New York’s daily fantasy sports (DFS) market, relaunching its draft-style contests just two months after withdrawing due to regulatory disputes. The comeback follows a $17.5 million settlement with the New York State Gaming Commission (NYSGC), which had previously ruled the operator non-compliant with state DFS laws. 652s2y
🚨 ATTENTION 🚨
Draft games are back in New York 🗽
— Underdog Drafts (@UnderdogDrafts) May 15, 2025
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A Sudden Exit and Unexpected Return 6f344p
Underdog Fantasy abruptly pulled its DFS offerings from New York in March after the NYSGC determined its contests violated state regulations. The operator, known for its innovative pick’em and draft-style games, had been operating under a temporary permit through its subsidiary, Synkt. However, the commission’s ruling forced an immediate shutdown—until now.
On May 15, an Underdog Fantasy spokesperson confirmed to Saturday Down South that its DFS contests were officially back online in New York as of 7 p.m. ET. The relaunch comes after weeks of negotiations and the hefty $17.5 million settlement, though exact remain undisclosed.
Regulatory Challenges and Industry Competition 2fy24
New York maintains strict DFS regulations, requiring operators to obtain licenses and adhere to rules classifying fantasy sports as games of skill. Interactive Fantasy Sports (IFS) involve s drafting rosters of real athletes and competing based on statistical performance. Unlike sports betting, IFS contests are legally distinct, provided they meet skill-based criteria.
Underdog’s return expands the competitive landscape, ing officially licensed operators such as DraftKings, FanDuel, Yahoo, and smaller platforms like Boom Fantasy and Splash Sports. The NYSGC’s oversight ensures compliance, but Underdog’s previous exit highlights the challenges of navigating evolving regulations.
About Underdog Fantasy:
Underdog Fantasy is a leading DFS and sports gaming operator known for its player-friendly draft formats. Founded in 2020, the platform has gained popularity for its innovative approach to fantasy sports and sports betting products.
About New York DFS Regulations:
New York legalized DFS in 2016, requiring operators to obtain licenses and comply with skill-based gaming laws. The NYSGC oversees licensing and enforcement, ensuring consumer protection and fair play.
