Uncovering the Dark Side of 1xBet: A Bellingcat Investigation
In a shocking revelation, Bellingcat has exposed the illicit activities surrounding the controversial sportsbetting giant, 1xBet. The investigation, in collaboration with investigative football journalists at Josimar, has unearthed a disturbing operation that includes manipulated games operating in jurisdictions where the platform has been outlawed, as well as questionable practices around betting on matches involving minors. This article delves into the findings, bringing to light the implications of such dodgy operations on the sports betting landscape.
The Operations of 1xBet: A Tainted Empire
Founded in Russia by Dmitry Kazorin, Roman Semiokhin, and Sergey Karshkov, 1xBet has become notorious for its questionable practices. Initially rooted in Russia, the company now bases its operations in Cyprus under a license from Curacao. Despite facing numerous bans globally, the platform has not only continued operating in heavily regulated markets but has also thrived, reportedly generating over 63 million rubles (approximately $655 million) from illegal gambling in 2021 alone.
On October 21, 2024, Bellingcat released an in-depth report detailing how 1xBet’s website hosts a continuous stream of amateur sports games, from football to ping pong, with particular interest in matches played in countries such as Russia, Belarus, and Ukraine—territories where 1xBet is expressly forbidden to operate.
The Allure of Amateur Sports Betting
One of the most troubling aspects of Bellingcat’s investigation is the targeting of amateur sports. Punters are drawn to 1xBet’s offerings, which include a myriad of amateur football games. Behind the scenes, the platform employs players to engage in back-to-back matches while deliberately misrepresenting themselves as members of renowned football clubs. Insights from an insider reveal the inherent manipulation at play: players are instructed to cap their scoring at five goals—if they exceed this limit, their payouts would be reduced. This type of match manipulation falls prey to legal definitions of fraud, notably cited in the Macolin Convention against manipulation in sports.
An Alarming Focus on Minors
Perhaps the most shocking discovery by Bellingcat involves underage players. Not only are these manipulated matches occurring, but they are also within the realm of children’s sports. The investigation highlighted how 1xBet streams games from venues with questionable backgrounds, including the Alexander Stepin football school in Bryansk, Russia. This institution is notably linked to Vladimir Putin’s United Russia party and the country’s state-owned entity, Gazprom.
Moreover, Bellingcat was able to geolocate a floorball match played by underage girls, streamed without the consent of the players or their guardians, and made available for betting on 1xBet’s platform. Such practices raise serious concerns about child exploitation in the world of sports betting.
The Strategy Behind the Activities
Why would 1xBet engage in such precarious operations, knowing the risks of scrutiny and potential legal consequences? According to Ismail Vali, CEO of Yield Sec, these dubious sports represent a strategy to funnel bettors toward more lucrative casino games. The allure lies in the significantly higher profit margins these games offer compared to traditional sports betting. While sports betting generates single-digit profit margins (averaging between 9% to 10%), casino games can yield margins as high as 50% depending on the product.
Legal and Ethical Implications
1xBet stands as one of the largest gambling platforms worldwide, yet its continued operation in regions where it lacks necessary licensing raises critical questions about regulatory enforcement. In some markets, like India, the platform actively promotes itself through celebrity advertising, effectively skirting laws that seek to protect vulnerable bettors. Conversely, it faces growing scrutiny and has been suspended in countries such as the UK while battling legal troubles in places like Morocco.
Conclusion: The Need for Enhanced Oversight
The investigation by Bellingcat shines a much-needed light on the darker corners of the sports betting industry, revealing the aggressive and often unethical tactics employed by companies like 1xBet. The manipulation of amateur games, particularly involving minors, poses a significant ethical dilemma, inviting questions about accountability and the need for stricter regulation of online gambling platforms.
As consumers and regulators alike step up to confront these issues, it becomes increasingly crucial for the industry to prioritize integrity and ethical practices. With players and public safety at stake, the onus is on both authorities and advocacy groups to ensure that the gambling sector operates within the bounds of law and morality. The findings of this investigation serve as a powerful reminder of the ongoing battle against corruption in sports and the vigilance required to protect our most vulnerable players.
