A bettor places an ETB with their state-licensed sportsbook. The wager, the wallet, and the customer relationship all live with the licensed operator, exactly as state law requires.
The operator holds the customer funds and the bet itself inside its own regulated book. No money crosses state lines. No funds touch BetEx.
Operators route orders, not money, to the national BetEx matching engine: one liquidity pool, real-time matching, best price wins, every fill atomic.
Already-placed ETBs trade at competitive, market-driven prices across the closed-loop network. Bettors can exit positions before the event completes, through their own operator account.
The two sides of a trade usually belong to different operators. Each side settles with their own state-licensed operator: the buyer pays through theirs, the seller is paid through theirs, and the position changes hands on the exchange. Every dollar stays inside a licensed, regulated book, and states keep licensing, oversight, responsible-gaming controls, and tax revenue.
Introducing Exchange Tradeable Bets
BetEx is the first B2B event contract exchange built exclusively for state-licensed sportsbooks, merging traditional sports betting with Wall Street–style trading. Bets are placed at the state level and traded on a national closed-loop network.
Company
BetEx offers an interconnected, interoperable ecosystem for standardized Exchange Tradeable Bets (ETBs), placed at the state level and traded on a national closed-loop network. ETBs are a form of prediction market with binary (Yes/No) contracts settling between $0 and $1.00 or more, depending on the Prop.
BetEx licenses its technology to sportsbooks to preserve the integrity of the state-regulated sports betting industry against emerging federal prediction-market encroachments by platforms such as Kalshi. BetEx is not a peer-to-peer betting exchange. It manages the matching-engine layer of a multi-jurisdictional exchange for already-placed, standardized ETBs offered by licensed operators who integrate their wallets with the BetEx platform.
Operators award loyalty points for every ETB placed and traded, offer standardized props through Initial Prop Offerings (IPOs), and let bettors sell their ETBs at competitive, market-driven prices generating new revenues for operators and states beyond traditional sports betting.
Real-time, high-performance order matching across every participating sportsbook on a single closed-loop national network: best price wins, every fill atomic.
Seamless integration for casinos and sportsbooks: your brand, our infrastructure architecture. Player, operator, and corporate consoles ship ready to skin.
Built to work within, not around, state-regulated sports betting frameworks. Bets live with the licensed operator; only orders travel.
Bets placed at the state level, traded nationally on the closed-loop BetEx network. Every jurisdiction stays a separate operator: separate wallets, books, limits, and controls.
Operators award loyalty points for each ETB placed and traded, deepening player engagement on every side of the market.
Trade-side commissions accrue to each operator's own house, recyclable directly into that operator's AI-driven trading tools. Revenue for operators and states beyond traditional offerings.
Exchange Tradeable Bets
Wall Street–style trading mechanics for the sportsbook industry: BetEx facilitates buy and sell orders while casino-operators handle cash and customer orders. What trades is an already-placed bet with a state-licensed operator, so bettors can exit positions before event completion.
Sports bets trade on a national exchange at competitive prices: greater flexibility, market-driven odds. Sportsbooks offer ETBs through one standardized process.
Multiple events across a period, even an entire season, where, unlike parlays, the bettor doesn't need to win every leg. Each Composite pays its own per-tier schedule, and the wisdom of the crowd trading on BetEx sets the price as results fluctuate.
ETBs create a new asset class for bettors and investors. Bookmakers use it, alongside AI-driven profit-seeking tools, to minimize risk on the outcome of a game: inventory-aware quoting, bounded exposure, real limits.
Advanced AI-driven, profit-seeking algorithms for operators: real-time analysis of market trends, pricing fluctuations, and betting patterns: spreads that widen under uncertainty and volatility, skewing away from heavy inventory. Ask about AI-driven tools →
Places an ETB with their state-licensed operator. The bet and the money never leave the state.
The Licensed Operator (LBS) holds the wallet, the customer funds, and the bet itself.
National ETB exchange. Real-time order matching. One liquidity pool, closed-loop network.
Buy · sell · trade already-placed ETBs at market-driven prices. Exit before the final whistle.
Each side settles with their own licensed operator, state-regulated. Winners paid atomically; every dollar conserved.
BetEx vs. Kalshi
BetEx's model stands in stark contrast to Kalshi's, which operates a peer-to-peer sports wagering exchange using market makers as bookmakers, a structure that conflicts with state laws and the Indian Gaming Regulatory Act. Many states and Attorneys General are pursuing legal action against Kalshi for offering sports event contracts; its sports markets directly conflict with the framework of the Supreme Court's 2018 PASPA ruling and threaten billions in state tax revenue.
Tap any milestone to expand it.
The Supreme Court returns sports betting authority to the states. ~40 states build licensed, taxed, regulated markets: the framework BetEx is built to serve.
tap for detailKalshi secures CFTC approval to facilitate trading of event-based futures, explicitly excluding politics and sports, then struggles with low volumes in traditional commodity and event markets.
tap for detailKalshi controversially expands into political event contracts, testing the boundaries of its federal approval.
tap for detailIn January 2025 Kalshi introduces sports betting markets, directly conflicting with the framework of the 2018 PASPA ruling and drawing legal challenges from states that generate billions in wagering tax revenue.
tap for detailMany states and Attorneys General pursue legal action against Kalshi for offering sports event contracts, citing state law and the Indian Gaming Regulatory Act.
tap for detailKeep the bet and the money with state-licensed operators, and give the industry the exchange layer it's missing: one national liquidity pool for already-placed ETBs, inside the law.
tap for detailAn innovative exchange. As a B2B provider, the platform creates Initial Prop Offerings (IPOs), letting sportsbooks offer them directly to their customers, adjust initial pricings, and participate in the exchange to minimize risk. BetEx believes that if bettors can sell their bets in an electronic auction-style market, similar to a stock exchange, wagering transaction volumes could increase as much as five-fold versus the current structure, where bets are restricted binary assets with no liquidity.
BetEx Patents
Protecting the multi-jurisdictional ETB exchange architecture, matching engine, odds management, and prediction market systems.
| Patent Title | U.S. Serial No. | U.S. Patent No. |
|---|---|---|
| Prediction Market Betting and Exchange System and Methods | 19/241,743 | US 12,499,739 B2 |
| Multi-Jurisdictional Betting Exchange System and Method | 17/531,949 | US 12,347,278 B2 |
| Wagering Ecosystem System, Apparatus and Method | 16/896,047 | US 11,183,016 B2 |
| Casino Crypto Currency Systems and Methods | 16/278,820 | US 10,846,984 B2 |
| Multi-Jurisdictional Odds and Risk Management System | 15/436,600 | US 10,210,703 B2 |
Articles
On prediction markets, sports betting regulation, and the future of wagering.
Lawmakers always regarded the financial and gambling industries as separate. New technologies are narrowing that gap in ways that demand regulatory attention.
Why prediction markets are overhyped and oversold as sports betting products.
Why licensed sportsbooks should create their own exchange, placed at the state level, traded nationally.
Why the CFTC is not set up to oversee sports betting, and why it matters for state regulators.
If the subject is the outcome of a sporting event, it's sports betting, well-defined by state and federal law.
Why focusing on core businesses protects both compliance and consumers.
Since sportsbooks aren't making money on their core business, they're moving into iCasino.
How smaller sportsbooks are teaming up to remain competitive and thrive.
Leveraging AI and blockchain to enhance responsible gaming and protect players.
The importance of protecting sensitive player data with modern cryptography.
The industry's answer to technological concerns raised about gaming operations.
Why simplicity in sports betting products is key to engagement and operator success.