DraftKings, one of the leading online sports betting and daily fantasy sports platforms, has been hit with a hefty $100,000 fine by the New Jersey Division of Gaming Enforcement (DGE) for multiple violations relating to self-exclusion and underage gambling.
According to a statement released by the DGE, DraftKings allowed individuals who had previously self-excluded themselves from gambling activities to open accounts and place bets on the platform. This violation of New Jersey’s self-exclusion regulations is a serious offense, as these measures are put in place to protect individuals who have acknowledged that they have a gambling problem and should not be allowed to participate in such activities.
The investigation also uncovered that DraftKings failed to properly verify the ages of some of its users, ultimately allowing underage individuals to create accounts and place bets on the platform. The DGE takes the issue of underage gambling very seriously, as it can have serious consequences on the individuals involved and their families.
In response to the fine, DraftKings has acknowledged the violations and has taken steps to rectify the issues identified by the DGE. The company has stated that they have implemented new measures to ensure that self-excluded individuals and underage users are not able to access their platform in the future.
This is not the first time that DraftKings has faced regulatory scrutiny in New Jersey. In 2015, the company was ordered to stop accepting bets in the state after a legal battle over whether daily fantasy sports constituted as gambling. Since then, DraftKings has been able to operate in the state under strict regulations set by the DGE.
Despite these setbacks, DraftKings remains one of the leading online gambling platforms in New Jersey and continues to attract a large number of users with its wide range of sports betting and fantasy sports options. The $100,000 fine serves as a reminder to the company and others in the industry that compliance with regulations is paramount in ensuring the safety and well-being of all users.
The DGE’s actions also showcase the importance of regulatory oversight in the rapidly growing online gambling industry. As more states legalize and regulate online gambling, it is crucial that companies like DraftKings adhere to strict guidelines to protect vulnerable individuals and maintain the integrity of the industry as a whole.
