One of the major companies developing their own lottery messenger platform announced that it has secured funding totaling $6 million and has officially launched its new platform for playing a variety of online lotteries offering several options to clients willing to play the lottery across different countries and continents.
The company was established in 2013 by a group of professionals experienced in online gaming. Forex Magnates has already reported that the firm is one of the first major platform providers for the lotto messenger industry.
Lotto messenger is an online solution aiming to broaden the scope of players who can play certain big lotteries mainly across Europe and the U.S. There are two modes of offerings on the market – the first involves agents in the different countries who are physically buying the lottery tickets around the world and have operations in place to process the client’s purchase.
Once purchased, the ticket is scanned and emailed to the customer, as the company stores it in case there is a winning to be paid out.
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The second mode of operation is an insurance model, which involves the company not actually buying a ticket. Instead it allows its clients to place bets on the outcome of a certain lottery, and in order to hedge itself against the risk associated with paying out a huge jackpot sum to a winning client, the firm buys insurance.
The company is essentially selling a form of a contract for difference (CFD) (if we look from the Forex industry’s perspective) using the random number generating process of real lotteries to allow its clients to place their bets on the results.
The firm also offers additional games in tandem with the common lottery play, including group bets, and even or odd number bets based on the outcome of the draw.
Lottotech is headquartered in Bulgaria and has a representative office in Israel. The firm simultaneously provides both different models of purchasing tickets – the ticket scan and the insurance. The firm’s offering provides access to the random number generating resources of about 23 official lotteries around the world.
Last month, Forex Magnates reported exclusively about another major player in the platform providers space for lottery messenger, LottoYard, acquiring LotteryMaster.com, a strong brand with its own technology, which spent close to $5 million since launching in 2010.