DraftKings Hit with Record Fine in Massachusetts

The Massachusetts Gaming Commission fined DraftKings $450,000, the state's largest sports betting penalty since legalization in 2023, for accepting over $83,000 in credit card-backed wagers from 218 customers in violation of a key 2022 legalization act provision. The violations, spanning nearly a year, continued due to internal miscommunications and failed software fixes, even after DraftKings claimed resolution. The commission had issued advance notice about the credit card prohibition before the market launch. Despite DraftKings self-reporting the issue and pledging cooperation, the MGC has ordered an internal audit, a corrective action plan, and refunds for affected customers. The commission raised concerns about DraftKings' compliance and communications processes. Separately, DraftKings recently led the American Customer Satisfaction Index for online casinos and sportsbooks.