Daily fantasy sports (DFS) have been around for a few years now, but it’s only been recent that they’ve become popular in New York. So, what are the key differences between DFS and traditional sports betting? In this blog post, we will discuss the differences between the two types of betting, as well as how each one is regulated in New York. You can read here some of the recent legal challenges that daily fantasy sports- FanDuel has faced.
What are Daily Fantasy Sports?
DFS is a type of online fantasy sports betting where players draft teams of real-world athletes and compete against other player-created teams. The goal is to score the most points based on the statistical performance of the athletes in real-world games.
Players can enter DFS contests for free or for cash prizes, and many sites offer multiple content types, including head-to-head matchups, leagues, and tournaments. Drafting a team typically takes less than five minutes, and most contests last only one day.
In 2016, the New York State Legislature passed a law legalizing and regulating DFS. The law requires DFS operators to be licensed by the state, to use geolocation technology to ensure that players are located in New York at the time of bet placement, and to segregate player funds from operational funds.
What is Sports Betting?
Sports betting is the act of wagering on the outcome of a sporting event. Sports betting can be done online or in-person at sportsbooks, and bets can be placed on games taking place in the future or live (in-game).
In 2018, the U.S. Supreme Court struck down a federal law that had previously prohibited sports betting in most states. Since then, many states have legalized and begun to regulate sports betting. In New York, sports betting is currently legal at four upstate casinos and through mobile apps and online platforms that are operated by the casinos.
How Are They Different?
The main difference between DFS and sports betting is that, in DFS, players are not wagering on the outcome of a game. Rather, they are drafting teams of athletes and competing against other player-created teams based on the statistical performance of the athletes in real-world games.
Another key difference is that, while many states have now legalized and begun to regulate sports betting, DFS remains illegal in some states. This is because there is still debate over whether DFS should be classified as a game of skill or a game of chance.
Finally, DFS is typically played for cash prizes, while sports betting can also be done for fun (without any money changing hands).
What Are the Recent Legal Challenges Faced by DFS?
The legality of DFS has been challenged in several states, with some court’s ruling that it is a game of chance and therefore illegal under state gambling laws. In 2016, the New York State Legislature passed a law legalizing and regulating DFS. However, this law was challenged in court, and in 2018, the New York Court of Appeals ruled that DFS is indeed a game of chance and therefore illegal.
The ruling was overturned on appeal, and the case is currently before the New York State Supreme Court. It remains to be seen how this case will ultimately be decided, but it could have a significant impact on the legality of DFS in New York and other states.
What’s Next for DFS and Sports Betting in New York?
It remains to be seen how the legal challenges faced by DFS will play out in New York and other states. However, one thing is clear: the landscape of sports betting in the United States is changing rapidly, and New York is at the forefront of this change. With four upstate casinos now offering sports betting and mobile apps and online platforms available for bettors, it’s safe to say that sports betting is here to stay in New York. As for DFS, time will tell whether it will become legal in more states or whether it will continue to face challenges from opponents who argue that it is a game of chance.
Conclusion
In conclusion, there are a few key differences between daily fantasy sports betting and sports betting. DFS is typically played for cash prizes, while sports betting can also be done for fun (without any money changing hands). Additionally, the legality of DFS has been challenged in several states, with some court’s ruling that it is a game of chance and therefore illegal under state gambling laws. Finally, while many states have now legalized and begun to regulate sports betting, DFS remains illegal in some states. Only time will tell how these two types of gaming will evolve in the future.