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It is no secret that betting is big business, even in 2024. If anything, betting has evolved with the times and incorporates both the activities and technology that fans are embracing these days. Take crypto, for instance. The idea of betting with a digital asset would have sounded absurd years ago, but now, it is a reality.
This is thanks to the growing demand for crypto among consumers, which is, in turn, thanks to the many benefits it offers. This includes the chance to have their tokens multiply in value, as well as faster transaction times. The latter has been an especially big draw as traditional gambling often dealt with the issue of paying out winnings on time. But as Aman Jain explains, many of the top casinos with the highest payout rates are crypto-based. As such, the betting sector has adjusted to accommodate this need.
There is also the influx of celebrities, even the non-traditional ones. Fans are invested in things like celebrity/influencer boxing and like it or not, it has come to impact the gambling space. A clear-cut example of this is a recent lawsuit brought against boxer Mike Tyson.
Most of us will remember the now-infamous fight between the veteran boxer Tyson and influencer-turned-boxer Jake Paul last month. Live-streamed on Netflix, it was perhaps the most anticipated boxing event of the year and saw Tyson back in the spotlight, despite losing to the influencer. What most of us would not know is that Tyson broke off a prior commitment to take part in the match.
Earlier this year, he signed a deal with Medier, a Cyprus-registered casino promotion company and a betting company called Rabona. The deal would see Tyson promote the company, leveraging his influence to drive not just customers but credibility as well. But in March, he abruptly terminated his agreement. Ironically, this was done on the same day that he announced that he would fight Jake Paul.
The two companies have now sued Mike Tyson at London’s High Court, claiming that his breach of contract cost them $1.59 million. Now, they are seeking damages.
“The true reason for Mr Tyson and Tyrannic’s hasty and unlawful termination was because Mr Tyson had agreed a deal, sponsored by Netflix, to fight the influencer Jake Paul,” a public statement from the companies' lawyer has said.
So far, neither Mike Tyson nor his company Tyrannic (which is also named in the suit) have commented on the lawsuit or mounted a lawsuit. However, these legal issues go to show just how much the landscape of betting and boxing has changed.
A famous boxer years out of his prime getting what we can assume is around a million dollars to promote a betting company is a very good position to be in. But we have to consider how much more beneficial the Jake Paul fight was for him. According to some sources, he walked away with $20 million, which is many times what the deal with Medier and Rabona would have made him.
Much of this can be put down to the fact that it was a Netflix exclusive and tickets for the fight (for those who watched it in person) cost anything from just under $100 to tens of thousands of dollars. Even if Tyson has to pay damages for backing out of his initial deal, he will still come out on top. It is also worth noting that the fight was a big win for the betting sector.
Several sportsbooks have said that the fight saw several times more bets than any other event in their history. Boxing purists have denounced influencers getting into the sport but clearly, the market has spoken. With the success of this match, we can expect even more to be announced in 2025 and beyond, with virtually all parties benefiting.
Professional boxers, both current and retired, will have a chance at both glory and profit, influencers can expand their income sources, viewers will be entertained, streaming services can secure record viewership, and even betting companies can profit from the influx of bets. Hopefully, there will not be further lawsuits like the ongoing one against Mike Tyson.