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Fantasy Sports not getting away with online gambling prohibition

October 27, 2015

Fantasy sports operators FanDuel and DraftKings are dealing with prohibition again. Nevada’s gambling regulator, the Gaming Control Board, has finally made a decision on the subject: it wants them to cease operations immediately. The Gaming Control Board has followed US rule that does not allow unlicensed daily fantasy sports operations. A.G. Burnett, chairperson of the Nevada Gaming Control Board, recently announced this decision: “While this industry notice is intended to provide clear guidance as to Nevada law, Nevada licensees wishing to conduct business with DFS companies should also conduct thorough and objective reviews of DFS activities under the laws of other states and any applicable federal laws”.

DraftKings has immediately made its own statement: "We understand that the gaming industry is important to Nevada and, for that reason, they are taking this exclusionary approach against the increasingly popular fantasy sports industry. We strongly disagree with this decision and will work diligently to ensure Nevadans have the right to participate in what we strongly believe is legal entertainment that millions of Americans enjoy. Unfortunately, we now have to temporarily disable our product for our thousands of customers in Nevada in order to be compliant in all jurisdictions.”

FanDuel has also pronounced its disappointment: "On behalf of our users in Nevada, FanDuel is terribly disappointed that the Nevada Gaming Control Board has decided that only incumbent Nevada casinos may offer fantasy sports. This decision stymies innovation and ignores the fact that fantasy sports is a skill-based entertainment product loved and played by millions of sports fans. This decision deprives these fans of a product that has been embraced broadly by the sports community including professional sports teams, leagues and media partners. We are examining all options and will exhaust all efforts to bring the fun, challenge and excitement of fantasy sports back to our Nevada fans. In the interim, because we are committed to ensuring we are compliant in all jurisdictions, regrettably, we are forced to cease operations in Nevada.”

 


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