PrizePicks switched its daily fantasy sports format in California to its peer-to-peer model as the market waits for the looming legal opinion on DFS.
Reports broke earlier this week that Atty. Gen. Rob Bonta was going to release an opinion that found daily fantasy sports illegal in some fashion.
The opinion was expected by Thursday, but a lawsuit filed by PrizePicks’ main competitor, Underdog, could prevent Bonta’s office from releasing the daily fantasy sports opinion.
“We’re excited to now offer Arena to players in California,” said Elisa Richardson, VP of communications for PrizePicks. “Arena has been incredibly well received by our community and we’ve seen continued growth as more players engage with this peer-to-peer format.”
PrizePicks swaps in Arena for California DFS
PrizePicks launched Arena in January 2024 as a way to offer a product in states that were opposed to the against-the-house style of contests.
Arena looks much more like early DFS products. Contestants select more or less on two or more player projections and submit the lineup.
PrizePicks then places the lineup into a group of other players based on skill, entry fee, total projections and when the lineup was submitted.
California is the 18th state where Arena is available. Its standard pick’em format, where contestants select up to six players and wager against the house, is available in 18 US jurisdictions including Washington, DC.
Opinion delayed with lawsuit?
According to the Sacramento Superior Court, the AG’s office and Bonta were personally served with court documents Tuesday. The legal team for Bonta and the office told one of Underdogs’ lawyers, David Gringer, that they would be available for a hearing either Wednesday or Thursday.
Unsurprisingly, the office and Bonta are against an emergency temporary restraining order, Gringer noted in his declaration.
Another declaration from Gringer said the opinion would likely find all daily fantasy sports contests illegal and that Underdog would feel the pressure to leave the state.
“The representative further stated that after releasing the opinion, the goal of the Attorney General’s office would be to use the threat of an enforcement action—that would rely on the interpretation of California law announced in the opinion—to pressure Underdog into agreeing to leave California entirely,” the filing reads.
