Fx Hedging For The Online Betting Industry

Online Betting

Fx Hedging For The Gambling Industry

Currency Hedger democratises foreign currency hedging through technology.
Like any business, online gambling operations are rarely immune to currency rate (FX) fluctuations. This is evident by the recent statistics showing that in a post-Brexit environment 71% of UK businesses now see currency volatility as the single biggest threat to their business. 

The Marketsforu Approach

Example of how an online betting company hedges
In May 2018 you are forecasting you will be receiving $4m from your grey market players in August. Here’s how you could have saved over that period

Spot Fx

Gross Gambling Revenue from US/ Chinese players: $4,000,000


In May 2017 the EUR/USD exchange rate is 1.0864. Value is € 3,681,885


By mid Aug the USD has weakened, raising the rate to 1.182. The value is now €3,384,094


Your Loss Euro 297,790


Fx Option


Cost of Option May: €64,051


Guarantees FX rate at least: 1.0864


The USD has gotten weaker so your revenue from grey markets players has been protected


Your gain is €233,739



Assess Your Risks


As an CFO you assess your risks, hedge against possible fluctuations, and insure against that which you can’t control.


Stated bluntly, successful Financial Controllers don’t take intentionally uncalculated risks with their businesses. Why, then, would a business owner loosen those restraints when it comes to investing money?


  • Date: January 24, 2017
  • Client: Johnson Group, US
  • Category: ,
  • Value: Johnson Group, US