Daily Fantasy Sports in the News — Weekly Round-up for May 04, 2018

Proposal To Remove Sunset Clause In Daily Fantasy Sports Bill (Update)

Budget amendment passes the Massachusetts House and awaits Senate action

An amendment that would remove the July 2018 “sunset” provision in a 2016 Massachusetts daily fantasy sports legalisation bill has passed in a committee and House budget vote Friday and now awaits action in the Senate.

Proposed by Representative Mark Cusack, the so far successful amendment has been applauded by DFS market leader DraftKings, which is based in the state.

If passed by the Senate, it effectively makes the legalisation of DFS permanent in Massachusetts, provided operators comply with state regulations.

U.S. University Study Concludes D.F.S. is A Skill Activity

Extensive computer modelling proves that skill is a vital element for success

The Journal of Sports Science will soon carry a scientific study carried out by academics at the Kansas State University which demonstrates that successful daily fantasy sports activity requires a significant skill element that places it outside the common definition of gambling.

Lead by Professor Todd Easton and co-author Sarah Newell, the study used computer modelling to show that skill outweighed chance in the study, which compared the success of skilled players vs unskilled participants.

In their conclusions, the researchers claim unequivocally that the results show that daily fantasy sports are not games of chance, and that “unskilled participants never win at DFS. With extremely high probability, all DFS winners have skill.”

The team found that the disparity in the results of unskilled vs. skilled was such that they wrote: “The most astonishing result is that not a single (unskilled) team won a pay-out. It is difficult to truly comprehend the extreme rarity of losing all 35 contests. This is less likely than a single ticket winning the Powerball. It is less likely than flipping a coin and getting heads 28 times in a row. It is 300 times less likely than being struck by lightning this year.”

In a game where chance predominates, there would have been a far less significant difference in skilled vs.unskilled results, the researchers argue.

Daily Fantasy Sports Now Legal In Pennsylvania

Six operators pass regulatory requirements

Six online fantasy sports game operators are now offering wagers that are regulated and taxed by Pennsylvania, the state Gaming Control Board said in a press statement Tuesday after regulation began over the weekend.

The six companies successful in passing regulatory requirements are: DRAFT, Fantasy Football Players Championship, Fanduel, DraftKings, Boom Fantasy and Fastpick.

The gaming board was charged with regulating the growing business in last October’s law that also expanded casino-style gambling in Pennsylvania (see previous InfoPowa reports).

Pennsylvanians who are at least 18 years old can now legally play on the approved sites, with the owners paying a 15 percent tax on GGR generated within the state.