DFS Regulations in Texas Forces FanDuel to Leave the State

DFS regulations in Texas became final, as Texas Attorney General (AG) asked FanDuel to stop its’ operations in the state from May. Ken Paxton, the Attorney General had concerns earlier over the legality of DFS operators under the current laws in Texas.

According to the article published on Gambling Herald about daily fantasy sports in Texas they have already been labelled illegal in the state. In January the AG of Texas claimed that FanDuel is running an illegal gambling business. The Attorney General included the activity of the two biggest DFS operators in his statement. As he established FanDuel’s and DraftKing’s activity is illegitimate under the state laws.

Lawyers from both companies, FanDuel and DraftKings, disagreed with the attorney general’s statement stating that DFS is actually a game of skill. However, their defiance seems in vain since DFS regulations in Texas may not be changed in the direction of legalization in the near future.

FanDuel will stop accepting paid contest entries from May 2.  The daily fantasy sport company will continue to its’ operations further regarding free games in Texas. It means a huge loss for FanDue since Texas has been a valuable market for the company.

After Arizona, Hawaii, Iowa, Louisiana, Mississippi, Montana, Washington and Nevada, Texas will be the ninth state in which FanDuel doesn’t accept paid bets due to strict gambling laws in the USA.

Different Responds to the DFS Regulations in Texas

On the one hand, FanDuel strengthened their intention of passing legislation in order to provide DFS products to customers. On the other hand, DraftKings decided to sue the Attorney General to avoid the similarly harmful legislation.

IF you want to learn how to bet on eSports in the US, you can check our online eSpors Betting Guide.