Betsoft Gaming Ltd. – an online casino software provider – is a scam operation. Unfortunately, Betsoft is used by some of the biggest online casinos like LeoVegas, Guts, and ComeOn. US casino gamblers have taken the biggest hit since there are only a few adequate software providers in the US market (and now one less). Online casinos outside of the US still have tens of software providers to choose from.
Every responsible online casino should have removed Betsoft’s games from their selection as soon as this news broke out. We’ll keep an eye out for every single internet casino that has had Betsoft as a part of their game selection.
Bovada and Slots.lv (both operated by the same people) reacted immediately. As per their e-mail newsletter, Bovada has removed all Betsoft jackpot games from their selection, which is a total of 52 games. Since this is a significant part of their overall game selection (and even bigger part of their jackpot selection), they’re now looking for new games to add to the selection. They’ve also promised to add over a million dollars to their remaining jackpots to make up for the loss of all the Betsoft jackpots.
To preface the story, Betsoft’s progressive jackpots are standalone jackpot machines. A part of every bet contributes to that machine’s jackpot. These machines are not linked to a network of jackpot slots.
With that in mind, here are the most serious warning signs (although there have been more throughout the time this company has been in the business):
- CasinoListings.com tracked Betsoft’s jackpots at both Bovada.lv and Slots.lv for nine months (these two casinos were chosen due to having an extensive selection of Betsoft’s jackpot games.) Based on the statistics, Betsoft’s jackpot slots have been “locked” (impossible to win) for periods of time – it’s impossible to tell if this was on purpose or by accident.
- Betcoin Casino’s customer won a Betsoft jackpot during a free spins round. The rules never mentioned that free spins are excluded from the jackpot. Incredibly, they refused to pay the player his win by referring to such non-existent rule (a vague rule was added afterward). Both Betsoft and Betcoin Casino refused to pay the player his jackpot and apparently paid him off to say good words about the companies. Again, the jackpot was never paid even though all evidence suggested that it should have been and the customer took a bribe in order to get something out of the situation (quite understandable, since there was nothing the customer could have done to get his winnings back in any other way).
- Betsoft’s license and auditing are questionable – and that’s putting it lightly. Apparently, the auditors have done nothing to check the relationship between the RNG and the software. In theory, the software could disregard all the winning number combinations generated by the RNG and simply ask for another number combination instead.
Was There Foul Play on the Casino’s End?
Unfortunately, I don’t have insider information regarding business agreements between Betsoft and their client casinos. To my understanding, though, their progressive jackpot deals work something like this:
- Player deposits money to the casino.
- Player bets money on a Betsoft jackpot game.
- The bet is credited to Betsoft.
- If a player wins the jackpot, Betsoft pays the player.
- If a player loses money, Betsoft pays the casino its share (think of it as an affiliate deal: the casino gets a % of Betsoft’s profits).
Now just to remind you: this is hearsay. The reality might be different. But if the scenario above describes the real arrangement, the online casino is not in charge of the money. Betsoft takes the money and, as per the agreement, it’s Betsoft’s responsibility to both pay the player the winnings and pay the online casino its share of the bets.
However, as far I understand, even with this model the online casino should have an idea of how much players bet on these games and how much they get in return even if Betsoft handles the money. There’s no way an online casino like Bovada leaves 52 of their games without any type of tracking.
Online casinos are aware of how much their players have won or lost. There’s no way an internet casino operates without knowing the profitability of each of their games. Zero chance.
If you operate an online casino, the obvious thing you want to do is to know how much profit each game brings to your business. Especially if someone else handles the money (you have to know what you’re owed!).
The mistreated player (referred to above) won his jackpot at Betcoin Casino (a Bitcoin-only casino). That’s all the customer needs to know, The business arrangement between Betcoin and Betsoft has nothing to do with the customer.
The player bet on a slot machine at Betcoin, hoping to win the jackpot. The player won the jackpot (since, at the time, there weren’t rules that excluded free spin rounds from the jackpot prize). The player should be paid, and since the player played at Betcoin, it’s Betcoin’s responsibility to make sure the player is paid.
Instead, the player was told “it could have happened at any other casino” and “there’s nothing they can do about it.” Even if it could have happened elsewhere, what does it matter? Pay the customer his winnings. Deal with Betsoft to get your money back. End of story.
The US Online Casino Market
The US market isn’t part of regulated markets because the internet casinos operating in the US have questionable licenses (granted, there’s no 100% safe license). This Betsoft scam is an example of why a license in their case meant nothing: they were able to cheat customers (and to my understanding, casinos too) out of their money and only got caught once their customers started suspecting foul play.
Tread carefully. This scam took place at some of the most reputable online casinos, including the biggest internet casinos that accept US players. Anything is possible in the US online gambling industry. Always keep an eye out for these things and never have too much money in your gaming account — it’s always at risk. By choosing one of the legit online casinos, though, you can lower the risk significantly.
If you’re a trustworthy internet casino, you remove Betsoft from your game selection. If you keep offering their games to your customers, why should anyone sign-up at your casino?