Social media and betting company Betr announced recently that it raised $35 million in venture capital from a group led by Roger Ehrenberg of IA Sports Ventures and Eberg Capital. This new funding round values the company at $300 million. Betr was founded by professional boxer and social media influencer Jake Paul and CEO Joey Levy, who previously served as a Thiel Fellow and founded a company called Draftpot.
For this new funding round, Fuel Venture Capital put in another $10 million on top of a previous $10 million commitment. Both Paul and Levy also invested in the round from their personal funds with Paul’s investment coming from his Anti Fund firm.
This funding round is labeled as a Series A2 round and it was partially closed. It is expected to completely close later this year.
The company started out by offering micro-better services for in-play action. And now it is expanding to full sportsbooks. These sportsbook services are live in Ohio and Massachusetts along with a license in Virginia and market access in Indiana.
KEY QUOTES:
Our ability to rapidly scale Betr Media’s audience, and convert this audience to Betr Gaming at low-to-no-CAC, will enable us to have the best unit economics in the regulated real money gaming industry, positioning Betr to create more value than incumbent operators over time.
The 3 pillars of our business are 1) low-to-no-CAC supported by unique social media expertise, 2) strong user engagement & retention supported by brand affinity and a differentiated product, and 3) a focus on responsible gaming by a team that believes in doing the right thing
We have seen material validation of pillar one, we have demonstrated leadership and still have more planned with respect to pillar three, and we will be better positioned to validate pillar two after launching our two other real money gaming verticals and V1 of Betr Betting on top of the recently acquired Chameleon platform.
Finally, I am thrilled this round has served as a platform to deepen the Company’s relationship with Roger Ehrenberg, one of the most successful venture investors of the past two decades who is investing over 10x his pro rata in this round, and Fuel Venture Capital, one of the preeminent Miami-based venture capital firms, who is doubling their investment in the company from $10M invested to date to $20M total after this round. I am grateful for the continued support of Roger, Fuel Venture Capital, and many of our other great investors.
— Joey Levy
