Increased federal and state attention to the daily fantasy sports industry is throwing a spotlight on the uncertain legal terrain on which the industry operates.
The U.S. Justice Department is said to be probing practices related to DraftKings Inc. and FanDuel Inc.— the top two fantasy sports companies that together control approximately 95 percent of the daily fantasy sports market, according to Bloomberg News—and some states are also scrutinizing the industry. Nevada’s Gaming Control Board announced Oct. 15 that daily fantasy sports operations in that state will now require a gaming license. And the New York and Massachusetts state attorneys ...