SABA asks North West Gambling Board to justify Betmatch's Bookmaker (Bet Exchange) licence

On 6 October 2026 the South African Bookmakers' Association (SABA) formally asked the North West Gambling Board to disclose the specific legal basis that allowed it to issue a "Bookmaker (Bet Exchange)" to Betmatch, operated by ZAR Prive (Pty) Ltd. The letter, signed by CEO Sean Coleman, acknowledges the licence exists but asks whether the board had the statutory authority to create and issue that category of permission; while the question is resolved, Betmatch's licence remains in force and customers may continue to bet.

## What SABA is asking the North West Gambling Board about the betting exchange licence

SABA demands the North West Gambling Board's case files, legal opinions, assessments and the statutory basis the regulator used when introducing its licensing framework for betting exchanges. Coleman requires the records to identify "precisely which legislative provisions authorised the granting of a peer-to-peer betting venue under a bookmaker licence". The association says a regulator may only exercise powers granted by statute and that internal rules or licence conditions cannot create powers that neither Parliament nor the provincial legislature has conferred.

"Those records must identify precisely which legal provisions authorised the licence for a peer-to-peer exchange under a bookmaker licence. Until that legal basis is identified, the question remains unanswered," said Sean Coleman.

SABA does not deny that ZAR Prive (Pty) Ltd holds a "Bookmaker (Bet Exchange)" issued by the North West Gambling Board; its challenge is narrow and legal: whether provincial or national legislation contains the necessary authority for that licence type.

## Why SABA says a betting exchange differs from a traditional bookmaker

A conventional bookmaker takes bets from customers and assumes the risk. In an exchange, one bettor backs an outcome and another lays it; the platform matches them and charges a commission but does not participate directly in the bet. The National Gambling Act defines bookmaker as "a person who directly or indirectly lays fixed-odds bets or open bets with members of the public or other bookmakers, or takes such bets with other bookmakers" and does not explicitly mention betting exchanges.

SABA contends that activity on an exchange is not equivalent to the operator conducting business as a bookmaker. The association cites Betmatch's own marketing material, which states users can "lay bets with each other" and "effectively act as the bookmaker", and argues those descriptions are difficult to reconcile with the claim that each transaction is concluded between the customer and the operator.

## Betmatch's public defence and its position on prediction markets

Betmatch, according to an ITWeb report on 28 September, maintains that its North West licence authorises bets on uncertain future events, including political outcomes. Nick French, CEO of Betmatch, said that "peer-to-peer betting on a contingency is precisely what a Bookmaker Exchange licence authorises, and we already offer markets of this kind lawfully and under supervision on our platform."

The company has submitted draft rules for prediction markets to the North West Gambling Board covering approval of individual betting contracts, prohibited subject matter, integrity monitoring, protection of customer funds, position limits and regulatory control over which events may be offered. Betmatch argues that restricting licensed local exchanges would favour offshore platforms serving South African customers and calls for measures such as payment restrictions, geoblocking and removal of foreign operators' apps and advertisements aimed at South Africa.

SABA shares the concern about unlicensed offshore operators, but insists competitive considerations do not resolve the legal question: "The existence of illicit offshore competitors cannot substitute for statutory authority where none exists," the association said.

## Judicial precedent on the North West Gambling Board's powers and the betting exchange licence

The North West Gambling Board's power to grant licences has been judicially reviewed. In 2022 Peermont Global challenged aspects of a board notice concerning bingo licences; the Supreme Court of Appeal found parts of the notice appeared to exceed what the North West Gambling Act permitted. However, because Peermont did not challenge the notice directly, it remained in force. The judgment relies on the principle in Oudekraal Estates v City of Cape Town and reaffirmed by the Constitutional Court in MEC for Health, Eastern Cape v Kirland Investments: an administrative decision retains legal effect until it is set aside by a successful challenge.

Statistics from the National Gambling Board show 11 bookmaker licences were issued in the North West province in 2024/25, up from five in 2022/23, and 402 bookmaker licences across the nine provincial boards combined. Those figures do not distinguish licences specifically labelled as "betting exchange".

## Immediate impact for South African bettors and next steps for the betting exchange licence question

Betmatch's licence remains valid and SABA has so far filed an access-to-documents request, not a court order, so operations and customer offerings remain unchanged. The question SABA raises is whether the legal basis for a betting exchange in South Africa would withstand judicial challenge, in which case the licence's validity could be confirmed or set aside through litigation.

Bettors comparing exchanges and traditional operators can review licensed options in our South Africa betting guide. For questions about licensing requirements and operators accepting players in the country, consult the relevant [regulation](/regulation) guide.

The North West Gambling Board was contacted for comment on SABA's request but had not responded publicly by ITWeb's deadline or at the time of publication of this article. It is not known whether SABA will take the request to court.

## Regulatory and technical context relevant to the betting exchange licence

• Licensed operator: ZAR Prive (Pty) Ltd — holder of the North West Gambling Board's "Bookmaker (Bet Exchange)" licence.

• Applicant: South African Bookmakers' Association (SABA), represented by CEO Sean Coleman.

• Operator's public defence: statements by Nick French, CEO of Betmatch, on authorisation and supervision.

• Legal framework cited: National Gambling Act; judicial background in the Supreme Court of Appeal and the Constitutional Court.

My name is Miguel Sandoval, Corresponsal de regulación. This note was last updated on 9 October 2026.