FanDuel has received a boost in its legal battle against US states attempting to classify its product as illegal gambling rather than a game of skill.
Early this morning, the New York Senate passed legislation that will expressly allow for games like FanDuel’s, and its rival DraftKings, to be played in the state. It now goes to New York’s Governor Andrew Cuomo, who can approve or veto the bill.
“New York is the seventh state to pass a fantasy sports bill just this year– a remarkable amount of progress in a short period of time,” said chief executive and co-founder Nigel Eccles.
FanDuel has been facing multiple legal actions across America alleging that its games are based on chance, not skill.
“It speaks to the popularity of our game, the passion and advocacy efforts of our fans and the immense potential states are seeing in the fantasy sports industry,” said Eccles.
New York’s decision is important for the company; Eccles said it would solidify the city’s reputation “as an incubator for this fast-growing piece of the technology industry.
“Nearly 30 fantasy sports companies are based in New York, including fantasy data, analytics, and media companies, and will be able to continue operating, growing and building, as a part of the state’s thriving tech sector.”
But FanDuel, which was founded in Edinburgh, received early stage funding from Scottish Enterprise and is now valued at $1bn, is looking to expand outside the US and will launch a UK version this summer.