States With Legal Daily Fantasy Sports
Daily Fantasy Sports has been around for a while and also falls under the same category as legal sports betting. Even if you don’t play them, you’ve seen their ads on billboards, television, and radio. You’ve also seen them advertised in most NFL stadiums, as almost every single team in the League has a deal with either FanDuel or DraftKings. The same goes for other professional sports as well, like the NBA. So you’re probably wondering if they’re so heavily advertised everywhere, aren’t all 50 states in the US states with legal Daily Fantasy Sports?
The sad reality is that they technically aren’t. While DFS sites operate in the majority of the country, they have only been legalized and regulated in a dozen of them. Now, I’m not trying to say that using a paid-entry DFS site is unlawful. This page is just about bringing to light which states have permanently legalized Daily Fantasy Sports, and which ones are still working on passing similar legislation. We also go over the states without legal Daily Fantasy Sports that have kicked DFS operations out.
The good news is, the number of states with legal daily fantasy sports has been growing over the past couple of years. The bad news is that it’s been slow going in most parts of the country. The topic of legal Daily Fantasy Sports is a mercurial one, as state legislators can’t decide if it is gambling or not. Because of this, DFS sites have been stuck in a very gray area of the law. On this page, we’ll go over everything that has to do with states with legal Daily Fantasy Sports. From the current situation that has led to the need for a page like this, to which states have downright asked DFS to get out, everything you need to know about states with legal Daily Fantasy Sports can be found right here.
Daily Fantasy Sports are completely banned in these US States:
Washington – Texas (FanDuel) – Nevada – Montana – Louisiana – Iowa – Idaho – Hawaii – Delaware – Arizona – Alabama
Players from the other 39 US states are welcome to sign up at either of the two big Legal Daily Fantasy Sites!!!
Current Situation With Legal Daily Fantasy Sports
The concept of fantasy sports is nothing new – you choose the best players to put on your team, and their real life stats translate into points for you. The person with the most points at the end of the game wins. Now, I get it, it’s not that simple and there is a lot more skill that goes into it. But those are the basics. Daily Fantasy Sports just kicks that up a notch and gives players the ability to put money on their teams. It’s the fact that they can put money on it that has certain lawmakers calling into question whether or not DFS is technically a game of skill, or a form of pseudo sports betting that violates current state law.
DFS operators claim that their paid-entry events do not constitute gambling because the results are not wholly based on chance. Rather, they are based almost entirely on skill. In the past few years, however, they’ve run into a bit of a problem. Attorney Generals in quite a few states have decided that they believe that DFS is an unlawful form of sports betting that violates state law. Some states even went so far as to start kicking out DFS sites. Because of this, it can be hard to determine which are states with legal Daily Fantasy Sports and which are at risk of losing their ability to operate in a state at any moment.
You see, without legislation in place, technically DFS is not legal or illegal. It’s stuck in a gray area. Attorneys General can issue their opinions and send cease and desist letters all they want – if there is no legislation on the books, there’s really no legal leg for them to stand on, they’re just interpreting the law in a singular way. DFS sites see themselves as games of chance and therefore don’t believe they are violating current gambling laws. So in most states, it’s really coming down to a matter of opinion. Now, the states can choose to bring DFS site to court if they don’t comply with the desist letters, but that hasn’t happened yet.
This is why the CEOs of DraftKings and FanDuel have been traveling across the country for the past couple of years, speaking with state representatives and making their case for legalizing DFS. This way, the states get a slice of the cake and can collect taxes and licensing fees from the companies, while the DFS sites can have a permanent space in states with legal Daily Fantasy Sports.
To date, they’ve been successful in getting legislation passed in 12 states, with a few more considering legislation that would make them states with legal Daily Fantasy Sports. The states that have already passed the legislation have created regulatory framework, licenses, and fee structures for DFS sites to adhere to. All of the current states with legal and regulated Daily Fantasy Sports are listed below.
Arkansas – Colorado – Indiana – Kansas – Massachusetts – Maryland – Mississippi – Missouri – New York – Tennessee – Virginia – Vermont –
Which States Do Not Have Daily Fantasy Sports
Currently, there are several states that don’t have daily fantasy sports and have asked DFS sites to stop their operations. Rather than get into with the AG, these sites have pulled their services, and are attempting to get legislation passed that would allow them to become states with legal Daily Fantasy Sports.
Washington – Texas (FanDuel) – Nevada – Montana – Louisiana – Iowa – Idaho – Hawaii – Delaware – Arizona – Alabama –
States That May Have Daily Fantasy Sports In 2017 Or Soon After
Just recently, two states passed legislation that is being sent to the Governor’s Desk for signature. With a simple signature, Delaware and New Jersey will be the next two states with legal Daily Fantasy Sports. Maine’s DFS law was being voted on by the Senate with high expectations to pass. The tricky part for that comes when the bill goes to the Governor’s desk. He’s vetoed expanded gambling in the past, and while he has not given an opinion on DFS in the state, it is unknown what he will do when the bill goes to him for signature. Pennsylvania has passed an overarching expanded gambling bill in the last days of their legislative session that includes stipulations that would legalize Daily Fantasy Sports. The gambling package is a part of the funding package for the state budget, however, so it has yet to be signed into law. It is expected to pass before the end of the year, however.
Recent Changes With Daily Fantasy Sports
In 2016, FanDuel and DraftKings announced their intentions to merge, creating one Daily Fantasy company. Since then, they have been getting their ducks in a row, which included submitting the merger to the FTC for closer inspection. Unfortunately, the FTC decided that if these two companies did come together, they would be in violation of the anti-trust laws in the United States. They, alongside the Attorneys General from California and Washington, D.C., filed to block the merger.
The FTC’s decision was announced in mid-June. On July 13th, FanDuel and DraftKings announced that they would not be pursuing the merger any further. All combined business ventures were called off, even though both companies had filed legal briefs the day before. In a statement on the subject from FanDuel CEO Nigel Eccles, “There is still enormous, untapped market opportunity for FanDuel, and we will continue to execute our strategy to grow our business and further expand the fantasy sports industry.” DraftKings and FanDuel, for the time being, will remain separate entities.
Which States Are Accepted At Draftkings
The good news about Draftkings is that they accept players from 40 out of 50 states and that number is likely to increase in the very near future. Below is a list of states that CAN NOT PLAY AT DRAFTKINGS at this time. As long as you live in one of the other 40 states then it is perfectly legal to sign up and play some daily fantasy sports.
States That Are Blocked From Draftkings – Alabama – Arizona – Delaware – Hawaii – Idaho – Iowa – Louisiana – Montana – Nevada – Washington
Which States Are Accepted At Fanduel
Fanduel is basicly in the exact same shape as Draftkings, with the exception that they have blocked Texas residents as well as the ones that Draftkings has blocked. As long as you do not live in one of the states listed below then players from your state are allowed to sign up and play daily fantasy sports.
States That Are Blocked From Fanduel – Alabama – Arizona – Delaware – Hawaii – Idaho – Iowa – Louisiana – Montana – Nevada – Texas – Washington