An idea forms
As a result of being exposed to the incredible demand for sports gambling and personal experience with stock trading, the idea of a “sports stock market” was conceived. The very first sketches were drawn on copy paper with colored pencils.
AllSportsMarket (ASM) design and programming begins.
ASM Beta begins.
ASM Goes live for real money from Costa Rica.
ASM grows rapidly and receives media coverage.
The idea of “The New Sports Economy” starts to take shape with an understanding of the broader implications of a sports stock market. The search for ASM legal certainty begins with trips to Washington, D.C. Bernie Nicholls, a 17-year NHL veteran, signs on as an ambassador, a role he continues to play today.
Growth and CFTC Advisors
ASM grows to over 10,000 accounts. The search for legal certainty becomes top priority. Sharon Brown-Hruska, former Chair of the CFTC and Paul Architzel, legal architect of the Commodities Futures Modernization Act of 2000, join the team as advisors. The IP is vested in a newly formed U.S. company, Crystal World Holdings (CWH).
After an extensive analysis of the ASM model, an evaluation of the Unlawful Internet Gambling Enforcement Act (UIGEA) that passed in 2006 and the inability to find legal certainty, it is suggested (and we agree) to develop a new product that will more easily fit regulatory standards: The SportsRiskIndex (SRI)
Worldwide patents filed
The SRI, which is an index futures product, is developed and filed for patent worldwide. An agreement with a licensed exchange, The United States Futures Exchange (USFE), is executed for the trading of the SRI.
CWH and USFE jointly present the product to the Division of Market Oversight at CFTC.
USFE sponsor goes bankrupt
While preparing the final submission document for regulatory approval, the economy implodes and bankrupts our exchange partner, the USFE. Since we don’t have the designation to bring the product to the market ourselves, the loss impacted our risk profile and financing was lost.
Provisional patent filed for SRI.
Market operations cease
The ASM platform is wound down with the understanding that all valid accounts would be invested in the final outcome, a promise that was and is still being honored.
Hamish Webb of Christchurch , New Zealand, a fraudulent trader on the old ASM platform hijacks a company domain and starts spreading lies and misinformation. His propaganda results in another trader filing a complaint with the U.S. Securities and Exchange Commission (SEC).
SEC meets with Chris Rabalais, founder of ASM, and CEO of CWH, and reviews documents provided. Satisfied, SEC decides not to take any action.
Non-provisional patent filed for SRI.
Seth Leon, another disgruntled trader from the ASM platform files and obtains a DEFAULT judgment of over $379,000 against Chris Rabalais, in spite of no court finding of fraud. This DEFAULT judgment was obtained by knowingly mailing the complaint to the wrong address while Rabalais was relocating to Houston to bring the SRI market online.
As a result of the recession and untruthful and extorting propaganda disseminated by a few, Chris Rabalais files personal bankruptcy and lists the default judgment as a dischargeable debt.
NSEI is formed
The New Sports Economy Institute, or NSEI (non-profit) is formed in 2011 to facilitate the educational and social mission and broader objectives.
The Leon case moves through Bankruptcy Court, District Court and Federal Court. The court guidance remains the same: “Under the Rooker-Feldman doctrine, a federal court lacks jurisdiction to entertain collateral attacks on state court judgments… The U.S. Supreme Court is the only federal court permitted to review…”
U.S. Supreme Court
Chris Rabalais petitions the U.S. Supreme Court, pro se, and asks the question “Is sports performance an excluded commodity under the Commodity Exchange Act?” The Supreme Court later declines to hear the case.
The five-year period of maintenance of the SRI patents, trademarks and other intellectual property in order to preserve the value created before “The Great Recession” comes to an end. The decision is made to go back, resurrect the new and improved ASM market in some form.
Provisional patent for ASM is filed.
NSEI receives 501(c)(3) status
The New Sports Economy Institute receives 501(c)(3) status (retroactive to 2011) and ASM Free! is designed, built and starts up as an operation of the non-profit. ASM Free! is a free app (no real money trading) that improved the original market design from 2004. The design is filed for copyright and patent in 148 countries.
NBA pushes for sports betting
NBA publicly starts pushing for legalization of sports betting. The idea starts getting some traction even as the State of New Jersey keeps fighting a losing battle in courts against the major sports leagues and the NCAA to offer sports betting in the state.
ASM Free! grows
ASM Free! is well received and gains about 2,500 customers. The path to a fully legal real-money market is established.
California state amendment
The Sports Vote, an initiative to gain public support for socially beneficial sports markets, gets underway with actor Zack Ward, of A Christmas Story fame, signing on as an ambassador and filing the “Sports Integrity Protection Amendment (SIPA)” in California to make responsible sports trading a basic citizen right.
Daily Fantasy Sports explodes in scandal opening a once-in-a-lifetime opportunity to bring ASM and The New Sports Economy to the world.
New Jersey case
The Third Circuit hears the New Jersey sports betting case en banc.
CWH is granted the SRI patent in China.
NSEI files a no-action relief request with the SEC with a copy to the CFTC.
Real money market goes live
Zack Ward Rings the Bell! ASM Real Money goes live with Hollywood launch party.
NSEI’s amicus brief
NSEI submits amicus brief to the New York Supreme Court in support of the New York Attorney General and against daily fantasy sports.
Letter to members of congress
NSEI is concerned about the irresponsible narrative being disseminated by daily fantasy sports & sports gambling proponents. With the goal of starting an HONEST discussion on the matter, NSEI sends a letter to members of Congress, the California Assembly, all state AG’s, the NFL, NBA, MLB, NHL, NCAA, major media and others.
NSEI’s .org website is published
NSEI gets a facelift. www.thenewsportseconomy.org is published to the world.
NSEI to attend congressional hearing
The Subcommittee on Commerce, Manufacturing and Trade is planning a Congressional hearing on daily fantasy sports on May 11, 2016. Chris Rabalais, Managing Director of NSEI, will be in attendance.
2016 (upcoming) – NSEI will be hosting a victory party on Saturday August 6, 2016 in Hollywood, California. The invitation-only, red carpet event will celebrate the culmination of 15+ years of effort by a few dedicated people who refused to take any shortcuts and stood up against sports gambling in support of the American Dream