4 June 2021, Budapest – The Hungarian Competition Authority (GVH) has initiated a proceeding against the operator of the Sport&Tip sports betting advisory website since the undertaking is allegedly promoting its service in a misleading manner. The scope of the proceeding includes the investigation of the extent to which the influencers cooperating with the undertaking are liable.
The GVH has initiated a proceeding against One Billion Kft. since the advertisements of its Sport&Tip sports betting advisory service may have infringed the prohibition of unfair commercial practices in several ways. The market of sports betting could become busier in the near future due to the upcoming European Football Championship; therefore, any related questionable practices may affect an especially large number of consumers in the coming period.
The undertaking offers sports betting tips in exchange for payment; however, its website and advertisements allegedly failed to provide an accurate picture of certain essential characteristics of the service. This is due to the fact that the website and the advertisements mislead consumers about the results and benefits that could be expected from subscribing to these tips, as well as the associated risks.
The investigation will also cover the allegedly concealed influencer advertisements of the service; it is assumed that the sports betting tips were advertised by several Hungarian influencers with large follower bases without disclosing the payment they had received for these endorsements in their posts in an acceptable manner. In accordance with the regulatory requirements, the business relationship between a promoter and an influencer must be disclosed to consumers in an easy-to-see, emphasised, clear, and easy-to-understand way. The GVH is also going to investigate whether the posts of these influencers mislead consumers about the benefits and risks that could be expected when using the service.
Furthermore, the statements included in the advertisements about the market leadership of the undertaking and the service were allegedly also unsubstantiated.
The initiation of the competition supervision proceeding does not mean that the undertaking has in fact committed the infringement. The proceeding is aimed at clarifying the facts and thereby proving the alleged infringement. The time limit for the completion of the proceeding is three months which, where justified, may be extended on two occasions by a maximum of two months each.
The official registration number of the case is: VJ/23/2021.
GVH Press Office