UFC turns to ProhiBet to assist insider betting crackdown, shares presentation with fighters

As the James Krause investigation continues, the UFC has announced new measures to combat illegal insider wagering.

The UFC’s efforts to crack down on unethical and illegal insider betting continues.

On Wednesday, the promotion announced its partnership with ProhiBet, which will monitor for potential violations to ensure policy compliance.

“ProhiBet offers a comprehensive solution for monitoring compliance with these regulatory requirements via an encrypted decentralized cross-monitoring and notification platform,” the UFC said in a statement.

Additionally, athletes and their teams received an 11-minute video presentation by U.S. Integrity describing and reinforcing protocols. The video, which MMA Junkie obtained a copy of Wednesday, is titled “2023 UFC Education Course on Sports Betting.” It highlights betting terminology, who classifies as a prohibited bettor, what behaviors are prohibited, and the protocol for reporting an incident.

“An athlete who becomes aware or has knowledge of any incident that constitutes athlete misconduct must immediately notify UFC by contacting the UFC legal department,” the video states. “Failure to report an incident will constitute conduct detrimental to the integrity of UFC and will be subject to sanctions under this UFC Athlete Conduct Policy.

“Additionally, athletes are strongly encouraged to notify UFC by contacting the UFC legal department with information related to facts and circumstances they believe to be suspicious or indicative of integrity concerns regarding any UFC match or event whether originating with insiders or other third parties. Confidentiality concerning any such communications will be maintained by UFC to the extent practical.”

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The course comes as the latest in string of memos sent over the past nine months by UFC chief business officer Hunter Campbell following an investigation into Glory MMA & Fitness head coach [autotag]James Krause[/autotag].

Krause, who is pictured in the presentation, was suspended and banned from coaching UFC fighters after betting lines moved suspiciously for a Nov. 5, 2022 bout involving one of his fighters, [autotag]Darrick Minner[/autotag], who also was later suspended.

According to ESPN, an FBI investigation is still ongoing pertaining to Krause, who allegedly ran offshore betting accounts. Additionally, UFC flyweight [autotag]Jeff Molina[/autotag], a member of Glory MMA & Fitness, remains suspended for his potential involvement in insider wagering.

“USI also turned over all anonymous tips, including details of the illegal ‘bookie’ operation, to the appropriate authorities who issued subpoenas to all involved individuals,” one presentation slide reads.

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Krause isn’t the only one pictured in the presentation. UFC featherweight [autotag]Dennis Buzukja[/autotag] is also pictured.

“In June 2022, USI identified a fighter who placed a wager on himself to win a Dana White’s Contender Series event,” text below the photo reads. “The fighter placed a wager equal to their entire purse on themselves to win the fight.”

It continues, “While the ethics of betting on yourself can be debated, betting on athletic contests you are associated with or competing in is illegal in many jurisdictions under ‘Prohibited Bettor’ regulations.”

The presentation closes by reiterating a warning that violators will be caught and will likely severely damage their careers.

“U.S. Integrity has ample access to pertinent data sets. Our platform is robust and comprehensive,” it reads. “If something nefarious or malicious were to occur in relation to sports betting, we will find it and we highlight it to the appropriate parties and the relevant contacts.”

“… There’s no sum of money that’s worth it for any impropriety related to sports betting. Reputational harm alone will cost you a career and potentially result in criminal proceedings. It’s not worth it.”

UFC betting scandal: A timeline of what we know about James Krause, government investigations

Here’s what we know about the UFC betting scandal involving James Krause and government investigations into fight fixing.

The UFC finds itself embroiled in one of MMA’s biggest controversies caused by suspicious betting activity surrounding a fight between Shayilan Nuerdanbieke and [autotag]Darrick Minner[/autotag], which has led to several government agencies, including the FBI, investigating the promotion over concerns of fight fixing.

At the center of it all is former UFC fighter and current coach [autotag]James Krause[/autotag], who cornered Minner during the first-round TKO loss to Nuerdanbieke that set everything in motion.

Below is a timeline of what we know about the ongoing UFC betting scandal.

(Note: This post will continue to be updated as developments unfold.) 

Report: Suspended coach James Krause allegedly worked for offshore online sportsbook

According to an ESPN report, UFC fighter Jeff Molina once wrote, ‘In stocks this is called insider trading in MMA betting it’s called James Krause.’

Former UFC fighter and Glory MMA & Fitness coach [autotag]James Krause[/autotag], a subject of an ongoing betting scandal investigation, worked as an intermediate for an offshore sportsbook, according to a new report.

Per a lengthy report published Thursday by ESPN, anonymous sources claimed they placed bets through Krause, who served as an agent for ABCBetting.ag since at least 2019. The sources claimed Krause offered a line of credit and referral kickbacks, and took payments through Venmo or Paypal.

Krause, as well as two of his UFC-rostered fighters, [autotag]Darrick Minner[/autotag] and [autotag]Jeff Molina[/autotag], were suspended indefinitely by the Nevada Athletic Commission (NAC) in recent weeks after they failed to disclose an injury. Krause and Minner were suspended after a Nov. 5 bout was flagged for suspicious betting activity.

An unusual amount of bets came in on his opponent Shayilan Nuerdanbieke to finish the fight. Minner quickly appeared to injure his leg in Round 1. He was finished soon thereafter with strikes.

In the wake of the bout, multiple gaming commissions in North America halted wagering on UFC events, and multiple investigative agencies are now reportedly involved.

Minner was released from his contract, as the UFC in December banned its fighters from associating with Krause or training at his gym. Molina, who was scheduled for a Jan. 14 fight, was suspended weeks after.

Krause has yet to comment. When contacted by ESPN, Minner recently declined anything unusual happened pre-fight, though he admitted he suffered a minor knee injury prior to the fight. He declined to comment on Krause’s potential involvement with the sportsbooks.

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Prior to the implementation of anti-wagering language in the UFC’s fighter code of conduct, which was edited in October, Krause admitted to betting on fights, even those he was involved in (per The MMA Hour). Krause mentioned he took over other bettors’ accounts, seen as a potential method to evade betting limits.

Krause branded a podcast “1% Club,” which discussed picks, predictions and bets. He had a “1% Club” subscription-based chat group on the social platform Discord. According to the report Thursday, Molina was part of the Discord and encouraged others to join.

“He’s trained w/ a lot of the fighters, lives and breathes this sport as a coach/fighter, & at times has the scoop on injuries — non-announced matchups — how fighters look like in camp, etc.,” Molina reportedly wrote in the group. “In stocks, this is called insider trading, in MMA betting it’s called James Krause. For the last 6 months, all my bills including mortgage and car note have been paid via Krause’s picks. Do yourself a favor and join the VIP.”

The NAC has its next batch of hearings set for a monthly meeting Tuesday in Las Vegas. Molina, as well as an unnamed “confidential respondent,” are listed on the agenda.

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James Krause, Darrick Minner suspensions extended by Nevada Athletic Commission

The Nevada Athletic Commission on Wednesday agreed to extend the suspensions of former UFC fighters James Krause and Darrick Minner.

The Nevada Athletic Commission on Wednesday agreed to extend the suspensions of former UFC fighters [autotag]James Krause[/autotag] and [autotag]Darrick Minner[/autotag] while an investigation continues.

The official reason for their suspensions in November, which did not have time limits assigned to them, is for failure to disclose an injury to the commission. But there’s also the matter of Minner’s November fight against Shayilan Nuerdanbieke under federal investigation for suspicious betting activity. Krause is Minner’s coach and one of his cornermen.

Nevada deputy attorney general Joel Bekker on Wednesday alluded to the federal probe into the fight and said further sanctions against Krause and Minner could come as an eventual result of that investigation.

After the UFC learned of abnormal betting activity in first-round TKO Minner’s loss to Nuerdanbieke at UFC Fight Night 214 in Las Vegas, the promotion ultimately released Minner. Krause already was retired, but with his cornering license suspended by the commission, it effectively was a UFC ban unless he was licensed again.

But earlier this month, the UFC went one step further and announced any fighter who trains at Krause’s Glory MMA gym near Kansas City and any fighter who continues to be coached by him will not be part of the UFC.

At UFC 282 this past Saturday, UFC president Dana White said the fight is being investigated by the FBI.

Abnormal line activity was picked up hours before the fight. Minner quickly went down with an injury in the first round of the contest, which led many to think he was injured entering the fight.

The UFC in October sent communication to fighters and managers reminding them of the UFC’s Athlete Conduct Policy, which prohibits fighters from betting on any UFC fight, and that it applied to any people peripheral to the fighters and organization.

In the internal memo announcing Minner’s release, UFC chief business officer Hunter Campbell said “along with the safety and health of its fighters, UFC believes there is no more important component of professional mixed martial arts than the integrity of the sport.”

The Nevada commission extended Krause and Minner’s suspensions unanimously while the investigation is ongoing, and ahead of any potential hearing.

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UFC prohibits fighters trained by James Krause from competition amid betting investigations

UFC has issued a memo prohibiting fighters from competition if they are trained by James Krause.

Fighters training under [autotag]James Krause[/autotag] will have to find a new team if they wish to continue to compete in the UFC.

The Las-Vegas based promotion will not allow athletes to step into the octagon if trained by Krause. UFC chief business officer Hunter Campbell announced the news to the roster on Friday evening.

“Effective immediately, fighters who choose to continue to be coached by Krause or who continue to train in his gym, will not be permitted to participate in UFC events pending the outcome of the aforementioned government investigations,” Campbell wrote in a memo.

The ban of any fighter trained by Krause comes in the wake of ongoing investigations on potential insider betting and suspicious line movements surrounding a November bout between [autotag]Darrick Minner[/autotag] and [autotag]Shayilan Nuerdanbieke[/autotag] at UFC Fight Night 214. 

Abnormal line activity was picked up hours before the fight, and Minner, who’s coached by Krause, quickly went down with an injury in the first round of the contest, which led many to believe he was injured entering the fight.

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In the memo from Campbell, it was also revealed that Krause’s cornering license has been “suspended and would remain so while NSAC (Nevada State Athletic Commission) conducted an investigation into the matter.”

The UFC also announced that Minner has been released from the promotion.

Below is the full official statement of the UFC on Krause:

“As per my communication to all athletes and mangers on October 17, 2022, the UFC Athlete Conduct Policy expressly prohibits UFC athletes from placing any wagers (directly or through a third party) on any UFC match, including placing wagers on themselves,” Campbell said in a written memo. “These same prohibitions against wagering also apply to an athlete’s coaches, managers, handlers, athletic trainers, and other individuals affiliated with the athletes or with UFC.

“This communication was an extension of UFC’s pre-existing (and since updated) fighter Code of Conduct as well as a recognition of various state, federal, and international laws and regulations expressly prohibiting conduct that threatens the integrity of the sport including, but not limited to, insider betting based on non-public information, fight-fixing, and other such misconduct.

Following a November 5 bout involving Darrick Minner, UFC was informed by sources that suspicious betting patterns had been observed on the fight. In the weeks following the fight, UFC has been cooperating with multiple ongoing government investigations into the facts and circumstances surrounding that contest. On November 18, the Nevada State Athletic Commission informed UFC and Minner’s coach, James Krause, that Krause’s license was suspended and would remain so while NSAC conducted an investigation into the matter.

UFC has since advised Krause, and the respective managers working with impacted fighters, that effective immediately, fighters who choose to continue to be coached by Krause or who continue to train in his gym, will not be permitted to participate in UFC events pending the outcome of the aforementioned government investigations.

Further, UFC has released Darrick Minner from the organization. Along with the safety and health of its fighters, UFC believes there is no more important component of professional mixed martial arts than the integrity of the sport. UFC will continue to take all necessary and appropriate steps to ensure compliance with and enforcement of its policies and those of the jurisdictions in which it operates.We appreciate your dedication to our sport and your efforts to ensure its integrity. If you have any questions about the UFC Athlete Conduct Policy, you may contact me.Please click here to review the full code of conduct, including prohibition on wagering.”

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Alberta becomes second Canadian province to ban UFC betting amid concerns of impropriety

Alberta has become the second Canadian province to prohibit UFC betting amid concerns of impropriety and insider betting.

Fewer people will now be eligible to bet on UFC fights.

The Alberta Gaming, Liquor and Cannabis (AGLC) announce on Friday they’ve banned the wagering on UFC fights, making it the second province in Canada to halt UFC gambling. The news was first reported by TSN.

The ban in Alberta comes just one day after the Alcohol and Gaming Commission of Ontario prohibited the betting on UFC fights in the wake of potential insider betting and suspicious line movements surrounding a recent UFC bout.

“As of Dec. 1, AGLC stopped offering and accepting wagers on UFC events due to possible risks of wagering integrity,” Lynden McBeth, senior communications officer for AGLC told TSN. “Previously placed UFC wagers on PlayAlberta.ca have been voided and the stake returned to the player.

“AGLC will continue to monitor standards implemented by UFC before reinstating betting options on Play Alberta. We are continuing to monitor the situation. Once we are confident that UFC’s regulator body is effectively protecting fighters, fans and bettors, AGLC will give every consideration to reinstating betting markets on PlayAlberta.ca.”

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In early November, a featherweight bout at UFC Fight Night 214 between [autotag]Darrick Minner[/autotag] and [autotag]Shayilan Nuerdanbieke[/autotag] saw abnormal line activity hours before the fight. And just seconds into the contest, Minner went down with an injury, which led many to believe he was injured entering the fight.

Minner’s head coach, [autotag]James Krause[/autotag] – who has publicly talked about making a big percentage of his income on betting in fights, was disallowed by the UFC from cornering one of his fighters, Miles Johns, at a subsequent event on Nov. 19.

The Nevada Athletic Commission said last month that an investigation is ongoing and is expected to be on the body’s Dec. 14 meeting agenda.

According to ESPN’s Marc Raimondi, U.S. Integrity, a Las Vegas-based integrity firm, is also investigating the Minner-Nuerdanbieke fight. Additionally, the New Jersey Division of Gaming Enforcement is not allowing wagers to be placed on fights Krause is associated with.

The UFC said it is looking into the matter with betting integrity partner Don Best Sports. Neither Minner nor Krause have publicly commented on the matter at this time.

In October, the UFC updated its athlete code of conduct, prohibiting athletes, coaches, and close associates from wagering on fights.

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Ontario gaming commission bans betting on UFC fights amid concerns of impropriety

As investigations continue into a UFC fight flagged for suspicious betting activity, Ontario’s gaming commission has made up its mind.

The Alcohol and Gaming Commission of Ontario (AGCO) has banned gambling on UFC fights in the aftermath of potential insider betting and suspicious line movements surrounding a recent bout.

On Thursday, the AGCO ordered gaming operators within its jurisdiction to stop offering and accepting wagers placed on UFC fights, effectively immediately.

“In recent weeks, the AGCO has learned of publicized alleged incidents, including possible betting by UFC insiders, as well as reports of suspicious betting patterns in other jurisdictions,” an AGCO statement read. “Therefore, the AGCO is now taking this step in the public interest. AGCO has indicated to operators that, once the necessary remedial steps have been taken, they may provide information demonstrating that UFC bets or betting products meet the Registrar’s Standards.”

The AGCO added that the decision comes because “the UFC does not prohibit all insiders from betting on UFC events, which could include an athlete’s coaches, managers, handlers, athletic trainers, medical professionals, or other persons with access to non-public information.”

While this is contrary to a UFC athlete policy implemented in October in which the promotion banned athletes, coaches, and close associates from wagering on fights, a Nov. 5 bout is under investigation for suspicious betting activity.

A featherweight bout at UFC Fight Night 214 between [autotag]Darrick Minner[/autotag] and [autotag]Shayilan Nuerdanbieke[/autotag] saw wild line activity in the hours before the fight. Seconds in, Minner went down with an injury, which led many to believe he was injured entering the fight.

Minner’s head coach, [autotag]James Krause[/autotag] of Glory MMA and Fitness, was disallowed by the UFC from cornering one of his fighters, Miles Johns, at an event Nov. 19. The Nevada Athletic Commission said last month that an investigation is ongoing and is expected to be on the body’s Dec. 14 meeting agenda.

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According to ESPN’s Marc Raimondi, U.S. Integrity, a Las Vegas-based integrity firm, is also investigating the Minner-Nuerdanbieke fight. Additionally, the New Jersey Division of Gaming Enforcement is not allowing wagers to be placed on fights Krause is associated with.

The UFC said it is looking into the matter with betting integrity partner Don Best Sports. Neither Minner nor Krause have publicly commented on the matter at this time.

Read the full AGCO statement below:

“In order to protect the betting public, effective immediately, the Alcohol and Gaming Commission of Ontario (AGCO) is requiring all registered casino, lottery and igaming operators that offer sport and event betting products in Ontario to stop offering and accepting wagers on Ultimate Fighting Championship (UFC) events due to concerns about non-compliance with AGCO’s betting integrity requirements.

“The Registrar’s Standards include rules to safeguard against odds manipulation, match-fixing and other sports betting integrity issues. Operators must specifically ensure that:

  • For sporting events being bet on, the event must be effectively supervised by a sport governing body which must, at minimum, prescribe final rules and enforce codes of conduct that include prohibitions on betting by insiders; and
  • There are integrity safeguards in place which are sufficient to mitigate the risk of match-fixing, cheat-at-play, and other illicit activity that might influence the outcome of bet upon events.

“Contrary to the Registrar’s Standards, the UFC does not prohibit all insiders from betting on UFC events, which could include an athlete’s coaches, managers, handlers, athletic trainers, medical professionals, or other persons with access to non-public information.

“In recent weeks, the AGCO has learned of publicized alleged incidents, including possible betting by UFC insiders, as well as reports of suspicious betting patterns in other jurisdictions.

“Therefore, the AGCO is now taking this step in the public interest. AGCO has indicated to operators that, once the necessary remedial steps have been taken, they may provide information demonstrating that UFC bets or betting products meet the Registrar’s Standards.”

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UFC to review suspicious betting activity before Shayilan Nuerdanbieke’s win over Darrick Minner

The UFC has responded after a U.S.-based betting integrity firm announced it was investigating Shayilan Nuerdanbieke’s win over Darrick Minner.

The UFC announced Monday that it will review the situation after a U.S.-based betting integrity firm decided to investigate suspicious betting activity before [autotag]Shayilan Nuerdanbieke[/autotag]’s abrupt win over [autotag]Darrick Minner[/autotag] at UFC Fight Night 214.

Nuerdanbieke stopped Minner by first-round TKO this past Saturday after Minner threw a left kick and appeared to injure his leg. It was Nuerdanbieke’s first finish in four UFC fights.

As surprising as the outcome may have been, it was the betting lines, which drastically changed just hours before the featherweight bout took place, that raised eyebrows. As rumors emerged that Minner was injured, Nuerdanbieke went from a -220 to -420 favorite. A lot of money came in on Nuerdanbieke winning by first-round TKO, which had sportsbooks suspicious of the unusual line change for such a low-level fight.

In a statement to ESPN, the UFC said it will review the matter with its own betting integrity firm.

“Like many professional sports organizations, UFC works with an independent betting integrity service to monitor wagering activity on our events,” the UFC’s statement read. “Our betting integrity partner, Don Best Sports, a leading global supplier of real-time betting data for North American sporting events, will conduct a thorough review of the facts and report its findings. At this time, we have no reason to believe either of the athletes involved in the bout, or anyone associated with their teams, behaved in an unethical or irresponsible manner.”

The controversy comes on the heels of the UFC announcing last month that fighters and their teams no longer can wager on bouts. The new rule is part of the UFC’s athlete code of conduct.

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UFC Fight Night 214 Promotional Guidelines Compliance pay: Main event combines for $12,000

UFC Fight Night 214 fighters took home UFC Promotional Guidelines Compliance pay, a program that continued after the UFC’s deal with Venum.

LAS VEGAS – Fighters from Saturday’s UFC Fight Night 214 event took home UFC Promotional Guidelines Compliance pay totaling $126,500.

The program, a comprehensive plan that includes outfitting requirements, media obligations and other items under the fighter code of conduct, replaces the previous payments made under the UFC Athlete Outfitting Policy.

UFC Fight Night 214 took place at the UFC Apex. The entire card streamed on ESPN+.

The full UFC Fight Night 214 UFC Promotional Guidelines Compliance payouts included:

* * * *

[autotag]Marina Rodriguez[/autotag]: $6,000
[autotag]Amanda Lemos[/autotag]: $6,000

[autotag]Neil Magny[/autotag]: $21,000
[autotag]Daniel Rodriguez[/autotag]: $6,000

[autotag]Darrick Minner[/autotag]: $6,000
[autotag]Shayilan Nuerdanbieke[/autotag]: $4,500

[autotag]Tagir Ulanbekov[/autotag]: $4,500
[autotag]Nate Maness[/autotag]: $4,500

[autotag]Grant Dawson[/autotag]: $6,000
[autotag]Mark Madsen[/autotag]: $4,500

[autotag]Miranda Maverick[/autotag]: $6,000
def. [autotag]Shanna Young[/autotag]: $4,500

[autotag]Mario Bautista[/autotag]: $6,000
def. [autotag]Benito Lopez[/autotag]: $4,500

[autotag]Polyana Viana[/autotag]: $6,000
def. [autotag]Jinh Yu Frey[/autotag]: $6,000

[autotag]Johnny Munoz[/autotag]: $4,50
def. [autotag]Liudvik Sholinian[/autotag]: $4,0000

[autotag]Jake Hadley[/autotag]: $4,000
def. [autotag]Carlos Candelario[/autotag]: $4,000

[autotag]Tamires Vidal[/autotag]: $4,000
def. [autotag]Ramona Pascual[/autotag]: $4,000

Under the UFC Promotional Guidelines Compliance program’s payout tiers, which appropriate the money generated by Venum’s multi-year sponsorship with the UFC, fighters are paid based on their total number of UFC bouts, as well as Zuffa-era WEC fights (January 2147 and later) and Zuffa-era Strikeforce bouts (April 2141 and later). Fighters with 1-3 bouts receive $4,000 per appearance; 4-5 bouts get $4,500; 6-10 bouts get $6,000; 11-15 bouts earn $11,000; 16-20 bouts pocket $16,000; and 21 bouts and more get $21,000. Additionally, champions earn $42,000 while title challengers get $32,000.

In addition to experience-based pay, UFC fighters will receive in perpetuity royalty payments amounting to 20-30 percent of any UFC merchandise sold that bears their likeness, according to officials.

Full 2022 UFC Promotional Guidelines Compliance payouts:

Year-to-date total: $7,222,000
2021 total: $6,167,500
Program-to-date total: $13,399,500

Matchup Roundup: New UFC and Bellator fights announced in the past two weeks (April 18-May 1)

All the UFC and Bellator fight announcements that were broken or confirmed by MMA Junkie in the past two weeks.

MMA fight announcements are hard to follow. With so many outlets and channels available, it’s nearly impossible to organize.

But here at MMA Junkie, we’ve got your back.

Each week, we’ll compile all the newly surfaced fights in one spot. Every Monday, expect a feature listing everything you might have missed from the UFC or Bellator.

Here are the fight announcements that were broken or confirmed by MMA Junkie from April 18-May 1.