FanDuel and DraftKings Drop DFS Contests in Ontario Sports Betting Market

• DraftKings and FanDuel have announced they’re removing DFS contests from Ontario on April 1
• Legal issues requiring Ontario players to compete against other Ontario residents led to this decision
• Privately-owned sportsbooks are launching in the Ontario sports betting market on Monday, April 4

With the Ontario sports betting market set to welcome privately-operated sportsbooks on April 4, FanDuel and DraftKings have announced they’re pulling Daily Fantasy Sports (DFS) contests from Canada’s most populous province.

The controversial decision, which comes into effect on April 1, stems from a legal requirement that would force Ontario DFS players to compete exclusively against others located in Ontario. The Alcohol and Gaming Commission of Ontario (AGCO) views DFS as a form of pay-to-play gambling, and as such, are subject to the same rules and requirements as sports betting.

DraftKings, FanDuel DFS Pulled From Ontario Sports Betting

While DFS contests were the only way to play with DraftKings Canada and FanDuel Canada in Ontario, these operators will now pull this option in favour of their sportsbook products.

Two key issues are at play in this decision:

• Ontario sports betting laws require DFS players to compete exclusively against others in the province
• DFS operators required to pay $100,000 in licensing fees every year and 20% of revenue to the Ontario government

As a result, Daily Fantasy Sports contests from DraftKings and FanDuel will no longer be available in Ontario as of April 1. While this could change in the future, it would require an amendment to the legal framework of Ontario sports betting rules and regulations. The AGCO considers DFS contests a form of pay-to-pay gambling, so they’re limited to the same restrictions as straight-up sports betting.

It’s unclear if other DFS operators entering the Ontario market will decide to pull this product from Canada’s largest jurisdiction.

FanDuel and DraftKings Ontario Sportsbooks Launching in April

The surprising DFS news comes as FanDuel and DraftKings are preparing to launch their sportsbook platforms in Ontario on April 4.

Either DFS is a game of skill and is legal throughout Canada, or it is not a game of skill and is prohibited in all provinces except Ontario (where it is regulated). Note that the test for "game of skill" is different in Canada vs. the US https://t.co/1myljOoTvJ

— Jack Tadman (@bettorlaw) March 29, 2022

FanDuel Sportsbook Ontario has already received a license from the AGCO and iGaming Ontario (iGO) and are expected to be ready for day one. While DraftKings has yet to receive their official license, there’s still a good chance they could go-live on Monday, April 4.

Either way, the DraftKings and FanDuel sportsbooks will be in Ontario starting in April, while DFS contests will no longer be offered by these premier operators.

More Ontario Sportsbooks Going Live Monday, April 4

The DraftKings and FanDuel sportsbooks won’t be the only sports betting sites launching in the emerging Ontario iGaming market.

Here’s a list of the other Ontario sports betting sites expected to launch on Monday, April 4:

Ontario Sports Betting Apps