Florida Gaming Control Commission Laws & Regulations

Florida Gaming Control Commission Cracks Down Fantasy Betting Operators

By Lisa Spencer Senior Editor Updated: 09 October 2023

Lisa Spencer Senior Editor

As a Senior Editor at Betting.US, Lisa Spencer is a valuable member of our expert team. With a Master’s degree in Applied Mathematics, Lisa is adept in gambling theory and analyzing odds. She contributes by writing online sportsbook reviews and finding competitive markets to help our readers make an informed choice.

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The Florida Gaming Control Commission has issued a stern warning to three daily fantasy sports operators, demanding they halt operations within the state.

The companies in question, Underdog Sports, PrizePicks, and Betr, face allegations of illegal sports wagering activities. Major operators like FanDuel and DraftKings were not included in this directive, though the move is still likely to send ripples through the Florida fantasy sports betting market.

In a letter to affected operators, Louis Trombetta, the Executive Director of the Commission, stated:

I am hereby demanding you immediately cease and desist offering or accepting bets or wagers from residents of this state on the results of any contests of skill such as sports betting,

He wrote about the gravity of the situation, stating that failure to comply could lead to involvement from the Attorney General’s Office of Statewide Prosecution.

Repercussions of This Move

The effects on the state’s fantasy sports betting market are yet to be fully understood. While representatives from the companies in question have expressed their willingness to cooperate with the Commission, concerns are rising. Given the timing amid the football season, these events could have repercussions lasting till the end of the season.

The move comes as a result of the Commission’s stringent stance on fantasy sports betting. Regulators have long held that the only legal form of sports wagering in Florida is through the gaming compacts. Florida made a formal gaming compact with the Seminole Tribe back in 2021, and Trombetta’s cease-and-desist letter to the three operators was the result of this compact.

In response to the allegations, Jeremy Levine, Founder of Underdog Sports, spoke about the company’s perspective on the situation. He said that his company recognized the claims that have been made and emphasized that their offerings are skill-based games rather than games of chance, aligning with legal requirements.

Levine also raised eyebrows by suggesting that major players like DraftKings and FanDuel might be influencing these developments, especially since they haven’t received any formal warning.

The future for other fantasy sports betting operations in Florida is now in question. This crackdown, particularly on popular operators like Betr, which is led by celebrity boxer Jake Paul, has increased concerns across the industry. The ongoing court debate on the Seminole Tribe’s gaming compact is said to be adding to the uncertainty.

Implications for Florida’s Sports Betting Landscape

In the coming days and weeks, industry insiders, bettors, and operators will be closely watching to see how this situation unfolds and what it means for the future of fantasy sports betting in Florida.

The broader implications of the Commission’s move could reshape Florida’s sports betting landscape significantly. Many wonder whether other states will follow suit, potentially creating a ripple effect across the nation’s sports wagering industry. With millions of dollars at stake, this situation might attract the attention of federal regulators as well, according to some reports.

In addition, there are claims that the state’s relationship with the Seminole Tribe may come under scrutiny, given the emphasis on the 2021 gaming compact.