Cubs, DraftKings Partner For First Stadium-Adjacent Sportsbook In Illinois

The official announcement of a future WrigleyField sportsbook at the Illinois venue has officially broken the ice.

There are numerous queries from the Illinois Gaming Board (IGB) and other concerned parties due to the unprecedented nature of the agreement between DraftKings and the Chicago Cubs in Illinois.

The Cubs and DraftKings have publicized their collaboration in sports betting, with plans to offer on-site gaming at Wrigley Field in Chicago. However, this announcement has sparked more queries than it has responses.

How a Wrigley Field casino is governed by law

The most recent expansion of gambling in Illinois permitted owners of venues such as Wrigley to apply for sports betting master licenses. However, there are a couple of conditions: the venue must hold a minimum of 17,000 people and its main function cannot be to host college sports.

Initially, the Cubs were seemingly interested as Wrigley fulfilled both their requirements. They now have a business associate to manage the betting. That’s where the questions begin.

Today, the @Cubs announced @DraftKings as their inaugural Official & Exclusive Sports Betting and Daily Fantasy Partner. They also plan to establish a premier retail sportsbook at Wrigley Field. Read the full announcement here: https://t.co/B7uUyEJOvO.

News from DraftKings (@DraftKingsNews) on September 3, 2020.

The acquisition cost for that class of master license is $10 million. Initially, the Chicago Cubs, along with other professional sports teams in the city, resisted this price, requesting a discount.

It’s unclear if the Ricketts family, owners of both the Cubs and Wrigley, will provide the required cash. Alternatively, DraftKings might pay at least a portion of it.

The interpretation of another section of the act by the IGB will influence the amount of money spent by the Cubs. The legislation provides a five-block exclusivity zone to facility casino operators, indicating that Wrigley’s boundaries are off-limits to other sportsbooks.

Ultimately, the IGB, DraftKings, and Cubs had to answer a series of questions following that incident. The IGB’s rulings on various issues will decide the future of this venture.

Issues for the IGB, DraftKings, and Cubs

Firstly, it is not explicitly stated in the law whether virtual gambling falls under the luxury area. To clarify this, the IGB is drafting changes to its rules, although this could lead to enforcement problems. Furthermore, this could potentially incite a legitimate dispute from competing casinos in Illinois.

The IGB might also need to determine the exact trigger for that article. This could depend on who funds the master license and the location of the retail sportsbook.

DraftKings is considering purchasing the license to comply with the state’s online sportsbook branding regulations. These rules mandate that the branding of sports betting apps and websites should primarily be from online sportsbooks’ facility partners, not the online operators.

Theoretically, the Cubs were to buy, sell, and trade the stadium’s betting to DraftKings in return for them purchasing the license. In such a scenario, DraftKings would have become their own facility partner for online betting.

DraftKings could greatly benefit from leveraging its Wrigley’s branding experience to attract bettors. This exposure could significantly aid DraftKings in increasing its market share in one of the country’s largest betting markets.

The IGB might decide that DraftKings doesn’t qualify as an in-stadium book and the exclusivity zone doesn’t apply if the sportsbook is located adjacent to, rather than inside, the “friendly confines”.

This situation is further complicated by the fact that DraftKings already operates in Illinois.

How DraftKings at Casino Queen might be impacted by this offer

DraftKings Sportsbook is now available in Illinois, both online and physically. The dual launch occurred simultaneously last month at the Casino Queen in East St. Louis, home of DraftKings.

In that situation, it might make more sense for the Cubs or another Ricketts company to hold the king license. Branding at Wrigley could still be a part of DraftKings’ rights, but only incidentally.

Furthermore, confusion might be avoided by this. If a distinct DraftKings sports betting game is within a five-block radius of Wrigley Field, bettors could potentially become confused.

While DraftKings could greatly benefit from showcasing its product to millions of people at Wrigley, its association with Casino Queen could possibly reduce its value.

For instance, a retail location at Wrigley may attract more registrations than the property in East St. Louis until the state’s in-person registration requirement for online wagering, which is currently suspended, expires.

However, this would require the betting to open before the set deadline. The scheduled date for this event is currently at the end of next year. Regardless of the situation, DraftKings probably aims to keep growing while keeping its current central partner in the state.

It’s uncertain whether the sportsbook will utilize the Cubs’ name and logo. There’s also the question of whether this book might allow Wrigley players to bet on games.

Why sidelining and & lsquo is a problem with integrity in sports betting

“Sidelining” or “%” refers to the act of people placing bets on in-game or live markets at events they are physically attending. An example of this is placing bets on the outcomes of a specific game involving the Cubs while spectating at Wrigley Field.

Consequently, bookmakers hold an advantage over other non-participants. The lag between real-time events and their download or television broadcast is minimal at best. Casinos might require extra time to receive information about these shows from suppliers.

This is why US legal casinos forbid betting on specific sports games. They lack the technology to reliably charge for the delay, however, betting in Wrigley could solve this issue.

A straightforward solution is to prohibit betting on any activities at Wrigley. This would encompass both children’s sports and college football games.

We currently know that DraftKings could be involved and that there is a sportsbook at Wrigley Field. We’ll soon discover how this looks and what it implies for the sports betting industry in Illinois.