BETDAQ
Encyclopedia
BETDAQ is the trading name of Global Betting Exchange, a betting exchange
operator based in Ireland
. It is the second largest betting exchange operator in the market, with Betfair
being the largest.
The company was founded in 2000 by leading Irish businessman Dermot Desmond
and started trading in September 2001. Its headquarters are located in the International Financial Services Centre
in Dublin, and it employs about 100 people.
The company offers betting markets on a range of international sporting and other events and claims to handle in excess of £50M worth of bets every week. It operates separate international and UK versions of its main site, and in early 2006 launched BETDAQ Express, with a simplified interface and functionality.
In 2003, BETDAQ did not sign up to an agreement with the Jockey Club
that granted the Jockey Club access to the company's customer records. Managing director of BETDAQ Rob Hartnett questioned the wisdom of having the Jockey Club responsible for the investigation of misconduct, rather than the police or the judiciary, asserting that BETDAQ "will not be a haven for crooked activity", but also stating that "We just want the Jockey Club and the whole betting industry to think this through." and "We will just not give potentially innocent individual's private details. It is just wrong.".
Interviewed as he left BETDAQ in February 2005, Hartnett made several comments about the company's initial launch and development. The company's initial aim at the high-roller end of the market "had allowed the competition to get a market leap on us", and "Our technology wasn't as good as Betfair's in those vital early days of building volumes and building the brand. So when we moved into the UK and the horseracing markets, we began a step-by-step improvement. But we were still behind — that was what the market was telling us." In a rare interview the preceding month with Racing Post
journalist Jim Cremin, Desmond had accepted that BETDAQ "is not profitable yet" and had "cost him a fortune", but had stated that he "believes the medium-term prospects are encouraging".
In September 2005, BETDAQ reached the point that, in the words of Racing Post journalist Howard Wright, it could "no longer sustain a low commission rate for customers" leaving its "one discernible commercial advantage over the dominant market leader Betfair [...] gone". The company which, according to fellow journalist Bruce Jackson, had, when it had been first launched, prided itself on a 3% rate and offering zero commission, had "failed to match Betfair in the publicity stakes, along with liquidity on most markets" and moved to imposing a higher 5% tax rate on winners.
In November 2005, William Hill transferred its hedging activities from the racecourse to betting exchanges, primarily BETDAQ, prompting commentators to speculate that the "Big Three" bookmakers could take control of BETDAQ in order to undermine Betfair's market. Hartnett had been quoted in a 2005 interview speculating that a company such as BETDAQ could provide an ideal entry point to the betting exchange business for bookmakers such as William Hill and Ladbrokes
.
In May 2006, the launch of Better, a bookmaking company that offered cash betting terminals (allowing punters to back or lay selections without having to register personal or bank details) linked to BETDAQ, caused controversy, with commentators and commercial rivals observing that this move by BETDAQ into untraceable cash opened the door for criminal corruption in racing. The managing director of Better, Ian Hogg, stated that the company had consulted both the Jockey Club and Levy Board, and explained that "the core difference [between] this and exchange betting from home is that our machines operate with a built-in margin that includes commission for both ourselves and Betdaq — crucially, that overall margin is similar to that involved in the SP. Therefore, we are in the same realm as a punter backing all the other horses if he wanted to oppose a short-priced favourite."
BETDAQ also runs a website called Trader Games, where members can bet money against each other regarding how well they can trade certain markets. In November 2006 the company started a blog called BETDAQ Exchange Views, with contributions from the company's PR Director Russ Wiseman.
Betting exchange
A betting exchange is an entity which provides "trading" facilities for retail or bookmaker customers to buy and sell contracts. Contracts are structured as binary options. Some betting exchanges may also offer CFD products...
operator based in Ireland
Ireland
Ireland is an island to the northwest of continental Europe. It is the third-largest island in Europe and the twentieth-largest island on Earth...
. It is the second largest betting exchange operator in the market, with Betfair
Betfair
Betfair is the world's largest Internet betting exchange. The company is based in Hammersmith in West London, England. Since Betfair was launched in June 2000 it has become the largest online betting company in the UK and the largest betting exchange in the world. Betfair claim to have over 3...
being the largest.
The company was founded in 2000 by leading Irish businessman Dermot Desmond
Dermot Desmond
Dermot Desmond is an Irish businessman and financier. He is estimated to be worth €1.45billion and is ranked by the Sunday Independent as the sixth-richest person in Ireland.-Background and education:...
and started trading in September 2001. Its headquarters are located in the International Financial Services Centre
International Financial Services Centre
The International Financial Services Centre is a major financial services centre in North Wall, Dublin, Ireland. The centre employs 14,000 people and was the brainchild of an associate of businessman Dermot Desmond...
in Dublin, and it employs about 100 people.
The company offers betting markets on a range of international sporting and other events and claims to handle in excess of £50M worth of bets every week. It operates separate international and UK versions of its main site, and in early 2006 launched BETDAQ Express, with a simplified interface and functionality.
In 2003, BETDAQ did not sign up to an agreement with the Jockey Club
Jockey Club
The Jockey Club is the largest commercial organisation in British horseracing. Although no longer responsible for the governance and regulation of the sport, it owns 14 of Britain's famous racecourses, including Aintree, Cheltenham and Newmarket, amongst other concerns such as the National Stud and...
that granted the Jockey Club access to the company's customer records. Managing director of BETDAQ Rob Hartnett questioned the wisdom of having the Jockey Club responsible for the investigation of misconduct, rather than the police or the judiciary, asserting that BETDAQ "will not be a haven for crooked activity", but also stating that "We just want the Jockey Club and the whole betting industry to think this through." and "We will just not give potentially innocent individual's private details. It is just wrong.".
Interviewed as he left BETDAQ in February 2005, Hartnett made several comments about the company's initial launch and development. The company's initial aim at the high-roller end of the market "had allowed the competition to get a market leap on us", and "Our technology wasn't as good as Betfair's in those vital early days of building volumes and building the brand. So when we moved into the UK and the horseracing markets, we began a step-by-step improvement. But we were still behind — that was what the market was telling us." In a rare interview the preceding month with Racing Post
Racing Post
The Racing Post is a British daily horse racing, greyhound racing and sports betting newspaper, appearing in print form and online.From 30 May 2011 - 3 July 2011 it had a circulation of 56,507.-History:...
journalist Jim Cremin, Desmond had accepted that BETDAQ "is not profitable yet" and had "cost him a fortune", but had stated that he "believes the medium-term prospects are encouraging".
In September 2005, BETDAQ reached the point that, in the words of Racing Post journalist Howard Wright, it could "no longer sustain a low commission rate for customers" leaving its "one discernible commercial advantage over the dominant market leader Betfair [...] gone". The company which, according to fellow journalist Bruce Jackson, had, when it had been first launched, prided itself on a 3% rate and offering zero commission, had "failed to match Betfair in the publicity stakes, along with liquidity on most markets" and moved to imposing a higher 5% tax rate on winners.
In November 2005, William Hill transferred its hedging activities from the racecourse to betting exchanges, primarily BETDAQ, prompting commentators to speculate that the "Big Three" bookmakers could take control of BETDAQ in order to undermine Betfair's market. Hartnett had been quoted in a 2005 interview speculating that a company such as BETDAQ could provide an ideal entry point to the betting exchange business for bookmakers such as William Hill and Ladbrokes
Ladbrokes
Ladbrokes plc is a British based gambling company. It is based in Rayners Lane in Harrow, London owned by Bhavin Kakaiya. From 14 May 1999 to 23 February 2006, when it owned the Hilton hotel brand outside the United States, it was known as Hilton Group plc...
.
In May 2006, the launch of Better, a bookmaking company that offered cash betting terminals (allowing punters to back or lay selections without having to register personal or bank details) linked to BETDAQ, caused controversy, with commentators and commercial rivals observing that this move by BETDAQ into untraceable cash opened the door for criminal corruption in racing. The managing director of Better, Ian Hogg, stated that the company had consulted both the Jockey Club and Levy Board, and explained that "the core difference [between] this and exchange betting from home is that our machines operate with a built-in margin that includes commission for both ourselves and Betdaq — crucially, that overall margin is similar to that involved in the SP. Therefore, we are in the same realm as a punter backing all the other horses if he wanted to oppose a short-priced favourite."
BETDAQ also runs a website called Trader Games, where members can bet money against each other regarding how well they can trade certain markets. In November 2006 the company started a blog called BETDAQ Exchange Views, with contributions from the company's PR Director Russ Wiseman.
External links
- BETDAQ International site
- Betdaq registers Turfdaq.com as betting service expands in the Sunday Business Post