Bet365 vs. ZunaBet: The Crypto-Focused Divide Shaping the Evolution of Online Gambling

Two Diverging Paths in Online Gambling Finance

The financial landscape of online gambling is splitting into two clear directions. On one side are established operators such as Bet365, who pursue growth through heavy investment and a focus on regulated, long-term revenue. On the other, crypto-first platforms like ZunaBet are reshaping the industry by embracing speculative liquidity and bypassing traditional financial systems.

Bet365: Building Stability Through Investment

Bet365’s approach centers on maintaining reliable profit margins and strengthening its reputation. The company recently announced a 9% increase in revenue to £4 billion. However, this growth came at a cost, as pre-tax profits dropped by 44% due to significant investments. This highlights a strategic shift: Bet365 is moving away from aggressive market grabs and instead prioritizing sustainable, regulated markets. Their financial strategy is about measured, compliant expansion, even if it means sacrificing short-term profits.

For example, Bet365’s revenue climbed 9% year-over-year to £4.036 billion, fueled by a 25% rise in gaming revenue and new market entries. However, the cost of generating this revenue jumped from £686.8 million to £896.5 million, reflecting investments in launching new markets, product development, and regulatory compliance.

As a result, profits before tax fell 44% to £348.7 million, and operating profit dropped 43% to £227.6 million. The company also absorbed a one-time restructuring charge of £59.2 million and losses from exiting certain markets. This is a classic investment cycle: spending now to secure future, regulated income streams.

Leadership at Bet365 has acknowledged this trade-off, emphasizing that the pivot to regulated markets is behind the profit decline. The company is withdrawing from markets that don’t align with its long-term vision and is concentrating resources on licensed jurisdictions. The current focus is on creating a resilient, profitable foundation, even if it means accepting reduced earnings in the short term.

ZunaBet: Embracing Crypto-Driven Volatility

In contrast, ZunaBet and similar crypto-native platforms operate outside the boundaries of traditional banking. By leveraging digital assets, they facilitate rapid transactions and tap into a unique pool of liquidity. This model is inherently riskier, relying on speculative capital that is subject to the volatility of cryptocurrency markets rather than the predictability of regulated revenue streams.

The liquidity on these platforms is unstable, fluctuating with crypto market trends and investor sentiment. This means that the financial health of such operators is closely tied to the broader crypto cycle, making them vulnerable to sudden changes in user activity and capital flow. While this approach allows them to attract capital already present in the crypto ecosystem, it comes at the cost of regulatory certainty.

Crypto-native gambling faces ongoing legal uncertainty. For instance, prediction market operators like Kalshi, Robinhood, and Crypto.com are currently entangled in over 20 lawsuits and cease-and-desist orders. The shifting regulatory environment introduces constant risk, adding another layer of unpredictability to these platforms’ financial operations.

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Industry-Wide Impact and the Battle for Market Share

The rapid legalization of online gambling is leading to increased consumer losses, but illegal and unregulated operators continue to dominate. In the first half of 2025, these operators captured 74% of total gross gaming revenue in the US, amounting to $38.7 billion out of a $52 billion market. This environment allows legal operators to grow, but the majority of revenue still flows to platforms exploiting regulatory loopholes and cross-selling tactics.

This reality is prompting legal operators to shift strategies—from prioritizing growth at any cost to focusing on generating cash. DraftKings is a prime example, achieving its first positive GAAP net income in 2025 after a $507 million loss the previous year. The company is now returning value to shareholders through $270 million in distributions and share buybacks, signaling a move toward sustainable profitability.

The clash between regulated, profit-driven operators and crypto-native upstarts is shaping the future of the industry. Traditional companies are focused on building stable, compliant businesses, while crypto platforms aim to capture high-risk, speculative liquidity. The long-term winner will be determined by which financial model—steady cash generation or volatile crypto liquidity—proves more resilient over time.