Rivalry was accelerating in growth for many years as an online casino and sportsbook which operated in Ontario, Australia and Isle of Man jurisdictions. When it paused operations earlier this year, the decision left more questions than answers.
Since its launch in 2018, Rivalry showed a lot of promise as an online casino and sports betting service aimed at Gen Z and Millennial players. From wacky website UI to innovative games, Rivalry had seemingly positioned itself as, well, a Rival for the rest of the industry.
However, when Rivalry was placed under Management Cease Trade Order for failing to post its Q4 and FY24 reports, eyebrows were raised across the board. The operator would try restructuring its organisation and pivot towards VIP players, but it seems like this was to no avail. Last month, Rivalry announced that it had paused player activity on its platform and that it was considering selling up, begging the question; what happened?
Why was Rivalry popular?
Rivalry positioned itself immediately as ‘not like other’ companies. It was edgy, unique and built specifically for people aged between 20 and 30 who grew up online. It was riding the esports wave created during the pandemic; it had cool Y2K graphics; and it was launching its own original games on the platform.
In its FY21 letter to shareholders, Steven Salz, Co-Founder and CEO wrote that: “The common theme is online communities wrapping entertainment around consumer experiences. We believe a deep understanding of this will define the next generation of great consumer products.
“It is with that understanding we innovate on product and build brand love at Rivalry. This is the foundation upon which Rivalry is built.”
He would also go on to remind everyone of the three pillars that Rivalry was built around: Bonusing is not scalable and creates a transient userbase. Betting is no longer just a transactional experience. And brand love and an innovative product are profitable.
Did this business strategy work for Rivalry?
In a way, yes.
By 2022, 97% of Rivalry’s active user base were Millennial and Gen Z customers. Revenue was up 140% year-on-year to CA$26.6m (US$19.2m), and the betting handle increased 198% YoY to CA$232.8m.
Gross profit triple-flipped 349% to CA$9.8m, but the company could not shake off the net loss that had grown to CA$9.8m by this point. The business was operating primarily in Ontario, and had just added esports to its mobile sportsbook.
Salz wrote in the FY22 shareholders’ letter: “Gaming and internet culture is now a universally understood language connecting online communities globally, and it’s at this intersection where Rivalry’s brand lives. An intimate understanding of these communities, more than 100 brand partners, and dozens of social media properties equip us to attract and engage an audience on the internet that legacy operators can’t.
“The business impact of this is operating leverage. When you cultivate true brand love, every dollar of marketing goes further and customer retention is greater.
“Rivalry’s unique approach and DNA is a result of our team and culture. We are not cut from the traditional gambling industry cloth.”
Was Rivalry successful?
Looking at the results over the final few years, it seemed to be the case.
Rivalry offered a truly unique product that spoke to the hearts of many users
By FY23, revenue was still growing 34% to CA$35.7m, gross profit increased 66% to CA$16.2m and betting handle had jumped 82% to CA$423.2m. The company had diversified revenue streams and launched new original games.
The brand was gaining traction and had become very well known, but at some point during 2024, it changed its strategy completely.
What happened to Rivalry?
The company underwent the “largest product, brand and marketing overhaul in its history”, pivoting from casual Gen Z and Millennial audiences to crypto-focused high-value players. In January, the site added the $TRUMP meme coin as a payment method, and several months went by without the FY24 report being published.
In April 2025, members of the company applied for a Management Cease Trade Order to prohibit management from trading their company shares until the annual report was published. This would continue until 2 July, when Rivalry finally published its FY24 filing.
While the report has still not been uploaded to the financial reports section of the Rivalry site, it is available through its press releases. What the report highlighted, however, is that revenue had fallen to CA$13.6m.
Indeed, it showed that the company was now bringing in CA$600,000 USD a month, down from over CA$2m a month a year prior.
In response to this, the company undertook operational restructuring and became heavily focused on VIP players. It scaled back operations in the hopes of getting a lot of money out of a few players, rather than maintaining a large, international presence targeting the general population.
This, in itself, is not an inherently bad idea. Many places like Macau and Las Vegas also rely heavily on their VIP sectors, but this is always operated alongside a more public-facing route, too.
Nonetheless, this strategy seemed to work, and by the end of 2025, things were looking better.
The Management Cease Trade Order was revoked and the operator assured everyone that it had even seen an all-time record quarter in Ontario across handle, gross revenue, and net revenue.
Alongside this, it had already reached new all-time highs in active players and newly acquired players during Q4 2025.
Good to know: Rivalry began launching marketing campaigns created entirely using AI in late 2025, and according to Salz, they cost less than CA$100 to make
When did Rivalry last publish any news?
On 13 February 2026, Rivalry published a press release explaining that it had paused all player activity on its platform as it “approved a significant reduction in operating activity as the Company evaluates strategic alternatives in respect of its assets and operations.”
As part of this, Rivalry had reduced its workforce and operating scale significantly – all while assessing whether a strategic transaction or other alternative could be advanced.
After the announcement, LinkedIn was flooded with employees lamenting Rivalry’s closure. When Global Gambling Insider reached out for comment, every individual we spoke to said they only had positive memories from working at Rivalry and that they will miss working there on a personal level.
Was Rivalry too niche to succeed?
This is the million-dollar question. Although it is not fully clear what happened at Rivalry to cause the business to close like this, it seems that it could not fully escape the net losses that continued to accrue each year behind the burgeoning revenue and profit figures.
Rivalry offered a truly unique product that spoke to the hearts of many users. The Millennials and Gen Z audiences in Ontario and Australia really felt like the brand ‘spoke’ to them, but perhaps that was the issue all along.
As a product, Rivalry was launched in a few select markets, including those covered by the Isle of Man. It targeted players around the age of 30 who were interested in internet culture and esports, and eventually pivoted towards crypto.
The platform targeted such a specific group of people that it walked a fine line between creating a strong and recognisable brand image against a small audience. Perhaps if Rivalry had been launched alongside a more established brand as an offshoot, then it would have fared better. It could have leant on a pre-established playerbase and been supported financially by a larger platform.
However, it was also admirable to see Rivalry launch a product exactly to the creator's artistic vision. It was fun, original and off-the-wall; exactly the sort of originality this industry needs.