothing to hide, and you know, by training, 135 00:09:31,720 --> 00:09:35,760 Speaker 3: I'm charged account and CPA, I'm good at keeping track 136 00:09:35,800 --> 00:09:39,600 Speaker 3: of things and my records and everything. So I went 137 00:09:39,640 --> 00:09:41,880 Speaker 3: through the process. I was the only person who was 138 00:09:42,280 --> 00:09:47,079 Speaker 3: another person who was a main shareholder and he went 139 00:09:47,120 --> 00:09:49,720 Speaker 3: through the process as well. And then the entity was 140 00:09:49,840 --> 00:09:52,880 Speaker 3: in a small public company that also got license. So 141 00:09:52,960 --> 00:09:58,520 Speaker 3: with a license in probably and I think two thousand, 142 00:09:58,760 --> 00:10:01,240 Speaker 3: two thousand and two thousand and one, oh wow, okay, 143 00:10:02,640 --> 00:10:05,280 Speaker 3: by Nevada giving control, it was a big deal. It 144 00:10:07,080 --> 00:10:11,720 Speaker 3: was again, we got license, we got our system approved 145 00:10:12,480 --> 00:10:18,400 Speaker 3: on the phone wage ring. Then you could call the 146 00:10:18,480 --> 00:10:20,920 Speaker 3: casino and say, okay, I want to place a bed 147 00:10:21,000 --> 00:10:23,720 Speaker 3: on such and such and our system back then was 148 00:10:23,840 --> 00:10:25,760 Speaker 3: Dala because there was no broadcast. 149 00:10:26,960 --> 00:10:28,199 Speaker 1: But this is in the state though. 150 00:10:28,240 --> 00:10:30,200 Speaker 2: To make the cat to the casino, you had to 151 00:10:30,200 --> 00:10:31,800 Speaker 2: be physically in the vaalock, right. 152 00:10:32,040 --> 00:10:37,520 Speaker 3: Yes, And my my first patent for border control was 153 00:10:37,600 --> 00:10:44,280 Speaker 3: around seven o two, being your border control develop as 154 00:10:44,320 --> 00:10:48,040 Speaker 3: soon as you called uh this server. 155 00:10:48,120 --> 00:10:52,280 Speaker 2: Before VPNs, he became a thing for young kids. Your 156 00:10:52,280 --> 00:10:54,360 Speaker 2: area code actually meant where you were. 157 00:10:55,240 --> 00:10:58,760 Speaker 3: Yes, So then and and then we added some you 158 00:10:58,800 --> 00:11:01,400 Speaker 3: know checks and balances so that you couldn't change your 159 00:11:02,559 --> 00:11:06,000 Speaker 3: phone you know right prefix your phone numbers. So anyway, 160 00:11:06,080 --> 00:11:11,600 Speaker 3: this this goes back long long time ago, right. So anyway, 161 00:11:11,640 --> 00:11:14,000 Speaker 3: so we and and then after us the stations, cause 162 00:11:14,000 --> 00:11:15,800 Speaker 3: you know, did the same thing, but they did it 163 00:11:15,840 --> 00:11:21,120 Speaker 3: with broadband and basically copied does but they did with broadband, 164 00:11:21,160 --> 00:11:26,360 Speaker 3: and our pattern was around phones. So and and again 165 00:11:26,440 --> 00:11:31,160 Speaker 3: we were just a manufacturer, so in a small manufacturer 166 00:11:31,240 --> 00:11:34,679 Speaker 3: distributor license. So anyway, I stayed in the business. And 167 00:11:34,720 --> 00:11:40,439 Speaker 3: also we developed server based gaming similar to online gaming. 168 00:11:40,480 --> 00:11:43,640 Speaker 3: But on the slot machines, we changed the Regulation fourteen 169 00:11:43,760 --> 00:11:46,760 Speaker 3: of Nevada. Uh that was a hard thing to do. 170 00:11:46,800 --> 00:11:51,760 Speaker 3: That's when IGT and and slot manufacturers felt like we 171 00:11:51,840 --> 00:11:57,240 Speaker 3: are attacking their business. So and they didn't want you know, 172 00:11:57,360 --> 00:11:59,920 Speaker 3: server based gaming where they want to They want to 173 00:12:00,080 --> 00:12:03,240 Speaker 3: sell a machine. That's a lot. You're getting so much 174 00:12:03,360 --> 00:12:06,920 Speaker 3: things and you paid let's say back then, fifteen thousand 175 00:12:07,000 --> 00:12:09,360 Speaker 3: dollars for this. They didn't want to say, okay, you 176 00:12:09,400 --> 00:12:13,160 Speaker 3: buy one box and then everything else is just graphics. 177 00:12:13,520 --> 00:12:16,480 Speaker 3: They did that was that wasn't the business, moan. So 178 00:12:16,559 --> 00:12:22,240 Speaker 3: they bought a company and I left, and their goal 179 00:12:22,360 --> 00:12:25,480 Speaker 3: was to shelve the technology. They weren't interested. They weren't 180 00:12:25,520 --> 00:12:30,240 Speaker 3: interested in the sportsbook, which was called Primeline, and they 181 00:12:30,280 --> 00:12:33,880 Speaker 3: gave it away basically because again you couldn't make it 182 00:12:33,920 --> 00:12:37,679 Speaker 3: was only in Nevada you couldn't make money, right, So 183 00:12:37,840 --> 00:12:43,520 Speaker 3: I stayed in business of basically doing gaming. I did. 184 00:12:43,679 --> 00:12:47,720 Speaker 3: I've done almost anything you name it in gaming, from 185 00:12:48,600 --> 00:12:54,200 Speaker 3: running casinos, which I wasn't good at. Hard we didn't. 186 00:12:54,400 --> 00:12:57,880 Speaker 3: We bought the casino. This is now ten years ago 187 00:12:58,120 --> 00:13:02,760 Speaker 3: in Renal, in bankruptcy, and you know it was hard 188 00:13:02,240 --> 00:13:07,920 Speaker 3: to turn it around with some investors, and then developing 189 00:13:07,960 --> 00:13:13,160 Speaker 3: software for horse racing, for slot machines, for mingo, for kino, 190 00:13:14,200 --> 00:13:19,440 Speaker 3: uh basically see it. Yeah, anything to do anything to 191 00:13:19,480 --> 00:13:26,520 Speaker 3: do with gaming. So, so about again, now, two thousand 192 00:13:26,559 --> 00:13:34,760 Speaker 3: and seventeen, Uh, when the Supreme Court was going to 193 00:13:34,760 --> 00:13:40,559 Speaker 3: to here, yeah, yeah, to hear the case with That's 194 00:13:40,600 --> 00:13:46,040 Speaker 3: when I fogged multi jurisdictional bedding and exchange. Okay, the 195 00:13:46,080 --> 00:13:49,319 Speaker 3: first one, so I lay that you know called X 196 00:13:49,440 --> 00:13:51,640 Speaker 3: or was it called something else? No? No, no, but 197 00:13:52,000 --> 00:13:55,920 Speaker 3: X the name no, no, no, I just I found 198 00:13:55,960 --> 00:13:59,640 Speaker 3: it under my IP company called you Play one and 199 00:13:59,679 --> 00:14:03,200 Speaker 3: you One. It's got its own stories. Basically use of 200 00:14:03,320 --> 00:14:06,880 Speaker 3: two different random number generators for a game, which is 201 00:14:06,920 --> 00:14:11,320 Speaker 3: not the basic the basis of Live Dealer. Yeah. So 202 00:14:11,640 --> 00:14:15,040 Speaker 3: if you play an evolution game kind of a thing, right, 203 00:14:15,400 --> 00:14:20,440 Speaker 3: and there are two oranges, one is mechanical and one 204 00:14:20,480 --> 00:14:24,640 Speaker 3: is virtual. That's that's around my patent, which is so 205 00:14:24,720 --> 00:14:27,760 Speaker 3: I saw I saw you play one last year. But 206 00:14:28,840 --> 00:14:38,640 Speaker 3: bedex is all about having an exchange where the the 207 00:14:39,560 --> 00:14:43,080 Speaker 3: I call it props, the betting opportunities, because you know 208 00:14:43,600 --> 00:14:44,880 Speaker 3: in the industry. 209 00:14:44,400 --> 00:14:47,720 Speaker 1: A prop is anything but straight or totally yeah, yeah. 210 00:14:47,800 --> 00:14:53,040 Speaker 3: They are props right, yeah, so I so whenever you 211 00:14:53,240 --> 00:15:02,560 Speaker 3: have a betting opportunity, you standardize the opportunity, right, similar 212 00:15:02,600 --> 00:15:05,720 Speaker 3: to the Chicago Go boards similar to stockboard. So if 213 00:15:06,000 --> 00:15:10,440 Speaker 3: his team X is playing against team Y. Right, yeah, 214 00:15:10,480 --> 00:15:15,280 Speaker 3: so you you create. I've developed the software, you know, 215 00:15:15,320 --> 00:15:19,480 Speaker 3: it's pattern I've developed. The software, solution is ready. I'm 216 00:15:19,520 --> 00:15:24,120 Speaker 3: just waiting for the industry, which will be now potentially 217 00:15:24,720 --> 00:15:29,880 Speaker 3: bed MGM, Caesars, you know, all the casinos and including tribes. 218 00:15:30,600 --> 00:15:32,480 Speaker 3: It looks like it's not going to be drafting and 219 00:15:32,560 --> 00:15:39,520 Speaker 3: fandom right where so where they the Again, these things 220 00:15:39,520 --> 00:15:42,520 Speaker 3: have evolved in the last few years because I've added 221 00:15:42,960 --> 00:15:46,120 Speaker 3: three four more patterns. I followed another one. I keep 222 00:15:46,480 --> 00:15:50,560 Speaker 3: the family going, you know, to to get it up 223 00:15:50,600 --> 00:15:55,160 Speaker 3: to date with everything going on. So basically, uh bad 224 00:15:55,440 --> 00:16:00,280 Speaker 3: X is like when you play online. Let's say on 225 00:16:00,600 --> 00:16:03,920 Speaker 3: the platform you got tabs on playing Live Dealer or 226 00:16:04,000 --> 00:16:07,360 Speaker 3: slot right. So so as soon as you click on 227 00:16:08,400 --> 00:16:11,200 Speaker 3: and call it exchange tradable BAT. I don't call it 228 00:16:11,280 --> 00:16:14,600 Speaker 3: prediction market because I think I don't. I think that 229 00:16:14,600 --> 00:16:17,360 Speaker 3: that's just that's that name is for the guys who 230 00:16:17,400 --> 00:16:21,400 Speaker 3: are illegal. So I call it exchange tradable BATS. So 231 00:16:21,400 --> 00:16:24,320 Speaker 3: as soon as you click on play exchange Tradable BAT, 232 00:16:25,080 --> 00:16:28,400 Speaker 3: it takes you that X is just purely b to 233 00:16:28,520 --> 00:16:31,920 Speaker 3: be Nobody would know anything about bedex. It goes to 234 00:16:32,240 --> 00:16:37,160 Speaker 3: an environment which is a watch label for that operator 235 00:16:37,360 --> 00:16:44,720 Speaker 3: in that state. That only talks to the wallet of 236 00:16:44,840 --> 00:16:49,840 Speaker 3: that operator. That technology because everybody has it, right, So 237 00:16:49,920 --> 00:16:51,960 Speaker 3: if you play a slot, it uses the same wallet. 238 00:16:52,040 --> 00:16:56,240 Speaker 3: You play, you know, place the wager on a game, 239 00:16:56,600 --> 00:16:59,840 Speaker 3: it comes from the same wallet. So anyway, so that 240 00:17:00,080 --> 00:17:03,800 Speaker 3: DEX talks to the wallet. So now let's say you 241 00:17:03,880 --> 00:17:10,160 Speaker 3: have five hundred dollars in your account. The the betting 242 00:17:10,200 --> 00:17:16,480 Speaker 3: opportunity is presented uniformly to all the participating similar to 243 00:17:16,480 --> 00:17:23,639 Speaker 3: the stock market, all the participating sports books. The way 244 00:17:23,680 --> 00:17:26,719 Speaker 3: I've come up with this thing, which is patented and 245 00:17:26,720 --> 00:17:31,360 Speaker 3: and and and I think it's the only practical way, 246 00:17:31,600 --> 00:17:37,520 Speaker 3: is that you allow the operators to change the initial 247 00:17:37,760 --> 00:17:41,920 Speaker 3: prop offering price, so everything less. So the I p 248 00:17:42,080 --> 00:17:45,439 Speaker 3: O the initial prop offering you. So if you're betting, 249 00:17:45,520 --> 00:17:50,040 Speaker 3: let's say, let's let's say we're talking about a money 250 00:17:50,080 --> 00:17:53,000 Speaker 3: line situation where it's three to two, and now you 251 00:17:53,119 --> 00:17:57,679 Speaker 3: it says you bet let's say one dollar, you know, 252 00:17:57,800 --> 00:18:04,040 Speaker 3: in in summary to win three dollars right in that situation, 253 00:18:04,119 --> 00:18:08,160 Speaker 3: and it shows the odds. So now you're betting one 254 00:18:08,240 --> 00:18:13,359 Speaker 3: dollar to bet to win three dollars. Now, any operator 255 00:18:13,480 --> 00:18:18,600 Speaker 3: can offer its prop and created situation where the prop 256 00:18:18,800 --> 00:18:23,200 Speaker 3: or this betting opportunity, team X wins against team why 257 00:18:23,320 --> 00:18:27,000 Speaker 3: on such and such date. It will be a symbol, 258 00:18:27,280 --> 00:18:31,320 Speaker 3: you know, for the system n f L. Then the date. 259 00:18:32,040 --> 00:18:36,639 Speaker 3: Then let's say is Chargers c h R. Then let's 260 00:18:36,600 --> 00:18:40,359 Speaker 3: says our AI against raiders, and then you put a 261 00:18:40,480 --> 00:18:45,119 Speaker 3: date on it. That's a that's a unique idea that 262 00:18:45,240 --> 00:18:50,320 Speaker 3: represents us game forever. Okay, like horse racing, every every 263 00:18:50,560 --> 00:18:54,280 Speaker 3: horse has a unique name why because it says in 264 00:18:54,320 --> 00:18:58,720 Speaker 3: the database. Right, okay, So so now you and and 265 00:18:58,720 --> 00:19:00,920 Speaker 3: and it's the same thing with you world and it stuck. 266 00:19:01,040 --> 00:19:06,679 Speaker 3: So it creates a unique id the You can change 267 00:19:07,440 --> 00:19:11,560 Speaker 3: the narrative of you know, will team X win Team 268 00:19:11,800 --> 00:19:15,399 Speaker 3: Y or whatever it is, but it reflects you know, 269 00:19:15,960 --> 00:19:21,080 Speaker 3: the event. And then and then the operators can change 270 00:19:21,160 --> 00:19:23,520 Speaker 3: the initial price just to deviate if they want to. 271 00:19:23,560 --> 00:19:27,639 Speaker 3: If they they deviated from that, if you know, so 272 00:19:27,800 --> 00:19:32,840 Speaker 3: that uh, you know, it feeds them in case there 273 00:19:32,880 --> 00:19:35,040 Speaker 3: is you know, for example, if the game is in 274 00:19:35,080 --> 00:19:37,680 Speaker 3: your state, you want to change it a little bit 275 00:19:37,720 --> 00:19:40,560 Speaker 3: because there's no bison. So but you can never change 276 00:19:40,560 --> 00:19:46,280 Speaker 3: the payout because the pad goes across all the operators 277 00:19:46,760 --> 00:19:50,920 Speaker 3: and state lines. Yeah, when you place the bet. Again, 278 00:19:50,960 --> 00:19:52,840 Speaker 3: these are part of the band when you place the bet, 279 00:19:52,880 --> 00:19:55,080 Speaker 3: and that's why it's a win win for everyone. When 280 00:19:55,080 --> 00:19:58,160 Speaker 3: you place the bet, you can only place the bet 281 00:19:58,880 --> 00:20:02,639 Speaker 3: with the operator that you have your account with, and 282 00:20:02,680 --> 00:20:06,440 Speaker 3: they do all the checks and balances that they do 283 00:20:06,720 --> 00:20:11,400 Speaker 3: for anything else. So it's no different than anybody else. 284 00:20:11,480 --> 00:20:17,119 Speaker 3: It's just there is this other opportunity that can happen 285 00:20:17,280 --> 00:20:20,160 Speaker 3: with that operator in that state where you place the bet. 286 00:20:20,600 --> 00:20:23,280 Speaker 3: But as soon as you place the bet, it now 287 00:20:23,560 --> 00:20:26,720 Speaker 3: and what I've set it up to be similar to 288 00:20:26,800 --> 00:20:31,760 Speaker 3: stock market, no operator knows about the identity of the 289 00:20:32,040 --> 00:20:36,639 Speaker 3: other operator's customer because I know they don't want to 290 00:20:36,640 --> 00:20:40,320 Speaker 3: share that. When you buy and sell a stock, the 291 00:20:40,359 --> 00:20:43,760 Speaker 3: stock change doesn't know who you are. All they know 292 00:20:44,480 --> 00:20:47,399 Speaker 3: you are a customer of child Shop, your customer of 293 00:20:47,560 --> 00:20:52,240 Speaker 3: each you know whoever, Robbinhood they don't know. Right, So 294 00:20:52,280 --> 00:20:56,560 Speaker 3: the way of it structured is that the sportsbooks become 295 00:20:57,720 --> 00:21:00,960 Speaker 3: I'm using the analogy because that's what people understand. They're 296 00:21:01,000 --> 00:21:05,440 Speaker 3: the broker dealer, the child Shaw, the robin Hood. They 297 00:21:05,520 --> 00:21:09,600 Speaker 3: handle your money, they handle your order, and they also 298 00:21:09,800 --> 00:21:15,080 Speaker 3: act as a securities issuer because they issue a contract 299 00:21:15,080 --> 00:21:18,200 Speaker 3: to you. When they issue a contract to you, that's 300 00:21:18,200 --> 00:21:22,840 Speaker 3: a bet, they take the liability for that bet. Now 301 00:21:22,880 --> 00:21:26,840 Speaker 3: that you have an asset, a binary asset that you 302 00:21:26,920 --> 00:21:30,439 Speaker 3: place the bet on, it's no longer a bet. It 303 00:21:30,480 --> 00:21:35,760 Speaker 3: can cross the state line because it's a derivative of 304 00:21:35,920 --> 00:21:40,160 Speaker 3: an already placed bet. You're not if you sell. If 305 00:21:40,200 --> 00:21:43,640 Speaker 3: you place one hundred dollars on Team X to win 306 00:21:43,720 --> 00:21:48,920 Speaker 3: against Team Y with Caesars in Atlantic City, that liability 307 00:21:49,080 --> 00:21:53,200 Speaker 3: sits in Atlantic Then you know, in Atlantic City, let's 308 00:21:53,200 --> 00:21:59,720 Speaker 3: say MGMTKA, the is recorded, it plays the wagering taxes 309 00:21:59,800 --> 00:22:04,879 Speaker 3: like okay book right, because it's it's a bet. But 310 00:22:05,000 --> 00:22:10,600 Speaker 3: then you have the option to sell your bet. But 311 00:22:10,680 --> 00:22:13,240 Speaker 3: instead of you sell it to the operator, which is 312 00:22:13,280 --> 00:22:16,760 Speaker 3: what exists right now, and the operator doesn't give you 313 00:22:16,920 --> 00:22:20,760 Speaker 3: a good price for it, right, you can now sell 314 00:22:20,800 --> 00:22:29,360 Speaker 3: it to anyone in the ecosystem right at competitive prices, 315 00:22:29,400 --> 00:22:31,959 Speaker 3: and I can demo it to you, you know, after this, 316 00:22:32,160 --> 00:22:35,480 Speaker 3: after we finished really simple, it's like the stock market. 317 00:22:35,560 --> 00:22:40,520 Speaker 3: Now there is a competitive market for buying and selling 318 00:22:40,640 --> 00:22:45,840 Speaker 3: trading of already place bets. Yeah, now, the market. 319 00:22:45,520 --> 00:22:49,879 Speaker 2: Makers digitally though, right we're talking digitally that those bets 320 00:22:49,880 --> 00:22:52,679 Speaker 2: can be sold digitally, because that's the big issue. Like 321 00:22:53,200 --> 00:22:56,000 Speaker 2: because because I'm close to the guys in New Jersey 322 00:22:56,000 --> 00:22:57,720 Speaker 2: who did the physical ticket selling. 323 00:22:58,119 --> 00:23:02,720 Speaker 3: Yeah, yeah, yeah, props. They're from Vegas, and they went 324 00:23:02,760 --> 00:23:06,920 Speaker 3: through hell with yeah, the body in control board there 325 00:23:07,000 --> 00:23:09,320 Speaker 3: is all you you illegal and said, look, you're selling 326 00:23:09,359 --> 00:23:14,199 Speaker 3: your asset. Finally, after many backs and forths so okay, 327 00:23:14,240 --> 00:23:16,080 Speaker 3: you can sell your bet. 328 00:23:16,560 --> 00:23:19,960 Speaker 2: Only paper ticket but not yeah, but not not the 329 00:23:20,040 --> 00:23:21,240 Speaker 2: digital so that this would be a. 330 00:23:22,119 --> 00:23:26,080 Speaker 3: The problem is because there's there is nowhere in regulations 331 00:23:26,160 --> 00:23:29,960 Speaker 3: to say you cannot if you place the bet, you 332 00:23:30,040 --> 00:23:32,800 Speaker 3: can give it to somebody else to go and catch it. Right, 333 00:23:33,000 --> 00:23:35,960 Speaker 3: there's there's nothing. So they said, okay, yeah you can. 334 00:23:36,119 --> 00:23:38,160 Speaker 3: You said you can sell your bed and so forth. 335 00:23:38,200 --> 00:23:41,119 Speaker 3: But it could be that there's money launding. We know, 336 00:23:41,600 --> 00:23:46,399 Speaker 3: we want, we want to know who bodied we and 337 00:23:46,440 --> 00:23:49,200 Speaker 3: the operator doesn't know, didn't know about it. You're kind 338 00:23:49,200 --> 00:23:52,119 Speaker 3: of scamming the operator by selling their you know, their 339 00:23:52,240 --> 00:23:54,880 Speaker 3: right their bat. So at the end they said, yeah, 340 00:23:55,000 --> 00:23:59,320 Speaker 3: come and get licensed and we and and finally I 341 00:23:59,320 --> 00:24:02,240 Speaker 3: think they just want and to some other places. But 342 00:24:02,440 --> 00:24:06,040 Speaker 3: reality is, you know, it's like selling on eBay physical 343 00:24:06,600 --> 00:24:13,639 Speaker 3: right But but but from legal point of view, it's 344 00:24:14,480 --> 00:24:18,159 Speaker 3: the same because you're selling an acid a binary asset 345 00:24:18,320 --> 00:24:23,680 Speaker 3: of an already placed wager. But and again I've been 346 00:24:23,680 --> 00:24:26,480 Speaker 3: thinking about this, this this for a long long time. 347 00:24:27,480 --> 00:24:32,119 Speaker 3: So the beauty of it is that everything is trackable, right, 348 00:24:32,520 --> 00:24:37,639 Speaker 3: everything is within the ecosystem of these sports books or 349 00:24:38,640 --> 00:24:43,720 Speaker 3: license entities. It can't come from offshore and place of 350 00:24:44,000 --> 00:24:47,720 Speaker 3: right back, you can't trade them. And I know there 351 00:24:47,720 --> 00:24:49,840 Speaker 3: are some people off shore because they call me. I said, 352 00:24:49,840 --> 00:24:52,080 Speaker 3: Bruce that we want to participate in the better We 353 00:24:52,640 --> 00:24:56,479 Speaker 3: are one of the biggest market makers in Calshi, right, 354 00:24:56,480 --> 00:25:01,960 Speaker 3: And I said, look, even when bedex goes live, you 355 00:25:02,040 --> 00:25:05,000 Speaker 3: won't be able to participate because you go through the 356 00:25:05,080 --> 00:25:07,640 Speaker 3: same chicks and balances as if you're placing a bet, 357 00:25:07,720 --> 00:25:09,480 Speaker 3: and they're not going to let you do that. But 358 00:25:09,560 --> 00:25:14,000 Speaker 3: they're doing it from offshore. And yeah, I know this 359 00:25:14,080 --> 00:25:17,639 Speaker 3: because they told me they are participating. So they're laying 360 00:25:17,680 --> 00:25:24,000 Speaker 3: off they're risk into the US market. Who pays for it, 361 00:25:24,160 --> 00:25:25,320 Speaker 3: the US consumer? 362 00:25:25,720 --> 00:25:27,160 Speaker 1: Well, hold on link pose. 363 00:25:27,200 --> 00:25:29,439 Speaker 2: I think it's a very important point about the prediction 364 00:25:29,520 --> 00:25:32,359 Speaker 2: marketplaces that are going on right now about in what 365 00:25:32,359 --> 00:25:34,359 Speaker 2: we make sure the audience understands. What you're saying is 366 00:25:34,359 --> 00:25:37,359 Speaker 2: that there are offshore sports books and offshore operators that 367 00:25:37,400 --> 00:25:39,760 Speaker 2: are taking their risk and going to the prediction market 368 00:25:39,800 --> 00:25:42,080 Speaker 2: and laying off their risks. So they're taking the other 369 00:25:42,320 --> 00:25:45,280 Speaker 2: side of where they have a liability and they're putting 370 00:25:45,280 --> 00:25:48,000 Speaker 2: into the pdiction market. So those numbers that are jacked 371 00:25:48,040 --> 00:25:50,040 Speaker 2: up from a handle perspective, and people are going, oh 372 00:25:50,040 --> 00:25:52,080 Speaker 2: my gosh, look how much money is in CALCI, Look 373 00:25:52,080 --> 00:25:54,920 Speaker 2: how much money is in this fiction marketplace. Well, in reality, 374 00:25:55,000 --> 00:25:58,560 Speaker 2: it's just a risk layoff from the sports books off shore. 375 00:25:58,680 --> 00:26:00,600 Speaker 3: So this is the best thing that's happened to them 376 00:26:00,640 --> 00:26:06,159 Speaker 3: their own book. That's why that's why recently drafting and 377 00:26:06,240 --> 00:26:10,359 Speaker 3: fan will have lost money because they can't balance their book. 378 00:26:11,280 --> 00:26:18,280 Speaker 3: They are fast, they're exposed. Okay again, I've been thinking 379 00:26:18,320 --> 00:26:21,320 Speaker 3: about this for a long time. So in Nevada, they 380 00:26:21,320 --> 00:26:24,600 Speaker 3: didn't care that they look, they lost money one week. 381 00:26:25,119 --> 00:26:30,959 Speaker 3: It was actually they celebrated that they had an ecosystem, 382 00:26:31,800 --> 00:26:36,320 Speaker 3: meaning people who come to the casinos, typically from most 383 00:26:36,359 --> 00:26:41,160 Speaker 3: of them from southern California, they win one week, they 384 00:26:41,359 --> 00:26:46,399 Speaker 3: give it back plus moret so it's like the slot 385 00:26:46,440 --> 00:26:48,040 Speaker 3: machine up and down, up and then but at the 386 00:26:48,160 --> 00:26:51,760 Speaker 3: end of the year, they always kept their juice. 387 00:26:52,359 --> 00:26:52,560 Speaker 1: Yeah. 388 00:26:53,040 --> 00:26:56,680 Speaker 3: The probability of the house if if there is a 389 00:26:56,760 --> 00:27:03,640 Speaker 3: fixed market, you know, meaning time you know the customer base, 390 00:27:04,160 --> 00:27:09,040 Speaker 3: right if if you if the customer base is the 391 00:27:09,119 --> 00:27:13,800 Speaker 3: same or more or less the same, every time, there's 392 00:27:13,920 --> 00:27:17,639 Speaker 3: fifty percent chance and assuming the odds are you know, 393 00:27:18,359 --> 00:27:23,240 Speaker 3: our price reasonably well, every time there is fifty percent 394 00:27:23,359 --> 00:27:25,879 Speaker 3: chance that the house wins or the customers when the 395 00:27:25,880 --> 00:27:28,760 Speaker 3: shops went right and and the casual better is they 396 00:27:28,840 --> 00:27:32,159 Speaker 3: just bet they don't care, right, So it's fifty to fifty. 397 00:27:32,200 --> 00:27:38,679 Speaker 3: But after like two hundred events happening, guess what it 398 00:27:38,800 --> 00:27:42,960 Speaker 3: comes to almost fifty to fifty. And since the books 399 00:27:43,000 --> 00:27:46,439 Speaker 3: always had this, let's say five four point five percent 400 00:27:46,920 --> 00:27:50,439 Speaker 3: plus more when it's part last, they're always one at 401 00:27:50,440 --> 00:27:54,199 Speaker 3: the end of the gold Yeah, yeah, so it was. 402 00:27:55,680 --> 00:27:58,600 Speaker 3: It's still the same in the US if there's a 403 00:27:58,680 --> 00:28:04,040 Speaker 3: captured market, right which you know right now it's kind 404 00:28:04,040 --> 00:28:07,080 Speaker 3: of a stable class situation. But when there is a 405 00:28:07,160 --> 00:28:13,440 Speaker 3: leakage to the international operators is if they lose this, 406 00:28:13,840 --> 00:28:16,520 Speaker 3: if they win this time, they're not going to come 407 00:28:16,560 --> 00:28:20,240 Speaker 3: back next time, just do it because they have a 408 00:28:20,560 --> 00:28:25,479 Speaker 3: building of their so anyway, so so I think I 409 00:28:25,520 --> 00:28:32,200 Speaker 3: think the chances of them, meaning these these CMS to 410 00:28:32,480 --> 00:28:36,240 Speaker 3: win their case. They they want to push it for 411 00:28:36,560 --> 00:28:39,800 Speaker 3: a couple of two or three years, hoping that will 412 00:28:39,880 --> 00:28:44,920 Speaker 3: be some kind of something going through the Congress and yeah, 413 00:28:44,920 --> 00:28:49,400 Speaker 3: but if it goes to the Supreme Court is so Look, 414 00:28:49,640 --> 00:28:52,640 Speaker 3: you were here seven eight years ago and we talked 415 00:28:52,640 --> 00:28:53,000 Speaker 3: about this. 416 00:28:53,600 --> 00:28:56,240 Speaker 1: We've a right fact that. 417 00:28:56,800 --> 00:29:00,160 Speaker 3: The fact that they say sports building is not gaming. 418 00:29:00,240 --> 00:29:05,280 Speaker 3: Sometimes sometimes they say they were not supposed to get 419 00:29:05,320 --> 00:29:10,200 Speaker 3: into gaming. I know this because I applied to they 420 00:29:10,240 --> 00:29:16,720 Speaker 3: are applied to CFTC four years ago. Okay during four 421 00:29:16,880 --> 00:29:21,560 Speaker 3: d X for during Russy and Venham chairmanship, which was 422 00:29:21,800 --> 00:29:24,400 Speaker 3: you know, Biden, and this is what you're talking about. 423 00:29:24,440 --> 00:29:28,480 Speaker 3: This is gambling sport spinning. So okay, give me uh 424 00:29:28,680 --> 00:29:33,160 Speaker 3: a no action letter and you know it's not the 425 00:29:33,200 --> 00:29:37,840 Speaker 3: best run. The rules and everything is still with c 426 00:29:37,960 --> 00:29:41,080 Speaker 3: FDC evolvement, so I couldn't get an AX out of them. 427 00:29:41,400 --> 00:29:46,720 Speaker 3: Uh anyway, So uh that's why I know that drafting 428 00:29:46,920 --> 00:29:52,600 Speaker 3: and fan duel are going to have major major issues 429 00:29:53,240 --> 00:29:56,960 Speaker 3: because Rule two I went through all of these four 430 00:29:57,040 --> 00:30:02,760 Speaker 3: years ago, two of CE become aut act. It says 431 00:30:03,160 --> 00:30:09,000 Speaker 3: it everything has to be fair, it has. 432 00:30:08,600 --> 00:30:10,000 Speaker 1: And available to everyone. 433 00:30:10,200 --> 00:30:13,120 Speaker 2: Right, you can, you cannot, you cannot. You cannot geo 434 00:30:13,200 --> 00:30:14,960 Speaker 2: target out tribal lands. 435 00:30:15,400 --> 00:30:16,640 Speaker 1: They must be opened everyone. 436 00:30:16,720 --> 00:30:21,720 Speaker 3: Yes. Yes, there is also a provision that if again 437 00:30:21,800 --> 00:30:24,920 Speaker 3: that wasn't supposed, that's not for sports pinning. But there 438 00:30:24,960 --> 00:30:28,880 Speaker 3: is a provision that says if jurisdiction, if what you're 439 00:30:28,880 --> 00:30:32,680 Speaker 3: doing in the jurisdiction is illegal for in that jurism, 440 00:30:32,680 --> 00:30:35,240 Speaker 3: and then you can you can exclude them. Otherwise it 441 00:30:35,240 --> 00:30:40,040 Speaker 3: has to be fifty estates. Now the mentality of sportsbook 442 00:30:40,080 --> 00:30:44,880 Speaker 3: guys that it's a jurisdiction by jurisdiction basis. Okay, so 443 00:30:45,360 --> 00:30:49,160 Speaker 3: we're going to offer it in California and Texas and 444 00:30:49,200 --> 00:30:56,080 Speaker 3: some other states, but geofence the thirty nine other states. 445 00:30:56,120 --> 00:31:01,800 Speaker 3: It just shows how off they are are. They don't understand. 446 00:31:02,280 --> 00:31:04,360 Speaker 1: Just so you understand what Bruce is saying. 447 00:31:04,640 --> 00:31:06,640 Speaker 2: DraftKings and fander Will both have stated that they are 448 00:31:06,680 --> 00:31:09,400 Speaker 2: not going to offer prediction marketplaces in the states where 449 00:31:09,400 --> 00:31:13,160 Speaker 2: they are currently licensed to operate a sports betting operation. 450 00:31:13,680 --> 00:31:16,720 Speaker 2: So in a state like Massachusetts or New York, where 451 00:31:16,760 --> 00:31:18,960 Speaker 2: draftings and fandule draftings based in Massachusetts. 452 00:31:20,160 --> 00:31:21,280 Speaker 1: Yeah, yeah, that they're. 453 00:31:21,080 --> 00:31:23,400 Speaker 2: Basing that that they're saying, we're not going to offer 454 00:31:23,440 --> 00:31:27,040 Speaker 2: prediction markets only in places like California and Texas where 455 00:31:27,040 --> 00:31:31,720 Speaker 2: we don't have legalized sports gambling, which then violates the CEA. 456 00:31:31,960 --> 00:31:34,240 Speaker 1: So it does create a big problem. 457 00:31:34,320 --> 00:31:39,120 Speaker 3: Yeah yeah, I mean, and let's see FDC is totally 458 00:31:39,160 --> 00:31:44,440 Speaker 3: corrupt and accept that, right Yeah, which is this thing? 459 00:31:44,600 --> 00:31:48,440 Speaker 3: This thing is so obvious, right too. Everything has to 460 00:31:48,480 --> 00:31:52,000 Speaker 3: be fair. You can't discriminate. You can't say, hey, I'm 461 00:31:52,000 --> 00:31:55,560 Speaker 3: not going to offer it this tribe because against it, 462 00:31:55,720 --> 00:31:59,240 Speaker 3: or this is state. So you know, they can argue, Okay, 463 00:31:59,280 --> 00:32:02,560 Speaker 3: we offer it to California because they don't have a 464 00:32:02,600 --> 00:32:06,160 Speaker 3: sports planning, but California still there. You can't have illegal 465 00:32:06,400 --> 00:32:10,080 Speaker 3: sports penning unless it's this right. But then neighboring state 466 00:32:10,120 --> 00:32:13,800 Speaker 3: Arizona is okay, because we're not going to offer it 467 00:32:13,840 --> 00:32:15,600 Speaker 3: there because you already have a sports pinning. I mean, 468 00:32:15,640 --> 00:32:20,200 Speaker 3: it's just totally ridiculous, is I mean when I when 469 00:32:20,240 --> 00:32:22,760 Speaker 3: I read those things and then they say, oh, we've 470 00:32:22,800 --> 00:32:26,280 Speaker 3: talked to the regulators and they're okay with it. Bullshit. 471 00:32:28,640 --> 00:32:33,880 Speaker 3: There are six seven states already clearly have said that 472 00:32:34,480 --> 00:32:38,920 Speaker 3: in Nevada, and I know Nevada. When Nevada says that 473 00:32:39,120 --> 00:32:41,560 Speaker 3: anybody who does business with them, and they mean like 474 00:32:41,800 --> 00:32:46,880 Speaker 3: companies like the advices in Nevada, they do business with them, 475 00:32:47,080 --> 00:32:49,720 Speaker 3: then they can lose their license to right, they could 476 00:32:49,720 --> 00:32:59,400 Speaker 3: be ingjevity. Guess what their online casino online gaming that's 477 00:32:59,440 --> 00:33:04,000 Speaker 3: where they make their money is bang gone? Yeah, long right, 478 00:33:04,680 --> 00:33:09,800 Speaker 3: So I think Caesar's MGM, all the guys who have 479 00:33:09,840 --> 00:33:12,920 Speaker 3: casinos and they're not going to jump into prediction mark 480 00:33:12,960 --> 00:33:14,040 Speaker 3: they're probably laughing. 481 00:33:14,280 --> 00:33:16,520 Speaker 2: And oh they have I mean both, you know, both 482 00:33:16,640 --> 00:33:19,000 Speaker 2: MGM and Caesars both have stated that they aren't and 483 00:33:19,040 --> 00:33:21,080 Speaker 2: they're not doing it at all. And they have brick 484 00:33:21,120 --> 00:33:22,920 Speaker 2: and mortars, like not only do they have by casino, 485 00:33:22,960 --> 00:33:24,880 Speaker 2: do they have brick and mortar casinos where their licenses 486 00:33:24,880 --> 00:33:28,240 Speaker 2: are very much obviously necessary to run their businesses here. 487 00:33:28,320 --> 00:33:31,520 Speaker 2: So yeah, and so then the FANDOL and Draftings both 488 00:33:31,520 --> 00:33:33,800 Speaker 2: pulling out of Nevada saying we're not going to go 489 00:33:33,840 --> 00:33:36,360 Speaker 2: for licenses anymore. I mean, the Boyd's the only one. 490 00:33:36,520 --> 00:33:38,840 Speaker 2: They were white labeling some of their stuff with FanDuel. 491 00:33:38,880 --> 00:33:40,480 Speaker 2: But you know I don't think anybody here in the 492 00:33:40,680 --> 00:33:42,480 Speaker 2: in the city or in the state really are going 493 00:33:42,520 --> 00:33:45,760 Speaker 2: to notice much other than DraftKings having their big building 494 00:33:45,800 --> 00:33:47,360 Speaker 2: on the highway where their headquarters are. 495 00:33:47,960 --> 00:33:52,360 Speaker 3: Yeah. Yeah, and so so anyway, it's kind of a 496 00:33:52,400 --> 00:33:56,840 Speaker 3: Wild West situation. Yeah, and I'm surprised these guys as 497 00:33:57,320 --> 00:34:01,160 Speaker 3: you know, as much as they're you know, is. 498 00:34:01,080 --> 00:34:03,120 Speaker 1: It a money grab though? Is it just to get 499 00:34:03,160 --> 00:34:05,680 Speaker 1: as much possible business as you can get? Right now? 500 00:34:05,680 --> 00:34:08,919 Speaker 2: Because we've seen the most of Calshi's business is from 501 00:34:09,000 --> 00:34:12,320 Speaker 2: Robinhood customers. They have they have the whole database of 502 00:34:12,400 --> 00:34:15,160 Speaker 2: Roberhood customers who are just going over and trading or 503 00:34:15,160 --> 00:34:17,560 Speaker 2: as they call it, trading on Calshi. But now we 504 00:34:17,600 --> 00:34:21,160 Speaker 2: have Polymarket. The CEO called sports betting a scam. This week, 505 00:34:21,480 --> 00:34:24,080 Speaker 2: we've got others Underdog who are coming in who are 506 00:34:24,120 --> 00:34:25,480 Speaker 2: going to be there. Is it just like trying to 507 00:34:25,480 --> 00:34:27,799 Speaker 2: get as much money as possible until the foster gets 508 00:34:27,800 --> 00:34:28,279 Speaker 2: shut off? 509 00:34:29,840 --> 00:34:34,120 Speaker 3: Is that or the naive Okay, people in the financial 510 00:34:34,160 --> 00:34:41,239 Speaker 3: industry they don't understand how complicated is the gaming space is. 511 00:34:42,640 --> 00:34:47,279 Speaker 3: They think, oh, we're trading all kinds of commodities. What 512 00:34:47,320 --> 00:34:50,000 Speaker 3: the hell is it? Sports fidding. It is simple, right, 513 00:34:50,040 --> 00:34:52,520 Speaker 3: we should be able to do that, you know, than 514 00:34:52,560 --> 00:34:58,399 Speaker 3: anybody else. They don't know. It's gambling. It's got all 515 00:34:58,600 --> 00:35:04,920 Speaker 3: these other situations effects, and trading or betting on sports 516 00:35:05,120 --> 00:35:10,240 Speaker 3: is not the same as trading, you know, or options 517 00:35:10,280 --> 00:35:13,080 Speaker 3: and futures for oil and so forth. There is really 518 00:35:13,880 --> 00:35:19,000 Speaker 3: no economic council is pure gambling. So so the reason 519 00:35:19,600 --> 00:35:23,160 Speaker 3: cal she started this is because they told after seven 520 00:35:23,280 --> 00:35:27,120 Speaker 3: years they totally failed in their core business. They were 521 00:35:27,120 --> 00:35:31,279 Speaker 3: not supposed to get even to election, right, right, So 522 00:35:31,360 --> 00:35:35,120 Speaker 3: they got into election and then you know, they kind 523 00:35:35,120 --> 00:35:40,399 Speaker 3: of when Trump administration came came on board, they went 524 00:35:40,520 --> 00:35:44,120 Speaker 3: easy on them. Okay, so I said, okay, now we 525 00:35:44,120 --> 00:35:47,720 Speaker 3: were lucky there, but election happens. You know, every couple 526 00:35:47,719 --> 00:35:53,920 Speaker 3: of years, we go to sports bedding, this thing evolves. 527 00:35:54,320 --> 00:35:58,360 Speaker 2: Yeah, eighty percent of their handle is sports gambling contracts now. 528 00:35:58,760 --> 00:36:03,120 Speaker 3: So it evolved because they were desperate. They had no 529 00:36:03,200 --> 00:36:07,399 Speaker 3: other option. The core business totally failed, and then when 530 00:36:07,440 --> 00:36:11,120 Speaker 3: they saw so much money is involved and the fact 531 00:36:11,120 --> 00:36:14,040 Speaker 3: that they're concluting the whole thing, so oh, we don't 532 00:36:14,080 --> 00:36:17,120 Speaker 3: take a bet. Guess what the market makers are the 533 00:36:17,120 --> 00:36:22,359 Speaker 3: bookmakersana is they should suit those guys, because they are 534 00:36:22,400 --> 00:36:25,279 Speaker 3: the ones who are taking the bets. Calcy is just 535 00:36:25,640 --> 00:36:30,000 Speaker 3: a conduit and Robinhood is also a distributor of those. 536 00:36:30,400 --> 00:36:36,280 Speaker 3: So they took sports bedding and broke it into three parts. Okay, 537 00:36:36,280 --> 00:36:40,319 Speaker 3: one is the platform and one is the market maker, 538 00:36:40,360 --> 00:36:44,840 Speaker 3: which is the book makers like MGM guy sitting you 539 00:36:44,880 --> 00:36:48,239 Speaker 3: know a bookmaker in Las Vegas. They are the ones 540 00:36:48,239 --> 00:36:53,600 Speaker 3: who to get on both sides, right, you know, that's 541 00:36:53,600 --> 00:36:56,759 Speaker 3: how the Chicago board work. The market makers are not 542 00:36:56,880 --> 00:37:00,000 Speaker 3: in the business of predicting what the interest rate was 543 00:37:00,000 --> 00:37:02,920 Speaker 3: would be at the end of the year. They're in 544 00:37:02,960 --> 00:37:06,080 Speaker 3: the business of creating a market of what it is, 545 00:37:06,480 --> 00:37:08,719 Speaker 3: what it could be, and they make their money on 546 00:37:08,760 --> 00:37:13,279 Speaker 3: the spread. Right. And then and then Robinhood, who wants 547 00:37:13,320 --> 00:37:16,800 Speaker 3: to sell everything to every kid in the world, they say, okay, 548 00:37:16,880 --> 00:37:22,520 Speaker 3: we we we sell it too, so they become the distributor. 549 00:37:23,200 --> 00:37:27,680 Speaker 3: They're just as fault as anybody else. And then the 550 00:37:28,200 --> 00:37:34,560 Speaker 3: market makers, the institutions, they're basically involved in illegal gambling. 551 00:37:34,680 --> 00:37:39,240 Speaker 3: They are they are making markets and they're basically taking 552 00:37:39,239 --> 00:37:42,440 Speaker 3: the bets. Right, and Calci is the front for all 553 00:37:42,520 --> 00:37:43,399 Speaker 3: of them. 554 00:37:43,360 --> 00:37:47,160 Speaker 1: Mm hmm, calling you a sports a sports. 555 00:37:47,760 --> 00:37:50,840 Speaker 3: And then everybody else is following that because they're hiding 556 00:37:50,880 --> 00:37:53,799 Speaker 3: behind that. And see if this doesn't say anything, you know, 557 00:37:53,880 --> 00:37:55,920 Speaker 3: for political reasons, which is. 558 00:37:55,920 --> 00:37:57,960 Speaker 2: Yeah, I mean because I mean the the the newest 559 00:37:57,960 --> 00:38:00,440 Speaker 2: CFTC chair is hearing on Capitol Hill. 560 00:38:01,160 --> 00:38:02,640 Speaker 1: He said that he's gonna leave it up to the 561 00:38:02,640 --> 00:38:04,400 Speaker 1: courts like that. They're not interested. 562 00:38:04,880 --> 00:38:08,240 Speaker 3: Yeah. They he was hand picked to say those things, 563 00:38:08,320 --> 00:38:13,439 Speaker 3: right from Calci. Yeah yeah, yeah, from from from the administration, 564 00:38:13,760 --> 00:38:16,759 Speaker 3: from the guys who are behind this, right, and and 565 00:38:16,840 --> 00:38:22,080 Speaker 3: I think this is a fight between the States and CFTC. Yeah, 566 00:38:22,320 --> 00:38:27,120 Speaker 3: CFTC right now doesn't say anything, Calshy says until they 567 00:38:27,600 --> 00:38:31,200 Speaker 3: tell tell us, we don't do anything. Yeah, And then 568 00:38:31,239 --> 00:38:33,560 Speaker 3: the other guys say, we don't you know, this is 569 00:38:33,880 --> 00:38:37,200 Speaker 3: now the market makers and we don't know. It's it's 570 00:38:37,239 --> 00:38:40,719 Speaker 3: between you and Calci. But they're participating, right and and 571 00:38:40,800 --> 00:38:45,200 Speaker 3: also the other guys, Crypto dot com and so forth, 572 00:38:45,239 --> 00:38:49,200 Speaker 3: they're saying, Okay, we follow Calci, right, we are in 573 00:38:49,239 --> 00:38:52,200 Speaker 3: the same dission. We follow Calci. So so Calci is 574 00:38:52,239 --> 00:38:57,040 Speaker 3: the front for all of them because they started it 575 00:38:57,160 --> 00:38:59,520 Speaker 3: and they think they can make the most out of it. 576 00:38:59,680 --> 00:39:04,560 Speaker 3: That guess what when my prediction when drafting and fandom 577 00:39:04,600 --> 00:39:08,440 Speaker 3: goes to that market, right, and chances are they lose 578 00:39:09,320 --> 00:39:13,920 Speaker 3: a lot of business of their licenses and business in 579 00:39:14,040 --> 00:39:14,760 Speaker 3: most of the states. 580 00:39:14,840 --> 00:39:16,799 Speaker 1: That's why do you do you think that states are 581 00:39:16,800 --> 00:39:17,680 Speaker 1: going to pull licenses? 582 00:39:17,680 --> 00:39:19,240 Speaker 2: Do you think we'll get to that point where a state, 583 00:39:19,840 --> 00:39:22,800 Speaker 2: not just Nevada, but other states will pull DraftKings or 584 00:39:22,800 --> 00:39:23,560 Speaker 2: FANDOL license. 585 00:39:23,920 --> 00:39:25,680 Speaker 3: What do you think? What? What do you think? 586 00:39:26,480 --> 00:39:27,680 Speaker 1: I think it's saber rattling. 587 00:39:27,680 --> 00:39:29,440 Speaker 2: And I think at the end of the day, DraftKings 588 00:39:29,480 --> 00:39:32,040 Speaker 2: and Fandol will not do it because their core business 589 00:39:32,160 --> 00:39:35,000 Speaker 2: could go away pretty quickly. Because if if by chance, 590 00:39:35,200 --> 00:39:38,080 Speaker 2: the CFTC does wake up and say, in two or 591 00:39:38,120 --> 00:39:40,880 Speaker 2: three years we have a change in the White House 592 00:39:40,880 --> 00:39:44,600 Speaker 2: and we have a different appetite for this, and they 593 00:39:44,600 --> 00:39:46,600 Speaker 2: come in and say, yet, guys, we're not doing any 594 00:39:46,640 --> 00:39:46,920 Speaker 2: more of this. 595 00:39:47,040 --> 00:39:48,040 Speaker 1: Shut this whole thing down. 596 00:39:48,400 --> 00:39:51,840 Speaker 3: So you think they're not going to really they're just 597 00:39:51,920 --> 00:39:53,239 Speaker 3: threatening to do it, but they're not. 598 00:39:53,520 --> 00:39:55,520 Speaker 2: I think Drapkings and fandor will try and placate to 599 00:39:55,560 --> 00:39:58,560 Speaker 2: their to their boards, and placate to their to their stockholders, 600 00:39:58,640 --> 00:40:00,840 Speaker 2: because they actually try to do do this and actually 601 00:40:00,880 --> 00:40:05,040 Speaker 2: do execute what they're talking about their entire business model 602 00:40:05,040 --> 00:40:07,360 Speaker 2: in America from a sports betting perspective could lapse. 603 00:40:07,800 --> 00:40:11,400 Speaker 3: Yeah yeah, oh yeah yeah. So I think they're committed 604 00:40:11,520 --> 00:40:16,520 Speaker 3: right now, unless they come back in a month or 605 00:40:16,560 --> 00:40:21,880 Speaker 3: say sorry, we made the mistake right nowfore, right now, 606 00:40:22,400 --> 00:40:26,080 Speaker 3: I bet the regulators across the country they are writing 607 00:40:26,200 --> 00:40:30,120 Speaker 3: letters and kind of telling them, hey, we told you. 608 00:40:30,200 --> 00:40:33,239 Speaker 3: At least seven of them so far have made it clear, 609 00:40:33,239 --> 00:40:34,600 Speaker 3: and there'll be more. Well. 610 00:40:34,600 --> 00:40:36,560 Speaker 1: The fascinating point is Massachusetts. 611 00:40:36,600 --> 00:40:40,400 Speaker 2: DraftKings is the second largest employer in the state of Massachusetts, 612 00:40:40,120 --> 00:40:43,759 Speaker 2: and the Master Gaming Gaming Board is the most aggressive 613 00:40:43,800 --> 00:40:47,160 Speaker 2: in the country about holding the books accountable. So it's 614 00:40:47,200 --> 00:40:51,160 Speaker 2: like two gigantic forces combined charging at each other, and 615 00:40:51,239 --> 00:40:55,320 Speaker 2: like which one. I mean, if DraftKings lost their mass 616 00:40:55,440 --> 00:40:59,399 Speaker 2: license to operate in their home state, I think every 617 00:40:59,400 --> 00:41:01,600 Speaker 2: state in the county sure would feel at will to 618 00:41:01,640 --> 00:41:04,160 Speaker 2: go ahead and follow suit and pull and pull their license. 619 00:41:04,719 --> 00:41:07,840 Speaker 3: Yeah, and and and and and that's the whole principle 620 00:41:08,000 --> 00:41:13,439 Speaker 3: of regulated gaming in the US. You have to have integrity, 621 00:41:14,320 --> 00:41:17,000 Speaker 3: you have to be good, and you can't you can't 622 00:41:17,080 --> 00:41:22,120 Speaker 3: just copy and and and do other things which other 623 00:41:22,200 --> 00:41:27,239 Speaker 3: people do. When the states are in a fight with 624 00:41:27,320 --> 00:41:29,560 Speaker 3: them and you just go and join them. It's just 625 00:41:29,920 --> 00:41:36,000 Speaker 3: it's it's it's against the whole principle of right regulated gaming, right, 626 00:41:36,080 --> 00:41:39,160 Speaker 3: the defecting to the other side. Who is sewing all 627 00:41:39,200 --> 00:41:46,520 Speaker 3: these and and the reason that CALCI started suing preemptively, 628 00:41:46,719 --> 00:41:50,120 Speaker 3: you know, all the states including Nevada and New Jersey 629 00:41:50,120 --> 00:41:53,920 Speaker 3: because they wanted to put to keep these things in 630 00:41:53,920 --> 00:41:57,440 Speaker 3: the federal court, right in the federal court, and the 631 00:41:57,560 --> 00:42:01,640 Speaker 3: Massachusetts was smart and the pushing to the state right. 632 00:42:01,680 --> 00:42:03,920 Speaker 1: State and state court. Yeah, government last week. 633 00:42:04,160 --> 00:42:07,560 Speaker 3: They are state. There is no you know, there are 634 00:42:07,640 --> 00:42:13,400 Speaker 3: several issues. A CEO was not supposed to cover sports 635 00:42:13,400 --> 00:42:14,400 Speaker 3: within gaming, that's. 636 00:42:14,320 --> 00:42:15,319 Speaker 1: Right, it says. 637 00:42:15,360 --> 00:42:18,239 Speaker 2: It says it's not supposed to cover it. 638 00:42:19,560 --> 00:42:25,120 Speaker 3: And and b this thing about preemption and so forth. 639 00:42:25,239 --> 00:42:30,719 Speaker 3: If you know, it probably only holds at federal level. 640 00:42:30,760 --> 00:42:35,200 Speaker 1: Even if right, yeah, it's a fifty state solution. They're 641 00:42:35,280 --> 00:42:36,960 Speaker 1: trying to pull a rabbit out of the hat. 642 00:42:37,400 --> 00:42:39,799 Speaker 2: And why I've been so against it and why I 643 00:42:39,800 --> 00:42:42,399 Speaker 2: think it's such an unfortunate thing is because so many 644 00:42:42,440 --> 00:42:45,360 Speaker 2: operators have done the right thing by going through the 645 00:42:45,400 --> 00:42:48,480 Speaker 2: regulatory process, by paying the millions of dollars to be 646 00:42:48,560 --> 00:42:51,560 Speaker 2: licensed to pay the taxes in those states to do what. 647 00:42:51,880 --> 00:42:54,760 Speaker 2: You know, it's really difficult to operate in multi states 648 00:42:54,800 --> 00:42:57,520 Speaker 2: and paying multi states all the different things you have 649 00:42:57,520 --> 00:42:59,640 Speaker 2: to do to operate in you know, two states, let 650 00:42:59,640 --> 00:43:02,520 Speaker 2: alone twelve thirteen states, like some of these sports books 651 00:43:02,560 --> 00:43:05,480 Speaker 2: are doing. And now we have this overarching fifty state 652 00:43:05,560 --> 00:43:07,560 Speaker 2: solution where somebody can come in and take bets in 653 00:43:07,719 --> 00:43:09,680 Speaker 2: Utah and take bets in Alabama. 654 00:43:09,760 --> 00:43:11,160 Speaker 1: And it's like, wait a minute, hold a. 655 00:43:11,120 --> 00:43:13,359 Speaker 2: Second, like how do we go from like where never 656 00:43:13,480 --> 00:43:16,080 Speaker 2: they don't have a lottery and now they're taking sports gambling. 657 00:43:16,520 --> 00:43:20,640 Speaker 3: Yeah. No, the whole thing is ridiculous, absolutely ridiculous. And 658 00:43:20,719 --> 00:43:27,920 Speaker 3: they think they they again, they're living in a dream. 659 00:43:28,120 --> 00:43:32,040 Speaker 3: It's not going to happen. And I tell you why, 660 00:43:32,080 --> 00:43:34,000 Speaker 3: it's the best thing that's happened to me, because I've 661 00:43:34,000 --> 00:43:37,759 Speaker 3: been telling the industry for many years. Let's create a 662 00:43:37,840 --> 00:43:42,840 Speaker 3: network where everybody can you know, trade their bets already 663 00:43:42,880 --> 00:43:48,240 Speaker 3: place beats, everybody wins. The sports book would create more 664 00:43:48,480 --> 00:43:54,480 Speaker 3: revenue because people would place more bets, right, ad more 665 00:43:54,520 --> 00:43:57,319 Speaker 3: bets because it's liquid, right, you can sell it at 666 00:43:57,360 --> 00:44:00,839 Speaker 3: any point of time at market prices. So now the 667 00:44:00,920 --> 00:44:07,799 Speaker 3: sportsbook have new revenues. The state would make more taxes 668 00:44:07,840 --> 00:44:11,200 Speaker 3: because there will be more wage drink right back and forth. 669 00:44:11,600 --> 00:44:13,640 Speaker 3: And I've come up with the business model, you know, 670 00:44:13,719 --> 00:44:16,200 Speaker 3: where when you place a bed, there is one fee. 671 00:44:16,960 --> 00:44:19,759 Speaker 3: When you trade the bet will be like buying and 672 00:44:19,840 --> 00:44:25,239 Speaker 3: selling the stock would be a lower fee. And and 673 00:44:25,360 --> 00:44:29,319 Speaker 3: the consumer is winning because they have the option of 674 00:44:29,440 --> 00:44:32,080 Speaker 3: always getting out of their bed and buying other people's 675 00:44:32,080 --> 00:44:34,800 Speaker 3: bet at market prices. So it's a win win for everyone. 676 00:44:35,560 --> 00:44:40,040 Speaker 3: The issue is that the the the gaming companies didn't 677 00:44:40,040 --> 00:44:44,399 Speaker 3: want to change their paradigm, right. So I've been telling them, 678 00:44:45,360 --> 00:44:48,800 Speaker 3: I know all the old guys from the sports building 679 00:44:48,800 --> 00:44:53,360 Speaker 3: in Nevada because I sold them systems right, and I 680 00:44:53,440 --> 00:44:55,680 Speaker 3: kept telling them and they just couldn't understand what I 681 00:44:55,719 --> 00:44:59,480 Speaker 3: was talking about. And so look, this is the business 682 00:44:59,520 --> 00:45:03,040 Speaker 3: model is been working for thirty four years. So anyway, 683 00:45:03,160 --> 00:45:08,160 Speaker 3: now they are forced to understand what exchange tradable betting 684 00:45:08,320 --> 00:45:14,080 Speaker 3: is ETVS. So ETB is going to be the world 685 00:45:14,200 --> 00:45:17,760 Speaker 3: of the future D and the prediction market. Exchange tradables 686 00:45:17,880 --> 00:45:21,479 Speaker 3: you place an ETV, meaning you place is standardized bet, 687 00:45:22,440 --> 00:45:27,080 Speaker 3: your with the operator, your licensed, you have your account 688 00:45:27,200 --> 00:45:30,759 Speaker 3: with and then once you place your bet. You can 689 00:45:30,800 --> 00:45:34,080 Speaker 3: sell your bet, or you can buy other people's already 690 00:45:34,160 --> 00:45:39,200 Speaker 3: place et bs with other operators. It's all within the ecosystem. 691 00:45:39,480 --> 00:45:42,640 Speaker 3: So when you buy and sell a stock or orrange 692 00:45:42,719 --> 00:45:48,200 Speaker 3: Chicago board is already within that ecosystem. Somebody created that 693 00:45:49,280 --> 00:45:54,600 Speaker 3: you know contract, and that contract is created by an 694 00:45:54,640 --> 00:45:58,760 Speaker 3: operator which is licensed, is owned by a registered person 695 00:45:59,480 --> 00:46:04,080 Speaker 3: that is god an account with that entity. And you 696 00:46:04,120 --> 00:46:08,080 Speaker 3: can now sell it as you call it, commodity or contract, 697 00:46:08,120 --> 00:46:15,640 Speaker 3: whatever you call it, the fundible asset, binary asset. And 698 00:46:15,640 --> 00:46:23,200 Speaker 3: and it's transparent, it's trackable, it's regulated, it's the way 699 00:46:23,200 --> 00:46:24,960 Speaker 3: it should be m hm. 700 00:46:24,960 --> 00:46:26,880 Speaker 1: And it goes over across across state lines. 701 00:46:27,880 --> 00:46:32,080 Speaker 3: The the the trading of already placed back because it's 702 00:46:32,120 --> 00:46:35,080 Speaker 3: not a bed anymore. The bed is already in place. 703 00:46:36,040 --> 00:46:39,879 Speaker 3: So if you if you do a parlay and and 704 00:46:39,920 --> 00:46:44,279 Speaker 3: you are the operator and somebody places that parlay, you 705 00:46:44,320 --> 00:46:48,239 Speaker 3: are on the hook with that parley, okay, And if 706 00:46:48,239 --> 00:46:52,480 Speaker 3: you don't pay, that state would come after you because 707 00:46:52,520 --> 00:46:58,640 Speaker 3: you took the bet. Right now, the person who ends 708 00:46:58,719 --> 00:47:01,520 Speaker 3: up owning it at the time that the partly gets 709 00:47:01,560 --> 00:47:08,719 Speaker 3: resolved is a customer within the ecosystem, right yep. And 710 00:47:08,840 --> 00:47:14,200 Speaker 3: like poker, when there is exchange of let's say, transactions 711 00:47:14,239 --> 00:47:19,080 Speaker 3: going between two customers of two different operators the operators, 712 00:47:19,080 --> 00:47:23,160 Speaker 3: and I build all that system is all tracked. At 713 00:47:23,160 --> 00:47:26,480 Speaker 3: the end of the day, there is a payable receivables 714 00:47:26,520 --> 00:47:30,640 Speaker 3: between the operators for those traits that happen. It keeps 715 00:47:30,680 --> 00:47:33,680 Speaker 3: track of all of it and then it gets settled 716 00:47:34,440 --> 00:47:37,120 Speaker 3: at the end of the day between the operators automatically. 717 00:47:37,640 --> 00:47:42,120 Speaker 3: All those technologies exist. The banking systems have it. Securities 718 00:47:42,200 --> 00:47:45,680 Speaker 3: industry have it. When you buy a stock, you don't 719 00:47:45,680 --> 00:47:49,080 Speaker 3: know what happens, but for sure you broke a dealer 720 00:47:49,160 --> 00:47:53,440 Speaker 3: settles your trade with another broken dealer, you know, in 721 00:47:53,520 --> 00:47:59,000 Speaker 3: the back office. So I build that system where everything 722 00:47:59,000 --> 00:48:02,920 Speaker 3: gets tracked and get settled on a regular basis. But 723 00:48:03,160 --> 00:48:07,320 Speaker 3: I can't get it started until at least two operator 724 00:48:07,400 --> 00:48:11,239 Speaker 3: comes on board and the start offering it. And that's 725 00:48:11,280 --> 00:48:15,640 Speaker 3: why I'm taking such a hard look at everything going on, 726 00:48:15,880 --> 00:48:19,160 Speaker 3: because I think I have the solution for the industry, 727 00:48:19,800 --> 00:48:21,520 Speaker 3: and I've had it for a long time. It's hard 728 00:48:21,520 --> 00:48:24,560 Speaker 3: to explain it to them, but now they're getting it. 729 00:48:24,600 --> 00:48:28,839 Speaker 3: They understand. They understand that other you know, these other 730 00:48:28,880 --> 00:48:33,400 Speaker 3: guys are doing it and if they don't offer something innovative, 731 00:48:34,360 --> 00:48:38,080 Speaker 3: then they eventually they lose the whole business. It's just 732 00:48:38,080 --> 00:48:42,000 Speaker 3: a matter of time. If they don't, if they don't fight, 733 00:48:43,040 --> 00:48:47,759 Speaker 3: eventually they will lose it. Anything. But right now it's 734 00:48:47,840 --> 00:48:52,759 Speaker 3: not too late because because uh, you know, it goes 735 00:48:52,800 --> 00:48:56,760 Speaker 3: to Supreme Court, and you know, a chance of Supreme 736 00:48:56,800 --> 00:48:59,920 Speaker 3: Court is Yeah, we were wrong before and it's not good. 737 00:49:00,080 --> 00:49:01,799 Speaker 1: It's it's not gonna happen. 738 00:49:02,120 --> 00:49:04,520 Speaker 2: Yeah, Bruce, We're out of time. But thank you so 739 00:49:04,640 --> 00:49:07,520 Speaker 2: much for this. This was such an interesting conversation. Thank you 740 00:49:07,560 --> 00:49:09,520 Speaker 2: for being us, being with us here on the Sharp Report. 741 00:49:09,840 --> 00:49:11,799 Speaker 3: Okay, thank you, Matt, thank you. 742 00:49:12,239 --> 00:49:14,880 Speaker 4: Thanks for listening to the Betting Pros podcast. If you 743 00:49:14,960 --> 00:49:17,279 Speaker 4: love the show, the best freeway to support us is 744 00:49:17,320 --> 00:49:20,719 Speaker 4: by leaving a positive review on Apple Podcasts or Spotify. 745 00:49:21,000 --> 00:49:23,640 Speaker 4: Follow us on x and TikTok at Betting Pros and 746 00:49:23,719 --> 00:49:27,400 Speaker 4: Instagram at Betting Pros NFL. Also subscribe to our YouTube 747 00:49:27,440 --> 00:49:29,960 Speaker 4: channel at YouTube dot com slash Betting Pros