The U.S. sports betting landscape could be in for another major shake-up as PointsBet has confirmed it is entering a mutual due diligence process with Betr Holdings Inc., the micro-betting and media startup co-founded by influencer Jake Paul and sports betting entrepreneur Joey Levy. This process marks a critical step toward a potential acquisition of PointsBet’s U.S. operations by Betr.
Evaluating Strategic Fit
Mutual due diligence is a standard but crucial phase in the acquisition process, allowing both parties to examine financials, operations, intellectual property, liabilities, and regulatory standing. While Betr evaluates PointsBet’s assets and market footprint, PointsBet will ensure that Betr has the capacity and resources to operate its U.S. business effectively post-acquisition.
This potential deal could serve both entities well: PointsBet, which has been actively seeking to streamline its global focus, may finally be able to offload its U.S. unit after its previously proposed sale to Fanatics fell through. On the other hand, Betr sees this as a springboard to rapidly gain licenses and infrastructure in multiple states — an otherwise costly and time-consuming process.
Why This Deal Matters
If finalized, this acquisition could mark one of the most significant developments in the U.S. betting market in 2025. Betr, known for its youth-centric branding, celebrity backing, and focus on micro-betting (wagering on in-game events rather than outcomes), would gain access to PointsBet’s operational licenses, technology, and established user base.
Such a move would allow Betr to leap ahead of newer market entrants and challenge more mature operators like DraftKings and BetMGM with a fresh, content-driven approach.
Next Steps and Industry Impact
While nothing is confirmed yet, the due diligence phase suggests serious intent. If successful, the acquisition could close within the next few months, pending regulatory approval and final agreement terms.
The market continues to consolidate as smaller or niche operators seek partnerships or exits amid increasing pressure from larger competitors and tightening state regulations.
In a rapidly evolving industry, agility and innovation remain key, and Betr’s bold move could signal the beginning of a new era in U.S. sports betting.
