The Michigan Gaming Control Board has confirmed that the new rules banning pick’em style daily fantasy sports games have come into effect.
Under the new regulations, DFS operators are prohibited from offering “any contests that have the effect of mimicking betting on sports, or that involve ‘prop bets’ or the effect of mimicking proposition selection”.
“Fantasy contests, like any other form of competitive gaming, thrive on rules and regulations,” MGCB Executive Director Henry Williams said. “The Administrative Rules, which were reviewed by the Michigan Legislature, provide a level playing field for all fantasy contest operators and participants, and will help ensure that fairness, transparency, and integrity are upheld.”
Operators that offered the newly prohibited DFS games include Boom, PrizePicks and RealTime Fantasy Sports. Proponents of the ban, and the MGCB, claim that these styles of bets are too close to prop-style bets and fall foul of state gambling laws.
The regulator has stated it will now conduct a review of all DFS operators’ offerings to ensure regulatory compliance and that all prop-style DFS games have been eliminated from their offerings.
This development emerged just weeks after updates in New York and Florida also sought to remove pick’em style DFS operators from the marketplace.
In New York, the State Gaming Commission voted to ban prop-style DFS games, whilst in Florida, the Gaming Commission has sent a cease-and-desist letter to most DFS operators, warning that any style of fantasy sports contravenes Florida gambling laws.
However, at G2E this week, DraftKings CEO Jason Robins confirmed that the operator did not receive a cease-and-desist letter from the Florida Gaming Commission, despiteoffering DFS.
SBC Americas recently spoke to Underdog Fantasy CEO Jeremy Levine about the developments in the DFS space. It is essential to point out that Underdog Fantasy does not operate in Michigan.