Colorado Sports Betting Launch Marks Novig Debut in Gaming

Colorado Sports Betting Launch Marks Novig Debut in Gaming
Fact Checked by Michael Peters

The newest Colorado sports betting app launched last week, and its founders hope their approach can become a game changer.

Novig officially started taking action in the Centennial State on Thursday. Colorado is the first state for the startup, which completed a $6.4 million round of seed funding in August. This isn't the first time an operator has chosen to launch in the state, as brands like ClutchBet Colorado have gotten their start here as well. The group of early-round investors for Novig includes startup accelerator Y Combinator, entrepreneur Jared Heyman, and pro football legend Joe Montana.

Created by a pair of Harvard grads who have experience in the financial sector, Novig is working to create a commission-free sports betting exchange.

Betting On Lower Hold Rates

Colorado does not have rules allowing an exchange, so Novig currently operates a traditional sportsbook. However, it claims it offers lower margins, and thus better prices, than other Colorado sportsbooks.

For example, on Monday, Co-Founder and CEO Jacob Fortinsky posted images on X showing Novig’s odds on the College Football Championship game and those of FanDuel Sportsbook Colorado. At the time, Novig offered Michigan as a 4.5-point favorite with odds of -116. Washington’s odds as the underdog were -101. Those odds equal a hold of 3.8%. That was nearly a full percentage point lower than FanDuel’s hold on the point spread (-122/+100).

On the moneyline, the -207/+182 odds at Novig equaled a 2.8% hold, compared to FanDuel’s 4.3% for its -210/+172.

“We’re offering the same betting experience users are accustomed to, but better prices, faster in-game trading, more transparency, and a number of innovative features like liquidity screens, position tracking, and partial cash outs,” Fortinsky said in a statement announcing the launch last week. 

For now, Novig offers odds on NFL, NBA, MLB and college football and basketball games. It plans to expand into soccer and tennis. Other developments in the works include player prop markets, futures betting, parlays (including same-game) and peer-to-peer competitions. Its app is currently available for Apple and Android devices.

Bonus Bets Expire in 7 Days. One New Customer Offer Only. Must be 21+ to participate & present in CO. Gambling problem? Call 1-800-GAMBLER. Visit BetMGM.com for Terms & Conditions. US promotional offers not available in NY, NV, or Puerto Rico.

Colorado Betting Exchange Rules in Works

Colorado gaming officials are in the process of convening with stakeholders to discuss rules for sports betting exchanges. During last month’s Limited Gaming Control Commission meeting, Division of Gaming Director Chris Schroeder told commissioners he would likely update them on progress later this month.

Sports betting exchanges differ from sportsbooks because they allow bettors to wager against themselves. Exchanges facilitate the trades, which allow bettors to change their positions during a game. Such actions can help a bettor cut their losses or secure a profit. Bettors can also set their own prices, which must be matched by another for the trade to be completed.

Novig is not the only operator in the sports betting exchange game. New Jersey allows exchanges, and both Prophet Exchange and Sporttrade operate there. Sporttrade Sportsbook Colorado has been operating as a traditional book since its launch here in August.

Patrons must be 21 years of age or older in order to claim the following Offer and must be physically present in the state of Colorado to place a wager.
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Author

Steve is an accomplished, award-winning reporter with more than 20 years of experience covering gaming, sports, politics and business. He has written for the Associated Press, Reuters, The Louisville Courier Journal, The Center Square and numerous other publications. Based in Louisville, Ky., Steve has covered the expansion of sports betting in the U.S. and other gaming matters.

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