Novig ceases operations in Colorado four months after launch
Betting exchange startup points to planned product upgrades as reason for exit as firm promises a return later this year
Novig has ceased operating in Colorado four months after launching in the Centennial State, citing “huge game-changing product updates” as the reason for the exit.
Novig launched its commission-free sports betting app in Colorado in January and had been operating as a standard sportsbook while awaiting regulatory approval to launch its planned exchange betting product.
However, in a letter sent to customers in the state, Novig confirmed it would be exiting Colorado, with plans to return later this year after a product upheaval.
Novig will depart Colorado effective April 30, 2024, with the email informing users to withdraw any monies by 12pm (MT) on that date.
Electronic withdrawal will be disabled after that time, the email confirmed.
Novig stated that if withdrawals are not actioned via the app by the deadline, a check for the amount will be emailed to users within approximately 30 days.
Should any check not be cashed within six months, the payment will be deemed“abandoned” and funds will be transferred to the Great Colorado Payback Office.
The email read: “Novig is ceasing operations in Colorado and will be closing down the app effective April 30, 2024. In the spirit of rewriting the rules of sports betting, our team has been working on some huge game-changing product updates.
“While we can’t go into too much detail about these updates now, we’ll let you in on the big news in the next couple of months.
“Thank you again for being an early adopter of Novig. We look forward to welcoming you back to the app later this year.”
Novig secured $6.4m in a seed round in August last year with backing from Lux Capital and NFL legend Joe Montana, while the group added a new COO and chief marketing officer to its top team in recent months.
EGR contacted Novig CEO and co-founder Jacob Fortinsky for comment. While Fortinsky said there was no comment to hand, he did note “exciting updates [are] coming in the next few weeks.”
In other Colorado news, the Colorado Division of Gambling has launched a new illegal gaming awareness campaign.
The new campaign – ‘Play Legit. Gamble Only Where Legal’ – will be augmented with the PlayLegitCO.com website launch.
The scheme will focus on emphasizing legal gambling options, including casinos in Black Hawk, Central City, and Cripple Creek, as well as online sports betting operators and off-track betting.