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EXCHANGE BETTING RULES APPROVED IN CALIFORNIA
11/18/2012 : EXCHANGE BETTING RULES APPROVED IN CALIFORNIA
Exchange wagering inching forward
The California Horse Racing Board has approved rules that will allow exchange betting in the State which should give cause for celebration for online betting exchange Betfair and TwinSpires.com.
Exchange wagering was approved by the Californian State Legislature in 2010 pending the development of rules by the racing board, however, a review of the rules still needs to be undertaken by the California Office of Administrative Law (COAL) which is expected to be completed within 30 days.
Following approval by COAL, the racing industry would set in motion the implementation of oversight technology and training, followed by financial agreements between racetrack and horsemen's group's with an account wagering provider such as Betfair-TVG or TwinSpires. Those agreements would require approval from the CHRB before exchange wagering can begin.
It's not a foregone conclusion, however, as legal approval depends on the positive outcome of the COAL's review which may be delayed should the body have concerns on any of the twenty-five rules put forward.
Contenders Betfair-TVG and Churchill Downs' Twinspires.com are eyeing the development with interest. Betfair-TVG has already been issued a provisional license subject to approval of the rules by COAL. TwinSpires.com is expected to apply for the same in the near future.
According to The Daily Racing Form, the two account-wagering providers were asked to purchase computer hardware and software that will be used in the racing’s board regulation of exchange wagering. The cost of the software is part of the account-wagering providers’ license fee to conduct exchange wagering, while hardware, software, and training of staff has been estimated at a cost of $530,000.
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