A daily fantasy sports operator is leaving one of America’s largest gaming markets.
PrizePicks has announced that it will cease operations of its pick’em-style DFS contests in New York amid regulatory changes that prohibit games that mimic proposition betting. As a result, PrizePicks will only offer free-to-play games to its customers across the Empire State.
“We are writing to you with an important update,” said PrizePicks in an email to customers. “Due to recent updates in the licensing rules enacted by the New York State Gaming Commission, we must pause our paid contests in the state. We Look forward to resuming paid contests in New York as soon as possible, including new fantasy games with larger prizes.”
Despite the regulatory changes in New York, PrizePicks is looking to gain a wagering license to bring its prop-style contests back to the state. Last October, the company had more than 4,000 customers voice their support of prop-style DFS contests to the state’s Gaming Commission.
In the meantime, those customers are likely to indulge in PrizePicks’ new peer-to-peer product.
Last month, the company launched PrizePicks Arena, which allows users to compete for a guaranteed prize pool in groups based on buy-in amount, experience on PrizePicks, and other factors. PrizePicks Arena debuted in Alabama, Tennessee, West Virginia, and Wyoming.
PrizePicks will go live with free-to-play games in New York on Feb. 15, the same day it will cease pick’em contests across the state. PrizePicks Arena will allow PrizePicks to compete with major fantasy and sports betting operators with similar products, including DraftKings and bet365.