Bet365, one of the largest online sportsbook operators on the planet, has announced its plans to exit the grey market of China amid efforts to expand its presence in legal and regulated markets such as Brazil and the United States.
The gaming giant from the UK was one of the longest-running operators in the Chinese grey market, particularly in Hong Kong and Macau, two special administrative regions (SARs) and the only jurisdictions where gambling is allowed.
One of the main reasons why Bet365 is abandoning its operations in the country is exactly due to the “grey market” title of China, with many reputable outlets and iGaming experts such as Gambling Insider referring to it as a “shadowy world of online gambling”.
Namely, it was found that many operators offering their service in this market used “mirror sites” that are hosted by subsidiaries to evade the gambling laws of the country. Whenever one of these operators was caught, they instantly replaced the website with a new one.
bet365 remained adamant over the years that it had never broken Chinese gambling laws, nor had it put Chinese consumers in danger, who, if caught, risk being detained and paying hefty fines for illegal gambling.
Back in 2020, a representative from Bet365 issued the following statement for the Telegraph:
There is no legislation which expressly prohibits the supply of remote gambling by offshore operators in China. In the view of Bet365 and its lawyers, Chinese law does not extend to the provision of services in China by offshore gambling operators.
Consequently, it seems like Bet365 has now shifted its focus to regulated markets, including Brazil, where it will face fierce competition from operators such as Stake, Flutter, and Entain, as well as the US, where the leading sportsbook is already live in 13 states.
