Amaya Pulls Back on StarsDraft in Wake of DFS Troubles

Amaya limits StarsDraft operations in US.

Amaya moves to limit the scope of its DFS site StarsDraft in the wake of recent legal changes in Nevada. (Image: estimatedfuture.com)

The fate of Daily Fantasy Sports (DFS) in the US may now hang in the balance following a series of missteps by the top operators, but Amaya’s recently launched site, StarsDraft, won’t be caught in the crossfire.

Despite only launching its latest innovation back in September, Amaya sent out a press release this week alerting the media that it has decided to limit the scope of its DFS platform.

The news comes in the wake of Nevada’s recent decision to class DFS as a form of sports betting and, therefore, something illegal within the state.

Because of this, Amaya has pulled its real money service from Nevada.

Moreover, with other states currently reviewing the status of DFS, Amaya has also removed StarsDraft options for residents in Florida and Michigan.

A Regulatory Minefield for Operators

As it stands, DFS has escaped the regulatory eye of many states in the US; however, following accusations of employees at DraftKings and FanDuel using their inside knowledge to take advantage of the markets, the industry is now under review.

Much like the time the Unlawful Internet Gambling Enforcement Act (UIGEA) sent shockwaves through the online poker world and forced many operators to leave the market, the latest developments in Nevada appear to be having a domino effect across the US.

Having already inherited one regulatory issue when it acquired PokerStars (an online poker site that stayed in the US post-UIGEA), Amaya is clearly intent on avoiding any more issues when it comes to gambling laws.

On top of limiting its DFS services in a number of US states, Amaya has also been active in its push for state regulation on the industry.

In a statement issued at the start of October, Amaya asked lawmakers to impose strict licensing restrictions on those wishing to offer DFS in the US.

“We have previously called for state regulation and licensing of DFS to ensure consumer protection and strict government oversight of operators,” read a statement from Amaya.

Amaya Protecting its Poker Assets

Although StarsDraft will now run a limited operation in the US, all registered players can still withdraw money from their online bankrolls at any time.

Moreover, Amaya has stressed that the decision to review the changing legal landscape won’t impact the company financially and it will continue to monitor the situation in each state.

Naturally, as well as protecting its latest investment, Amaya has more reasons than most to stay on the right side of state laws in the US.

Having recently been granted a preliminary license to offer online poker and casino gaming in New Jersey, it’s clear that Amaya doesn’t want to jeopardize this side of its business by continuing to offer DFS options in unstable markets.

Daniel Smyth
Written by
Daniel Smyth
Dan Smyth is a poker media journeyman who politely reminds CardsChat readers that poker is played all around the world, not just America.

Comments

Mila Greissinger wrote...

When is StarsDraft putting out a new contest? I do live in Maryland. I have not seen any contest in a couple weeks. I do believe that Maryland is one of the states that allowed to play StarsDraft. I tried sending email to StarsDraft and yet I have not receive any respond.

Thank you,
Mila Greissinger

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