(AsiaGameHub) – Sportradar’s stock price has plunged by nearly a quarter after a report from Muddy Waters Research alleged the firm is complicit in supporting unlawful gambling operations.
Titled “Sportradar AG: Putting the BET into Aiding and Abetting,” the report contends that up to 40% of the company’s income could be derived from illicit operators.
While Sportradar is the globe’s leading sports data and integrity firm, Muddy Waters asserts this is merely a cover for its core activity of enabling illegal betting.
The report states, “SRAD’s CEO likes to call his company the FBI of gambling. The FBI does not offer to introduce informants to human traffickers at trade shows.”
Undercover Investigation
These claims originate from a covert operation at the ICE 2026 conference in Barcelona. Investigators from Muddy Waters posed as founders of a new sportsbook aiming to enter Asian markets.
They informed Sportradar’s sales representatives of their intent to attract customers in Vietnam, China, Thailand, and Indonesia—all nations with stringent prohibitions on gambling.
Despite the laws, underground operators are widespread and have even secured celebrity promoters. Ryan Giggs recently faced criticism for advertising a platform that professed to be Vietnam’s top online betting site.
Although Sportradar says it watches the illegal sector “very closely,” Muddy Waters calls “this a lie.” The sales team showed no hesitation when probed about accessing prohibited markets, stating they “serve everyone” and proposing an introduction to the Yabo Group, China’s biggest illegal gambling entity.
Report Could Have Damaging Impact
Muddy Waters Research acknowledges holding a short position against Sportradar. The firm is recognized for releasing exposés on public companies, typically after taking such short positions.
The report has already hurt the share price, but the consequences could be broader. As Muddy Waters highlighted, Sportradar (SRAD) possesses B2B licenses in jurisdictions where it is expected to maintain Know Your Customer (KYC) and anti-money laundering (AML) protocols.
Furthermore, it has alliances with sports leagues that must trust it to safeguard match integrity.
Sportradar reported it oversaw more than 1 million sports events last year and said suspected match-fixing incidents declined. However, Muddy Waters argues the facade of protecting integrity is simply a cover to earn money from illegal gambling.
“The paradox is structural,” the report explains. “SRAD requires the lower-tier leagues for profit margins. It requires the integrity program to gain access to those leagues. It requires the illegal operators to increase income and assist with covering expenses.“
Cambodia at Center of Illegal Gambling Networks
The charge that Sportradar is abetting not just illegal gambling but also human trafficking arises from the activities of Asian criminal syndicates.
Muddy Waters alleges the Yabo Group’s “Cambodian call centers are operated by trafficked and enslaved laborers.” Authorities in Cambodia and nearby areas have moved against these operations, with the US and UK imposing sanctions on the suspected networks.
Beyond housing illegal online gambling, these centers are also accused of running global scam operations. A raid on one location last December reportedly found lions that were allegedly used to torture gamblers who owed debts.
Indonesian officials recently announced they had broken up an online gambling ring connected to Cambodia.
Nevertheless, Amnesty International alleges that Cambodia’s government is involved in permitting these unlawful gambling networks to persist.
Stake & bet365 Among Companies Implicated in Report
Beyond assisting illegal operators in restricted Asian markets, Muddy Waters further alleges Sportradar is advancing the black market in Russia and helping firms like Stake to function in the US without a license.
The report also names bet365 as conducting illegal activities in prohibited markets. The company is confronting legal action in New Zealand over accusations it targeted customers there using offshore licenses from Gibraltar and Malta.
The 123-page document identifies several other gambling companies. Regulators globally might soon initiate probes into Sportradar’s practices.
Sportradar was asked for a statement but had not replied by the publication deadline.
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