Arizona’s Department of Gaming is taking enforcement action against Underdog and plans to revoke its daily fantasy sports licence. The action alleges the company aided and abetted illegal conduct through prediction markets.
The proposed licence revocation could affect Underdog’s ability to offer daily fantasy sports in Arizona.
| Date | Company | Amount | Story | Appeal status |
|---|---|---|---|---|
| Underdog, Crypto.com | Not stated | Arizona gaming department seeks to revoke Underdog licence over Crypto.com ties | Not stated | |
| Underdog, Crypto.com | Not stated | Arizona gaming department issues notice to revoke Underdog DFS licence | Not stated | |
| Rebet, Novig | Not stated | Arizona Department of Gaming orders seven gambling operators to cease activity | Not stated | |
| Crypto.com, Kalshi | Not stated | Arizona Department of Gaming orders three prediction markets to cease operations | Not stated | |
| Modo.us, BITMODO | Not stated | Arizona Department of Gaming orders unlicensed operators to stop serving residents | Not stated |
The day’s most important stories, free. One email a day.
Daniel Zurakov moved from ProphetX to Sportradar as vice-president of prediction markets, reportedly. ProphetX had raised $35m in funding that summer, according to the report.
Arizona’s gaming regulator receives funding linked to tribal gaming revenue, while the state has brought criminal charges against Kalshi, the report says. Wake Forest economics professor Koleman Strumpf argued that the funding arrangement could create incentives, but said he was not claiming it had affected enforcement decisions.
Arizona's Department of Gaming sent cease-and-desist letters to Crypto.com, Kalshi and Robinhood over their sports-event contracts. The department said Kalshi's offering was not meaningfully different from sports betting and alleged violations including access for people under 21 and inadequate safer-gambling tools; Kalshi has rejected similar state orders elsewhere.
Reportedly, Maricopa County, Arizona, and Delaware County, Pennsylvania, restricted employee trading in election prediction contracts ahead of the midterms. Maricopa County adopted its resolution in July, covering roughly 13,000 employees and additional sensitive subjects. Delaware County amended its employee oath, affecting about 2,200 workers.
Arizona Governor Katie Hobbs issued an executive order prohibiting state executive-branch employees from disclosing or using confidential information to profit from, avoid losses in or assist others with prediction-market trades. Violations may result in dismissal, other discipline or referral to law enforcement; the order took effect immediately and remains in force until repealed or replaced.