Massachusetts regulator fines DraftKings US$450,000 for accepting credit card wagers
Igaming operator DraftKings has been fined US$450,000 by the Massachusetts Gaming Commission for accepting credit card wagers.
The MGC banned credit cards as a form of igaming payment in 2023 when sports betting became legal. Yet, between 2023 and 2024, DraftKings was found to have violated this law.
The MGC said the operator’s failure to ban credit card wagers “resulted in 1,160 impermissible wagers, funded by 242 credit card deposits, placed by 218 customers, with a total handle of $83,667.92.”
Additionally, according to NBC Boston, the US$450,000 fine issued by the MGC is the largest sports betting fine imposed by the gambling regulator on an operator.
Along with the fine, DraftKings was ordered to repay all the money deposited using credit cards by 218 affected customers, while a third-party auditor will need to investigate whether any additional credit card funds were used between 23 February 2023, when DraftKings was granted its temporary license, and 10 March 2023, when it went live.
A DraftKings spokesperson said that they are “dedicated to upholding the regulatory standards set by each state and jurisdiction in which we operate, and we value the productive and collaborative relationships we’ve built with regulators.”
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Charlotte Capewell brings her passion for storytelling and expertise in writing, researching, and the gambling industry to every article she writes. Her specialties include the US gambling industry, regulator legislation, igaming, and more.
