Colorado regulators say PlayUp has asked to hit the pause button on its legal sports betting business in the state, which follows regulatory issues that have arisen for the bookmaker further east.
PlayUp, an Australia-based operator of sports betting sites, is essentially seeking to do in Colorado what has already happened in New Jersey at the behest of Garden State watchdogs.
There, PlayUp had its authorization to offer New Jersey sports betting pulled after allegedly failing to comply with the state’s requirements for wagering.
“Yesterday, PlayUp contacted the Colorado Department of Revenue’s Division of Gaming requesting to place their licensed PlayUp sportsbook application and website platforms into a maintenance mode where active betting and customer funded deposits are suspended,” the regulator told Covers in an email on Friday. “Meaning no more betting will be processed going forward, but players can, and are encouraged to, withdraw their funds from the sportsbook platform.”
Shrinking presence
PlayUp offers sports betting in Colorado and New Jersey, so the bookmaker is on the cusp of shuttering its legal U.S. operations entirely, at least for the time being. The company initially sought a license for Ohio sports betting but eventually withdrew its bid after striking a settlement with regulators following allegations of illegal gambling activity.
There may be a financial aspect to PlayUp’s recent moves. The Australian Financial Review reported recently that the bookmaker was attempting a $10-million capital raise following its missed attempt at a U.S. stock listing. Even so, PlayUp is currently on the hook for bets already placed.
“The Division of Gaming will continue to work with PlayUp throughout this process to ensure compliance and for the protection of the Colorado citizens that utilized their sportsbook,” the regulator told Covers on Friday.
