Wagr Hits Multimillion-Dollar Seed Funding Target
Wagr, the US sports betting start-up, has successfully completed its round of seed funding. The founder of Reddit, Alexis Ohanian, emerged as the lead investor. He committed $4 million to the project through his venture capital firm, Seven Seven Six.
Several other notable parties also got involved during this round of funding. These parties included investment firms like Greycroft and Pear Ventures, as well as Justin Mateen, one of Tinder’s co-founders and Joe Baker, the founder of Ole Smoky.
Wagr Awaits Regulatory Approval
As it stands, Wagr plans to allow a maximum bet of just $500. Users will have the freedom to establish lower limits if they so wish. In future, Wagr plans to launch moneyline wagers and prop bets. At present, the firm has its sights set on the markets in Tennessee and Virginia for its debut within the United States as soon as it receives regulatory approval. The company has announced that it will charge users a fee to access the services that it provides.
While Wagr itself is a start-up, the team working on it has amassed a wealth of experience, with some members having plenty of direct experience within the gambling industry itself. For example, Gary Loveman, the former Chief Executive Officer of Caesars Entertainment, is onboard. This is essential as Wagr enters into the rapidly growing US market. According to a Goldman Sachs estimate, the online sports betting sector within the US alone is valued at approximately $30 billion.
Wagr was established in April of 2020 with the intention of getting people to place bets without actually needing to know all that much about sports betting. In a post made to its LinkedIn profile, Wagr outlined how it is striving to develop a sports betting experience that is social, simple, and inclusive.
The main aim of the app is to cater to recreational bettors within the US and to create a more social setting around this kind of betting. In essence, it should allow people to bet playfully against their friends instead of a bookie.
In its initial stages, Wagr will provide exchange betting for major sports in the United States. This will only take the form of spread wagers, whereby people will be able to choose teams that they believe will win a certain game. In exchange, their friend or family member will back the opposing side of the bet.