Legal battles and industrial scrutiny – what’s next for Sorare?
Football-themed platform Sorare, known for its high-profile partnerships with the Premier League and other sports icons, is embroiled in a legal storm. On Friday, the company entered formal not guilty pleas to three charges of providing unlicensed gambling services to British consumers, as presented at Birmingham Magistrates’ Court. With trial proceedings scheduled for next year, Sorare’s future in the UK market now hinges on the outcome of this significant legal battle.
This high-stakes case brings into sharp focus the blurred lines between sports entertainment, fantasy gaming, and gambling regulation—particularly how these evolving sectors are treated under UK law. The court’s decision could not only reshape Sorare’s business model but also set a precedent for similar platforms navigating the intersection of digital collectibles, blockchain technology, and online gaming.
Breakdown of legal battle
Sorare is charged with providing gambling facilities without a licence, a violation of the UK’s Gambling Act of 2005. The allegations cover three periods from February 2022 to April 2024. According to the charges read out by District Judge David Murray, the France-based platform allegedly operated a “remote facility for gambling” without securing the required licensing from the UK Gambling Commission (UKGC).
Despite these accusations, Sorare has consistently argued that it does not provide gambling services, maintaining that its platform offers a skill-based experience centred around digital player cards and fantasy sports. A company spokesman reiterated their stance: “The commission has misunderstood our business and wrongly determined that gambling laws apply to Sorare.” However, the company’s legal team will need to substantiate this position when the trial commences on 16 June, 2025.
Sorare’s not guilty plea sets the stage for what will likely be an intense legal battle. The stakes are high, not only for the company but for the broader sports entertainment and fantasy gaming sectors, as the verdict could set new regulatory boundaries.
At the core of the case is a question of classification. Sorare’s platform enables users to purchase, trade, and play fantasy football using blockchain-based digital cards, which represent real-life athletes. These cards can rise or fall in value based on players’ performances in actual matches, creating a speculative market that the UKGC argues fits the definition of gambling.
The Gambling Commission asserts that Sorare’s mechanics create a monetary risk, particularly as users can profit from trading cards and winning rewards based on real-world outcomes. Sorare, on the other hand, likens itself to a skill-based fantasy game, in which player success depends on tactical decisions rather than pure chance—a key distinction that could ultimately shape the court’s verdict.
The platform’s wide-ranging success and notable partnerships—including a four-year deal with the Premier League announced in 2023—have helped cement its reputation. But these same partnerships also bring increased scrutiny, with regulators like the UKGC keen to ensure that platforms operating in the grey area between gaming and gambling are held accountable under the law.
Industry precedent and why Sorare’s case matters
Sorare’s trial has implications far beyond its own operations. A favourable ruling could empower other platforms that merge blockchain technology with gaming, encouraging innovation in the space. However, a guilty verdict could spell regulatory tightening across the board, particularly in the realm of fantasy sports and collectibles.
In recent years, regulators globally have been playing catch-up with the fast-evolving digital gaming landscape. The rise of NFTs, blockchain-based collectibles, and decentralised platforms has introduced new challenges for existing legal frameworks. Sorare’s case represents one of the most high-profile tests of how these new technologies will be regulated, especially when they intersect with established gambling laws.
From a consumer protection standpoint, regulators are tasked with ensuring that users—particularly younger or more vulnerable players—are safeguarded against excessive financial risks. Should the court side with the UKGC, it could trigger a ripple effect across other markets, prompting similar platforms to reassess their compliance measures.
What’s next for Sorare?
As Sorare heads into its legal trial, the company will need to navigate the growing scrutiny surrounding its business model. The platform’s global expansion, with investors like Serena Williams, Lionel Messi, and Antoine Griezmann, has been impressive. However, the case in the UK could present a significant stumbling block.
If the court rules against Sorare, the company may be forced to overhaul its operations to meet UK regulatory standards. This could include obtaining a gambling licence and implementing stricter measures to distinguish between fantasy sports and gambling activities. The financial and reputational costs of such changes could be immense.
Conversely, a not-guilty verdict would be a major win for Sorare, potentially increasing its standing in the industry and setting a new legal precedent that reinforces its claim as a skill-based game rather than a gambling platform. This would allow Sorare to continue expanding its user base without the overhang of regulatory intervention, particularly in other markets that may look to the UK as a bellwether for gaming legislation.
Broader impact on fantasy sports and digital collectibles
Whatever the outcome, this case will likely influence how regulators across the world approach platforms like Sorare. As the fantasy sports sector continues to grow, so too will calls for clarity on what constitutes gambling in the age of digital collectibles. Sorare’s case represents an inflection point, not only for the company but for an entire industry built around the fusion of sports, gaming, and emerging technologies.
The trial, scheduled for June 2025, will be watched closely by industry insiders, regulators, and legal experts alike. As blockchain, NFTs, and digital collectibles evolve, so too will the legal frameworks that govern them. For Sorare, the months ahead will be critical in determining whether it can continue operating in its current form—or if it will need to adapt to the rapidly shifting gambling regulation.
How Sorare business model works
French unicorn Sorare is valued at €4 billion with a user base of over 3 million, operating at the intersection of blockchain technology and fantasy sports. The platform offers NFTs (non-fungible tokens) in the form of digital cards featuring real football players. Much like collecting Panini stickers, users collect these cards, build teams, and enter virtual competitions. Three times a week, teams made up of five cards compete against each other. The value of the cards fluctuates based on the real-life performance of the players they represent. Winners of these competitions often receive new cards as prizes, fuelling an active marketplace for trading these cards.
A key element of Sorare’s business model is that the transactions within the platform are conducted using the cryptocurrency Ether. The card market is influenced by both the fluctuating performance of the athletes and the volatile price of Ether, adding another layer of complexity to Sorare’s gaming ecosystem.
In Belgium, Sorare has also recently come under fire. MP Stefaan Van Hecke raised concerns over the platform, particularly targeting the similarities between Sorare’s tournaments and sports betting. After advocating for reforms to gambling laws before the Justice Commission of the Belgian Chamber, Van Hecke highlighted what he considers a problematic overlap between the competitions organized by Sorare and traditional sports predictions. He also pointed out the financial aspect of the platform, where significant sums are committed using cryptocurrency, raising regulatory alarms over its compliance with Belgian gambling laws.
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