Earlier this week, the daily fantasy sports industry caught a break, when it was ruled that a DraftKings content manager didn't use insider info to win $350,000 on rival site FanDuel.
Still, the scrutiny it has stirred up over the past few weeks — which included everything from the New York Attorney General opening an inquiry into each site, the FBI and U.S. Justice Department investigating their business model and Nevada ruling each company as gambling — makes it seem that federal regulation for daily fantasy sports, and possibly fantasy sports as a whole, is imminent.
"There should be a regulatory framework; there should be increased transparency for consumers," Silver told ESPN. "I think it would ultimately aid the industry. In fact, I think we're seeing the marketplace impacted, because there's not a clear regulatory framework right now."
However, when asked if he thought daily fantasy is gambling, Silver offered, "I don't, because of the legal definition of daily fantasy vs. what sports betting is. Daily fantasy, as it's currently constructed, is clearly a game of skill."
That being said, upon learning Silver's feelings about it, each FanDuel and DraftKings offered statements to the media, as reported by ESPN.
"FanDuel and our partners believe some regulation may be warranted and want to work with lawmakers to ensure fans continue to have access to all the fantasy games they love," FanDuel wrote in a statement.
DraftKings' response?
"We strongly believe the games on our site — and daily fantasy sports in general — are legal. We are seeing a number of state regulators and other authorities taking a reasoned and measured approach to the daily fantasy sports business and hope that trend continues along with due consideration for the interests of sports fans across the country who love to play these games."
It will be interesting to see how soon daily fantasy sports can be regulated.
Be sure to follow T-Lounge on Twitter and visit our Facebook page.
