Prepare To Set Your Lineups: AZ Sports Betting Bill Legalizes Daily Fantasy Sports

Written By Martin Harris on April 22, 2021Last Updated on January 30, 2025

Midway through April, lights went off.

Only a few days after legislation was pushed forward to legalize sports betting in Arizona, Governor Doug Ducey approved the bill. However, the bill does more than just approve regulated betting; it also legalizes daily fantasy sports in the state.

The fact that Arizona was among the few states that outright banned fantasy sports is a significant development for DFS players. However, this situation is about to change.

New Arizona laws allow fantasy sports.

After successful negotiations between the state and Arizona tribes, the new sports betting act was hastily assembled. Moreover, at last week’s filing meeting, Ducey signed new agreements with the tribes. These agreements have been revised to outline their future participation in sports betting.

Up to 10 certificates will be accessible for the tribes for both physical and virtual sports gambling. The state’s professional sports franchises and facilities will be entitled to up to 10 extra licenses.

Horse racing tracks can apply for up to ten extra sports betting licenses, but only for monetary bet.

A considerable amount of work remains, such as the development of sports gambling rules and regulations by the Arizona Department of Gaming. However, there is significant optimism that these details can be ironed out in time for the NFL season in September 2021.

In addition to authorizing regulators to issue fantasy sports licenses and establish relevant rules and fees, HB 2772 also permits certain locations such as off-track betting sites and social clubs to offer keno games.

Nearly 20 states have passed legislation that directly legalizes fantasy sports. While Daily Fantasy Sports (DFS) usually operate under these conditions, there are other states that don’t have specific laws regulating it.

However, fantasy sports are considered illegal in seven US states, including Arizona. Consequently, locals are prohibited from participating in fantasy sports websites.

Daily fantasy sports websites had been prohibited in Arizona.

Unlike some states, Arizona did not pass specific laws banning fantasy sports. However, the state’s gambling law had commonly been interpreted to consider fantasy sports as illegal. Consequently, Daily Fantasy Sports (DFS) websites have chosen not to accept bets from Arizona.

In 1998, Attorney General Grant Woods stated that fantasy sports were considered improper playing. This was over a decade before the emergence of the first online daily fantasy sports websites and the national popularity of DFS.

The daily fantasy sports website FanDuel was launched in 2009, with DraftKings coming onto the scene in 2012. Initially, both websites were accessible to visitors from Arizona.

In late 2015, nevertheless, Attorney General Mark Brnovich issued letters to DraftKings and FanDuel, instructing them to cease accepting athletes from Arizona.

“Participating in activities for financial gain is prohibited by Arizona law.”

FanDuel and DraftKings are ready for Daily Fantasy Sports (DFS) in Arizona.

Both DraftKings and FanDuel have now secured a spot in Arizona’s new sports gambling landscape.

DraftKings entered into a partnership with TPC Scottsdale to operate a sportsbook upon receiving the appropriate licensing. Shortly thereafter, FanDuel Arizona and the Phoenix Suns disclosed a comparable deal following the recent bill signing, which sets up FanDuel to run a potential sportsbook at the Phoenix Sun Arena.

Undoubtedly, DraftKings, FanDuel, and other daily fantasy sports websites will resume their operations in Arizona swiftly. The majority anticipate that the establishment of rules and issuance of fantasy sports certificates will happen faster than with sports betting.

Believing that sports gambling will be available in Arizona by September might be unrealistic. However, the odds of Arizonans being able to start creating matchups and participating in DFS competitions in time for the NFL season are certainly more favorable.

Photo taken by Rick Scuteri and AP
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