{"id":132644,"date":"2020-04-09T17:10:36","date_gmt":"2020-04-10T00:10:36","guid":{"rendered":"https:\/\/www.casino.org\/news\/?p=132644"},"modified":"2020-04-09T17:39:31","modified_gmt":"2020-04-10T00:39:31","slug":"betamerica-still-out-two-weeks-after-sbtech-ransomware-attack","status":"publish","type":"post","link":"https:\/\/www.casino.org\/news\/betamerica-still-out-two-weeks-after-sbtech-ransomware-attack\/","title":{"rendered":"BetAmerica and Others Still Out Two Weeks After SBTech Cyberattack, DraftKings Merger Terms Revised"},"content":{"rendered":"

Almost two weeks after sports betting and lottery provider SBTech was hit by a cyberattack<\/a> that forced it to shut down its global data centers, several US-regulated online gambling sites remain out of action.<\/p>\n

\"sbtech\"
BetAmerica has been \u201ccurrently upgrading\u201d for the past two weeks, a euphemism for \u201cour software provider has been bulldozed by a sophisticated ransomware attack.\u201d (Image: BetAmerica)<\/figcaption><\/figure>\n

The length of the outage is unprecedented for the industry. Online gaming operators have routinely been targeted by cybercriminals since at least the early 2000s, but these are usually short-lived DDoS attacks, designed to temporarily disrupt normal services while companies are held to ransom.<\/p>\n

As of Thursday evening, Churchill Downs\u2019 BetAmerica — which relies on SBTech software for all its online services, including sports betting and casino — was still offline, leaving customers unable to access their funds.<\/p>\n

The online sports betting arms of the Golden Nugget and Resorts Atlantic City are also still down.<\/p>\n

But SBTech\u2019s European partners, such as MansionBet, are now back online, as is the Oregon Lottery\u2019s \u201cScoreboard\u201d sports betting app.<\/p>\n

Diamond Eagle Demands $30 Million<\/strong><\/h2>\n

On Wednesday, Diamond Eagle Acquisition Corp (DEAC) demanded SBTech set aside $30 million in cash and stock that could be used to settle any litigation that might arise from the outage.<\/p>\n

DEAC is a Los Angeles-based acquisition vehicle, which will merge with DraftKings to engineer the forthcoming reverse takeover of SBTech<\/a>, paving the way for an IPO.<\/p>\n

\n

According to a filing with the Securities and Exchange Commission (SEC), if claims against SBTech exceed $30 million, DEAC would gain access to around $70 million in cash and shares that have already been put in escrow, per the terms of the original deal.<\/p>\n<\/div>\n

And if that\u2019s not enough to settle future claims, DEAC would go after SBTech\u2019s current owners, including founder and majority shareholder Shalom McKenzie, who has agreed to the amended terms.<\/p>\n

Cryptoviral Extortion<\/strong><\/h2>\n

The timing of the attack, just a few weeks before the DraftKings merger was expected to complete, is striking and bears the hallmarks of a ransomware attack launched by a sophisticated criminal group.<\/p>\n

Cryptoviral extortion involves the encryption of a victim\u2019s files, which renders them inaccessible until a ransom is paid or cybersecurity teams manage to regain control.<\/p>\n

With the merger date looming, attackers may have believed SBTech would be more susceptible to paying ransom demands to help smooth the deal.<\/p>\n

But the duration of the outage, and the piecemeal resumption of services would seem to suggest the company has been fighting the extortion attempt.<\/p>\n

Diamond Eagle shareholders were scheduled to vote on the merger April 9, but that meeting has been postponed until next week.<\/p>\n

Nevertheless, sources told iGaming Business<\/em> Thursday that the deal was still expected to complete on schedule.<\/p>\n","protected":false},"excerpt":{"rendered":"

Almost two weeks after sports betting and lottery provider SBTech was hit by a cyberattack that forced it to shut down its global data centers, several US-regulated online gambling sites remain out of action. The length of the outage is unprecedented for the industry. Online gaming operators have routinely been targeted by cybercriminals since at […]<\/p>\n","protected":false},"author":36,"featured_media":132645,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"footnotes":""},"categories":[32093],"tags":[],"acf":[],"yoast_head":"\nBetAmerica Still Out Two Weeks After SBTech Ransomware Attack<\/title>\n<meta name=\"description\" content=\"SBTech ransomware attack still leaves BetAmerica offline two weeks after it struck. 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DraftKings merger to go ahead but terms revised by Diamond Eagle.\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.casino.org\/news\/betamerica-still-out-two-weeks-after-sbtech-ransomware-attack\/\" \/>\n<meta property=\"og:site_name\" content=\"Casino.org\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/Casino.OrgNews\" \/>\n<meta property=\"article:published_time\" content=\"2020-04-10T00:10:36+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2020-04-10T00:39:31+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.casino.org\/news\/wp-content\/uploads\/2020\/04\/betamerica.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1874\" \/>\n\t<meta property=\"og:image:height\" content=\"910\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Philip Conneller\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@casinoorgphilc\" \/>\n<meta name=\"twitter:site\" content=\"@Casino_Org\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"Philip Conneller\" \/>\n\t<meta name=\"twitter:label2\" content=\"Est. reading time\" \/>\n\t<meta name=\"twitter:data2\" content=\"2 minutes\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.casino.org\/news\/betamerica-still-out-two-weeks-after-sbtech-ransomware-attack\/\",\"url\":\"https:\/\/www.casino.org\/news\/betamerica-still-out-two-weeks-after-sbtech-ransomware-attack\/\",\"name\":\"BetAmerica Still Out Two Weeks After SBTech Ransomware Attack\",\"isPartOf\":{\"@id\":\"https:\/\/www.casino.org\/news\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.casino.org\/news\/betamerica-still-out-two-weeks-after-sbtech-ransomware-attack\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.casino.org\/news\/betamerica-still-out-two-weeks-after-sbtech-ransomware-attack\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.casino.org\/news\/wp-content\/uploads\/2020\/04\/betamerica.jpg\",\"datePublished\":\"2020-04-10T00:10:36+00:00\",\"dateModified\":\"2020-04-10T00:39:31+00:00\",\"author\":{\"@id\":\"https:\/\/www.casino.org\/news\/#\/schema\/person\/58769b72851c8cf117fb58ca150ebf8b\"},\"description\":\"SBTech ransomware attack still leaves BetAmerica offline two weeks after it struck. 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