The state’s attorney general has ordered the sites to stop accepting bets. FanDuel hasn’t been quite as militant as DraftKings in its public statements, and at least temporarily, the site as of Friday stopped processing withdrawals and deposits for its New York-based customers, unleashing a volley of consumer-based complaints.
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Daily fantasy gaming has finally gotten too big for its own good, and with that New York’s Attorney General, Eric Schneiderman, rightly labeled it what it is – gambling. “This bill further protects the rights of businesses and individuals who wish to engage in this type of commerce in the state of NY”.
Schneiderman’s office is expected to file court papers later Monday.
“A shutdown would have a chilling effect on Draft Kings’ ability to attract new investors and partners and would impede its ability to continue its relationships with its existing investors and partners”, the company state. The decision creates the possibility that both companies, which let players wage real money on imaginary sporting outcomes, will be forced to close up shop in the state until a court decides whether they constitute illegal online gambling.
But with the gambling debate heating up at home, a few in the fantasy sports industry say the global moves put the two companies in an increasingly untenable position.
Is daily fantasy sports a skill-based activity? “He has unleashed an irresponsible, irrational, and illegal campaign to destroy a legitimate industry, intending to deprive hundreds of thousands of New Yorkers of the use and enjoyment of these services”.
“It’s pretty naive to go get gambling licenses in the United Kingdom and expect people to believe you’re not gambling”, said Shergul Arshad, founder of Mondogoal, a U.K.-based daily fantasy sports startup focused on professional soccer that would likely compete with DraftKings and FanDuel.
In his quest to expose daily fantasy sites, though, Oliver also mocked the Tampa Bay Buccaneers and Jacksonville Jaguars for producing unwatchable football.
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“DraftKings and FanDuel have hired a fleet of lobbyists to convince the Legislature to legalize their gambling operations”, said Schneiderman spokesman Damien LaVera. Signs reading “Bench Schneiderman this week” and “Let us play!” were used in an event that was reportedly led by FanDuel.
