Betting on the News with Hubdub

People convinced they know whether a rogue trader will be convicted or if pop star Britney Spears will remarry can now put "Hubdub dollars" where their mouths are, in a new online betting game. Jerome Kerviel's fate after being branded a "rogue trader" that cost one of France's most respected banks billions of dollars and the saga of Spears' personal life are among the hot news stories turned fodder for wagers at Hubdub.com.

Edinburgh-based Hubdub.com publically launched on Monday at a technology start-up conference in California, creating an online parlor for playful betting on the news.

"Betting odds always seem to cut to the core of a story," Hubdub co-founder Nigel Eccles said. "Hubdub makes a person more of a participant than a consumer. It accents what people are discussing and gets them more involved in the news."

Membership at Hubdub is free, with users receiving upon sign-up 1,000 "Hubdub dollars" for betting on how major stories in the news will play out. Members post questions based on topics in the news, adding links to recent stories. Similar to the website Digg, member votes for news stories at Hubdub dictate story rankings, with popular tales getting top viewing positions.

Unlike other user-contributed news websites, Hubdub lets members put play money and real reputations at risk by betting on the answers to questions. Hubdub has a "leader board" to give winners bragging rights and inspire losers to win back credibility.

"We want to appeal to people who don't want to risk money on predictions but want to back their opinions," Eccles said. "One of the things we discovered is that people value reputations more than they do cash. It is an even bigger currency."

To help people build up betting reserves, Hubdub credits members 20 play dollars every day they log into the website. Eccles said he got inspiration for Hubdub from working at online sports wagering websites Flutter and BETDAQ and for the editorial group that owns The Scotsman newspaper.

News categories at Hubdub include technology, entertainment, politics, science, business, and sports. Bets being taken include whether Hugo Chavez would still be president of Venezuela by year's end; what a falling satellite will hit on Earth, and when Osama bin Laden will be found. Hubdub, which began private testing two weeks before its public launch, already boasts more than a thousand members.

Hubdub is aiming at the huge US market and is being careful to obey the nation's laws regarding gambling, according to Eccles. The website is a frugal operation backed by investors and is relying for now on online advertising for revenue.

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