Dama N.V. Bankruptcy Rumours

Today, we investigate a pressing question circulating in the iGaming industry: Is Dama N.V. bankrupt? (Photo by Sora Shimazaki on Pexels)

Amidst the buzz of iGaming news, a question remains unasked, a rumour unexplored: Is the online gambling operator Dama N.V. facing bankruptcy?

When I search Bing, Yahoo, or Google, the only news I can find about the possible Dama N.V. bankruptcy is a lone Reddit post and a news story created by the reputable CoinGambling crypto site.

I investigated further, and it seems there is substance to this story. A law firm is possibly using Dama’s nominal share value to strongarm the operator into a settlement through loss of reputation.

Curacao Chamber of Commerce States Dama N.V. ‘In Bankruptcy’

The best place to look for snippets concerning an operator’s status is the country where it registered its business. Lo and behold, after a company search for search for Dama N.V. on the Curacao Chamber of Commerce, under company number 152125, it says ‘In Bankruptcy as of June 10, 2024’.

Why Does the Curacao Chamber of Commerce Show Bankruptcy?

Before I get to my explanation, I want to make it clear that I was only made aware of this news as I searched for specific information regarding Dama N.V.

As for the specific reasons why the Curacao Chamber of Commerce has declared Dama bankrupt, I can only speculate by using the Reddit and CoinGambling news reports as my sources, and also using my knowledge of how online casino operators set up their business name in Curacao using nominal shares.

The CoinGambling News Report

CoinGambling posted on 19 June 2024, declaring Dama N.V. bankrupt by the courts in Curacao. However, the website does not state its source regarding the court ruling, but we know there is substance to their claim as we confirmed this the Curacao Chamber of Commerce, the official business registry website for the island country.

The claim is that two online gamblers who used a Dama N.V. gambling site have filed lawsuits to the tune of over 800,000 Euros. The website also states that SOFTSWISS has said the legal battle is not over, and the high court will overturn the decision.

On top of this, the CoinGambling’s news report further claims that SOFTSWISS commented on the topic quoted to have said Dama N.V. is worth far more than the claims brought against them by individuals allegedly from Austria.

The Reddit Report

The Reddit report posted by a user named ‘jekaterinaslotsjudge‘, who is part of the Slots Judge affiliate website, echoed similar information but said the players making the claims are from Austria and UAE. On top of this, the Reddit user claims the lawsuit involves BitStarz, but again, there were no reliable sources quoted to confirm a claim against BitStarz.

I searched in vain to confirm the Reddit user’s and CoinGambling’s reports for more facts, but nothing appeared on the Curacao newswires.  Also, nothing in Google, Bing, or Yahoo News can confirm that any of the details in the two news reports are factually correct.

Just to recap, up until now, the only solid fact I have been able to confirm is the Curacao Chamber of Commerce has declared Dama N.V. as bankrupt via a company search.

Why Would the Curacao Courts Rule Bankruptcy?

This might make you chuckle, although I understand it is no joke for Dama N.V. an operator we have long supported here on Casinoplusbonus! It comes down to a problem with the current casino company operator setups in Curacao and the nominal share value.

If you take a closer look at the Dama N.V. company info screenshot above with bankruptcy stamp on it taken from the Curacao Chamber of Commerce website, you can see there are 100 nominal shares with a nominal value of Euro 1.

On paper the company is only worth 100 Euros, which is by design to make it easier for operators to set up a company in Curacao. However, this has created a weak spot for Dama N.V. because any legal claim over 100 Euros puts the company into bankruptcy if the Curacao courts believe the legal claim is valid.

Therefore, if the two news sources I’ve used above are true, an 800k Euro claim puts pressure on Dama and hence the bankruptcy status.

If this is the case, in a way, you have to take your hat off to the lawyers whose game plan is probably to force Dama N.V. into bankruptcy status, with the aim of harming the company’s reputation.

Lawyers call this a strong arm move against Dama N.V. pressuring the company to offer the lawyers’ clients a settlement figure.

Is There Any Cause For Concern?

No, I don’t think there is any cause for concern. If the claims are real, it is likely down to lawyers doing what they do best: force companies into a settlement.

I can confirm that there is definitely something happening with the company because there is no way Dama N.V. would willingly claim bankruptcy. Therefore, I do believe it would have taken a court order to have Dama N.V. declared bankrupt, and this information was then published on the Curacao Chamber of Commerce website.

Had the information not been available to me on the official government website for Curacao companies, ‘The Curacao Chamber of Commerce‘, then I would have said this story has no substance. I say this because normally when I see news reports with catchy headlines and no sources to back them up, I take these stories with a pinch of salt.

Unfortunately, there is no shortage of online gambling news sites creating fake news or embellishing headlines without the facts. Also, quite a few claim they received comments from an insider or official company or organisation representative, but many add this to legitimise their news story.

Something I suspect happened in a recent news report covered by gambling news outlets who reported on the possibility of an Ontario-style gambling authority for Alberta, Canada.

For Now, There Doesn’t Seem To Be Cause For Concern

Dama N.V. is a large company that uses a white-label model as a subsidiary of SOFTSWISS, which, on its own, is a multi-million dollar company. Even if the lawsuits are to the tune of over 800,000, this would not make a dent in the company’s coffers.

As for Dama N.V., under its operator name, there are close to 100 online casinos and sports books that use the operator’s Curacao licensing. All these platforms use the SOFTSWISS aggregator platform and Dama N.V. is the front for gaining licensing in Curacao, which is all part of SOFTSWISS’s white label service.

One of those brand names is BitStarz Casino. I believe the claim would funnel down to BitStarz and not spread to other companies using the SOFTSWISS aggregator platform and the Dama N.V. operator to legally operate its services via licensing under the Government of Curacao.

To add more fuel to the fire, I personally supply mBitcasino, a Dama N.V. organisation, with promo and blog content. This is something I have been doing for over 4 years. Within the company using the Dama N.V. operator and SOFTSWISS platform, I have not heard anything about the current bankruptcy situation. In fact, quite the contrary as mBitcasino is doing amazingly well, and I only just saw the Reddit and CoinGambling today.

To Sum Up – This Will All Go Away Soon!

Whatever is happening will likely affect the company using Dama N.V. If it is BitStarz, this casino and sportsbook has been online long enough to have amassed a large amount of cash. Should the company see no other way out but to offer a settlement, then so be it, and if that does happen, it will likely trigger some kind of restructuring to ensure a similar situation does not arise in the future.

If we hear any further developments on this story, we will be sure to update you. In the meantime, if you would like to know more about bankruptsy and how licensing authorities protect you, visit out guide covering online casino bankruptsy.