Drake-endorsed crypto gambling firm Stake hit with lawsuit over name use
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Crypto gambling firm Stake, co-founded by Australian billionaire Ed Craven and endorsed by Canadian music artist Drake, has hit a legal snag in its bid to enter the Australian market.
Stake’s nationwide ambition is being challenged by a Sydney-based share trading platform of the same name, the Australian Associated Press reported Friday.
The trading platform reportedly filed a Federal Court lawsuit last week, seeking to prevent the casino from using the Stake brand within Australia. Stake, the casino, is barred from providing its services in Australia, according to its website.
It argues it has already built up a reputation with the Stake name within the country and that the crypto gambling firm’s use misleads consumers into believing the two are connected.
The Federal Court is now being asked to issue orders prohibiting the gaming company from promoting itself using the Stake name in Australia, per the report.
“The [share platform] has demanded that the [casino ceases] engaging in the conduct that is complained of … and the [casino has] refused or failed to do so,” the firm reportedly wrote.
In addition to the current legal headaches, a former business associate sued the casino’s founders in February for $400 million, accusing them of betrayal.
The company, which promotes itself as a “leading crypto casino” allowing wagers in bitcoin (BTC), ether (ETH), and dogecoin (DOGE) on sports events and online games, is currently incorporated in Curacao.
Melbourne-based Craven and his American partner, Bijan Tehrani, have turned Stake into a significant player in the online gambling scene.
Since its founding in 2017, Stake has grown to become the seventh-largest gambling group globally, reporting nearly $2.6 billion in gross gaming revenue last year.
Over that time, Stake has attracted high-rollers and high-profile endorsements, including a $100 million-per-year deal with rapper Drake.
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