Sorare Faces UK Gambling Commission Charges Amid Premier League Partnership!

The company is accused of offering unlicensed gambling services to British consumers, an allegation stemming from an investigation initiated in October 2021. If found guilty, Sorare could face heavy fines or even prison sentences for its executives.

Despite the ongoing investigation, Sorare signed a four-year partnership with the Premier League in January 2023. As part of this collaboration, the company launched a free version of its fantasy football game, aiming to expand its user base in the UK. Premier League officials have stated that thorough due diligence was conducted before formalizing the partnership. However, the charges now cast a shadow over the league’s decision to team up with Sorare, raising concerns about the potential risks involved.

The Football Supporters' Association (FSA) has also voiced its reservations about the increasing presence of cryptocurrency-related ventures in football, including Sorare’s involvement. When the partnership was first announced, the FSA highlighted the lack of regulation surrounding crypto assets, stressing the need for more consumer protection. In a statement, they said: “Supporters have repeatedly raised concerns about the proliferation of crypto partnerships in the game and the announcement from the Premier League is no exception. Crypto assets are currently under-regulated and lack protection for the consumer buying them. Clubs, leagues, and players promoting such schemes have frequently not undertaken the necessary due diligence, putting their own fans at financial risk."

The FSA further emphasized its commitment to working with government bodies to push for stronger protections for football fans, particularly those vulnerable to financial risks posed by crypto partnerships.

In response to the charges, Sorare has strongly denied any wrongdoing. A company spokesperson said, “We firmly deny any claims that Sorare is a gambling product under UK laws. The Commission has misunderstood our business and wrongly determined that gambling laws apply to Sorare. We cannot comment further whilst legal proceedings are underway.”

In addition to its partnership with the Premier League, Sorare has secured deals with several top European football leagues, clubs, and national teams. The company’s denial of the allegations centers on its claim that Sorare operates a fantasy sports platform rather than a gambling product.

As the legal proceedings unfold, both Sorare and the Premier League will likely face increased scrutiny over their partnership, and the outcome could have significant implications for the growing intersection between sports, cryptocurrency, and gaming. The case may also reignite debates about the regulation of crypto assets in football and the extent of due diligence conducted by clubs and leagues when entering such partnerships. 

Sorare’s court appearance in October will be closely watched, not only by those involved in the gaming and sports sectors but also by advocates for stricter regulation of crypto-related ventures in football. The case highlights the potential risks posed by unregulated digital assets and raises questions about the future of similar partnerships in the sporting world.