Fast-Paced, Multi-Pronged Partnership Deal Lets London Financial Giant Access U.S. iGaming Market

By: Jeff Ifrah

A global payment processor—#11 on CNBC’s 2022 Disruptor 50 list—sought out Ifrah Law for a pathway into payment processing for regulated sports betting operators in the U.S. iGaming market. Ifrah Law mapped a licensing and compliance strategy, kindled a partnership with one of America’s biggest sports brands, and orchestrated a seamless entry into the lucrative payment processing realm for leading companies in regulated sports betting.

Two years ago Checkout.com, a USD 40 billion London-based financial services giant, recognized that it would need a strategic partner to successfully penetrate the U.S. iGaming market. Checkout.com executives turned to Ifrah Law, renowned for its knowledge and experience in U.S. gaming issues, to strike a deal with a high-power sports betting partner. This decision launched a collaborative journey that would reshape the landscape of online sports betting in the United States.

Ifrah Law swiftly devised a licensing and compliance strategy that would not only meet exacting industry standards but also align closely with Checkout.com’s vision. Recognizing the London company’s immense growth potential within the U.S. iGaming market, Ifrah Law facilitated a partnership with one of the biggest names in American sports – FanDuel.

FanDuel, whose parent Flutter began trading on the NYSE as FLUT on Jan. 29, 2024, operates sportsbooks in more than 30 states where online sports betting thrives. FanDuel lets users use a single account to play a range of daily fantasy games, bet on sports, and play online casino games. FanDuel’s network of coverage—it is the #1 operator in the U.S.—made it the perfect partner for Checkout.

The team at Ifrah added value far beyond conventional legal counsel, actively facilitating introductions to several potential operator partners and ultimately Checkout.com chose to negotiate a partner agreement with FanDuel. Their guidance ensured that Checkout.com would have a solid springboard to capitalize on the explosive growth of online sports betting, a market that experienced a staggering 64% increase in total handle from 2021 to 2022, reaching over USD 93 billion. This growth has continued to explode, creating a similarly rampant opportunity for payment processors whose revenue is based on the volume of the payments processed. As of 2024, thirty states regulate online sports betting; and some will not allow payment processors to apply for registration or licensing unless they have existing agreements, or at least letters of intent, with sportsbook operators.

Ifrah Law’s team—deeply experienced and possessing 20/20 foresight—ran parallel tracks to work out commercial terms, begin preparing company and personal applications, and acquire all requisite licenses and registrations to be ready to commence operations as soon as the partnership ink was dry. The firm’s guidance in navigating legal complexities, identifying key partnerships, and ensuring regulatory compliance has positioned Checkout.com, a disruptor in the global financial landscape, as a force to be reckoned with in the U.S. iGaming market.

To find out more about how Ifrah Law helps clients succeed and grow across the online gaming ecosystem, download our iGaming Services brochure.

Other articles in the “Real Experience. Real Results” series.