The CEO of DraftKings says he’s looked into adding crypto as a form of payment, but regulations are preventing it

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DraftKings CEO Jason Robins onstage during the TechCrunch Disrupt SF 2018 on September 7, 2018 in San Francisco.

  • DraftKings CEO Jason Robins said current regulations prevent the company from accepting cryptocurrency as payment.
  • “As of now, crypto is not an approved payment type in any of the states where we’re live,” Robins said.
  • But he added he foresees cryptocurrencies to “likely transform some entire industries.”
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DraftKings CEO Jason Robins said he has looked into adding cryptocurrencies as a form of payment for his online sports betting company but admitted that the current regulations prevented him from pursuing the matter further.

“The payment methods we can accept are determined by the individual state regulators and, as of now, crypto is not an approved payment type in any of the states where we’re live,” Robins said during a live town hall hosted by stock trading app Public Wednesday.

The chief executive added that cryptocurrencies will “likely transform some entire industries and portions of others.”

Cryptocurrency regulation – or a lack of – has been in the spotlight recently. On Tuesday, the Internal Revenue Service asked lawmakers to give the agency more authority and funding to regulate the rapidly evolving industry.

Yet, some, such as SEC Commissioner Hester Pierce, have warned that stricter rules will hurt the cryptocurrency market.

Currently, DraftKing operations vary per state depending on the service. It will likely be the same case for when it accepts cryptocurrencies.

For instance, users can play DraftKings daily fantasy sports throughout the US except in Montana, Washington, Idaho, Nevada, and Arizona, according to its website.

Meanwhile, only 10 states allow sports betting, while just four -Pennsylvania, Michigan, West Virginia, and New Jersey – permit online gambling.

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Where online gambling is legal in the US.

DraftKings in the past year has been benefitting from a wave of enthusiasm over the country’s emerging sports-betting industry. Research firm Eilers & Krejcik Gaming in February projected that sports betting would generate $5.8 billion in revenue by 2023, up from an estimated $920 million in 2019.

The Boston-based company in May reported a better-than-expected loss per share and higher revenue for the first quarter of 2021. The company, founded in 2012, also lifted its full-year revenue guidance from a range of $900 million – $1 billion to a range of $1.05 billion – $1.15 billion.

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A luxury $22.5 million Miami penthouse was sold in the largest crypto real estate purchase to date

LPH Living room
The living room.

  • A luxury penthouse in Miami has just been bought for $22.5 million using cryptocurrency.
  • It is considered to be the largest known cryptocurrency real estate purchase to date.
  • The transaction was closed just weeks after the developer announced that it would accept digital assets as payment.
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A luxury penthouse in Miami was purchased for $22.5 million using cryptocurrency in what was considered to be the largest known cryptocurrency real estate purchase to date.

The 5,067-square-foot unit comprises the entire ninth floor and offers a 360-degree view of Miami’s ocean, shoreline, and cityscape.

The transaction closed just weeks after the developer announced that it will be accepting digital assets as payment for its condominiums. Miami recently has billed itself as a growing hub for the cryptocurrency market.

Arte by Antonio Citterio, located in Florida’s Surfside neighborhood, partnered with blockchain and securities trading platform SolidBlock.

SolidBlock will assist in the transaction and will provide legal and tax advice.

LPH Master Bedroom Lounge
The master bedroom.

While this isn’t the first property paid for in cryptocurrency, it is the biggest. The buyer remains anonymous and the company said it can’t disclose the type of cryptocurrency used to purchase.

“We were overwhelmed by the amount of calls we received from qualified buyers,” Alex Sapir, chairman of Sapir Corp LTD, whose subsidiary developed Arte, said in a statement. “Real-world crypto transactions haven’t made their way fully into the mainstream yet, so it’s clear that top holders around the world pay attention when new opportunities to transact open up.”

The sale also comes just days after a blowout bitcoin conference in Miami headlined by Twitter CEO Jack Dorsey and MicroStrategy CEO Michael Saylor. The sold-out event was attended by over 12,000 people, with thousands more watching online.

The mayor of Miami has been striving to transform the city into the next Silicon Valley by embracing bitcoin and other technological innovators.

“If you would have told me in December that I was going to have a conversation with Elon Musk, eat lunch with Peter Thiel, become friends with Keith and meet [Coinbase CEO] Brian Armstrong pre-IPO and Fred and the Winklevoss twins, I would have told you, ‘There’s no way you can make this stuff up,” Suarez told Insider.

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