But not anymore. FanDuel is pulling away as the clear-cut No. 1 digital sportsbook in New Jersey. DraftKings was first to plant the flag, but for a variety of reasons, it’s getting further from first place every month. Sep 14, 2015 DraftKings, FanDuel Face Scrutiny Under Federal Gambling Law Legal Issues Las Vegas casinos and sports books are feeling like they're on the wrong end of a double-standard.

The US continues to be a legal minefield for the likes of FanDuel and DraftKings, as it has now been reported that the daily fantasy sports (DFS) operators have pulled out of Mississippi.

Who Owns Fanduel And Draftkings

This followed an issuing of a legal opinion by the state’s attorney general (AG) Jim Hood (you know the drill by now), ruling that DFS is illegal under current state law for both licensed and unlicensed operators.
FanDuel and DraftKings adhering to this request is not actually in line with all the decisions they have made with regards to pulling out of states where they are not wanted.
The voices of Nevada and Hawaii were heard loud and clear, although the case of Nevada was due to DFS being brought in line with sports wagering licensing procedures as opposed to an AG ruling.
The same cannot be said for New York, Texas and Illinois however, with the New York case in particular attracting plenty of media coverage, and the companies were granted a stay of injunction by an appellate court in December, allowing them to remain in the state for the time being. Separate lawsuits were filed by FanDuel and DraftKings arguing against Illinois AG Lisa Madigan’s decision.
Why the differing approaches?
This could just be coincidence, and I for one do not claim to be a legal expert that can tap in to the way the operators are thinking, but population sizes could be an obvious answer as to whether or not individual states remain lucrative markets for FanDuel and DraftKings.
According to the United States Census Bureau, Nevada had a population of 2.9 million as of July last year, while Hawaii had a population of 1.4 million. Mississippi hosted 2.99 million residents.

Fanduel And Draftkings Class Action

If you were to compare those figures to the three states where the operators have decided to rebel, you would see a striking difference. Texas boasted a population of 27.5 million, New York state’s population was 19.8 million and Illinois’ was 12.9 million. That is a total of 60.2 million people, almost one fifth of the entire US population of 321.4 million. Put yourself in their shoes. Would you want to miss out on a pool of that size without a fight? You would at least imagine that is worth more of a fight than the combined population of 7.29 million people when adding together the totals from Nevada, Hawaii and Mississippi.
In explaining its decision to leave Mississippi, FanDuel is quoted by Legal Sports Report as stating: “We strongly disagree with the Mississippi attorney general’s recent opinion letter, which reflects a fundamental misunderstanding of fantasy sports. We firmly believe our contests have always been operated lawfully in Mississippi. But the opinion has now created uncertainty about the law in Mississippi, and as such we are voluntarily suspending play in the state for the time being.

Difference Between Fanduel And Draftkings

“We will focus our efforts on the state legislature in Mississippi because, as in states across the country, that is where the long-term future of fantasy sports will be decided.
“More than 20 states, including Mississippi, are advancing legislation to modernise laws to catch up with the evolution of fantasy sports and install needed consumer protection regulations.”
Griffin Finan, counsel for DraftKings, said: “As the legislative process plays out, we will voluntarily pause operations in the state and look forward to resuming offering daily fantasy sports to our fans in Mississippi.”
Usage numbers
The size of a state’s population is one issue, but the number of already-paying players being barred from the games tells us more. In a report published in November, research firm Eilers & Krejcik Gaming estimated that New York accounts for a higher percentage of DFS players in the US and Canada than any other US state with 12.8% of players. Illinois was third on the list with 6.1% and Texas ranked sixth with 4.9%. When adding this together, it would mean that 23.8% of players would no longer be playing DFS if the operators pulled out of those states.
In the case of New York, both FanDuel and DraftKings have said that over 500,000 of their users come from that state.
Thankfully for FanDuel and DraftKings, second-placed California seems more open to regulation on this front, with AB 1437 having passed a vote of the Full Assembly in January.
It should be noted that it is difficult to decipher the differences between usage percentages for the operators individually, but neither seems set to loosen its grasp on the three states it refuses to vacate.

Daily Fantasy Sports (DFS) are a lot of fun to play and a great way for fans to get more involved in the sports they love to watch. DFS can also turn causal fans into fantasy strategists and motivated competitors trying to win their next tournament or head to head matchup. From football to basketball, and just about every sport in between, there’s something for everyone.

With numerous daily fantasy sports outlets available, there are really only two that stand head and shoulders above the rest: DraftKings and FanDuel. These two DFS giants have become entrenched not only in fantasy sports, but also with real life professional sports as they are partners with various professional leagues.

Even if you don’t play daily fantasy sports, you can’t watch a sporting event without seeing at least one advertisement from DK or FD. A few years ago, these two companies spent roughly $150 million dollars on internet and television advertising in the 3^rd quarter alone. This was to cover the start of football season. In fact, during that same period, DraftKings averaged a TV commercial every 90 seconds.

Despite the overwhelming inundation of advertisements from these two companies, they must be doing something right because DK and FanDuel combine for at least 90% of the DFS market. With that said, the competition between the two companies makes it difficult for many fantasy players to choose one over the other.

If you find yourself struggling to pull the trigger on joining DraftKings or FanDuel, then take a look at the following comparison:

Background on the Two DFS Powerhouses

FanDuel is considered the founding father of daily fantasy sports. In 2009, a group of friends set out to change the landscape of fantasy sports as we know it. They came up with a groundbreaking idea to create daily fantasy sports, instead of playing in season long fantasy games. Their idea transformed the fantasy sports industry as a whole. Headquartered in New York City, the company has offices in Los Angeles, Orlando, Glasgow and Edinburgh. FanDuel is valued at over $1 billion dollars as they have partnered with the National Basketball Association and nearly half of the NFL teams.

About DraftKings

DraftKings was created in 2012 and is the exclusive daily fantasy sports partner with the National Hockey League, NASCAR, Canadian Football League, Major League Baseball and Major League Soccer. The company’s headquarters is in Boston, MA, and they also have offices in London and New York City. Although they still trail FanDuel for DFS market shares, DraftKings has closed the gap within the last few years and is a serious threat to take FanDuel’s top spot.

Who Can Play

To play on DraftKings or FanDuel you have to be at least 18 years of age and a resident of the United States or Canada. In Massachusetts, you have to be at least 21 years of age. Unfortunately, if you are a resident in one of the following states then you are prohibited from playing due to the banning of DFS in these states:

Alabama
Arizona
Hawaii
Idaho
Iowa
Louisiana
Montana
Nevada
Texas
Washington

In a handful of these restricted states, you can open and maintain an account, but you are unable to enter leagues with entry fees and ineligible to win p

Why Is Fanduel And Draftkings Not Gambling