DraftKings Completes Workaround To Get Online Sportsbook Live In Illinois
The Casino Queen will rebrand to “DraftKings at Casino Queen.” The change may seem like a slight change in semantics, but it’s quite significant for the Illinois sport betting market.
Why the title shift for Casino Queen is so significant
A brief history lesson is necessary to comprehend the impact.
In 2015, then-IL Attorney General Lisa Madigan issued an opinion that online daily fantasy sports contests, like that which DraftKings offered to Illinoisans, constituted illegal gambling.
In spite of this, DraftKings continued to accept paid comments from Illinois customers. The state didn’t forget, even though none of the governing bodies in Illinois ever attempted to prosecute any DraftKings & rsquo executives.
DraftKings were given a & ldquo, penalty box, and’ rdqua’ when the Illinois Legislature drafted the most recent gambling expansion law. DraftKings had to decide whether to partner with an IL brick-and-mortar sporting gaming establishment or waited more than three years to operate independently in the position.
The strategy became a little more challenging this past May.
The Illinois Gaming Board (IGB) drafted a rule that said online sports wagering platforms tethered to brick-and-mortar facilities have to display those facilities’ branding in a primary fashion.
The first part of the plan to penalize DraftKings did work to some degree. Instead of waiting to try to snag one of the state’s three online-only licenses, DraftKings partnered with the Casino Queen in East St. Louis.
However, the packaging necessity was also a problem at that point. As things stood, the main product of the IL sports gambling app and website would be Casino Queen, no DraftKings. That diminished the worth of DraftKings.
The problem is avoided by including DraftKings in the center name. It does enable DraftKings to incorporate its brand into a upcoming sports betting IL app and website.
Nevertheless, the majority of IL residents and visitors still have the most important query. At that point, the state will be able to accept online and retail wagering through DraftKings & rsquo.
There is still no official launch date for DraftKings & rsquo in Illinois.
A press release announcing the name change provided no information about when either betting channel would open. Both partners in the deal have already checked items off their to-do lists, however.
A king passport has already been requested by The Casino Queen. It & rsquo, however, is unsure of when the IGB will award it. DraftKings cannot consider taking either solution sit until that occurs.
DraftKings may be able to fast-track when the IGB does approve the master license. The IGB approved DraftKings’ management service provider license earlier this month.
That provides DraftKings departs to handle sports bets on behalf of its business partner in the position. The real brilliance may be found in how DraftKings largely gained access to Illinois for what might have been significant cost savings.
Millions of dollars may have been saved by DraftKings.
According to Illinois rules, one of the three independent, online-only permissions costs$ 20 million. The license for a management services provider, however, is only valid for$ 1 million.
Obviously, there are additional costs that DraftKings will have to pay to enter IL. For instance, it might need to create smart programs tailored to the condition. Also, it will probably cover some of the expense associated with the retail buildout.
Additionally, DraftKings may split the profits with its service partner. DraftKings probably would have incurred many of the same costs of entry if it had waited to go it alone, even though that might end up costing more than the$ 19 million change.
While DraftKings waited, another brands may have seized sizable portions of the lucrative Chicago market. DraftKings will be able to enter IL little more quickly and affordably thanks to its strategy.