Betcha’s Bold Platform stands on the Edge of Gambling
28 June 2007
Betcha is a platform for peer to peer betting where they allow users to bet on four markets; News, Business & Finance, Arts & Entertainment and Sports. The founder, Nick Jenkins, is like many founders with a brilliant idea, and may be a little crazy to think that Betcha has no worries about two related things; it is based in Seattle, WA and all debts are on the honor system.
Nick Jenkins says that Betcha is a third way to gamble and an EBay site for bets. The honor system mentioned means that betting is honor-based with no obligation to pay when you lose.
With that in mind, if you do not have to pay for your loss, you are not technically gambling, thus will not have the legal problems as where gambling is involved. By the end of the day you always have a way to option-out of your bet, but, with not paying a loss the feed-back will give you a bad reputation.
Your reputation is scored as a rating at Betcha, like the banks and credit-card companies, where if you option-out of your bet, your rating will drop, making it harder for you to find someone to bet with. If your rating points are low on the reputation scale you may have to find someone with the same low rating as yourself, to get your reputation points back up into a higher reputable betting area.
The reason Betcha does not run a-foul to the gambling laws is because they give the gambler an option-out to not pay-off their losses. Betcha is not afraid of the Blue Laws set in Washington State because they do not have payment processing that would make it illegal. They also do not bend the rules of the Federal Wire Act because there is no forced wagering involved.
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Nick Jenkins, although he does not like gambling, is doing a little side bet of his own, where if he is taken to the courts over his starting a betting site, he could face some time. Come to think of it, that is not as bad as the Unlawful Internet Gambling Enforcement Act slipped in by a politician.