Reversal Of Fortune: Gov. Pritzker Resumes State’s In-Person Registration Requirement

Written By Derek Helling on July 27, 2020Last Updated on August 16, 2020

Governor JB Pritzker of Illinois reinstated the in-person registration requirement shortly before DraftKings Sportsbook was set to launch online betting in the state.

The interesting timing of the change in fortunes aligns with the launch of Rivers Casino in Des Plaines and other physical gambling venues.

Reversal Of Fortune: Gov. Pritzker Resumes State’s In-Person Registration Requirement 2

What & rsquo, are you okay with the return of the requirement for in-person registration?

Any Illinois residents who have not registered at an online casino by 12:01 a.m. must go to a physical casino, off-track betting site, or racetrack in the state to complete their account registration.

In early June, Pritzker suspended the requirement. At that time, all of the state’s casinos, including Rivers, were closed because of the COVID-19 pandemic, resulting in no income being generated.

Pritzker’s decision resulted in a transformation for Rivers Casino, as BetRivers, the online sportsbook operated by the same parent company, quickly began taking bets shortly after.

Up until now, BetRivers has been the only legal online sports betting option for Illinois residents. However, this is about to change as DraftKings is on the verge of entering the market as a competitor to BetRivers IL.

aggressive play by DraftKings & rsquo to enter Illinois

DraftKings has had a hectic July in the Prairie State.

Earlier this month, the operator announced a market-access deal with Casino Queen in East St. Louis. The Illinois Gaming Board approved DraftKings’ management services provider permit just over a week ago.

Last week, DraftKings revealed plans to focus its branding on the East St. Louis property, including incorporating its name into the casino’s title. This decision was crucial due to the state’s emergency regulations for sports betting, which require the facility’s name to be the main component in online sportsbook branding.

By the end of the week, DraftKings was making significant strides towards the launch of its electronic platform in Illinois. The sportsbook had already started promoting a $100 bonus bet for Illinois residents who were signing up for new accounts.

DraftKings was waiting on the Illinois Gaming Board (IGB) to issue Casino Queen its master license.

The certainty for Sportsbook has greatly diminished following Pritzker’s decision to revoke the expulsion on Sunday.

DraftKings is starting over from scratch.

Your efforts on DraftKings will not be in vain. Even after the IGB grants the king passport to Casino Queen, it will still be able to provide online and in-store sports betting.

Nevertheless, in order to place bets on the DraftKings app or website, all new customers must travel to East St. Louis and attend the game first.

DraftKings must decide whether to postpone spending until the in-person registration requirement is lifted. The requirement will be eliminated once the Illinois Gaming Board (IGB) grants the first of three online-only licenses, which is expected to happen 540 days after March 9, 2020.

The intrigue deepens as the personal and political ties between Pritzker, Rivers, and DraftKings come into play, along with their choice to disregard a warning from five years ago.

Pritzker & rsquo’s connections to Rivers and how it benefits the casino

The ties between Pritzker and the Rivers are firmly established.

In 2018, Neil Bluhm, CEO of Rush Street Gaming which operates Rivers Casino, saw his daughter and ex-wife collectively donate $110,000 to Pritzker’s election campaign.

DraftKings’ launch in Illinois could set up a showdown between BetRivers and some tough competitors. DraftKings is known as a dominant player in the sports betting world, thanks to its strong track record of profitability.

DraftKings’ strategy is foiled by the reinstatement of in-person registration, giving BetRivers a competitive edge as the only authorized online betting platform in Illinois. This unexpected twist ensures that BetRivers will be the sole recipient of the benefits from this temporary setback.

Despite the negative impact on DraftKings, there are limitations to achieving immediate goals. In 2015, DraftKings established its own direction, and it appears that Pritzker is following a similar path.

DraftKings earlier disregarded AG DFS advice.

In 2015, the former Illinois Attorney General Lisa Madigan issued an opinion that was anticipated to have an effect on DraftKings. Nevertheless, DraftKings chose to ignore it.

Madigan determined that DraftKings, a daily fantasy contest brand, was engaging in illegal gambling under the law. Despite this ruling, DraftKings continued to accept paid entries in Illinois.

The decision was a contributing factor in Illinois’ recent gambling expansion, with the intention of penalizing DraftKings through the requirement for in-person registration and the delay in online-only certification.

To be frank, DraftKings should have been prepared for Pritzker’s actions based on their recent actions, which appeared to successfully avoid being placed in the “penalty box.”

Despite the warnings from Illinois’ top law enforcement officer, DraftKings continued to accept DFS comments and became a formidable opponent five years ago, defying the Speaker of the House in Illinois, Mike Madigan.

It is simple to comprehend why Pritzker supports the senior Madigan.

Shortly after assuming office, Pritzker donated over $7 million from his personal funds to support Madigan’s reelection campaign.

The payment could have helped to pass the gaming expansion law and played a role in deciding the future of DraftKings.

Pritzker’s decision to reinstate in-person authorization at casinos in Illinois comes at a timely moment with their reopening. However, the decision is not solely based on Rivers Casino’s ability to check drivers’ licenses.