Why I Decided To Suspend Its Pay Processing Services To The Daily Fantasy Sports Industry?

688 Words3 Pages

In an announcement a week ago, Vantiv Entertainment Solutions decided to suspend its payment processing services to the daily fantasy sports industry by the end of February. This is a devastating move to the market since Vantiv has closely worked with many of the leaders in the industry. FanDuel and DraftKings are two of the company’s major clients and they will definitely feel the pinch.
The pressure is on
This move by Vantiv is no surprise after the recent setbacks experienced by the daily fantasy sports industry. The trouble all started when New York Attorney General Eric T. Schneiderman demanded that daily fantasy sports companies stop operating in the state because it could be considered as gambling and thus considered illegal. This was quickly followed by six other states declaring the same thing.
FanDuel and …show more content…

This ensures that a company would know whether it is doing something wrong. Without solid legal grounding and the current challenges against the industry, people are worried that what was once a moneymaker may suddenly become a liability.
Bitcoin and fantasy sports
With a major payment processor backing out, the daily fantasy sports market is looking at a major problem. Daily fantasy sports thrives on daily bets and ensuring those bets get processed and wins are released is a major endeavor. Although Vantiv is just one payment processor, the problem is if the others, PayPal and the major credit companies, follow suit. The industry could collapse overnight, and this is where Bitcoin comes in.
Bitcoin in this market is not a new idea. Bitcoin fantasy sports sites have been attempted before, but they closed shop quickly. This could be blamed on the fact that the daily fantasy sports industry is based mostly around the US and other payment options were more convenient. With the law cracking down on the industry, though, Bitcoin is fast becoming an attractive

More about Why I Decided To Suspend Its Pay Processing Services To The Daily Fantasy Sports Industry?

Open Document