Upgaming severs ties with Santeda after ‘intensifying scrutiny’ of operator’s unregulated footprint

Upgaming has reached a mutual agreement with Santeda International B.V. to conclude the entities’ partnership following a period of “intensifying scrutiny” around the operator’s unregulated footprint in restricted jurisdictions. 

The iGaming provider first brought the news to Global Gaming Insider on March 27, having been previously vocal of wanting to shift toward a “zero-tolerance approach to regulatory deviations.”

Upgaming stated the accusations brought against Santeda represent a “fundamental breach of trust” and believes collaborating with a “non-compliant entity” would result in heavy reputational and legal pushback. 

Upgaming and Santeda reached a mutual agreement to end their partnership approximately one week ago.

However, sources close to the matter believe the split was “far from seamless” after negative reports stemmed from Santeda’s compliance record.

Tensions reached "boiling point" where a potential protracted court battle became a "distinct and looming risk," but both parties eventually managed to avoid judiciary action. 

As a result of the concluded partnership with Santeda, Upgaming is “doubling down” on its efforts to build a “stable and trusted” partner network. 

Santeda, as well as its brands Mystake, Cosmobet, Velobet, Goldenbet and Rolletto, have been accused of participating in an extensive illegal gambling network which generates approximately $2.7bn annually. 

Reports combined testimony from 96 users and operator data, which discovered heavy traffic on Mystake from the UK and cases of severe player harm. The allegations also believe offshore tax advantages allow for Santeda to reinvest heavily in consumer marketing and retention. 

Upgaming described its choice to end the partnership with Santeda as a “significant shift” in the iGaming landscape, and reflects a “growing trend” of providers looking for long-term stability and transparency rather than high-volume revenue generated from unregulated markets.